The debate over whether homes in “new urban” neighborhoods will sell in the Davenport market will be put to the test as soon as this spring.
Against a background of busy scrapers and earth movers, city officials, developers and builders turned symbolic shovelfuls of dirt to mark the groundbreaking of the residential portion of the Prairie Heights development.
The 69-acre property, purchased by Cedar Rapids-based High Development Corp.-Regency Land for $1.6 million in 2005, is platted for approximately 220 single-family homes and 70 townhomes and villas.
Per city requirement, Prairie Heights will be a “Traditional Neighborhood Development,” which includes more green space, public areas, narrow streets and other elements that make it a “walking neighborhood.”
Those stipulations were a source of contention when the city sought to sell the land. Several aldermen, and some vocal area developers, warned such “new urbanist” neighborhoods wouldn’t sell in the Quad-Cities. And despite sending out requests for proposals to more than 400 developers across the country, only High-Regency responded.
The company’s president for Eastern Iowa, Darryl High, however, has great confidence in the Quad-Cities market. The company has seen “new urbanism” work in Cedar Rapids and Des Moines, and Davenport should be little different, he said.
One of the selling points is new construction starting prices lower than those in many other suburban developments.
“We’re going to offer new homes and new townhomes from between $99,000 and $250,000,” he said. “We’re not out to compete with the 2,000-square-foot, three-car garage ranches.”
High-Regency is using four local builders — Saddlebrook Homes, Dave Prochaska Construction, Heartland Builders and Diamond Builders — and relying on Davenport-based Ruhl & Ruhl to market the property.
Dave Prochaska said he’s excited to be working on a project that is geared toward middle class and new homeowners.
“There’s a big shortage of this kind of housing in Davenport,” he said, adding that most of the homes he will build will cost in the $120,000 to high $100,000s range. “I think the traditional neighborhood layout will be like what you saw in small towns growing up.”
Dave Falk, Ruhl & Ruhl’s director of new construction and development who will handle much of the marketing, praised the city for sticking to its plan.
“This is a vision the city had for a long time,” he said. “I think we’ll have a high-demand product in a great area. These homes will have a pricing point that’s very attractive in a setting where homes are typically much more expensive.
“We’re thrilled to death that we’ve gotten to this date and time.”
So is Davenport Mayor Ed Winborn.
“We have a tendency, sometimes, not to celebrate good things, and this is certainly a good thing,” he said. “We have a good developer. They’re hiring local firms to market and build this area. I think it’s going to be a terrific asset to the city.”
High said work likely will begin on the first houses later this winter, weather permitting.
Developer wants to buy another 17 acres of land
High Development Corp.-Regency Land still is interested in buying and developing 17 acres of city-owned commercially zoned property that fronts 53rd Street just south of its 69-acre residential development, company president Darryl High said.
Last week, despite receiving a $1.2 million joint bid from High-Regency and Davenport-based Build To Suit, the City Council voted narrowly against selling the land.
“We’re collecting our thoughts to see what our next step might be,” High said. “We’re still very interested in commercial.”
Mayor Ed Winborn said he’s disappointed the city failed to pull the trigger on a sale. The city will be missing out on more than $200,000 in potential new tax money each year as a result of the refusal to sell, he said.
“We had an offer at the appraised value,” he said. “I don’t see it as a huge issue. I think that land will be sold eventually. Maybe we’ll get more, but maybe we’ll get less.”
Winborn did say, however, that at least the discussion about selling or not selling was civil, which has not always been the case in City Hall.
“We had a very good debate in council chambers,” he said. “It was very cordial, and it was a judgment call.”
Tory Brecht can be contacted at (563) 383-2329 or tbrecht@qctimes.com.