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Two projects would add up to 1,800 new homes in San Benito
County
Despite a down market, two housing developments with a combined
total of nearly 1,800 homes are planned off Fairview Road.
Two projects would add up to 1,800 new homes in San Benito County
Despite a down market, two housing developments with a combined total of nearly 1,800 homes are planned off Fairview Road.
Currently, there are a little more than 11,000 homes in the city. The projects would add nearly 20 percent more homes to an area that is historically the edge of development in Hollister.
Construction on one of the projects, nearly 700 homes planned for west of Fairview Road, would begin as soon as the sewer moratorium ends, said Steve Schott, Jr., vice president of Award Homes, the company that is developing the area.
Asked if the project would have approval by that time, Avera said, “That was the plan, yes. They’re done with their planning after 15 years.”
The project is situated in an incorporated area of Hollister, said Bill Avera, Hollister’s development services director.
Some question new construction in a downturned market.
“As far as new building going on, I would think it would be a while,” said Michael Biechman, a realtor at Intero Real Estate Services in Hollister.
Due to the amount of houses already on the market, he said, “I wouldn’t imagine they would be building several hundred homes right off.” There are 444 single family homes for sale in San Benito County, according to Nants Foley, Pinnacle real estate columnist and a broker associate at Intero.
Biechman does not think that developers will build any new homes for at least three years from now, he said.
The housing market took a downturn in September 2005 Biechman said.
“Now, we’re already in about our 30th month of the downturn,” Beichman said.
The average length of time for a housing downturn is 18 months, he said.
Juanita Rodriguez lives near the proposed projects.
“I’m for it,” Rodriguez said. “It’s time for some new development around here.”
Set in the rolling hills in an unincorporated area at the edge of Hollister, Santana Ranch would be a 1,092-unit development, said Chuck Ortwein, San Benito County’s senior planner.
Although it abuts Hollister, unless the city pursues incorporation, the development would be in the county. Though close together, the developments would require different services if Santana Ranch remains unincorporated. For instance, a 911 call from the Award Homes development would bring out Hollister police, while a call from across the street at the Santana Ranch property would bring in the sheriff’s department.
Thirty percent of the houses, the county standard, would be low income, Ortwein said.
“We will conform to whatever the county requires,” said Al Guerra, director of Guerra Nut Shelling, a corporation that owns a portion of the land.
Santana Ranch would include a school, nearly 6 acres of neighborhood commercial space and about 18 acres of parkland, Ortwein said.
It is unclear when construction would start on Santana Ranch, said Al Guerra.
Frank Guerra, president of the corporation, agreed.
“Nobody is going to start building now,” Frank Guerra said. “We’re not even going to start until we think we can sell them.”
The planning process for Santana Ranch started between 15 and 20 years ago, Frank Guerra said.
The application is very close to being complete, Ortwein said. There are still a few issues that need to be worked out, including design standards, how green-building concepts will be incorporated and the layout of pedestrian pathways, he said.
“This is a large project for the county, if it goes through,” Ortwein said, “and we want to get it right.”
Currently, the plan calls for widening Fairview Road, but only along the part of the street directly in front of traffic. Some opponents of the project have said that will only lead to traffic clogs on either side of the project.
“They need to do a lot more than that, if they are adding that many homes,” said Jerry Muenzer, a downtown shop owner. “How are people going to get into downtown on those roads? Those roads are already clogged with traffic, especially Sunnyslope.”
Muenzer did concede that the county needs more rooftops to draw in bigger retail stores.
The planning department staff would like the pedestrian pathways to minimize the number of times that residents will have to cross the street, he said.
“We want to give them nice, secure pathways,” Ortwein said, “maybe separated from the road by a nice row of trees.”
The Guerras want a project they can be proud of, Al Guerra said.
“Our families have been here for close to 100 years, and we don’t plan to leave,” he said. “So, we want to see a good project.”The 677-unit project west of Fairview Road, proposed by Award Homes, would include 20 percent affordable housing units, including 50 low-income units and 50 very low-income units, Avera said.
Thirty-five units would be moderate income, Schott said.
“It will be an eight-year build out, if the market allows that,” he said. “Eight years is the fastest it could build-out.”
Developers have permits to build 320 homes during the first three years, Schott said. Twenty of those would be low income, he said.
“Right now, there’s not a demand for houses,” he said. “What it’s going to be a year from now, two year from now, I don’t know.”
Developers from Award homes would build 60 or 70 houses per year to keep the building permits “alive,” Biechman said.
Sales have slowed down at two projects owned by Award Homes, Schott said.
Orchard Lane Estates in Soledad has a little more than 100 houses, Schott said. Blossom Ranch in Stockton has 300 houses.
Referring to sales, Schott said, “A couple of years ago, we were getting one to two per week.”
The average in each development is two to three sales per month, Schott said.
Schott envisions the housing market remaining slow through the year, he said. He hopes it will pick up in 2009.