Subdivision may ease housing crunch
Published 12:00 am Sunday, April 4, 1999
Faced with a city-wide housing crunch, one local developer is hoping a new subdivision could turn things around.
Sunday, April 4, 1999
Faced with a city-wide housing crunch, one local developer is hoping a new subdivision could turn things around.
Although Albert Lea has seen new building developments recently, it’s been 20 years since a substantial subdivision has been constructed, according to Real Estate Agent Hugh O-Byrne.
Coupled with a lack of speculative homes, the city’s housing crunch has worsened, adds the owner of Century 21 O’Byrne Realty.
&uot;In the past, we haven’t been able to offer new housing because there hasn’t been a lot of options,&uot; O’Byrne said. &uot;The demand was backlogged for years.&uot;
The situation isn’t limited to Albert Lea.
A robust economy is creating jobs but straining communities across Minnesota.
The housing vacancy rate in much of Minnesota hovers around 1 percent, which translates into more competition and waiting lists for each opening. In the early 1990s, the vacancy rate was near 7 percent, according to the Family Housing Fund, a Twin Cities-based education group.
O’Byrne said he hopes to help change that locally with the Sundance Subdivision.
Sundance Subdivision will be completed in two phases, the first of which will offer 23 lots of varying sizes.
Sundance will be available to accommodate newcomers to the city, while helping current residents, he said.
&uot;We’ll finally have a new subdivision available for people who want to buy a new home,&uot; O’Byrne said. &uot;It will alleviate the housing problem because it will have a domino effect.&uot;
He said speculative building of $200,000 homes is necessary to make houses in lower price ranges available to buyers.
&uot;When someone in a $100,000 house builds a $200,000 house. The person in the $80,000 house can buy the $100,000 house. People in the $40,000 house can get the $80,000. And that frees up some $40,000 homes for first-time buyers,&uot; O’Byrne explained. &uot;We’re going to have more and more people moving up.&uot;
Located a quarter mile west of Highway 13 on County Road 74, O’Byrne said the subdivision will offer residents the convenience of city living in a rural setting.
&uot;We’ve tried to maintain the integrity of the area,&uot; O’Byrne said.
Eight of the lots are located on a pond, and maintaining the wetland did create a challenge to the developers.
&uot;We had to design the pond so it maintained its level and the water circulated in and out,&uot; O’Byrne said. With its geese and ducks, O’Byrne thinks the pond offers a special touch. Other area wildlife include deer, wild turkey and pheasants.
Although Sundance did not face public opposition, it was still a challenging process.
&uot;Once we had the idea to go ahead, it took about a year,&uot; O’Byrne said.
They first drew up a plan and brought it to Jones, Haugh and Smith where preliminary plans were drawn. Those plans were brought to City Planner Bob Graham to be finalized.
&uot;It was approved by the City Council March 22,&uot; O’Byrne said. Lakewood Consulting gave the cost estimates. &uot;They were instrumental in getting this thing off the ground.&uot;
O’Byrne said the city, as well as Department of Natural Resources, Pollution Control Agency and the Soil and Water Conservation District also aided Sundance.
&uot;The city should be proud of this. They were very cooperative and bent over backwards to make sure everything was right,&uot; O’Byrne said.
The biggest obstacle was designing the lots to maintain the area, while offering future owners what they want. The subdivision has a variety of lot sizes, some more than an acre.
Six of the 23 lots of phase one have sold. And with the city beginning its sewer, plumbing and electrical work, the lots are ready for construction. The city services will be completed June 15, according to O’Byrne.
&uot;I think there will be two built right away and a third one started next month,&uot; O’Byrne said. &uot;As soon as they can get a builder to build, they can start.&uot;
O’Byrne said arrangements can be made to accommodate those who wish to purchase a lot, but delay construction.
&uot;The closing dates can be arranged to fit the buyer’s schedule,&uot; he said.
O’Byrne is involved in another smaller subdivision. Wild Ridge is west of Sundance. He said it is a country subdivision that does not have city services.