Capstone Communities has restarted the Virginia Lake Crossing subdivision near Plumb Lane and South Virginia Streets.
Capstone Communities purchased 38 finished lots and 40 mapped but unfinished lots at the subdivision started in 2005 by Silverstar Communities at the site of the old Mark Twain motel.
Development at the site stalled with the housing crash until the Capstone partnership was formed in early 2011 to put the community back on track, says Mike Branson, a partner in Capstone.
Branson says six homes already are under construction, and Capstone expects to have two homes available for sale by early February. Ten pad sites included concrete foundations that had to be demolished and removed because Capstone is working with different floor plans and also didn't want to face possible warranty issues, Branson says.
The community features two models: Camden Place and Glen Manor. Sizes range from 1,494 square feet to 1,839 square feet, and homes are priced between $174,950 and $199,950 a far sight from Silverstar's 2005 cost projections of $340,000 and $420,000.
Branson says Capstone purchased the Virginia Lake Crossing parcels because it's the only undeveloped subdivision located inside the McCarran Boulevard loop, and home values in the city core have not plummeted as much as they have in outlying communities.
He sees potential buyers as younger couples with ties to downtown, active adults and "single nesters."
"Location is a big key," he says. "Someone that lives in this area can walk or ride a bike to work or the grocery store. It is the only new construction in the area, so people can either buy a 50- or 60-year-old home, or they can buy a brand new home."
Capstone Communities used private funding for the acquisition and for construction, Branson says. The development company, which includes partner Darrin Indart, expects to build about 20 homes this year.
