TBO.com - TBO is Tampa Bay Online

Growing Pains But Some Gains

ADVERTISEMENT

By GEORGE H. NEWMAN

The Tampa Tribune

Published: May 31, 2008

PLANT CITY - Until about a year ago, the local real estate market was booming.

Over about a three-year stretch, builders routinely filed plans for major commercial and residential developments, including some with hundreds of homes. The city building department could hardly keep pace.

"During that period, we were working half-days on Saturday just to keep up," building official Jesse Carr said. "We were really overwhelmed with the residential and commercial growth that was going on."

But the market went south, and a number of projects - residential and commercial - didn't get beyond the planning stages. The largest of the proposed residential developments, Lakeside Station, is slated to become a business park.

Out of 30 uncompleted residential projects listed in city records, only nine have homes under construction.

Residential properties under development by D.R. Horton Homes are among the exceptions. The Fort Worth, Texas-based builders' local projects include Walden Woods, a development of 397 town homes at Park Road and Alexander Street; Whispering Woods, which includes 136 homes at Alexander Street and Walden Woods Boulevard; and Magnolia Green, a community of 301 single-family homes at Trapnell and Drawdy roads.

The properties "are moving without interruption," said Bill Sullivan, a land and project director working for the developer.

Lawrence Parker, a director of mid-rise development at D.R. Horton, said the company has had "a good response from the buyers" in Plant City.

"We seem to have the right product in the right place; even during a downturn in the national real estate market," Parker said.

D.R. Horton, which builds in about 27 states, is financially strong, avoids becoming overly extended and is customer-driven, he said.

"We have identified our best core sites," Parker said. "Plant City is definitely in that category. Those projects continue to come out of the ground. Other sites will have to wait for a better market."

D.R. Horton is the largest single-family builder in the nation in volume and dollars, Parker said.

Not all residential developments have fared so well. Some of the larger and prominent projects that haven't moved forward include the 947-unit North Park Isles at Sam Allen and Park roads; the 505-home Eagles Crest on Knights-Griffin Road and the more than 1,000-unit County Line Farms on County Line Road, among others.

At the city's urging, some developments are being rezoned from residential to light industrial in view of the sagging demand for homes. Lakeside Station on Park Road, where Sunrise Homes planned about 2,600 houses, is a prime example. A new developer has targeted the property for large warehouses and other commercial uses.

In all, the city has persuaded property owners to scrap plans for a combined 3,000 residential lots. The city is pushing developers toward industrial and commercial projects as part of an initiative to create jobs.

Commercial developers, meanwhile, are also facing a mixed market. Some local business projects are proceeding while others find the going tough.

Citrus Landing office park at Evers and Prosser streets stands empty. Real estate broker Ken Lawrence is working on some possible tenants.

"The unique thing about the office park is the interior is not built out," Lawrence said. "The buyer can design the office to fit any kind of plumbing, electronics, duct work or floor plan they might desire. That makes the complex ideal for a wide variety of uses."

Donna Jean Crocker, owner and developer of The Village at 2804 James L. Redman Parkway, designed a mixed-use complex where residential and commercial uses share the same complex. Six apartments on The Village's second floor are occupied. But commercial properties downstairs are not so quick to be filled

"We have some prospective tenants who are showing interest," Crocker said. "Commercial properties are slow to fill these days. But we have an ideal location and the mixed-use concept is catching on around the country. Once the economy recovers, I'm sure this space will be filled without a problem."

Crocker said many commercial developers were counting on the continued residential boom.

"Commercial and retail properties are support businesses for residential," she said. "The main reason you see retail and commercial properties unfilled is because the expected residential projects did not materialize. Once the residential market rebounds, you will see these retail properties filled and more to come."

Across the parkway from The Village is Redman Plaza. The shopping center developer, Danielle Kiely, has signed DelMar's Baja Mexican restaurant and FedEx Kinko's Copying as anchor tenants. Both will open in early July. She also has other possible tenants in various phases of negotiations.

Work is also proceeding at Parkway Plaza at James L. Redman Parkway and Johnson Road, near the southern city limits. Wilbur Brantley, founder and broker of the Tampa realty company that bears his name, said the anchors will include Aldi Foods grocery store and Riverside Bank. The project broke ground in February, and the first businesses open in the fall.

"We have been working closely with the city on this project," Brantley said. "Parkway Plaza is a gateway project that has seen close scrutiny from the city commission, the city manager and the city engineering staff. The plaza will provide a visual and practical addition to the southern entrance of the city."

Carr, who has worked for the city for 20 years, said he sees some positive signs of late, such as $9 million in building permits pulled in April, including $5 million for residential construction. But he is cautious.

"I don't expect that to be sustained," he said.

"We have a way to go before the market will rebound. But Plant City is a good market for builders and we expect to hold our own."

Reporter George H. Newman can be reached at (813) 865-4451 or gnewman@tampatrib.com.

Loading Comments...

Email Print

ADVERTISEMENT