I started the master plan for Collicello North by orienting smaller homes (1,000-1,800 SF) to take full advantage of the sun. The roof lines were designed so that photo voltaic panels become a natural extension of the structure. The homes will be high-quality construction with close attention to architectural details, energy efficient and EarthCraft-certified. The tree-lined streets are designed as much for the pedestrian as for vehicle traffic. The patios and courtyards provide private outdoor spaces while the porches connect spatially to the large center common area with open space, grass, trees, a pavilion and community garden.

• Massanutten Resort sales have increased 55% since 2009.
  
• Sales in Harrisonburg and Rockingham County have only increased 4% since 2009.

While prices have fallen significantly over the past six years at Massanutten Resort (-26%) as compared to the overall market (-9%) the improvement over the past two years has been more rapid at Massanutten Resort (+4%) than in the overall market (-3%).

The significant declines in price (-28%) and sales pace (-48%) at Massanutten Resort between 2006 and 2010 were likely due to the significant decline in second home purchases as housing markets softened across the nation.  I believe we will see continued recovery in the Massanutten Resort market over the next few years, though it might be many years before we return to median prices as high as we experienced in 2006.

• 82 platted single family home lots
• 109 platted rowhouse lots
• 43.5 acres that have not yet been platted, but are planned to include:
• 28 single family home lots
• 202 rowhouse lots

Thus, if we ignore the fact that roads, water and sewer need to be installed on those 43.5 acres (outlined above in red), this was essentially the purchase of:

• 110 single family home lots
• 311 rowhouse lots

And here is a bit of context on the purchase price:

• $20,500,000 = the amount of the loans that were foreclosed on in 2011
• $4,530,000 = the appraised value at the time of the foreclosure
• $3,500,000 = Wells Fargo's opening bid at the foreclosure sale
• $2,000,000 = last week's sales price to Preston Lake's new developer

So, how much was paid for each lot?  Well, let's assume that a single family home lots is worth twice as much as a rowhouse lot --- and that a finished lot (with infrastructure) is worth twice as much as a planned lot.  If that were all the case, this new developer essentially paid:

• $9,950 per platted single family home lot (82 in total)
• $4,975 per platted rowhouse lot (109 in total)
• $4,975 per planned single family home lot (28 in total)
• $2,488 per planned rownhouse lot (202 in total)

If you refer back to the amount of debt that was foreclosed on ($20M) and compare that to the new purchase price ($2M) we can assume that the previous developer's lot basis was 10 times higher ($100K for single family home lots, etc).

It is with great pleasure that I am writing this letter on behalf of MLK Preston Lake, LLC, the new owner of the Preston Lake Residential property.  Being already invested in and committed to the success and vitality of the area through ownership of a portion of the adjacent commercial property, we look forward to reinvigorating the Preston Lake Residential development with this acquisition.  We are confident that the existing homeowners in the neighborhood, Rockingham County officials, and the entire surrounding community will be very pleased with the quality and expertise that we will bring to Preston Lake.

We are looking forward to meeting all of the current homeowners in the community, and working with you to unveil our plans for the balance of the project.  We have teamed up with an award winning home builder and architect from Virginia on this project, and we all look forward to presenting our vision of the future of Preston Lake at a homeowners meeting on January 8th.

Kenneth H. Michael, founder and Chairman of the Board of NAI Michael, created a Development Consulting Division to assist landowners and developers through the then increasingly complicated permit approval process. Over the years, as the approval process has become even more complex, time consuming, and technically demanding, NAI Michael's Development Consulting Division continues to stay abreast of the changes and requirements associated with the development process.

As the development consultant, NAI Michael has developed over 10,000 acres of land for various owners in the Washington DC Metropolitan Area. They developed or redevelop land in all zoning categories. NAI Michael has played the role of consultant in commercial and industrial projects in excess of eight million square feet of gross building area. In addition, their residential development activities have provided thousands of quality homes for families throughout our community. Their clients range from the small investment owner, to the most sophisticated, large corporate user. The finest testimony to their expertise is the high number of experienced builders and developers that rely heavily on the knowledge, experience, and advice of NAI Michael experts.

• Updates on Preston Lake Subdivision (Mar 2011)
   
  
• Preston Lake Foreclosure Finalized: Land Transfers To Wells Fargo, Homeowners Association (Feb 2011)
   
  
• Preston Lake Foreclosure Auction Results In $3.5M Sale To Wells Fargo (Feb 2011)
   
  
• Preston Lake Headed To Foreclosure? (Jan 2011)

And, if you're excited about the reinvigoration of Preston Lake, you might want to buy my parents' house in Preston Lake....

• Gift Shopping? What does every House For Sale want this year?
  
• Harrisonburg Mobile Real Estate Search
• Harrisonburg to see 50% growth in next 30 years!?
• The Three-Legged Stool of Selling A Home
• Receive "Property Alerts" based on your Saved Searches

• Daily News Record (12/10/2012)
• Old South High (12/7/2012)
• Planning Commission Packet excerpt
  

Attend the Planning Commission meeting on Wed, Dec 12 at 7PM in City Council Chambers to express your opinions on urban farming in Harrisonburg.

Learn more about Collicello Gardens on Facebook.
  

Actually, prices are up for the eighth consecutive month, as measured on a year-over-year basis.  An improvement for eight straight months is quite different than eight straight years.  (source)

Average days on market is actually lowest for homes priced under $200K, not for those priced between $200K and $300K.  (source - page 26)

Per my calculations, it's actually a 3.6% increase, not a 12% increase.  The Median Sales Price for Single Family Homes in SouthWest Rockingham County in 2011 was $205,000.  The Median Sales Price for Single Family Homes in SouthWest Rockingham County in 2012 (YTD) is $212,500.