CNL Real Estate & Development, an arm of Orlando-based CNL Financial Group, has bought more than 500 acres in Tallahassee

CNL Real Estate & Development, an arm of Orlando-based CNL Financial Group, has bought more than 500 acres in Tallahassee to develop a mixed-use master planned community.Seven miles from downtown Tallahassee, the property is one of only a few remaining undeveloped tracts in the Tallahassee Urban Services Area, said Timothy E. Edmond, CNL Real Estate & Development president.Edmond is familiar with the Tallahassee market, having lived there for several years and having developed several communities there before joining CNL."As the seat of state government and home to two growing universities and a large community college, Tallahassee is experiencing increased demand for new homes and traditional neighborhoods," he said.Terms of the acquisition weren't announced. The seller was Powerhouse Inc., a family-run company representing the Mettler family.John W. Mettler III, Powerhouse chief executive, said the family exercised care in selecting a buyer for the property."Tim shares the family's views on the importance of creating a true community," Mettler said.The property purchase is expected to close this year. No development timetable was announced.Locally, CNL Real Estate & Development recently completed construction of CNL Center II, an office tower adjacent to Orlando City Hall in Orlando. It's also developing the 2,600-home Moss Park community in southeast Orange County.CNL Financial Group is one of the nation's largest privately held real estate investment and development companies, with $13 billion in assets under management.

OCALA - State Road 40 is being studied once again by the state,

OCALA - State Road 40 is being studied once again by the state, this time formally, and a Project Advisory Group is being formed to provide input during the three-year study period.Widening SR 40 from two lanes to four from Silver Springs east to U.S. 17 is one of the alternatives being considered in the Florida Department of Transportation's Project Development & Environment Study, commonly referred to as the PD&E. The 40-mile stretch of roadway crosses portions of Marion, Lake and Volusia counties. The purpose of the Project Advisory Group is to discuss the study's progress, environmental issues, roadway aesthetics and design requirements. The PAG's first meeting is scheduled for 9 a.m. on Wednesday at the Appleton Museum of Art. "We still have to establish the purpose and need," said Bill Walsh, about the possibility of four-laning the roadway through the Ocala National Forest. "We are still refining our traffic and safety report." Walsh is FDOT's project manager for the State Road 40 PD&E study. "We have a higher than average fatality rate on SR 40 through the Forest," Walsh said about some preliminary findings. He said on a rural two-lane road there is an average of 3.43 fatalities per 100 million vehicle miles. FDOT's preliminary analysis indicates 10.02 fatalities per 100 million vehicle miles on SR 40.Widening the two-lane road has been a controversial issue for more than 20 years and has involved multiple studies. Transportation planners have argued for widening SR 40, while environmentalists have argued that the road, which runs though the Ocala National Forest, could degrade that natural resource as well as wildlife and other public lands.A SR 40 Task Force was formed to determine if road builders and environmentalists could agree on ways to make road improvements on one of the few east/west corridors in the state. A final report was issued Feb. 6, 2006.Members of the Task Force seemed to agree that the road might be expanded as a scenic byway. That designation is currently being sought. It would have nothing to do with limiting road capacity, according to Garry Balogh with FDOT. In the meantime, SR 40 has been listed on the state's Strategic Intermodal System. The Task Force wants SR 40 reevaluated to determine if, in fact, it should be listed on the state's strategic system since higher speeds are permitted those roads. The task force is concerned about wildlife, such as black bears, being killed while crossing the road.After the Task Force made its report, the DOT began its PD&E study, which will cost an estimated $3.5 million. Members of the Task Force, as well as other interested parties, have been invited to join the Project Advisory Group."It will be interesting to watch it unfold," said Cathy Lowenstein, forestry resource administrator of the Florida Department of Environmental Protection, who is working on the scenic byway application, and who was a Task Force member. "I am wondering what kind of new information we will get."The DOT uses the PD&E Study process to ensure that engineering design, project costs, environmental and social impacts and input from the public are taken into consideration. "We will look at a full range of alternatives under the PD&E study," said Gary Graeber, senior engineer for Inwood Consulting Engineers, the consultant doing the study for the DOT. "One of the alternatives we will look at is four-laning the road the entire way, but we will also look at the need -- do we need to four-lane it the entire way. We are still working on the traffic projections."Graeber said he is also looking at alternative corridors and is updating the safety analysis. "The PAG is going to be very inclusive," Walsh said about the advisory group. "It's open to the public. We want to hear both sides. We are going to take what we hear there very seriously when considering alternatives."

Southwest Broward cities consider lending money to the drainage district to help repair lake shorelines damaged last year by Hurricane Wilma

Miramar, Pines loans target shore rebuilding.
Southwest Broward cities consider lending money to the drainage district to help repair lake shorelines damaged last year by Hurricane Wilma.
With hurricane season days away and government leaders no closer to finding a solution for lake erosion in Southwest Broward, officials from Pembroke Pines and Miramar have offered up to $3 million in loans to help restore shorelines temporarily.
Pending approval from the city commissions, Miramar, which suffered most of the damage, has offered to lend the South Broward Drainage District up to $1.7 million. Pembroke Pines may offer $1.3 million to the agency.
The drainage district owns most of the waterways in Pembroke Pines and Miramar and is a taxing agency. It is unclear how the drainage district would repay the cities.
Last October, Hurricane Wilma washed away up to 20 feet of some yards, much to the ire of homeowners living on lakes.
Since then, homeowners and the district have been grappling over the $30 million needed to permanently repair the shore damage in five subdivisions: Riviera Isles, Sunset Lakes, Harbour Lake, SilverLakes and Keystone Lake.
The loan from the cities would pay for fill to be added to the backyards that were eroded by the storms.
Homeowners, anxious about this year's hurricane season, said they would be happy with that plan, even though it's not a permanent solution. It would likely wash away again in a big storm.
''This was a wonderful surprise,'' said Raymond PiLara, who lost 12 feet of his Miramar backyard. ``With hurricane season upon us, we had nothing to protect us.''
More expensive, permanent solutions to the problem include lining the edges of the lakes with a fabric designed like a quilt, then pumping the fabric with concrete so it contours to the ground. Grass would be planted on top. Or the shoreline in the lakes could be supplemented with tubing filled with sand.
Leaders from both cities said they are still solidifying the details about how the loans would work.
Miramar City Manager Bob Payton said the city's money would come from the general fund and utility funds. The city would have to amend its annual budget.
''We will do everything necessary to expedite it,'' Payton said.
Pembroke Pines Mayor Frank Ortis said he hopes to discuss the potential loan at a City Commission meeting in June.
''It's a suggestion I have to help out the homeowners,'' Ortis said. 'It isn't the homeowners' fault that this happened.''
But the debate continues over how many of the 9,600 homeowners in the five subdivisions may have to pitch in to pay for the restoration.
Some residents say only lakefront homeowners, who benefit from the serene waters, should bear the brunt of the repair costs.
Others say the entire subdivisions should pay for repairs because the homeowner association benefits from having a large lake as a selling point. And some say that because the lakes are part of the waterway system, the entire drainage district should pitch in.

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FHA Reforms Would Open Doors to Homeownership for Millions of Hard-Working Families.

NAR: FHA Reforms Would Open Doors to Homeownership for Millions of Hard-Working Families.

Bill would raise FHA loan limits and extend possible terms from 30 to 40 years.
The National Association of Realtors(R) strongly supports the passage of the Federal Housing Administration reform package approved yesterday in a mark-up vote by the House Financial Services Committee led by Congressman Bob Ney (R- Ohio) and Congresswoman Maxine Waters (D-Calif.). H.R. 5121, the Expanding American Homeownership Act of 2006, would raise FHA loan limits, eliminate restrictive down payment requirements, provide risk based mortgage insurance premium flexibility, and extend the possible terms of FHA loans from 30 years to 40 years. All of these changes will help make homeownership more attainable. "The Expanding American Homeownership Act will make FHA a more viable tool for first-time home buyers and lower and moderate income families and many others pursuing the dream of homeownership. It is also the most substantive FHA reform legislation undertaken by Congress in over 15 years. Not only will hundreds of thousands of additional families have the opportunity to own their own home, but this legislation will improve FHA's relevance and competitiveness in the housing market," said Congressman Ney following today's successful committee mark-up. "On a typical loan, these changes will save many families hundreds of dollars per month -- opening the door to the American Dream for thousands," said NAR President Thomas M. Stevens. "We commend the House Financial Services Committee for taking this important step to make FHA once again competitive in the home mortgage arena. With interest rates climbing and housing prices at all time highs, it is imperative to have a modernized, effective FHA product." NAR also announced the formation of a coalition designed to help move this legislation ahead in Congress. The Coalition for a Strong FHA, led by NAR, is made up housing industry leaders including the National Association of Home Builders, National Council of State Housing Agencies, National Alliance of Independent Mortgage Bankers/Lenders One, National Association of Hispanic Real Estate Professionals, National Association of Real Estate Brokers, National Association of Local Housing Finance Agencies, Asian Real Estate Association of America, and the Strategic Alliance for Mortgage Subsidiaries. The coalition is expected to become an advocacy force for the housing market. The coalition's mission is to ensure FHA reform is enacted and that it becomes a competitive option. Additional information regarding the coalition is available at www.strongfha.org. "For over 70 years, the Federal Housing Administration has made homeownership possible for millions of Americans at no cost to taxpayers. With the proposed reform legislation, FHA will continue to make homeownership available for millions," said Stevens. NAR and its Coalition for a Strong FHA partners urge House Members to cosponsor this legislation and urge the House leadership to schedule time for House floor consideration as quickly as possible following the Memorial Day recess. The National Association of Realtors(R), "The Voice for Real Estate," is America's largest trade association, representing 1.3 million members involved in all aspects of the residential and commercial real estate industries. Information about NAR is available at www.realtor.org. This and other news releases are posted in the Web site's "News Media" section in the NAR Media Center.

Condo units afford hope.

Condo units afford hope.
MANATEE - Skyrocketing real estate prices knocked a lot of prospective first-time home buyers out of the market, but they may find new hope in condo conversions.
Several apartment complexes that have gone condo are trying to breathe new life into a market that all but dried up during last year's real estate frenzy.
MK Equity Group renovated an 174-unit apartment complex last year with great success. Now the company is renovating a neighboring 272-unit complex.
The Sanctuary of Bradenton is located just south of 53rd Avenue West on 26th Street. Tucked behind a shopping complex, the community has a private feel and is attracting many first-time home buyers, said real estate agent John Petitti.
The Sanctuary has studios starting at $89,900. The 1,000-square-foot, two-bedroom units also fall into the realm of affordable housing, starting at $139,900.
Petitti and broker Ross Bryans of Central Park Realty are familiar with condo conversions. The first one the team collaborated with developers on was more than 15 years ago.
Their first conversion was Harbor Pointe in 1991. Petitti recalls one-bedroom units selling for as little as $34,000. Those same units are now selling for around $200,000.
Central Park Realty teamed up with MK Equity to revamp Gardenwalk last year, and it quickly sold out. Gardenwalk is located just north of The Sanctuary on 26th Street West.
The housing market has changed, Petitti said. "The investors aren't really buying anymore," he said. "The people that have very little money and want home ownership are the ones we are seeing."
Chicago-based MK Equity is trying to boost affordable housing by helping with closing costs and offering first-time home buyers several incentive plans. "There is some free money out there," Petitti said.
Both Gardenwalk and The Sanctuary were built in the 1970s, but because of neglect, MK Equity ended up having to gut Gardenwalk, replacing the roofs and air conditioning units. The Sanctuary was also completely renovated with new appliances, siding and landscaping.
MK Equity also purchased the former apartment complex Hampton Bay before turning around and selling it to RDC Development Corp. The 352-unit complex is now called Palm Cove Condominiums.
Palm Cove Sales Manager Bill Davidson of Wagner Realty said he has seen quite a few first-time home buyers but very few of them were the tenants in the building when it was converted.
"Typically in any condo conversion, you're not converting many of the residents," Davidson said. Less than 5 percent of the inquiries come from the tenants, he said.

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Martin County's wide-open spaces are primed for the same kind of development

They are ranchers, farmers and developers, many of whom are wealthy and influential Palm Beach County businessmen, and they own most of Martin County's rural, developable land.
More than ever, Martin County residents want to know what they plan to do with it.
With rural land disappearing to the north and south, Martin County's wide-open spaces are primed for the same kind of development pressure experienced in Palm Beach and St. Lucie counties, and throughout South Florida.
Will they continue farming the largely agricultural tracts, at a time when hurricanes and citrus canker have wreaked havoc on their livelihood? Will they sell to developers
looking to the future, when growth restrictions could be eased enough to allow development now blocked by what might be Florida's strictest rules against urban sprawl? Or will they sell to the state, increasing Martin County's already large inventory of publicly held land?
Most of the county's largest private landowners say they don't plan to sell, and many of the farmers want to continue doing what they've always done: working the land.
But they also want to keep their options open, and that's what conservationists fear. Rising property values could tempt them to sell.
"My farm is profitable now, but somebody might make my children the right offer in the future," said Steve Barney, whose family owns the 3,800-acre Calusa Creek Tree Farm and Ranch west of Hobe Sound. "They should get to have maximum value."
For others, the time to act is now.
Colorado-based Caulkins Oil Co., which grows citrus on 3,300 acres near Indiantown, is losing money and wants to sell its land and get out of farming, said George P. Caulkins III, the company's managing partner.
"We're not farmers, and we don't have dirt under our fingernails," Caulkins said. "These days we are writing checks to cover our expenses. We're talking to people (about) selling our property, and it is not impossible that somebody will make us a good offer."
Those offers could soar if Martin County loosens the rules on development outside its urban service boundary, which roughly follows Florida's Turnpike and Bridge Road. To the west and south of that line, water and sewer service is not allowed, and 20-acre "ranchettes" are generally the densest development permitted under the county's comprehensive plan, its blueprint for growth.
But in a split vote in September, county commissioners decided to hire a consultant to study new ideas for Martin's rural land.
One popular possibility involves "clustering," which would allow developers to build pockets of homes and businesses as long as land around them is preserved. Some landowners would be paid to keep their property empty, in exchange for providing denser development in other areas where it isn't currently allowed.
Several of the county's largest landowners are members of the Martin County Agriculture League, a lobbying group headed by land surveyor Chappy Young. He advocates allowing clustering to preserve the value of farmers' land, which he says the county's strict regulations are hurting.
"We've lost some of our land value through the efforts of the county," Young said.
Many of the landowners say clustering makes more sense than the current rules.
"Five- or 20-acre lots are not considered by planners today to be responsible land use that close to the coast," said Knight Kiplinger of Washington, D.C., whose family owns a 3,500-acre farm west of Palm City. "Martin County has to decide... if it is going to follow the best practices, which tend to follow clustering."
Barney said the county's 20-acre limit will lead to urban sprawl because homeowners will buy the large plots and wait until the county allows dense development, then subdivide and sell. County Commissioner Michael DiTerlizzi said the 20-acre limit has led to sprawl in other Florida counties.
"Western Dade County had 20-acre ranchettes. They are now 20-acre subdivisions," DiTerlizzi said. "You and I might not see it, but your grandchildren will see it."
Michael Busha, executive director of the Treasure Coast Regional Planning Council, called 20-acre lots a "holding pattern" that eventually leads to sprawl but said residents won't trust clustering without strict rules.
"I don't believe 20-acre lots is the final resolution for the future of Florida," Busha said. "But it's because we've done such a poor job of land planning in the first third of the county that everyone is nervous."
Opponents of clustering have accused the large farmers of "land-banking" — buying up land and then lobbying to allow denser development so they can sell to developers at a higher price.
The urban service boundary benefits farmers by keeping neighbors that might object to agriculture away from their farms, said Donna Melzer, chairwoman of the Martin County Conservation Alliance.
"It's only when they put on that other hat of the developers that they would support clustering," she said. "They are taking the position that 'it is just a matter of time and I want to make the maximum profit.' "
Many landowners say that's not their plan.
"We're not developers," said Wayne Carlton of Fort Pierce, whose family owns the 6,600-acre Bull Hammock Ranch. "Our family has raised cattle on that land since 1947. We plan to just continue in the ag business."
The Palm Beach County-based Fanjul brothers, a politically influential sugar family, want to buy more land because of hurricane damage to their sugar crops, said Gaston Cantens, vice president of Florida Crystals Corp., one of the Fanjuls' companies.
"Rather than selling off land, we need more land for cane," Cantens said.
Kiplinger, who owns prime land in Palm City across the county line from Port St. Lucie, said his family has no immediate plans to sell. But he thinks it's his right to do so.
"What's wrong with land-banking and selling off land?" Kiplinger said. "There's a place for that."
Young said the farmers don't just want to increase the density allowed on their land to sell it. They also want to use that allowable density and increased land value to borrow more money to keep their farms going.
"Citrus is in the pits, and you can't go out and buy 4,000 acres in Martin County and pay the mortgage with cattle today," Young said. "Land is an asset, just like your portfolio is an asset you can borrow against."
As the large farmers consider their future, developers also have accumulated large rural tracts.
Otto "Buz" DiVosta, founder of Palm Beach Gardens-based DiVosta Homes, owns about 4,500 acres near Kanner Highway where developer Tom Kenny has proposed building Harmony Ranch, a subdivision of homes on 20-acre lots. DiVosta's former business partner, Clifford Burg, owns about 2,000 acres where he has proposed two subdivisions of homes on 20-acre lots.
The trust controlled by the family of deceased Palm Beach County-based developer David Minkin owns about 1,900 acres in Martin County. Prescott E. Lester, Minkin's grandson, said the family bought the land thinking it would an ideal location for development.
"We're always looking for where the growth is going to be," Lester said. "The growth is taking longer than we expected to get to that land."
With or without development, there's another major player in the quest for Martin's rural land.
Florida officials have identified about 52 square miles that they want to buy for Everglades restoration. Randy Smith, spokesman for the South Florida Water Management District, said his agency is looking for willing owners.
Property owners like Barney, whose Calusa Creek land is in an area the state wants, said they believe the county is trying to devalue their land by restricting development so the state can buy it cheaper.
"If you don't have the ability to hold land and not have it confiscated by the king, you have nothing," Barney said.
Allowing clustered developments would give landowners a way to make a profit on their land and donate more for conservation, Barney said.
"I would give the land away for conservation, but I would want something in return," Barney said. "The more density you give somebody, maybe they'll give you more acres in return."
Caulkins said he would like to sell land for preservation, but developers will probably offer him more money.
"It would be tough to go to my partners and justify to them selling to the county for less money," Caulkins said.
The consultants working on the Martin County growth plans are gathering public opinion from private groups and government agencies. In November, they will report their findings to the county commission, which will then decide whether the county's rules should be changed.
In a county where growth issues are kindling for controversy, that vote could be one of Martin County's most highly contested decisions in years.
In the meantime, the county's largest landowners are in no rush to sell.
"We're not bad guys at all," Barney said. "Most of us have been stewards of the land for decades. I think there's a plan out there that can make everybody happy."

Developer targets residents with mailer.

SPRING LAKE — Officials with a Tampa development firm are determined to make sure would-be neighbors have the facts about their massive, upscale residential golf community planned for this bucolic region of the county.
So determined, in fact, that they have blanketed all of one ZIP code and most of another with an eight-page, direct-mail information guide describing the project and how it would benefit the area.
Sierra Properties, LLC, mailed 4,325 guides about its Hickory Hill development to all residents in the 34602 ZIP code, which includes the project, and 75 percent of the 34601 ZIP code.
Ken Crews, Sierra’s chief operating officer, and Sebring Sierra, Jr., the company’s vice-president of operations, said the goal was to inform residents who live within in a two- to three-mile perimeter around the project, which is located on the 2,800-acre parcel known as Two Rivers Ranch.
The spread, owned by the Thomas family, is south of S.R. 50, east of Spring Lake Highway, and west of Lockhart Road.
The plan calls for 1,750 homes and 63 holes of golf and has faced stiff opposition from residents in the area who have argued the plan is out of character with the rural community of rolling pasture and wooded hammocks.
The project earned the approval of the planning and zoning commission after the developer agreed to several changes and additions to the plan. The county commission is expected to consider the proposal at its June 14 meeting.
Crews and Sierra wouldn’t say how much the firm spent to produce and mail the guide, saying only the investment was “substantial.”
“We thought it was critical in light of the concerns neighbors had, and it was important to get the message out to the people,” Crews said. “You kind of assume that everybody and their brother knows about a project that’s proposed but interestingly a lot of people don’t.”
The guide, printed on thick, high-quality paper and featuring a gold-embossed cover, opens with the phrase “A Good Neighbor.” It describes the relationship Sierra has with the Thomas family, who did not sell the tract to Sierra. Rather, the family is partnering with the firm to develop the land.
The guide calls Hickory Hill “a thoughtfully-designed community that will use nature as its canvas” and “the kind of community that Hernando County deserves.”
It points out improvements the millions in impact fees that will come to the county for roads, schools, parks and water and sewer infrastructure.
The guide also features a one-page insert outlining the additional concessions that came at the request of county staff after the mailer was printed, such as increasing open space preservation to 1,100 acres, equipping the golf course with a monitoring well system, and adding 200-foot buffers around the development’s southern and western borders.
The company’s Web site dedicated to the project has “lit up” since the guide hit mailboxes, getting 100 new visitors in a 12-hour period Friday, Crews said.
Most of the feedback from residents has come in the form of further questions, Crews said, with at least one resident voicing their opposition to the project.
The company has directed Brent Whitley, the company’s vice-president of land development, to reply to residents who have questions.
Some residents reached Friday were relieved at what they read, though still skeptical. Others say it won’t change their minds.
Donna McMahan lives on Baseball Pond Road, a dirt lane that shares a western border with the proposed development.
McMahan, who has lived with her husband on their 10-acre spread since 1978, said the brochure was “beautiful” and that she was glad the development would have its own sewer system and not “a bunch of tiny wells.”
In the end, though, she said “It all depends on how it blends out here.”
“I like to look out the front and see the cows grazing in the meadow and hate to see all that change,” she said.
Dorothy and Fred Galbraith have lived on Hickory Hill Road, an east-west road that cuts the project roughly in half, since 1978, tending to an orchard of citrus, peaches and persimmons and raising honey bees.
The development is “bringing Tampa up to us and we’re not real happy about it,” Dorothy Galbraith said.
Galbraith said she was skeptical of the claim that the development would not affect the water supply, and said the brochure’s photos of tree-lined lanes and wide-open pastures were misleading.
“It’s not going to be like that,” she said. “It’s going to be like a little city at the end of our road.”
The Galbraiths knew Wayne Thomas, the patriarch of the family who purchased the land decades ago as an investment for his family, “quite well,” Dorothy said.
“I wonder what he would have thought of this, making so much off this property at Spring Lake’s expense.”

Buyers control home market.

Today's tough housing market is pitting neighbor against neighbor in the selling wars."We're not grumpy with them," said Ken Koch, whose Cape Coral home is for sale and sandwiched between two neighbors homes for sale."Although I don't know if they're grumpy with us."
Ken and Wilaiwan Koch have had their home on the market for five weeks and already lowered the price $10,000. Their neighbors to the right, Rachel and Brett Bonham, have dropped their price from $345,000 to $269,900 since November. Their neighbor to their left, Peter Hadden, reduced his home from $344,500 to $309,900."It's frustrating," Ken Koch said. "People have money, but they are waiting for the prices to go down. It's frustrating for all of us."
But getting angry at a neighbor for lowering their price isn't fair, said John McWilliams, Realtor for Coldwell Banker."You can't control the market," McWilliams said. "It sounds good to say, 'Let's all stick together,' but buyers are more sophisticated and shop and compare."
Competition is stiff. Inventory is at an all-time high — 50,000 homes for sale in Lee County, according to McWilliams."Between 2001 and 2005 any Realtor will tell you that there were substantially more buyers than property," McWilliams said. "Now people are taking their time to buy."
Also, every situation is different, he said. While the Koch family can wait a few months to move, the Bonham family already bought another house in another area for a new job. They need to sell quickly."It's not personal," McWilliams said. "You have to give them the benefit of the doubt. Not everyone has the same tolerance level for losing money. Some people can hang in there and some can't."
Buyer's remorse
The Gateway community in Fort Myers provides a microcosm of what's happening in the real estate market all over the county, McWilliams said.
You have the typical seller who wants an upgrade, has to relocate or got in over his head financially. There are the speculators who buy for financial gain, and flippers, who want to buy and sell property quickly.Any house that is like yours is competition in today's market, he said.Debbie Elentrio, a Realtor at ERA Falcone Realty Group, has a client in Gateway who has lowered her asking price almost every month since January. Originally, her five-bedroom, 2,881-square-foot home was listed for $569,000. Now it's on the market for $499,900.
"Last year it was so red hot and people were making plans," Elentrio said.Her client bought a bigger house in another development and now owns two houses — one more than she wants.
"There are no stinking buyers around here and these people are panic-stricken — everyone can smell the fear," Elentrio said. "If you don't have to sell, now is not the time."But her client's panic impacts the homes around her. Her neighbors, who live six houses away, dropped their price from $549,000 to $499,900. But homeowner Christopher Jacob, who also is a Realtor for Rawlings Realty, doesn't blame that on his neighbor."I think people who are mad at each other want to make the most money and that's not going to happen right now," Jacob said.
He and his wife moved to their new home in south Fort Myers to be closer to work. If they don't sell the home soon, they will rent it."The market got out of whack," he said "Now it's coming back into reality. Your house is only worth what someone will pay for it."
Watch and wait
Lisa and Shirley Oliver hope the market will adjust in their favor. They put their six-bedroom Gateway home up for sale at the end of March for $529,000.
No bites.Their house sat in a sea of "For Sale" signs in their neighborhood as they watched neighbors repeatedly drop their prices.Last week they pulled it off the market and found renters.
"With everyone dropping prices, it hurts everybody," Lisa Oliver said."I wish they wouldn't because it drops property values. But I know they can't help it."
While the Olivers, who are moving to North Carolina, can wait out the troubled real estate market, other people aren't as fortunate."People have to accept that the market goes through cycles," McWilliams said. "They have to face the harsh reality of the current harsh competition. The fish aren't jumping in the boat anymore."Tara and Chris Williams hope someone will pay the value of their home. They are trying to sell their three-bedroom Gateway home for $360,000 — or the best offer. They keep their eyes on a similar but older model down the street listed at $329,000.
The Williamses are building a home in Estero that will be finished in six months. They listed their home in mid-March and attempted to sell it themselves. The only nibbles were from real estate agents with ominous market analysis.This is in stark contrast to a year and a half ago when they sold their condo after two days and got "multiple offers at full price."
The market is making them "a little nervous" and they've chosen a Realtor to help them sell it."We hope to break even at this point," Tara Williams said.

Taxing developers green for cheap homes looks red to mayor

Taxing developers green for cheap homes looks red to mayorBy Brittany Wallman South Florida Sun-Sentinel Posted May 20 2006

FORT LAUDERDALE · Mega-developers and the city's mayor are shooting down a proposed affordable housing law, calling it unfair, communistic and doomed to failure. People could afford a place to live, the mayor said, if they were willing to work harder.Mayor Jim Naugle, a conservative and brash politician serving his final term, said people mistakenly think they're entitled to an affordable single-family house on a 40-hour work routine. They need to work more hours, and even then settle for a condo or townhouse, Naugle said.



"I'm supposed to subsidize some schlock sitting on the sofa and drinking a beer, who won't work more than 40 hours a week?'' he asked. "I deny that there is a problem. You can buy condos all day for $160,000.''Naugle's comments may be contested by the working-class citizens who've told the city they want a home but can't afford it. But his ideas might hit home in other circles, where a city proposal to make developers slash prices or pay a fee was met with skepticism."We ought to let the free market work,'' said Bill Scherer, a lawyer-developer on the city's Downtown Development Authority.The proposal asks developers to give up big money -- $1.5 million on a 100-condo complex, for example -- for the theoretical good of the community. The city's law, as drafted, would make residential developers pay for affordable housing, either by providing it within their housing complexes, or paying fees into a trust fund to subsidize housing for the middle class. Families making up to $69,720 -- which is 20 percent more than the area's median family income -- would be eligible for a government boost.New York has rent control. The federal government has Section 8 housing aid. So, this isn't the first time government has gotten involved in the real estate market to help people afford a place to live.South Florida's cities only recently decided housing prices had reached crisis level highs, and Fort Lauderdale is one of the first to seriously attempt passing a law to do something about it. The city is under pressure from Broward County to pass a law; otherwise, the county says it won't allow another wave of construction of thousands of condos downtown."The concept of this ordinance is from each according to his ability, to each according to need, which is the Communist Manifesto,'' said Naugle, who calls the proposed law a "luxury housing tax.''"One person is working two or three jobs to get ahead and one person isn't. Should we tax the person that's working hard to get ahead, to pay for the one who isn't?'' he said.Jim Carras, head of the private, nonprofit Broward Housing Partnership, countered the mayor's Karl Marx rhetoric with a paraphrase from President Truman."`A decent place to live is the right of every American.' We have maybe stepped away from how we fund it,but even the most conservative Republicans in Congress and the state legislature see a role for government," said Carras.Housing prices in Broward continue to shock some buyers. The median home price in Broward County in March -- the price at which half the homes sell for more and half the homes sell for less -- was $368,100 for a house and $202,600 for a condo.Still, according to a recent study by Strategic Planning Group Inc., that means most condos are within financial reach of most buyers, though it might not be the size or location a buyer is seeking.A debate about Fort Lauderdale's proposed law might have been expected, considering what's at stake."Gas is unaffordable. Now, do gas station owners need to go out and supply affordable gas?'' said Doug Eagon, president of Stiles Corp., which built many of downtown's big towers.Developers said they would pass the costs to other buyers, leading to increased housing prices overall.Major developers on the Downtown Development Authority originally supported the concept of an affordable housing regulation. But they don't like the results. They want it rewritten to offer incentives to developers, and to spread the cost across the general public, by using tax dollars, for example.The building industry is officially opposed. Brandon Biederman, director of government affairs for the Builders Association of South Florida, told the city that construction costs are going up, making the additional fees an even worse proposition.A recent version of the law was soundly rejected by city commissioners last month and sent back for more public discussion and revamping.City planning director Marc LaFerrier said he's working on a new proposal, and it will likely be back in public debate June 6, at the City Commission's conference meeting in the afternoon.

South Florida unemployment continued to drop to record lows

South Florida unemployment continued to drop to record lows last month, according to state employment information released Friday.
Miami-Dade's unemployment rate of 3.6 percent compares to 4.4 percent in April last year. In Broward County, the jobless rate was even lower -- 2.7 percent compared to 3.8 percent the year before.
Jobs in construction and professional and business services make up almost half the 261,300 new jobs that were created throughout the entire state last month. Florida has added jobs almost three times faster than the national average.
The South Florida region of Miami-Dade, Broward and Palm Beach counties added the most new jobs compared to any other part of the state.

Growing Pains in Brooksville.

BROOKSVILLE — Today, Hernando County’s school impact fees are $4,266 for a 2,000-square-foot, single-family home with three bedrooms.
That cost, however, could increase as a result of a unanimous school board vote Tuesday night.
The county school board voted to approve a $64,200 impact fee study that school officials hope will justify the current impact fees, and perhaps pave the way for even higher fees.
The study will be conducted by Tallahassee firm Nabors, Giblin & Nickerson and Redmond, Wash. firm Henderson, Young & Co.
The two firms will work together to identify if the $4,266 cost is enough to pay for the impact of growth in the area.
“County methodology employed in the past is increasingly open to challenge. This study fills those gaps,” said school board chairman Jim Malcolm.
Malcolm said that by employing the two firms to conduct this study, the school board would be protecting the county and the school district from lawsuits.
The firms’ past research has helped Osceola County schools justify a $7,608 school impact fee on single-family homes. That school district won a lawsuit brought by the home builders associations in that area.
However, the study could also provide an added benefit to the school district. According to school district chief financial officer Deborah Bruggink, the study’s findings could determine that Hernando County’s school impact fees are too low to support growth.
“(The study will) demographically tell us in one sense that we may not be where we should be,” Bruggink said. “State money isn’t as lucrative as it has been for us. Proactively, are we getting as much as we are entitled to get?”
Bruggink’s words drew criticism from school board members.
“My concern is we don’t get the most. We don’t get the least. We’re just about in the middle,” said board member Sandra Nicholson. “I would not feel comfortable asking the home builders for more.”
Impact fees are a one-time fee associated with building costs, usually paid by developers and homeowners. Bruggink said she believed that developers are looking for these types of studies to justify the cost of the fees.
“This would be a win-win for this district,” Bruggink said.

6 restaurants moving into Gulf Coast Town Center.

6 restaurants moving into Gulf Coast Town Center.

Six restaurants are joining Gulf Coast Town Center’s growing roster of retail and dining venues.P.F. Chang’s China Bistro, Bar Louie, Miller’s Ale House, Calistoga Cafe, R.J. Gators and Blu Sushi are all set to begin construction this summer.“We are thrilled to announce the addition of such outstanding restaurants to Gulf Coast Town Center,” said Steve Tingle, senior vice president of community center development for CBL & Associates Properties,Inc.“Dining plays an integral part in the appeal of our center because itcompletes the ultimate experience for our shoppers. Bar Louie, Blu Sushi and an additional restaurant to be named will be part of the Market Plaza, located next to Bass Pro Shops, and its Islamorada Fish Company.They join Borders and Ron Jon Surf Shop.The other dining destinations will be in various high-profile areas throughout Phase II of the open-air shopping center."P.F Chang's has been very well received throughout Florida, including the gulf coast, where we are located in Naples and Tampa,” said Len Kareska, senior real estate partner for P.F. Chang’s China Bistro, Inc. “We are delighted to be coming to such a strong regionally accessible site in the growing Ft. Myers market and happy to be a part of the exciting tenant roster that CBL has put together."When completed, the 1.7 million square-foot Gulf Coast Town Center will feature 15 anchors, two hotels and approximately 120 specialty shops and restaurants. The open-air development has three phases. Currently open in Phase I are Babies “R” Us, JoAnn Fabrics, Linen’s ‘N Things, Petco,Staples, SuperTarget, Kirklands and a 16-screen Regal Cinema.Phase II anchors include Bass Pro Shops, Belk, JCPenney, Best Buy, Borders, Ron Jon Surf Shop and Costco, as well as a 134-room Courtyard byMarriott and a 116-room Residence Inn by Marriott, both located on the periphery of the center. About the restaurants:Bar Louie specializes in oversized sandwiches and artfully created jumbo martinis.Miller’s Ale House features nautical-themed wooden décor in a sports-themed setting. Calistoga Bakery Cafe offers a morning, lunch and dinner menu with fresh baked bread and pastries daily.R.J. Gators - Stuffed alligators and kitschy signs adorn the walls in a Florida Everglades lodge atmosphere reminiscent of a woodsy, rustic and spacious log cabin. Waiters and waitress, called Everglades Guides, wear shorts and bright shirts and serve tasty delicacies like alligator tail and handmade coconut shrimp. R.J. Gator's is all about good times and good food in afestive family-friendly atmosphere that makes guests feel like they are embarking on an Everglades adventure.Blu Sushi is a popular sushi bar and restaurant with locations currently in Naples and Fort Myers.

The price of progress in Riviera Beach? Take the offer or risk loss to the city.

Mike Mahoney admits he has his price, but $231,000 doesn't even come close.Mahoney, who owns a custom T-shirt shop on Broadway, is one of about 30 Riviera Beach property owners who received written offers from attorneys representing Viking Inlet Harbor Properties LLC, the private company heading up Riviera Beach's massive $2.4 billion redevelopment project.



Considering that others have been offered more than $700,000 for small, two-bedroom homes, Mahoney thinks the notice is a little, well, insulting."I'm not going to jump on it," he said.The property where Dee's T-shirts sits is worth $165,000, according to the offer Mahoney received.The notices also contain a not-subtle hint that if they don't sell, the city's Community Redevelopment Agency could initiate eminent domain proceedings against them, despite a new state law that says governments can't take someone's property for private development.In recent months, the project -- considered the epicenter of a national debate over property rights -- has taken some strange turns, including the city's attempt to rush it forward to ensure they have a firm legal basis for challenging the new eminent domain law.And while the redevelopment plan has made some ordinary folks rich, it may send others to court to save their homes or businesses, or at least to get a better deal.Less than five months ago, real estate developer Wayne Huizenga Jr. began buying up prime property along Riviera Beach's waterfront within the CRA boundary. Huizenga, son of billionaire Miami Dolphins owner H. Wayne Huizenga, has plans to open a megayacht-building business, and in some cases he paid homeowners more than three times the market value for their property.That was then.Now the offers are lower. Much lower.Initially, Huizenga failed to consult Viking, which has bought more than 100 properties, said Robert Healy, the New Jersey-based company's CEO."He did a very unwise thing by running in there and making those kind of offers," Healy said. "I got him on the phone and said `What are you doing?' ... Then I get a call about a week ago."Huizenga, Healy said, wanted help. Realizing he couldn't afford to keep shelling out large amounts of cash, Huizenga asked Healy to help him acquire more property using the threat of eminent domain from the city's CRA.Alex Muxo, a senior vice president with Huizenga Holdings Inc. who usually handles media inquiries, could not be reached for comment."I got to tell you the truth. We aren't making any $700,000 offers on $125,000 houses," Healy said. Although attorneys for Viking are making the offers, Huizenga still would pay them, Healy said.Business owners such as Mahoney, 49, are balking, especially in light of what others received.So is Virginia Merchant, owner of a Sea Shell City, a souvenir shop. Just a few months ago, Viking offered her roughly $2 million for the acre where her store sits, she said. The deal fell through, and just Tuesday she received another offer: $800,800."They say they [originally] overpriced," she said. "But I know some people got their money, and they are really happy."Besides the substantially lower offers, Viking has another problem. The CRA's threat of eminent domain may no longer be a legitimate threat.The city's redevelopment boundary encompasses 858 acres and plans call for new hotels, condominiums, marinas and shops, and rerouting U.S. 1 to make room for a new harbor, but the Florida Legislature recently passed a bill prohibiting governments from seizing property for private development.City leaders signed an agreement with Viking last week to ensure their contract was in place before Gov. Jeb Bush signed the bill into law, which he did May 11. Mayor Michael Brown argues that because they have invested millions in the plan under the old statutes, they should still be allowed to follow previous eminent domain law."We are not trying to short-circuit [the governor]," said council member Elizabeth Wade. "He is trying to short circuit us. ... You might say we fast-tracked it, but this contract has been in the works for eight months. I don't think we fast-tracked it."Russell Schweiss, a governor's spokesman, said Bush and state legislators likely would not decide if Riviera Beach is protected under the old law."That would probably be something decided in court," he said.But the governor has strong feelings about Riviera's attempts to circumvent the new law."He feels the actions of the city are reprehensible," Schweiss said.Wade said that if the CRA attempted to use eminent domain it would be on a case-by-case basis, and she didn't fault anyone for trying to get as much money as possible from Viking or Huizenga."Some people were close to negotiations if the hammer from the state hadn't come down," she said. "I applaud these people. They should get as much as they can."

Miami:Bayfront high-rise plans face tough opposition

Bayfront high-rise plans face tough opposition
Plans to build a high-rise tower on one of downtown Miami's last undeveloped bayfront lots will be put to the test before a city planning board.
A hotly contested proposal to build a 64-story condo and hotel tower at the foot of the historic Venetian Causeway goes before a Miami planning board tonight.
Developer Citisquare Group wants to build three condo towers and a massive retail center with shops and restaurants on 10 acres east of Biscayne Boulevard. It is buying the land for $190 million from Knight Ridder, parent of The Miami Herald.
Citisquare also is asking to rezone the site of The Miami Herald building for a fourth condo, although Knight Ridder has said repeatedly those offices are not for sale.
The proposed tower near the causeway is drawing stiff opposition in another example of Miami's ongoing struggle to balance growth with preservation.
Last week the city zoning board voted 4-2 against the proposal, citing traffic concerns and resident opposition. Zoning board members also voted 4-2 against rezoning the site of The Miami Herald building, saying there's no need to rezone a property that's not for sale.
After the Planning Advisory Board, the City Commission will decide the matter this summer.
Venetian Islands homeowner groups and nearby residents fear a 564-unit tower on what is now a parking lot north of The Miami Herald will block views and clog the only roadway connecting the islands to Miami.
''There is universal objection to the overwhelming likelihood of dumping thousands of additional cars onto the causeway,'' said Matt Leibowitz, president of the Venetian Islands Homeowners Association. ``We will aggressively advocate our position and, if necessary, litigate it.''
Citisquare argues traffic concerns are overblown and that the project would revitalize the area. The developer has promised a bay walk and plaza on the site.
Some residents spoke in the tower's favor; ''I think it's beautiful to build up this community,'' said Venetian Isles resident Shmuel Mann.
The other aspect of Citisquare's proposal under consideration tonight is the rezoning of The Miami Herald site at 1 Herald Plaza. City zoning board members wondered why the developer was applying to rezone for a high-rise tower if Knight Ridder insists the land isn't for sale.
Under the terms of the deal, Knight Ridder is giving Citisquare permission to seek rezoning and development approvals for The Miami Herald offices -- despite saying it won't sell. Citisquare must provide parking for Herald employees and ensure Herald delivery trucks operate without interruption. The developer also gets the first chance at buying 1 Herald Plaza if Knight Ridder -- or Sacramento-based McClatchy Co., which is buying Knight Ridder -- ever chooses to sell.

Drowning flood insurance reform.

The need to overhaul the nation's federal flood insurance program was one of the many painful lessons learned from Hurricane Katrina, but special interest lobbyists can derail the most desirable of reforms. An underfunded program that too often leads to the rewarding of folly at the expense of those not living in flood-prone areas now appears likely to escape revision by a corrupt Congress.
A federal flood insurance program that takes in only $2.2 billion in fees yearly was completely inadequate for dealing with Katrina, which it is estimated will produce $25 billion in claims when all is said and done. Many homeowners in New Orleans and surrounding towns will be devastated financially unless Congress compensated them with tax money.
To avoid a repetition of this insurance disaster when the next massive hurricane hits, Republican Michael Oxley of Ohio, the chairman of the House Financial Services Committee, and Democrat Barney Frank of Massachusetts have co-sponsored legislation expanding the nation's flood zones to draw more people into it, a plan that has won support from flood experts, environmentalists and consumer groups. Real estate agents, banks and homebuilders, however, are opposed to the bill because it will "hurt the economy." In truth it will hurt them by discouraging building in flood-prone areas, as what happens after the home is built is of little concern to these groups.
Complicating matters, the White House is allowing New Orleans residents to rebuild in flood-prone areas after first indicating it would not, apparently because it doesn't want to be the villain by saying no to residents it has failed already. Sentimental desires to rebuild New Orleans are understandable, but if these same areas are washed away six days, months or years from now, taxpayers from around the country will have to pay up again, especially if there is no flood insurance reform. "You've got people living in dry areas paying for people who want to keep living in wet ones," complained Representative Candice S. Miller, a Michigan Republican, to the New York Times — and as wet as it is these days, she was speaking for Massachusetts as well.
Banks, homebuilders, and the real estate industry have powerful, well-heeled lobbyists, and lobbying "reform" aside, special interests get their way in Washington. If a flood of campaign contributions helps defeat flood insurance reform, the next major hurricane during this period of punishing storms will overwhelm the federal fund again, and taxpayers will again dig into their wallets.

Florida market down. Ocala Re-Sales up 5%.

Sales of Florida's existing single-family homes dropped considerably in the first quarter compared to a year ago, while the median price of an existing home grew by double digits, the Florida Association of Realtors reported today.
Statewide sales of single-family existing homes totaled 45,864 during first-quarter 2006, down 20 percent from 57,532 homes sold during the same quarter a year ago, FAR reported.
"Sales of existing single-family homes in Florida behaved like much of the U.S. across the 2006 first quarter," said Dr. David Scott, executive director of the Dr. Phillips Institute for the Study of American Business Activity and professor of finance at the University of Central Florida. "The stress points on unit sales come from two key sources: One, rising inventories of dwellings for sale, and two, rising mortgage rates. On the latter, conventional mortgage rates closed the 2006 initial quarter at 6.35 percent and are trending up."
The statewide existing-home median sales price rose 20 percent to reach $248,000 in the first quarter; a year ago, it was $206,700. In 2001, the first-quarter statewide median sales price was $119,500, which is an increase of about 107.5 percent over the five-year period, FAR reported.
"The rate of increase in unit prices continued on the upswing, albeit at a pace that is beginning to more closely reflect underlying economic trends and capabilities," Scott said. "Median sales prices were still up a strong 20 percent in the first quarter; but, this was down from the 29 percent pace that ended with the fourth quarter of 2005."
Looking to Florida's existing condominium market, sales of existing condos also decreased during the quarter, with a total of 15,386 condos sold statewide compared with 19,657 in first-quarter 2005 for a 22 percent decline, according to FAR. The statewide median sales price for condos rose 8 percent to $217,700 for the three-month period; a year ago, it was $201,800.
Among the state's larger markets, the Jacksonville metropolitan statistical area (MSA) reported 3,987 existing homes sold for the quarter, a 5 percent increase over the 3,795 homes sold a year ago. The market's median sales price increased 17 percent to $200,000; a year ago, it was $171,400. The median is a typical market price where half the homes sold for more, half for less.
The Ocala MSA, one of the smaller markets in the state, had a 5 percent increase in resales for the quarter, with 1,464 homes changing hands compared with 1,395 homes sold a year ago. Over the same period, the market's median home price rose 32 percent to $161,400; a year ago, it was $122,100.
Another smaller market reporting an increase in existing-home sales for the first quarter was Tallahassee, where 1,161 homes sold for a gain of 11 percent. The market's existing-home median sales price rose 12 percent to $176,800.

Rising costs and a shortage of construction materials continue to dog the building industry.

South Florida builders say they're getting nailed.Steel prices have doubled in the past two years, while the cost of concrete has increased every six months since 2004. Drywall and bricks are being rationed. And can anyone spare some liquid asphalt?
Rising costs and a shortage of construction materials continue to dog the building industry, leading to price increases for new homes and home remodeling projects, as well as higher rental rates for apartments and offices.Construction booms in Asia and India and major rebuilding of the hurricane-ravaged Gulf Coast are being blamed for the price hikes and shortages here. Demand for materials worldwide shows no signs of easing, and work along the Gulf Coast is just beginning, so there's little hope for relief soon.If that's not enough, builders and contractors are concerned a federal judge will stop rock mining in Miami-Dade County, which could triple the cost of concrete and halt road and construction projects across Florida."I've been doing this 37 years, and I've never seen anything at this level," said Mike Slade, president of Ranger Construction Industries, a site development firm near West Palm Beach. "I've never seen it where the materials we use -- cement, liquid asphalt, gas -- are all under siege."Planning a new home? Your builder will pay $377 for framing lumber that cost $281 in 2003. A homeowner who wants to add a room will have to pay $18 for a standard sheet of drywall; three years ago it cost $8.75.At the same time, builders are facing intense competition for skilled laborers, and a cooling housing market. Toll Brothers Inc., one of the nation's biggest home builders with several projects in Palm Beach County, this month said signed contracts for its houses fell 29 percent for the quarter and that home deliveries for the year will be 200 fewer than expected.The rising cost of materials means builders will pay roughly $250 a square foot to put up a high-rise condominium, $100 more than in 2003. And the cost to build a typical single-family home will shoot up by $10 to $15 a square foot."All this stuff is having an effect on our industry, and who knows where it's going to stop," said Richard Horton, president of Green Construction Corp. in Miami.Builders say the prospect of affordable workforce housing becomes even more remote as they're forced to pass on higher costs to consumers.Fewer amenitiesKevin Fiasconaro, 52, tried to buy a one-bedroom condo at the Promenade in Boynton Beach last year for $269,000. But the developer, Miami-based Panther Real Estate Partners, canceled the contract and returned deposits, saying it couldn't build the downtown development for what it thought because of the rising construction costs.Mindful of the high prices, Fiasconaro said he isn't in any hurry to look for a new place. "We're not going to be so quick to jump," he said last week.To deal with the increased costs, builders will have to scale back amenities, offering less-impressive appliance or flooring packages, said Jason Shelley, co-owner of Fort Lauderdale-based Shelby Homes. "You're still going to see some beautiful homes, but they won't be as grand as they have been over the last few years," he said.One general contractor, Brasfield & Gorrie, was so concerned about price increases of plywood a year or so ago that it stockpiled large quantities. Vice President Tim Dwyer said his Birmingham, Ala.-based firm had enough work to justify the big purchase, although he said panic could set in if smaller companies hoard materials."Something's got to give as far as the economy goes," Dwyer said.A few years ago, roofing asphalt sold for about $200 a ton. Now it's going for $600 a ton and more, said Barry Saifman, a manager at Murton Roofing in Miami. And prices of roofing shingles have escalated and popular colors are hard to find.Liquid asphalt, used for roads, also is in short supply, and prices continue to escalate, contractors say.Hardrives Inc. of Delray Beach now signs contracts that allow the firm to charge more if the prices of liquid asphalt and other materials increase. Asphalt is a byproduct of oil; a barrel of oil closed at $72 Friday.

New 50 year Mortgage the Answer?

A handful of lenders have begun offering 50-year adjustable-rate loans to buyers who need to keep payments low in the face of record home prices and rising rates.
Most big banks already offer 40-year mortgages, which account for about 5 percent of all home loans, according to LoanPerformance, a real estate data firm.
So far, only a few small lenders have rolled out the five-decades-long mortgages.
"One of the biggest things in California is the high cost of homes," says Alex Diaz Jr. of Statewide Bancorp in Rancho Cucamonga, Calif. "And with rates going up, there's demand from customers (for) longer loans."
Statewide, which introduced its 50-year loan in March, has received about 220 applications, Diaz said.
For cash-squeezed buyers, the longer-term loans are another option. In California, only 14 percent of people could afford a median-priced home in December, when the median was $548,430, if they had to put down 20 percent, the California Association of Realtors found.
The 50-year mortgage also signals that the cooling real estate market is heating up competition among lenders.
"Mortgage lenders are getting craftier to get the attention of consumers," says Anthony Hsieh, CEO of LendingTree. But, he says, "the consumer needs to slow down and understand the product."
Two issues a homebuyer should keep in mind:
A borrower with a 50-year mortgage builds equity very slowly.
Because rates on the loans are adjustable, borrower's monthly payments could rise.
Still, the 50-year isn't considered as risky as an interest-only loan or a mortgage that lets borrowers pay even less than the interest.
With those loans, a borrower might not build any equity and could end up owing more than a home is worth -- called negative amortization.

Costly land helping push boat yards out of South Florida.

Yet another company in the boat-building business is leaving South Florida, squeezed out by rising prices for land and worker housing.Moores Marine Inc., which repairs antique wooden yachts including prized Trumpys, in Palm Beach County, is moving to North Carolina, where the government is offering incentives to lure boat-building."It's not that I wanted to go by choice," said company founder James Moores, 51, of the decision to leave Riviera Beach for Jarrett Bay Marine Industrial Park near Beaufort, N.C."But we don't own our shipyard, and we've pretty much been told that our lease arrangements are ending," he said. "At this point in my life, I wasn't going to move unless I owned, and the cost here [in South Florida] is prohibitive."Moores said he plans to invest $1.5 million in the next two to four years at its new 18-acre parcel in North Carolina, which will include a shipyard, 140-foot-long paint-shed and 200-foot-long repair facility, plus a supply store. He expects to hire about 25 people, up from about a dozen now working in South Florida.The company is one of the few on the U.S. East Coast to repair the celebrated Trumpys, dubbed "the Rolls-Royce of American motor yachts" and built between the late 1940s and 1978 in Annapolis, Md. The wooden yachts are prized by celebrities and used by presidents.Moores' move follows several high-profile relocations of boat builders from South Florida in recent years.In 2003, Mako Marine Inc., which made recreational fishing boats in Opa-locka, moved its headquarters and manufacturing facilities to Forest City, N.C. The company had employed 80 at the Miami-Dade site and operated in Opa-locka since 1966.And last November, Contender Boats Inc., a maker of premium sport fishing boats, announced plans to relocate most of manufacturing from Homestead to Baxley, Ga. The company committed to invest $12.8 million and create at least 424 jobs in Baxley over five years, ultimately growing to 500 employees there.The Marine Industries Association of South Florida worries a further exodus of boat builders will reduce the $13 billion-plus in yearly marine activity in the tri-county area."While we're trying to reach agreement on realistic and reasonable boat facility site plans in Broward and Palm Beach counties, the welcome mat is out in the Carolinas and Georgia," said Frank Herhold, executive director of the association that represents more than 700 companies. "They're stealing our jobs and our economic activity."Moores said he looked to move to South Carolina, North Carolina and Georgia -- all states that have lost textile factories and are targeting the marine industry for jobs.South Carolina offered the most generous incentives, but North Carolina offered the best alternative: a central location between clients in the Northeast and Southeast, operations near a quaint waterfront city where boat owners could stay at nice hotels and eat at good restaurants, plus good incentives and ample assistance."They bent over backwards to help us get through all the red tape, acquire the property and make sure everything is up to snuff," Moores said. The company is moving into a 175-acre marine industry park, with the government providing roads, power lines, sewage and other basics to lure the tenants.In South Florida in contrast, Moores said the marine industry is being squeezed out, with luxury condos taking over the waterfront and workers unable to afford housing."We ran an ad in a local [South Florida] newspaper for carpenter helpers and got one person, who thought he'd be doing fiberglass boats," Moores said. "In North Carolina, eight people have inquired about work already, and I have two more e-mails on my screen right now."

BROOKSVILLE — The developer of a proposed upscale condominium complex off State Road 50 wasted no time in getting his project off the ground after he got zoning approval last month from planning and zoning bosses.
The very next week, the broker for Treiman Oaks started taking buyer reservations for the 288-unit complex on 42 acres off S.R. 50, half a mile east of the new Brooksville Regional Hospital.
So it was something of a surprise when county commissioners pulled the rezoning request off the “unified agenda” at Wednesday’s land use hearing. The unified agenda contains previously voted on projects slated for quick approval and limited debate.
At least two commissioners asked the project’s engineer for more specific details about the condominiums and the intensity to the region.
As he did at last month’s P&Z meeting, Marvin Flam, a principal with GCMB Partners LLC, reiterated the particulars: three four-story buildings with two bedrooms and two bathrooms, screened terraces, community center, swimming pool, tennis courts, putting green and other amenities. The units would be definitely upscale and limited to people 55 and older with an “active lifestyle.”
Then Commission Chairwoman Diane Rowden hit him with a verbal broadside: How much of this project will be devoted to affordable housing to meet the needs of the majority of this county?
Flam candidly told her: none.
“This is not affordable housing,” Flam said. “I don’t know how we would be able to do it.”
When asked what the starting price of these condominiums was to be, Flam said $260,000.
That brought a chuckle from someone in the audience and a query from County Commissioner Chris Kingsley, who questioned how anyone in this county would be able to afford these condos.
It also ended the debate. The vote was taken and Flam got his final approval from county commissioners: 4-1, with Rowden voting to deny the rezoning.
“It’s an extremely dense development for this area,” Rowden told Flam. “I don’t think this area needs (that).”
Rowden said developers should do more to meet the housing needs of its citizens instead of approving these kinds of upscale projects.
“That’s a big issue — not only in Hernando County but throughout Florida,” Rowden said.
Treiman Oaks will be gated and have accesses off S.R. 50 and Wiscon Road. The developer will stub out a frontage road that fronts S.R. 50. Eventually, the frontage road will connect to the hospital, probably after the parcel between Brooksville Regional and Treiman Oaks is developed.

State seeks to close three Poe insurers.

State seeks to close three Poe insurers.
TALAHASSEE — Regulators seek to immediately shut down three struggling insurance companies, saying their financial condition is worse than previously reported.The Department of Financial Services seeks to close all three subsidiaries of the Poe Financial Group, the state's third-largest property insurer.
In petitions filed Monday and Tuesday in Leon County court, the agency asks that Southern Family and Atlantic Preferred be immediately liquidated and that Florida Preferred be put under state control to be liquidated on June 2.If a judge agrees, almost 12,000 Poe customers with existing hurricane claims would have to try to collect their money from the state insolvency fund.
More than 320,000 policyholders must find new coverage before the start of hurricane season."These insurance companies have not presented a viable plan to get back on their feet financially," said Florida Chief Financial Officer Tom Gallagher. "Our focus now needs to be getting outstanding hurricane claims paid as quickly as possible."Details are being worked out on plans to shift coverage for those home and condominium owners into Citizens Property Insurance, the state-run insurer of last resort, a move that must also be court approved.
"We don't need to leave policyholders vulnerable at all," said Department of Financial Services spokeswoman Tami Torres.According to the court filings, the Poe companies don't have the money to cover $240 million in hurricane claims. Actuaries warn the insolvency could swell to $392 million.
The Florida Insurance Guaranty Association has about $48 million that isn't committed elsewhere. To raise cash, the association would have to raise money that would be paid back with charges on consumer insurance bills.Financial records show the Poe insurance companies first failed to meet capital requirements shortly after the four-storm 2004 hurricane season.

Developer must fix problem in Beverly Hills.

Developer must fix problem in Beverly Hills.
Circuit Judge Patricia Thomas declared on Monday that blowing sand and dust from an unfinished subdivision in Beverly Hills is a nuisance to neighbors, but she also called upon everyone in the courtroom to pray for an end to dry weather causing the problem.Thomas said testimony from neighbors of High Ridge Village indicated the sand and dust storms had become a nuisance to them, and she told the developer, Hillside Properties, to complete mulching and seeding activities on the property by Friday. She also encouraged more watering.

Before she ruled, the judge encouraged all in the courtroom to pray to a higher power for relief from the dry weather. Thomas said she had prayed for rain herself, knowing the hearing was on her court docket, but had not gotten any results.“I respectfully think everyone in this room should pray or petition their higher authority for rain,” she said.Thomas has scheduled a continuance of the hearing for noon Monday. County officials will report back on whether Hillside Properties has completed “seed mulching” of the property and if the company is using three watering trucks instead of one to knock down dust and sand.The county filed a lawsuit asking the judge to declare the blowing sand and dust a nuisance. The same lawsuit asked the judge to give the county a temporary and permanent injunction forcing the developer to abate the problem.Thomas did not grant the injunction, but she said if the situation had not improved by Monday, she reserved the right to be more assertive.Assistant County Attorney Michele Lieberman made no formal recommendation about how to correct the problem, other than to say the property could be seeded and watered properly, or it could be coated with a chemical substance to prevent the sand from blowing onto neighboring properties.Anthony Altieri, who says he is a victim of the dust and sand storms from High Ridge Village, was asked if he was satisfied with the outcome.“Not really,” Altieri responded. “It’s what I expected. I think we have to keep up with what they are doing.”Robert Stermer, the attorney representing Hillside Properties, said he thinks the judge wants the company to continue with the seed mulching and watering on the property.As for using three watering trucks instead of one, Stermer said he may not have communicated effectively to the judge that his client is already using three watering trucks.“The client is committed to making sure there are no more problems,” Stermer said.He said his client also wants to end the active hostilities.Sharon O’Brien, who lives next door to the defoliated 58-acre subdivision site, said the blowing sand and dust has made it impossible for her to sit on her porch. She said the dust and sand storms sometimes lower visibility.Rose Bueti, another neighbor, said the problem with blowing debris began when the developer stripped the property of trees, threw the trees in a pit and burned them. She said the ashes drifted over on her property.She said the blowing sand and dust filters through her windows and covers her sidewalk and patio.“The pool is covered. The bottom of it is dust and dirt,” she said. “All the pool furniture, the sidewalks and the windows, inside and out.”

South Floridians troubled by higher rents.

After just a year in their two-bedroom apartment in Plantation, Carl and Pascale Desir were told their rent would go up by $250, to $1,150.
So they moved into a one-bedroom in North Lauderdale. They're now thinking about leaving Florida altogether.
''We had to go smaller to stay in our price range. It doesn't make sense to pay so much just for rent,'' said Carl, 27, a math teacher. ``We know it's a possibility the rent is going to go up here, too. You just can't get settled in anywhere.''
Rental prices are rising across South Florida, as the number of available apartments shrinks and the demand for them grows.
On the supply side, more developers have converted apartment complexes to condos in recent years in hopes of making money in a hot housing market. And fewer new apartments are going up because of high land and construction costs.
At the same time, people need rentals more than ever because homes are so expensive to buy.
The result: Rents are creeping up -- in some cases leaping up by hundreds of dollars a month.
And they're not expected to come down anytime soon -- although the increases may level off, real estate experts report.
South Florida renters, meanwhile, must spend a larger share of their income on housing or make other arrangements to get by -- find a roommate or, like the Desirs, downsize.
''It is almost a perfect storm for affordable housing -- for-sale prices high and rents going higher,'' said Kevin Judd, senior vice president at Apartment Realty Advisors.
Condo conversions are one reason. The number of apartments in complexes with 100 units or more in Miami-Dade, Broward and Palm Beach counties has plunged over the past three years from 175,000 to fewer than 107,000, according to McCabe Research and Consulting in Deerfield Beach. The analysis did not include low-income rentals or figures for Monroe County.
QUICK INCREASE
''I can't think of a time where we have ever seen rental rates increase so dramatically and so quickly,'' analyst Jack McCabe said. In fact, McCabe is organizing vulture funds betting the condo market will tank because of too much condo construction and conversion.
Miami-Dade County would need to add 3,000 apartments every year for the next five years just to get back to 2002 levels, according to a Marcus & Millichap's 2006 report.
But new apartments are expensive to build. Only 610 new apartments are expected in Broward this year -- compared to 2,828 built in 2004, Apartment Realty Advisors reports.
Developer Alan Ojeda opened a rental tower off Brickell Avenue in Miami last year and has rented 202 units at a rate of almost one a day. But he says he could not afford to build the same building today.
HIGH DEMAND
''With today's construction cost and land, there is no way for someone to build a rental and make it work,'' he said.
At the same time, more people want -- or need -- to rent. From January through April, 7,059 rental deals were signed in Broward and Miami-Dade counties, according to the Multiple Listing Service, which lists homes for sale and rent.
That's a 20 percent jump from the same time last year.
That leaves rentals in high demand, and people like Eric Marcos in trouble.
A 23-year-old recent college graduate, Marcos gave up his $1,300-a-month studio apartment and moved in with a friend because he couldn't afford a $100 rent increase.
''It's out of control right now,'' said Marcos, who waits tables at J. Alexander's restaurant in Fort Lauderdale. His friend is also facing an increase.
''It's to the point where you have to move or get a roommate. All I know is prices need to come down,'' Marcos said.
SPIKING FASTER
So far, they haven't. Rent in Broward and Miami-Dade is spiking much faster than in the nation as a whole.
Renters nationwide paid on average 3.9 percent more in March than the previous year. But in Miami-Dade and Broward, the increases were more than 10 percent. The average monthly rent for a two-bedroom Broward apartment topped $1,000 last year. Miami-Dade was not far behind at $969, according to McCabe's report.
Landlords used to offer incentives, including poolside drink service and free massages, in a bid to compete with the red-hot condo market. Not anymore.
''I would offer free parking or $100 towards the first month's rent,'' said Robert Davison, property manager for the 98-unit Summerhill Apartments in Coconut Grove, which has one vacant unit.
''Now, I don't need to do that,'' Davison said.
There may be hope that at least rent hikes won't be as steep in the future.
The supply of apartments may stop shrinking as it becomes more lucrative for owners to rent. In March, an investment group decided to keep a 376-unit complex in North Miami for rentals, instead of converting to condos. And the owners of some condo units may turn them into rentals instead, if they can't find buyers for resale in an increasingly clogged market.
''The jury is still out,'' said veteran real estate analyst Michael Cannon, managing director of Integra Realty Resources in Miami.
That's not much consolation for Howard Moss.
Moss sees the writing on the wall at his apartment complex on Biscayne Boulevard in Miami and is already looking for a new place.
Moss pays about $900 for his two-bedroom apartment, but he said others in his complex have received notices that the rent will be more than $1,000.
`NOWHERE TO GO'
Despite his early start, Moss, a photographer, hasn't found anything cheaper. His lease is up at the end of the year.
''There is nowhere to go unless you settle for less than what you have now,'' he said. ``It's a stressful situation. Everyone needs a stable place to live. It just makes life much easier if you don't have to worry about that.''
_

Estero road segment to open.

Another north-south alternative to U.S. 41 in Estero is scheduled to open — at least partially — within a week.The divided, four-lane Via Coconut Point is being built east of U.S. 41 in three phases from Corkscrew Road to south of Coconut Road.It is the planned southern extension of the two-lane Sandy Lane, which already runs from Corkscrew north to Broadway.
A vehicle passes by the roundabout construction site. Developer Simon Property Group is paying nearly $12 million to construct the road as rear access to its Coconut Point mall. Simon got county approval to rename the new segment Via Coconut Point.A more than a half-mile segment of phase one opened just north of Coconut Road for mall traffic after paving was finished in mid-April. Barricades funnel cars into a turn lane into the mall's Market area, which includes the newly opened Old Navy and Sports Authority.
"We're set to open the rest of phase one no later than May 15," a year after construction began, said Ajax Paving Industries Project Superintendent John Blackwell. His company also is paving the mall's parking areas and internal roads.Phil Douglas lives in Lighthouse Bay in The Brooks off Coconut Road east of Via Coconut Point. He also serves on the Estero Council of Community Leaders' transportation committee and said he is glad Via Coconut Point is opening."I think it offers another avenue to get to Williams Road," Douglas said. "It's going to increase traffic. But with the mall there, we need accessibility."
Douglas said he's anxious for the third phase to open from Coconut Road south and west to U.S. 41 across from Pelican Colony Boulevard. Blackwell said another contractor is building that portion.It's under way," he said. "The curb and gutter went in last week."
Blackwell said a product called Thermoplastic, which is thicker and sturdier than road-striping paint, is being applied this weekend to phase one.
Vehicles will then be able to travel the more than one and a half-mile section from Coconut Road to a new roundabout at Williams Road, which has been under construction for about a month.
The one-mile second phase up to Corkscrew will curve eastward about 300 feet north of Williams and run along the west side of the new regional park. That segment is scheduled to open Aug. 31, 14 months after construction began.Most of the underground work for phase two is complete, and the actual road building will begin in the next two weeks.
"Fifty percent of the roadway is roughed in," Blackwell said, noting the work is visible to passersby on Corkscrew and Williams. "There's no concrete stuff yet."Blackwell expects Via Coconut Point to draw plenty of traffic.
"You eliminate two (traffic) lights by avoiding 41," he said, noting Via Coconut Point will have signals at Coconut and at Corkscrew."Right now, we're putting in some temporary signals at Coconut," he said, noting the lights will be activated when phase one opens.

New Gas Fuel Bank Concept.

MIAMI: Believe it or not, some people are still pumping gas they bought at under a dollar a gallon. How? They bought it through a gas bank. It's a concept that's been around for a while and may be coming to a pump near you.
Jim Feneis owns one of the only fuel banks in the country. It's a lot like a regular old bank, but you make a deposit of money that gives you a credit of fuel.
"Once they've made that deposit into their account we have virtually converted their dollars into gallons," said Feneis.
The fuel bank lets you buy gas at that day's price and use it anytime - today or in the future when gas prices go up.
That's what keeps the numbers spinning at First Fuel Banks in St. Cloud Minnesota.
Feneis says he has 8,000 members. Hundreds of his clients are pumping gas they bought years ago for under $2 a gallon.
"I feel awfully lucky that I'm getting gas for a dollar less than what other people are paying for today that's for sure," said customer Ed Cook.
When we spoke to cook in November, gas prices were around 3.27 per gallon. He had opened his gas account three years before for 1.64 a gallon. But we can't drive up to Minnesota just to fill up our tanks.
Entrepreneur Rod Senior wants to bring the fuel bank idea to Florida.
"If you would like to call it - it's your own personal petroleum reserve."
Senior's company is based in Fort Myers. He wants to bring fuel banks to Florida and to other parts of the country.
"What fuel bank does is allow you to control the future price that you pay by getting on the web and locking in the price that you want to pay for the next 12 months and control what you pay at the pump," said Senior.
Fuel bank would let you buy the gas on the internet. Then when you go to the gas station, you would use a fuel debit card that would keep track of how much fuel you use.
"Call it a gallon card where people will be able to go to debit, go to the gas station - go to the pay at the pump or the kiosk and draw down the reserves that they have on the internet," said Senior.
Senior says major oil companies are interested in the idea of a fuel bank. He's hoping to debut the program in Florida and around the country by the end of this year.

Baby Boomer Condo`s.

Three developers are partnering to build a community in Jupiter targeting aging Baby Boomers.The Riverwalk Place at Mangrove Bay will feature 82 condominiums priced from $575,000 to $900,000.Buyers will have access to a performing arts center, card and billiards rooms, housekeeping services, grocery shopping, a limo service, dry cleaning and home care. There also will be fine dining, courtesy of a former chef at The Breakers.Construction is due to begin in May and expected to be completed by the end of 2007.Wave Riverwalk Place LLC, whose principals are David Wolofsky, Robert Vreeland and Sidney Adler, bought the 12-acre tract for the project in January. It took nearly five years to be approved by Jupiter officials.Riverwalk Place is the third phase of development in Jupiter's planned Riverwalk complex targeting an older audience.An independent living facility, where the 160 units go for about $6,000 a month, and a 26-villa project for those 55 and older are sold out. Each is owned by Chicago-based Senior Lifestyles.

Florida Insurance companies on Brink of Danger!

The announcement that three Florida insurance companies face closure was just a start.Soon, Florida regulators acknowledge they will need to name the rest of those in trouble.
The state's property insurance market is teetering.The danger to Florida's development-based economy — built on mortgaged home sales that require insurance — is troubling.
"I'm not trying to raise anybody's rates, but at the end of the day, the single biggest issue that will cause the state's economy to stop is not handling this insurance situation correctly," warns state Sen. J.D. Alexander, a senior banking committee member.This isn't bad luck. It is the result of two decades of reform that steadily has shifted hurricane risk to state residents.Not only do Florida policyholders pay more for less coverage, higher deductibles, and policy exclusions, they are liable for mountainous deficits of the state's three bailout funds.
Solutions proposed by the Legislature penalize vacation homeowners and mansion dwellers but don't deal with this elephant in the room."I think it's a crisis," Alexander said. "I've asked the Senate president and the governor to consider letting us to put it into a special session. I think it's that important."
Roller coaster
After almost a decade of storm-free years, Florida's insurance funds, Citizens Property Insurance and the Florida Hurricane Catastrophe Fund, seemed strong.They entered the 2004 hurricane season with $7.7 billion in cash from years of payments by policyholders.
Two years and eight hurricanes later, the money is spent, and residents must cover $3.5 billion in deficits. If there are more storm losses this year, Floridians likely will get the entire bill for all-but-certain 2006 deficits.Late in 2004, Tom Gallagher, the state's chief financial officer, said deficits and assessments are an important part of the structure he helped create to aid Florida's recovery from Hurricane Andrew.
"The idea is although over a bunch of years you build up a cash reserve of $6 billion, you could just as easily have a bunch of years where you have a $15 billion deficit," Gallagher said."It could go like this" — he moved his hand like a roller coaster — "and that's by design."Over 100 years, it should be neutral."
Adding it up
The potential for debt that consumers pay back is huge:
• Florida's Hurricane Catastrophe Fund, which sells reinsurance coverage to insurance companies at below-market costs, has the ability to take on $30 billion in debt, paid off by consumers.• Citizens Property Insurance, which insures those turned away by the private market and is close to being the largest insurance company in Florida, has no deficit limit. In any year, its three business accounts can add up to a combined 60 percent surcharge to insurance bills. That's $600 on top of every $1,000 in premiums paid.
• The Florida Insurance Guaranty Association,— which pays claims of insolvent insurers, also has no debt limit, but its yearly assessments are capped at 2 percent.Still, home premiums in many cases have doubled since 2004, and 27 insurers have pulled out of Florida and dropped 295,000 policyholders.Now three insurers have been declared insolvent.
"We've never seen this market like this. Absolutely," Naples agent Bill Ashworth said.
Factors of a crisis
How did consumers' risk get so huge?• There is political pressure to keep insurance rates low. Atlantic Preferred earlier this year asked for an 18.6 percent rate boost when its studies indicated 57 percent was needed.
• Quick fixes are attractive. What started a decade ago as a lawmaker's idea to pay insurers bonuses to take policies that were dropped after Hurricane Andrew has changed the face of Florida's insurance market.A third of the state's property is now insured by small companies created to reap those bonuses. The business model calls for little cash up front and a lot of risk — as much as 90 percent covered not by cash reserves but by reinsurance.No other state has anything like it.
• Years of accelerated development in Florida's most vulnerable areas make the state a bad bet in active storm seasons.This spring's computer models increase the predicted cost of hurricanes by about 50 percent, which drives up reinsurance rates.
Florida's small insurers are unable to afford the backup coverage — if they can find it. Without it, those companies cannot survive big losses.
More to come
Regulators, including Insurance Commissioner Kevin McCarty, refuse to say whether more insurers in trouble.Financial records suggest they are.Maitland-based Vanguard Fire & Casualty was allowed to back-date $10.6 million from its parent corporation, treating money received in late February as though it existed in December. Otherwise, the agent-owned insurer's balance sheet would have shown a $2.5 million deficit.
Sunshine State, built from policies taken over from the state insurance pool, reports less assets than required for the second year in a row.That could allow regulators to take over the company.
"I'm afraid there are a lot more out there," Senate Banking and Insurance Chairman Rudy Garcia said.
More risk coming
After spending the legislative session working up to a taxpayer bailout of the Citizens deficit and rate increases for beach mansions, lawmakers are just now publicly contending with the bigger threat of collapse.Their proposals shift yet more risk to Floridians.Alexander suggests a gamble — a $1 billion state loan program to match any new money insurance companies raise.
"We want enough investment in our state that they're just not going to fall apart the first time something happens," Alexander said.

Changes to Hickory Hill recommended.

BROOKSVILLE — In their much-awaited staff report released Thursday, county planners revised earlier recommendations on how much land the developer of the proposed Hickory Hill subdivision must set aside for open space areas, buffers and wildlife preservation.
Planners also set new parameters on how much land Sierra Properties LLC should set aside for transitioning the area from urban to rural.
Compliance with the new modifications would make the plan comply with the county’s comprehensive plan, according to the report.
Planners spent the past month meeting with Sierra representatives to tweak the original plan, which the county found not to be in compliance. In reality, the entire planning process has been going on since last summer when the county received its first set of plans for the 1,750-home community with three golf courses in Spring Lake.
“It was a long, involved process with numerous meetings,” said Paul Wieczorek, a county concurrency coordinator. “It’s a complex issue and we feel it’s been given its due in terms of research and time.”
Even with staff recommendation, the Hickory Hill project is expected to take several months.
Planning and zoning commissioners will review this latest plan at their Monday meeting and decide whether to approve it and send it off with their blessing to county commissioners, the ultimate zoning authority.
County commissioners will then decide whether to transmit the proposed plan to the state Department of Community Affairs for another review and recommendations. Then, it’s back to county commissioners for another look and final approval.
The revised staff report calls for the developer to provide a 1,320-foot transition zone between the east urbanized side of the project (near Interstate 75 and State Road 50) and the rural west side, in Spring Lake.
Inside that zone, which more firmly delineates the change from urban to rural, there is to be a 200-foot buffer along the west and south. Planners are also asking for a 500-foot transition zone with a 100-foot buffer to the north of the property.
Planners recommend 60 percent open space (with no development) within the western transition zone, with the entire project maintaining 40 percent open space.
Sierra will also be required to specially design a wildlife habitat migration plan, approved by the county and the Florida Fish and Wildlife Conservation Commission.
That wildlife plan will preserve high quality habitat land and connect with wildlife corridors on the site.
Scores of people who live near the proposed development have criticized the project, saying it will destroy their rural way of life and lead to congested roads not built to handle the traffic.
Initial reaction from the developer’s representative was positive.
“It looks like the things we’ve been talking about with the staff, we’ve been able to accommodate them to a large extent,” said Jacob Varn, an attorney representing Sierra.
For example, county planners are requiring that lots in the more rural parts of the development be a minimum 2 acres.
That fits in well with current plans, Varn said.
Varn also said he intends to work with the county to preserve habitat areas.
“In my opinion, we’re going to make it better than what exists there today,” he said. “You’ve got so much of the area converted to pasture that what I hope we end up with — with buffers and new vegetation — we’ll end up with a site that is in better condition than it is today,” he said.
Varn said the developer has gone “above and beyond” current development requirements.
“We’ve set new standards in the county,” he said.
But Varn agreed that the process leading toward final approval is many months away.
“This is a long way from being over,” he said. “In many ways, it’s the first step of many to come.”