Council Bluffs new home construction on the rise

[eomaha]

Home building is booming in Council Bluffs.

Through Nov. 30, there were 210 permits issued to build single-family homes, compared to 167 permits issued by the end of November last year, according to figures from the city's Building Division.

There were just 147 single-family housing permits issued through November of 2000, according to the figures.

Through November of 2001, there were 194 permits issued and 159 issued through the same time period of 2002.

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"It's been a nice steady rise," said Dan Woellhof, the city's chief building official.

The total valuation of the permits issued so far this year is almost $21.9 million.

The new and expanded offices in downtown Omaha, such as the Union Pacific Railroad headquar-ters and the Gallup corporate offices, have been credited as a reason for the housing boom.

It has not been a booming year for multi-family units with no permits being issued so far.

Still, as Woellhof said, "It goes up and down."

Recent figures point that out.

There were 27 permits for 256 total units issued at this time last year, while only five permits for 69 total units were issued the previous two years combined. There were 19 permits issued for 346 total units issued through November of 2000.

There have been 28 commercial/industrial permits issued so far this year, compared to 27 at this time last year.

Altogether, there's been 3,342 permits issued so far this year for the various building categories, which also includes accessory structures, factory-built structures and demolition projects.

The total valuation of all these permits is almost $99.2 million.

This compares to 3,039 permits issued this time last year with a valuation of $96 million.

[Brad]

Where are they building? One cool thing about CB is the neighborhoods up in the hills

[DMRyan]

Good to hear the upward trend, but a city with the size and more scenic terrain of Council Bluffs in the fast growing Omaha metro, these are comparitively low numbers.

[Raraavis]

Most of the new home growth in CB is outside of the city limits. If this is within the city limits this is very good news.

[icejammer]

Rare bird (man, that high school Latin finally pays off!), yes, those numbers are for permits only within the City Limits. 2004 and 2005 should be good years for permits in the county (mainly just outside CB limits).

[eomaha]

The big boom: Omaha expansion benefits Bluffs

The building boom in Council Bluffs thrived during the economic downturn of the last couple of years, and it now appears to be stronger than ever.

One major reason for the continued growth is the perpetual expansion of Omaha to the west. As Omaha expands westward, drive times into downtown become longer and more congested.

Many home buyers have started to look across the river to reduce their driving and perhaps save a little cash.

Deb Race of NP Dodge said that she is seeing the trend firsthand.

"I have personally dealt with quite a few buyers moving from Omaha," she said. "They have to weigh their options."

Those options include the lack of a wheel tax in Iowa, the availability of a homestead exception and, of course, the decreased drive time.

It appears that there is no one certain group of Nebraskans relocating across the river. Older houses, and the newer ones too, are being pursued by people wishing to take advantage of the benefits that the Council Bluffs area has to offer.

"We have had a lot of buyers from the Omaha area," said Paul Comeau, the developer of Ridge View Estates. "Professionals from ConAgra, Union Pacific, Creighton University and Offutt Air Force Base have bought houses in the development."

He pointed out that from Ridge View Estates it is an eight- minute drive to downtown Omaha, where homes in west Omaha are facing a 35- to 45-minute commute.

Two other major factors continue to drive the market, according to Race.

First is the availability of new houses. There has to be a product to sell before new buyers will come into the market.

And second, the lower interest rates. A lot of buyers feel like this is the time to move up to a bigger home because of the interest rate.

These three circumstances have created an influx of buyers, and housing developments continue to sprout from the soil at diverse locations throughout the city and outside of the city limits.

Local developers, and real estate agents alike, do not anticipate any dwindling levels of activity in the building sector.

At the same time, housing costs continue to rise.

"Housing in general is going up in price," said Comeau. "Materials are more expensive because of all of the rebuilding going on in Florida following the hurricanes."

Comeau estimated that the last houses he has finished came in at $6,000 to $8,000 more in the cost of lumber and materials.

But escalating costs have done little to hamper development in the area.

According to the Council Bluffs' chief building official, Dan Woellhof, construction of single-family homes this year has easily topped the number built in each year since 2000.

In 1994, just 10 years ago, there were a total of 96 permits issued for new single-family homes.

As of Nov. 30, a total of 210 single-family units have been built at an estimated valuation of $21.9 million, which is also above the previous four years.

Race doesn't see any reason that the housing boom won't continue.

"There are numerous single-family developments in areas where people want to live," she said.

Race said that she has seen steady numbers of the average home buyer, or first-time buyer, looking in the ranges of $80,000 to $120,000.

"We are also seeing a lot of people on the higher side because there is so much new construction to offer in so many new areas," she said. "And that is wonderful for Council Bluffs."

There are subdivisions blossoming around the area.

Sunset Park has seen numerous houses grow around it. Two phases of construction, consisting of 31 homes, covers the area from South 10th to South 14th streets between 14th and 15th avenues.

The new homes have converted the once vacant land into a bustling neighborhood.

The eastern portion of the city is teeming with activity.

Ridge View Estates, a 78-lot subdivision developed by Comeau, is located on both sides of Greenview Road just east of Valley View Drive.

Homes in the subdivision range from $275,000 to $625,000.

Comeau said that most of the houses that he built were between $325,000 and $360,000.

"We have invested over $200,000 in amenities for the development," Comeau said. "There are large entry signs, all of the development is fenced and we even buried all of the utility lines."

Brick street signs match the brick pillars that hold the residents' mailboxes and every house's parking has a tree.

The lots are bigger - up to 100-feet wide - which provides enough room to build a three-car garage. The average frontage is between 75- and 80-feet.

"Where most developments would have six lots in a row, we removed one and divided that land between the other five," Comeau said.

It is an upscale development and great project, he said, but all of the lots are already sold.

"We sold the last nine lots to Heartland Properties," Comeau said. "All of the lots that we built spec homes on have sold, so we were selling houses as quick as we built them."

That's the same situation in which John Jerkovich of Heartland Properties finds himself.

He recently opened the fourth phase of his successful Bent Tree development east of Council Bluffs, and the lots are selling fast.

The first three phases of Bent Tree are nearly sold out.

He is also working on the Eagle Trail development, east of Lake Manawa and just west of the trail system.

Many of the homes will be ranch style, but there will be two-story models and split-entries as well. All will have two-car garages and will be priced from $130,000 to $160,000.

The entire development will be built on 55 acres with seven of those set aside for apartments or condominiums, which will be determined at a later date, Jerkovich said.

Though he has owned the land for 10 years, Jerkovich didn't feel comfortable building the project because of poor access there. When the East Manawa Roadway was built, it provided the access that was needed.

The development will be built in phases during a five- to six-year period, with 55 lots available for purchase this spring in the first phase.

Also next spring, Comeau will start working on Euclid Heights, a subdivision where he will build 15 homes in the $200,000 to $225,000 price range.

The project is moving along rapidly; Comeau said that he is currently putting in the sewers.

Jerry Duggan is one of the developers of the Hills of Cedar Creek subdivision that is located along the east side of State Orchard Road, south of Cedar Lane.

The development will be one of the largest ever in the area and will feature more than 800 units.

The Hills of Cedar Creek is a family affair. Duggan is partnered with his two sons, John and Jim, and his daughter, Kathie Guinan.

Duggan said that they are probably 75 percent done with the site preparations for phase one of the Hills of Cedar Creek.

"We need to get this development finished; builders are running out of lots," Duggan said. "The inventory of new houses is becoming pretty much bankrupt."

Duggan is also involved in developing the Briarwood subdivision, which is down to its last four lots.

Phase one of the Hills of Cedar Creek consists of nearly 300 lots. All of the sewer lines - both sanitary and storm - are complete. The last stretch of road was finished Wednesday and the water lines are between 40 and 50 percent finished.

The power company will take control of the site this week and begin to run power lines to the parcels. The process should take around 30 days, according to Duggan.

Builders should have their sites by Feb. 1.

Duggan said that construction will begin right away on at least 58 lots. Twelve builders will be working on homes on "estate lots," which will consist of homes between $250,000 and $300,000. Each home will have a three-car garage.

Homes priced from $175,000 to $200,000 and from $200,000 and $250,000 will also be built in the development.

When the project is built out, there will be approximately 485 single-family residential lots on 176 acres, 169 individually-owned town homes on 19 acres, and more than 350 apartment units.

A commercial center is also planned, and it may contain a small bank, retail stores and a day-care center.

An explosion of townhouse construction is also currently under way.

There is a need for townhomes and condominiums in the community, according to Race.

"As Baby Boomers are starting to get older, many are looking to downsize, and they want less maintenance and smaller yards," she said. "In the past there haven't been many available, and now that we are seeing them, they are selling quite well."

Mark McKeever and Welcome Homes are currently building Highclere Townhomes, situated next to the Highclere Apartments on Landmark Drive, off of Harry Langdon Boulevard.

Fourteen town homes will be built on the site, consisting of 28 units. Each unit will start at around $179,000.

The townhomes will offer an impressive view of the Omaha skyline.

Sixteen townhouses in four complexes will also be built immediately in the Hills of Cedar Creek by Duggan Homes Inc.

The townhouses will cost between $125,000 and $150,000, Duggan said.

Heartland Properties is also building 17 townhome units near Greenview Road and Valley View Drive.

Cliff Kathol of Heartland Properties said that the development will consist of eight buildings with two units apiece and one single standing unit.

As long as new and expanded offices develop in downtown Omaha and more businesses continue to call Council Bluffs home, the housing boom will continue.

"It's been a nice, steady rise," said Woellhof.