Southern Highlands developer gets busy in NLV

Aliante set the tone for residential development in North Las Vegas, but a new kid on the block is getting a chance to put its stamp on the community.

The Olympia Group, developer of Southern Highlands, kicked off construction this week on North Las Vegas' next master-planned community - Park Highlands. When completed, it will yield nearly 16,000 homes and other housing units and add nearly 50,000 people to the city's population.

North Las Vegas leaders had a vision of what they wanted in their city, and it was building on Aliante, Olympia partner Guy Inzalaco said.

"We are excited to see the next part of North Las Vegas take shape," Inzalaco said. "Aliante set a fine example of what North Las Vegas can be, and we are looking at Aliante and, if it can be done, take it to the next level and provide another great community for North Las Vegas."

Park Highlands will be much denser than Aliante, where 6,500 homes are projected to be built on 1,900 acres. Higher land costs warranted more density for Olympia, city officials said.

Olympia sought 16,040 homes but wound up with approval for 15,750.

Aliante, built by a partnership that includes American Nevada Company, owned by the Greenspun family, which publishes In Business Las Vegas, is credited in part with helping North Las Vegas upgrade its overall image.

"It won't be Aliante. It will be distinct," Inzalaco said. "But at the same time, we want to make sure it fits what was created out there."

Park Highlands will offer the first custom lots sold in a North Las Vegas master-planned community, Inzalaco said.

The 2,675-acre community that borders both sides of Aliante features a 300-acre nature preserve, a 40-acre regional sports park, 130 acres of other parks, hiking and jogging trails, six schools and 250 acres of commercial space.

The Olympia Group, which acquired the 2,675 acres for $639 million in November 2005 from the Bureau of Land Management, announced it is spending about $1 billion for the land and infrastructure costs.

Model homes are expected to be completed by the end of the year, but new homes won't be available until early 2008. The development's builders are American West Homes, Astoria Homes, Standard Pacific Homes and DR Horton.

The kickoff of construction in the master-planned community comes as the Las Vegas housing community remains in a slump. Homebuilders cut back sharply on building permits in 2006 and offered incentives to whittle inventory.

Builders have been slowed because a large inventory of resale homes has prevented potential buyers from selling their homes.

"We believe it is a temporary slowdown and that our builders are still excited about the community," Inzalaco said. "I think they believe the timing is very good because by the time they bring the houses on the market, the market will have rebounded."

North Las Vegas Mayor Mike Montandon said he is excited about what Park Highlands will add to the community.

"They are going to spend $1 billion before building the homes." Montandon said. "It is just nice that as things are slowing down, we are going to see something kick off. It is going to be an adjustment for a couple of years, which is fine. That is the way business works. We probably needed it. Their timing will be about perfect. They will be coming on line at the time builders need them."

The one unresolved issue on the development is Olympia's plans for a casino on its site. The developer has yet to petition the city for approval for a hotel and casino planned for Losee Road and the Las Vegas Beltway.

Opposition to the casino surfaced last spring when the city approved a development agreement. Residents said they are worried about traffic congestion, increased drunken driving and lower property values.

The market is expected to dictate pricing, but officials said there will be a mix of housing from starter homes to those selling in the $800,000s.

Olympia plans 28 acres of neighborhood commercial development and 113 acres of regional commercial, including a resort casino. About 118 acres would be a mix of commercial and residential uses.