Phase I of the project will include 42 three-story villas ranging in size from 3,500 sf to 4,500 sf. Units will include a two-car garage, elevator and rooftop terrace. Prices for the units will begin at $1.9 million.

Preliminary plans for other aspects of the project include a 16-story condominium called One Ponce Circle at the site of 2801 Ponce de Leon Blvd., which is slated for demolition this spring. The six-story Casa Palermo will contain one- and two-bedroom units with an amenities deck on the third floor and ground-floor retail space. Plans for a condominium project at 3001 Ponce de Leon Blvd. are still being developed.

Ponce Circle Developers managing partner Ralph Sanchez tells GlobeSt.com that the number of units for the subsequent phases of the project is still being determined. "The market is asking for something we had not originally designed for," Sanchez says. "Potential buyers want much larger units than we had originally planned."

Demolition of existing structures on the site is under way. The project is expected to break ground in the first quarter with build-out to last five years. The villas are expected to be ready for occupancy in March 2008.

Ponce Circle Developers is a joint venture between RAS Development, Keystone Holdings and the Mas Family. Sanchez is president of RAS. Architect and University of Miami professor Jorge Hernandez, who specializes in historic Mediterranean design, is the master planner of Old Spanish Village. Eddie Lamas, of Bermello and Ajamil Architects, is the architect for One Ponce Circle and Casa Palermo. Omar Morales, of the Form Group, is the architect for 3001 Ponce de Leon Blvd.

The project is intended to mimic the vision of George Merrick, who founded Coral Gables almost a century ago. The plans incorporate research by historian Arva Moore Parks, who was hired by developers to research the site's history. Merrick's surviving Arts Center and architectural headquarters at 2901 Ponce de Leon Blvd. are currently being restored and will become the Old Spanish Village sales center.