ONTARIO, CA-Three tracts totaling 176 acres in the New ModelColony master-planned project have sold for $30 million and will beprime candidates for development when the economy recovers, landbroker Whittlesey Doyle tells GlobeSt.com. Whittlesey Doyleco-founder and principal Les Whittlesey, who had the listings onall three properties and represented both the sellers and buyers,reports that the buyers plan to hold the properties forapproximately three years before they move forward with theirdevelopment plans.
Whittlesey noted that the properties "sold at a fair market value,and were not heavily discounted." The sales, he said, "illustratethat if a property is priced correctly, it will sell in today’smarket."
Some 800 lots are proposed for the 176 acres. One of the threeproperties totals approximately 64 acres and lies at the northwestcorner of Bellgrave and Milliken Avenue, while another totaling 74acres is situated between the Cantu-Galleano Ranch Road andLimonite Avenue off-ramps on Interstate 15. Genstar/GDC Communitiesand RCCD bought these two tracts from Amberhill Development.
The third property is a 38-acre tract at the northeast corner ofTurner and future Schaefer Avenue, which CV Communities bought fromUS Bank.
The New Model Colony development is a key component of Ontario'slong-term growth. It includes 8,200 acres of former dairy landsannexed by the City of Ontario in 1999, and approved as a masterplanned community that will be built out over the next 20-plusyears. The project area is bounded by Riverside Drive to the north,Milliken Avenue and Hamner Avenue to the east, the Riverside Countyline and Merrill Avenue to the south, and Euclid Avenue to thewest. About 120,000 new residents are expected to move to the areain the coming decades.
Whittlesey noted that the recent sales represent the most acressold this year in the New Model Colony. "These buyers realized thatthe New Model Colony is poised for growth due to its proximity tojobs, shopping, entertainment and transportation including theOntario International Airport, and the ability to offer housing toaccommodate future demand in the Inland Empire," hesaid.
Last month, Whittlesey Doyle announced that the firm had recentlynegotiated the sale of eight separate land transactions in SouthernCalifornia totaling approximately 335 acres, comprising over 1,500lots and units, for a total consideration of more than $39million.
"Since there has been no land development in the past severalyears, we see tremendous upside once the economy has stabilized andthe foreclosure market dwindles," Whittlesey noted. "As sellers settheir asking prices at today's values, well-located properties willsell quickly; a good reason to be a buyer today before prices startincreasing again."