Thread: $400-million development, 1400 homes planned in Sunland Park

$400-million development with 1,400 homes planned in Sunland Park area

By Vic Kolenc/ El Paso Times
Posted: 10/04/2010 11:16:18 AM MDT

EL PASO — Desert View Homes and El Paso developer Russell Hanson have purchased 458 acres of land in Sunland Park to build a $400-million-plus residential and commercial development.

El Paso-based Desert View, which bought about 330 acres in partnership with Hanson, plans to build about 1,400 homes over about a 10-year period on the property, which was recently annexed by Sunland Park.

Hanson, owner of Hanson Asset Management, an El Paso real estate development company, bought about 124 acres for commercial and apartment development.

The land was sold last week for an undisclosed amount by Verde Realty, an El Paso company that owns about 24,000 acres in the Santa Teresa area. Early this year, it scrapped plans for a city-size housing development on that land.

Verde officials did not want to comment on the sale.

This is the first time Desert View has bought land in New Mexico for a large-scale development.

"Our market study shows people want to live in that area and take advantage of the low property tax that New Mexico provides," said Randy O'Leary, Desert View president.

Hanson said Desert View will be able to deliver homes at a more affordable prices in the Sunland Park development than much of the competition on El Paso's West Side.

Desert View home prices range from almost $86,000 to almost $160,000. Its average sales price last year was $121,750.

Hanson said he's already received interest for the commercial property, where he plans to build strip shopping centers, doctors' offices, apartment complexes and other commercial development. He expects construction to begin on the commercial part in about a year.
The entire housing and commercial development will cost more than $400 million to build, including schools and parks, Hanson estimated.

O'Leary said development work on the land should begin in about eight months, and construction of homes should begin in late 2011 or early 2012. One or two other homebuilders will be brought into the development, he said.

Pat Woods, Desert View director of development, said 76 acres in the southwest corner of the property will be the first housing area developed with about 350 homes built over a four-year period.

Desert View also expects to break ground this month on a 200-acre development at Trans Mountain and Interstate 10. Homes are likely to begin going up there in about 12 months, Woods said.

O'Leary and Doug Schwartz's Southwest Land Development Services own an additional 800 acres in that area in a partnership for future development.

Desert View plans to put a high-density home development in a part of the Trans Mountain property, O'Leary said.

Small, single-family homes will be grouped around a common green area, he said. Desert View is trying to price those homes around $75,000, O'Leary said in the past.


Vic Kolenc may be reached at vkolenc@elpasotimes.com; (915) 546-6421.

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