River Islands at Lathrop could be targeting a new housing market for the Northern San Joaquin Valley.
And in doing so, it could end up building 2,000 homes in as little as two years.
Cambay Group is exploring the idea of creating two highly walk-able neighborhoods targeting not buyers but renters.
It would involve higher density housing much in the vein of the popular three-story townhouses surrounding downtown Livermore. There would be other high density housing types as well.
Perhaps Livermore is the closest example to what they may create.
River Islands President Susan Dell’Osso describes it as a “very walkable community” whether it is to go to a restaurant, to get hair styled, do light shopping, or head to the gym among other possibilities.
But instead of taking an existing area like Livermore did and redeveloping older aging neighborhoods, River Islands would do so using a blank slate — undeveloped land.
As such, River Islands could end up targeting a multi-faceted niche market that exists that no home builder — whether it involves single family homes or apartments — is addressing in the Northern San Joaquin Valley.
That entails:
*Young couples and families just starting out that prefer to rent but want a lifestyle that is more urban and less suburban.
*Those that have no desire to put down roots with a mortgage but would prefer something more than an apartment and something less than a house that comes with a big yard to maintain.
*People who would like to be able to walk to access dining, shops, and amenities instead of being “forced” to drive everywhere.
Dell’Osso even noted it could involve those seeking a second home so part of the year they can be near families that have moved to River Islands or elsewhere in the valley as did a number of people who bought homes at Del Webb at Woodbridge in Manteca.
There are two areas being considered for such communities in the 15,001-home planned community.
One is in the southeast portion of the island east of Paradise Road.
The other is the transit village planned on the eastern flank of the island by the business park area along tracks that eventually will be part of Valley Link.
The first phase of Valley Link using electric-powered train sets to connect the Dublin/Pleasanton BART station to Mountain House is moving forward toward construction.
The second phase would connect with the Lathrop Altamont Corridor Express transfer station at Sharpe Depot with a stop at River Islands.
Each rental community would have roughly 2,000 homes each.
Cambay Group would retain ownership.
In such developer build-to rent-models, the developer handles the bulk of the property maintenance and upkeep.
That helps assure that the community aesthetics are kept up.
It also leads to situations where neighborhoods don’t end up showing wear and tear.
Cambay Group retaining ownership means the River Islands vision wouldn’t be diluted by landlords that do not have buy-in into the community concept that has been created.
Currently, River Islands is averaging 500 home sales annually.
This year, due in part to a softer market but also in a delay getting prepared lots to sell to builders, River Islands is on track to sell 350 homes.
So far, 4,100 homes have been built.
Dell’Osso said if the concept for walkable neighborhoods with higher densities moves forward as being exclusive rentals, all 2,000 homes in each location could conceivably be built in two years.
Both also would be on the outer edges of the planned community. That means they are nestled against the 18-mile greenbelt encircling the island atop 300-foot-wide levees.
When completed, there will be a continuous paved path free of any vehicle crossing thanks to bridges in place — or planned — over roads used to access the island.
It means that, unlike in Livermore, the walkable neighborhoods would have direct access to an 18-mile bicycling/jogging/walking/skating path.
And they would be able to use it in the future to bicycle to catch a Valley Link train to reach Bay Area employment centers.
To contact Dennis Wyatt, email dwyatt@mantecabulletin.com
