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Oregon Coast Real Estate Watch: Developer Brings Big Plans to Newport

Newport's Nye Beach area

(Newport, Oregon ) – Some interesting changes are in store for Newport in the next year, with a variety of housing developments and condo projects promising to create a substantial economic impact to the region in a variety of ways.

Several new construction projects are either recently completed, in the middle of construction or planned for later in the year, ranging from small cottages, condos near or on the ocean, to a 100-home development on the north end of town. This surge in construction activity has employed a variety of people already, and will continue well into the future. Meanwhile, the projected impact of almost 150 new dwellings in the area and the influx of new residents that will fill them is good news for the town on many levels.

Perhaps at the epicenter of this activity is developer Don Huster and his trio of major projects. Huster’s company, The Woodside Group, LLC, has recently completed a set of four cottages in the Nye Beach district. Planned for groundbreaking later this year is a complex of townhouse style condos and retail space called Archway Place in the heart of Nye Beach , which will include extra parking for the public. Huster is also scheduled to break ground on a development of 100 homes in the spring of 2007.

Newport

All these are anticipated to make a difference locally, especially since The Woodside Group’s properties comprise the largest chunk of residential construction in Newport . The boost to the economy begins on a relatively small level: Huster’s company has employed some 40 construction workers, subcontractors and professionals since the beginning of the four cottages. The other projects will employ approximately the same group of people, but will keep them getting paychecks for years, between the condos and the subdivision.

“We expect to steadily employ a large sized crew for a number of years to come,” Huster said.

Once the subdivision has broken ground, Huster expects that project to complete from ten to 25 homes a year, meaning it will take five years at the very least to complete

Nye Beach

Huster said that more of a year-round economy in this area would help it greatly, as Newport is primarily still a tourist town dependent on the changing tourist seasons.

“What this will do is bring more people to the area,” Huster said. “So businesses such as those in service industries can thrive on a year around basis. It helps create the critical mass you need to build and maintain a community.”

Lincoln County has seen two to three years of unprecedented growth, said Huster, with the largest number of building permit applications being in Lincoln City. It’s a trend that’s expected to continue for quite a while, as more and more baby boomers retire to the Oregon coast, and more people in general are discovering the attraction of owning a second home near the beach. And then there’s that steady flow of out-of-staters settling here.

“In Newport , the business hub of the central Oregon coast, there’s a shortage of good housing,” Huster said. “The city has been very encouraging to work with to facilitate responsible growth. Plus, they also know that with this growth comes increased tax revenue. There are numerous benefits to the area.”

One of Huster's cottages

Huster said homes in the subdivision will range in price. The objective is to make some percentage of them affordable to locals looking to buy a home, but it will also include more luxurious offerings that will tempt those from out of state. This approach has been proven successful in other parts of the country as long as architectural integrity is maintained throughout the development.

While Huster notes the usual influx of Californians and those from the I-5 corridor of northwest Oregon, there is extensive interest from those in Washington, Arizona, and New Mexico as well. “They sell their homes there for millions, and $500,000 will get them a nice home here in a great area.”

In the Nye Beach district, restaurateur Deborah Trusty said she sees a growing impact from just this sort of crowd. Her Village Market & Deli carries a wide variety of fine artisan cheeses, imported meats, wines and a myriad of gourmet food items that appeal to people who might normally frequent the Pearl District of Portland. Part of it is a growing trend among all walks of life, where awareness of these fine foods has greatly increased, she acknowledges. But she says her business has jumped in recent months, and she believes many of her patrons to be those considering a move here, or they’re already part time residents from elsewhere.

“I can’t tell you how many people that browse our food shelves tell me that they’re here looking for a home,” Trusty said. “They’re coming from California , Washington , and a lot from Idaho and Colorado . This was why we started this deli three years ago: we anticipated a flood of people coming here who would’ve wanted to find some of the foods they were used to in Sacramento or wherever.”

Huster notes a large amount of possible future real estate activity because of the new construction. Like the Bella Beach development near Depoe Bay, where the value of homes have more than doubled in some instances, he expects some investment buying. “There will be those who look to the potential equity appreciation in these homes and buy them now in anticipation of selling later.”

There are more subtle and less measurable forms of impact that are being recognized as well by Huster’s projects and the other projects in Nye Beach. There’s a trend in construction on the coast based on livability, and of co-existing with the environment and the surrounding community in a new way.

The new cottages in Nye Beach – finished in August – hold to the Historical Nye Beach Architectural Overlay, where the area has established building standards to keep a certain historical vibe to the district.
They are actually single-family home structures with condominium ownership sitting atop a rise in this cozy neighborhood of historic buildings paired with newer ones that have been carefully crafted to blend with older ones. These pretty places have a slight Victorian architecture laced with cedar shingles, containing beautiful, upscale amenities on the inside, such as granite countertops, top of the line appliances and an arbor walk in front of the buildings. Part of the attraction here is the close proximity to all of Nye Beach’s fun and frolic possibilities, with its facilities and beaches well within walking distance, not to mention varying degrees of ocean views. They are like beach cabins, but with all the modern conveniences.

This trend was led by the city of Newport itself, Huster said. “If you look at Nye Beach and its restoration project a few years ago, the city obviously made a commitment to the livability and beauty of the area. The city’s commitment, coupled with the lifestyle that’s possible here, is what made these projects attractive to us. It is a terrific neighborhood environment.”

Then there is the trend of co-existing carefully with your coastal environment.

“You do things appropriate to the environment,” Huster said. “We could’ve crammed more homes into the space we have for the subdivision, but that isn’t responsible growth.”

In the future subdivision, approximately 10 acres of the 37-acre community will be left in a natural state. There will also be a trail system though these common areas and the current plan includes a 170-foot arch bridge for vehicles and pedestrians crossing one stream.

“Growth is inevitable,” Huster said. “But the point is to keep it responsible growth. Our goal is to bring a sense of community to our projects. We think these projects, with their careful planning, will achieve this.”

You can reach Huster and the Woodside Group at (541) 764-3434.

Huster's properties are viewable at

http://www.advantagerealestate.com/idx/details/06-2510

http://www.advantagerealestate.com/idx/details/06-2511

http://www.advantagerealestate.com/idx/details/06-2512

http://www.advantagerealestate.com/idx/details/06-2513

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