Along Central Texas waterways, posh villas, houses and condos are replacing rustic getaways

By M.B. Taboada
AMERICAN-STATESMAN STAFF
Sunday, June 08, 2008

The word "lake" is becoming synonymous with luxury in Central Texas. Having an inexpensive rustic cabin or trailer on the shores of an Austin-area lake might have been possible a couple of decades ago, but those days are long gone. And the reason, real estate agents say, is that waterfront property is becoming increasingly scarce. That's especially true of Lake Travis, where ongoing road improvements over the past two decades have spurred rapid growth. And despite a national housing slowdown, the waterfront housing market in the Austin area is still relatively healthy. The median price for a home in the real estate zone that includes Lakeway, for instance, was $372,000 in April, one of the 10 highest-priced areas in the region, according to the Austin Board of Realtors. Builders don't seem to be slowing down significantly, in part because many of the projects won't be completed for years and long-term growth prospects remain positive.

On the northern and southern shores of Lake Travis, more than 13,000 acres — a conservative estimate — have been targeted for high-end development, local real estate experts say.

Mahogany on Lake Travis is one of the latest. 'Village experience' Mahogany will be a 242-acre resort community in Lago Vista, with two miles of waterfront on Lake Travis, southwest of Lohman Ford Road and RM 1431. About 50 homesites will be on the waterfront, each with about one to four acres. On land away from the shore, the development is expected to have cottages, townhomes, condominiums, retail and a boutique hotel.

Dillon, Colo.-based Equilibrium Resorts, which is managing the development and operation of the site, wants to build a "new urbanism" community, which will be pedestrian-friendly and have walking access to a private club, hiking trails, marina and retail. The development, which will eventually have about 700 residential units, was previously called Turnback Ranch. Amenities will include an outdoor heated pool, dry boat storage and access to a trail system. Those who purchase homesites may choose their own architects and builders, but designs must meet architectural guidelines. Equilibrium expects to sell the interior homesites to a developer or builder.

"The heart of the resort is its village experience," said CJ Julin, Equilibrium's vice president of marketing. "Being able to provide that with the marina and club with the hiking paths, all set on the beautiful shoreline, particularly gives that portion of the lake something it hasn't had: a resort with a village center. "You'll be able to live there as your primary residence and still feel like you're on vacation when you go home," Julin said. Land clearing began in mid-February, and the resort is expected to be completed in five to seven years. Prices will be set in the next 30 days, and Equilibrium expects to begin taking reservations in mid-July, with homesites becoming available in September.

Tubing on a man-made 'lazy river' On Thurman Bend Road on the southern shore, the Reserve at Lake Travis has already broken ground. The $120 million residential development, with about 150 homes on 300 acres, features about 3.5 miles of shoreline. The homesites, which average about 3.5 acres, are expected to cost between $300,000 and $3 million. More than 110 custom homes will range from $900,000 to $7 million. The development will also offer 32 cottages priced from $450,000. Residents may choose from a list of preferred builders and homes, and the designs also must follow the developer's architectural guidelines.

The Reserve, which is expected to be completed in two to three years, kicked off sales at the end of March with a private party. About $45.5 million in single-family homesites sold in one day. About half of the homesites have been sold. Planned by Hal Jones and his partner, San Antonio billionaire Red McCombs, the development will have a marina, 250 covered boat slips, a private lake club and a full-service equestrian facility. A butler service will be provided for residents who want their horses delivered to their homes, saddled and ready to go. The community will have 2.5 miles of trails for horseback riding. Plans also include a swim center with a water park and a man-made "lazy river" for tubing.

"I'm self-serving," said Hal Jones, president of Hal Jones Development. "I'm developing it in the way I want to live." Jones will live in the development, and work on his home already is under way. Overall plans for the community include two restaurants, one that will be for members only, and another public, upscale restaurant similar to Hudson's on the Bend. The development also will have an outdoor amphitheater, with a quarry block stage at water's level, seating 75.

A fine view at Rough Hollow

Rough Hollow Lakeway is also under construction, with both waterfront and interior homesites. The 350-house development, which is the site of the 2008 Parade of Homes tour that continues through this weekend, will have six neighborhoods with production and custom homes, villas and condos. The six neighborhoods are Enclave, the Villas, Water's Edge, East Rim, the Bluffs and the Overlook. Twelve builders are working on the project, with home prices ranging from the $450,000 to more than $3 million. "With Hill Country views and terrain, the way the developer has laid it out and landscaped it, it's phenomenal," said Dee Shultz, a real estate agent with Keller Williams who is marketing a $3.5 million home in Water's Edge. "You get the beauty of the lake, but don't have to be on the lake itself. It's just a nice quality neighborhood with upscale homes (and) terrific views." The Parade of Homes tour will end at 7 p.m. today. Tickets are $12 for adults and $10 for children and those 62 and older. Crescent Resources is planning the development. A full-service marina will feature a restaurant and fitness center. A private club will provide various amenities including concierge and valet services and lakefront dining. The club also will provide a resort-style pool, a tram to the marina and a yacht store. Rough Hollow residents will also be able to golf at any of the eight area golf courses.

Condos offer another lakeside option. Mahogany, the Reserve and Rough Hollow are by no means the only developments going up along Lake Travis. On the northern shore alone, more than 7,000 acres are under development along the RM 1431 corridor, west of U.S. 183. And on the southern shore, about 5,500 to 6,000 acres are being developed.

A partial list of the planned resorts: the Falls at Lake Travis, with 463 units; the Montechino, with single-family homes and condominiums; Waterstone, with more than 70 condominiums; Waterscape, with up to 420 condominiums; Waterford on Lake Travis, with 460 acres south of the Mahogany site; Sunset Harbor, with 200 condos and a hotel; Vista Villas, with more than 60 condos; and the Peninsula, with 250 condos.

Despite all the growth, there are signs that demand might be slowing temporarily, said Mark Sprague, Austin partner of Residential Strategies, which tracks the home market. Still, he said he thinks that lakefront property will be increasingly attractive once the overall housing market recovers. "When the economy does turn, it's probably one of the best markets in the nation because there's a limited amount of land on the lake," he said.