16 years in, Sun City Texas still setting pace for area's real estate sector

AMERICAN-STATESMAN STAFF

When it debuted back in 1995, Sun City Texas might not have seemed like a sure bet for success.

After all, the idea of a community focused solely on retirement-age residents didn't fit the hip, youthful vibe that the Austin area projects.

But 16 years later, the sprawling community for people ages 55 and older in Georgetown has become the fastest-growing residential development in the metro area.

Already the largest and fastest-growing among Del Webb Homes' communities for "active adults" nationwide, Sun City has grown into a neighborhood of 11,500 residents and 6,200 homes - and is poised for another growth spurt.

This weekend, Del Webb Homes - part of Michigan-based PulteGroup Inc., the nation's largest homebuilder in annual sales - is unveiling updated model homes that showcase nine new home styles ranging from 1,151 square feet to 2,848 square feet and priced from about $140,000 to the $400,000s.

Del Webb officials said they hope the new designs will further boost sales at Sun City, which has ranked at or near the top in new home production in Central Texas during its history.

Scott Eckley, vice president of sales for Del Webb in Austin, said that although Central Texas "is often thought of as a destination for young people, Sun City's growth has mirrored the region's rapid population increase.

"The area's affordable cost of living, favorable tax advantages and beautiful year-round climate make Sun City Texas one of Del Webb's premier active adult destinations, thus creating the demand for new homes like these," Eckley said.

Sitting on 4,110 acres about a 35-minute drive northwest of downtown Austin, Sun City Texas will be out of land to build homes on in another four to five years, when it is expected to have 7,500 rooftops. Sun City has been such a success, Pulte officials said, that the company hopes to open a second Del Webb community in Central Texas at a to-be-determined location.

"We plan to be here for many years to come," said Greg Mayberry, general sales manager for Del Webb Homes.

However, Mayberry stressed that for the next few years, the focus will remain on selling out the existing community .

With the new models being rolled out, "we're excited about the (sales) potential for 2012 and 2013," Mayberry said.

Resilient market

Last year, 230 new homes were sold in Sun City , up 10 percent from 2010. Pulte projects sales to increase more than 20 percent this year.

Sun City's appeal is due to several factors, not the least of which are Central Texas' economy and resilient housing market.

"The Texas markets are the most stable in the country now," Mayberry said. And "there's not much of a healthier market than Austin, Texas."

The local housing market didn't experience the wild run-up in prices that many parts of the country did in recent years and, consequently, avoided the bust that hammered other areas.

Still, Sun City Texas has had its ups and downs. Sales struggled in the late 1990s, and plans were dramatically scaled back in 2001, when the economy turned down, with developers deciding to limit the number of homes to 5,000 instead of the 10,500 originally proposed. In 2005, Pulte changed course, announcing a major expansion that would add 2,500 houses at Sun City over several years.

Mayberry said Austin has been one of the top markets for Pulte. Pulte built about 1,000 homes in Central Texas last year under its three brands: Pulte, Del Webb and Centex.

"As the only true age-restricted residential community in the area, Sun City is able to attract buyers that want to live in Central Texas, whether they are from other cities in Texas or other parts of the U.S.," said Eldon Rude, director of the Austin market for Metrostudy, which tracks housing starts in the region.

"Considering the huge number of baby boomers now entering retirement," Rude said, "I expect that as the economy improves and consumer confidence increases, communities like Sun City will continue to see strong demand."

Resort-style living

Del Webb touts Sun City Texas as "offering the charm of small-town living," while being within a short drive of "the culture and excitement of Austin."

Residents have access to three championship golf courses, a fitness center with tennis courts and swimming pools, 17 miles of trails, fishing ponds, a dog park, and more than 400 groups and clubs, from bocce and bridge to archery and woodworking.

About half of the residents have moved from the Austin area, with the rest coming from other parts of the nation and globe, including recent newcomers from Europe, Japan and China. In the states, California is a key market for Sun City relocations , as are Wisconsin and Minnesota.

Not all the residents are retired; about 15 percent still work in the area, Mayberry said. And 60 percent of the homeowners own golf carts, a staple on the community's winding and impeccably landscaped roadways.

Dixie Woody, 69, and her husband, Jerry, 74, have lived at Sun City Texas for 12 years, after moving from Houston. They have a son who lives in Dallas and a daughter and three grandchildren in Buda whom they are happy to be living near.

Not only that, but "I wanted to play tennis as much as possible - and I do," Woody said. The couple recently entertained friends from Annapolis, Md., who Woody said "just thought it was fabulously beautiful. There's so much to see, so much to do."

Tina Klingemann, 60, and her husband, Charles, 73, a native of Austin, moved more than 10 years ago from the Jacksonville, Fla., area to Sun City. The couple checked out several "active adult" communities in other places but "kept coming back to Sun City," Tina Klingemann said.

"We felt they had done an outstanding job in the way they maintained the property and took what was naturally there and enhanced it" with landscaping, trails and green space, she said. "It's like living at a resort."

Sun City also counts Georgetown Mayor George Carver and his wife, Alice, among its residents. The Carvers have lived in a Del Webb community for more than 25 years, the past 14 of them at Sun City Texas. George Carver said the Sun City lifestyle is idyllic.

"It's kind of like a smorgasbord - you can pick and choose what you want to do," he said. Carver said he and his wife enjoy the beauty of the area, where their neighbors include deer, wild turkey and lots of cardinals.

"I have put out over 500 pounds of birdseed this winter, and they love that freebie," he said. "Birds and animals are in the yard almost continuously, and it's a great sight. We hear a lot of coyotes at night along the riverbed."

Once built out, Sun City Texas will be home to about 14,000 residents, Carver said - or almost 30 percent of Georgetown's population, which is about 50,000.

"The presence of Sun City has contributed not only homes, but many businesses that have been fostered by the presence of so many seniors who go out to eat, shop and have a very significant role in the economy of this area," Carver said.