There are a number of new housing developments either in construction or in the planning phase throughout the Yuba-Sutter area currently, which is a much needed boost for those looking to buy in a market that has low inventory across the board.
Single-family housing development is in the building stage at a few locations in Yuba City. On the east side of Sanborn Road, north of Pebble Beach and on Sanborn Road and Bay Drive, infrastructure improvements are currently ongoing with home construction of 15 lots to follow, according to Yuba City Development Services Director Ben Moody.
In addition, at Hooper Ranch located on Hooper Road north of Monroe Road and south of Jefferson Avenue, 21 lots will be built after ongoing infrastructure improvements are completed. There are several other subdivision projects at various stages of the development process, Moody said.
“The timelines for the other subdivisions are currently unknown,” Moody said. “Dependent on the developer and market conditions.”
He said the fastest growth in housing in Yuba City is generally on the western and southerly boundaries of the city limits.
“Providing homes for city residents and our workforce helps keep dollars in the local economy,” Moody said. “Additionally, new homes provide added property tax dollars and a basis for commercial development, which ultimately leads to additional sales tax and property taxes to the city.”
The factors that contribute to making home building complicated involve the cost of land, construction, fees and the selling price.
“These need to align for developers to take the risk to build,” Moody said. “In an effort to aid the city, city council has been working with recent actions to reduce and update impact fees and policies to be ‘open for business’ while also recognizing the needs of the community.”
In the last year, 27 single-family homes have been built in the city and one 40-unit apartment complex has been built -- New Haven Court located at 448 Garden Highway.
“The city looks forward to working with any potential land owners and developers to help bring additional housing to our community,” Moody said.
Development Services Director Neal Hay said in the unincorporated county homesite development is typically done by individual homeowners rather than the buildout of a large-scale subdivision. So far this calendar year, the county has issued building permits for four new homes with others currently in process.
Due to a lack of infrastructure for wastewater, potable water and drainage systems, the county doesn’t typically permit apartment projects, Hay said.
The largest upcoming project, the Lakeside at Sutter Pointe, is scheduled to begin construction in 2023. The development in south Sutter County will eventually see 3,388 single-family and 399 multi-family homes built near Riego Road along Highway 99.
Hay said development impact fees collected on new homes can be used to improve county capital facilities. Building permit fees help lower the amount of general fund dollars required to fund the operation of the Development Services Department and new homes create new tax revenue sources for the general fund.
He said in 2020, Sutter County permitted 18 new detached single-family homes.
The biggest obstacle to getting homes built in Sutter County is floodplain constraints, according to Hay.
While there is no construction of new homes or apartments ongoing in Marysville, there are two significant housing projects in the planning phases, according to Gene Palazzo, former interim city manager and current administrative advisor with community development.
“Marysville is relatively small and is nearly complete in buildout so minimal growth is occurring at this time,” Palazzo said.
The first is the development of eight townhouses in a gated community at 308 Second St. This week the city council entered into an agreement with the developer that proposed the project. The proposal is for two four-unit buildings consisting of six three-bedroom, two-bath, 1,500 square foot units and two four-bedroom, two-bath, 1,700 sf units. The project is expected to take approximately two years to complete.
Earlier this year, the council approved the East Lake Apartments Project that includes the construction of 71 affordable apartments for the entire block bounded by Yuba, Ramirez, East 13th and East 14th streets.
“The developer is working to receive tax credits to assist in the construction of the project,” Palazzo said. “The timeline for construction is not known at this time.”
He said home construction has many benefits to the community. It creates construction jobs that are often for local residents, homeowners shop at local stores, fill their vehicles with gas at local stations and eat at local restaurants. The income that brings in for local business owners and their families lead them to spend money to support the local economy.
One new home was constructed in the last year, according to Palazzo.
“The main challenge in Marysville is the availability of large undeveloped property,” Palazzo said. “The city is therefore currently focused on working with land owners and developers to complete infill projects. Recent building material cost escalations may also be a factor.”
Building Department and Code Enforcement Manager Jeremy Strang said the county is currently working to increase the number of buildable lots. This is being done in the Edgewater area of Linda, the Plumas Lake area and in the Arboga area. The plan is to create a total of approximately 800 buildable lots in those areas.
Development depends on the number of production builders working in the county and the number of available lots. Strang said over the last couple of years the number of buildable lots had “dwindled down.”
“That was concerning to us,” Strang said.
The process of making a lot buildable involves taking a paper map of subdivisions and having them recorded by a surveyor.
Strang said so far this year the county has issued final approval and occupancy for 158 single-family dwellings. The county is partnering with the Regional Housing Authority to construct two multi-family complexes, both on Cedar Lane in Linda. One will be a 108-unit family-housing project and the other will be on the same site that consists of 41 units.
Along with improvement to surrounding roads, the project is a $55 million investment into the area. Strang said the permits for the project have been issued and the intent is to have occupancy approval within two years.
He said that as building occurs there will be an increase in tax revenue and more rooftops will encourage more commercial ventures to enter the county, increasing sales tax revenue. In addition, more development will add more jobs and bring in industrial and retail businesses.
“It brings it all,” Strang said.
The COVID-19 pandemic has created challenges in housing development. Strang said not being able to meet face-to-face with customers during the process has been a challenge. He said other challenges include lumber price increases and a shortage of materials like concrete.
“There are a ton of challenges in development,” Strang said.
In fiscal year 2019/20, Yuba County issued final approval and occupancy for 515 single-family dwellings. That was an increase in about 100 dwellings from the previous fiscal year when 416 single-family dwellings were approved.
Strang’s office handles building permits for the city of Wheatland and he said there haven’t been any recent homes built but that there is interest from builders for potential projects in the future.
He said properties in the county are being sold and built simultaneously and not being built to sit empty.
“There’s always lots going on, which is a very good thing,” Strang said.