A Virginia-based home builder plans to develop more than 100 single-family homes on the corner of Pickett and Garrett roads in southwest Durham.
Stanley Martin – which primarily builds homes in Virginia, Maryland and North Carolina – paid around $6.1 million for six parcels of land near Cresset Baptist Church, according to Durham County records. CBRE Raleigh, which assisted the purchase of the property, said the property will have a total of 101 lots.
The six parcels account for more than 70 acres of land. Stanley Martin, using the limited liability company SM Raleigh, purchased the land from Cresset Baptist Church and Sally A. Staunton, deed records showed.
The property is in a part of Durham that hasn’t attracted a lot of new development in recent years. Unlike downtown and the area around Southpoint Mall, there aren’t many comparable new construction projects in that part of the city, said Chester F. Allen of CBRE’s Land Services group.
“This infill Durham site has not seen any new home construction in a long time,” Allen said in a statement. “Stanley Martin had the vision and knew that given the great access and strong demographics that this site would do well. It’s also a plus that it is located almost exactly halfway between Duke and UNC hospitals.”
George Weller, a division vice president at Stanley Martin, said the lack of new development near the property was actually a positive.
“I think that was one of the big motivators – that there was not a lot of activity,” Weller said. “It’s very accessible to folks who are going to Durham or Chapel Hill. It’s also accessible to I-40 and 15-501 ... We think it is a great area that hasn’t seen much attention since the downturn.”
Weller added that the purchase was Stanley Martin’s first foray into the Durham market – but he didn’t expect it to be its last.
“We have been watching our competitors, and we have been trying to gain entry into the market for a while,” he said. “We have also been looking at some downtown infill opportunities as well. We think there is a lot of upside in the Durham market.”
Stanley Martin anticipates starting construction on lots at the end of the year and to begin selling homes next spring. The residential community will only feature single-family homes ranging in size from 2,700 to 4,300 square feet.
Prices will start in the mid $400,000s, Weller said.
Doc Nichols Partners LLC – a company run by Durham developer Gary Wallace – assembled the parcels for Stanley Martin and helped with the annexation, sewer extension and site plan approval process for the future residential community, CBRE said.
Doc Nichols Partners will build on 16 of the planned lots, as part of an agreement with Stanley Martin.
Wallace said those 16 homes – which will be built by his daughter Brittany’s construction firm B. Wallace Design – will start at $600,000. Doc Nichols Partners paid $660,000 for its part of the property, according to county records.