Known as the place where developers and builders meet, Zonda’s annual Future Place conference explored the future of master-planned communities (MPCs) last week in Dallas.
Beyond networking, attendees gained insights on the current state of the housing market, learned emerging concepts from innovative, on-the-ground projects, explored futuristic design ideas, and recognized two master plans and one visionary leader with awards in person.
While attendees walked away with a wealth of information and inspiration, here are nine high-level takeaways from some of the sessions that were presented at the event.
More enthusiasm for next year: Starting the conference out strong, Zonda chief economist Ali Wolf presented that although buyers feel like it’s a bad time to buy a house—with election worries and affordability—the industry has enthusiasm for next year on several factors, including lot supply, mortgage rates, and pent-up demand.
Florida and Texas are master plan hot spots: After analyzing sales and starts in some of the country’s top master plans, principal Mollie Carmichael confirms that Florida and Texas are the states with the best-performing MPCs. “It's not only the migration and population growth,” she says. “People are actually going to these markets for a lot of reasons. It's affordable land, affordable homes. It's a no income tax location, and really the enhanced lifestyle.”
People retire where they vacation: Another hit takeaway from Carmichael’s session on insights from winning master plans was many home buyers that have recently retired or are looking to retire soon will look for their next home in the state where they vacation most. Whether it’s people in the Northeast flocking to Florida or Northwest looking to Arizona, the retirees are searching for that vacation feel within MPCs.
Take inspiration from Blue Zones: During the conference’s keynote presentation with Dan Buettner Jr., executive vice president and chief development officer at Blue Zones, he showcased several regions where people live longer and healthier lives than average. He connected those practices back to the question at hand: how do we as an industry build better for our future? His advice included move naturally, have the right outlook, eat wisely, and connect with others to start.
Rentals near top MPCs command premiums: Connecting master plans back to the multifamily construction side, Kimberly Byrum, managing principal for multifamily at Zonda, dug into the build-to-rent and apartment unit data near MPCs. She found that rentals near top MPCs command premiums ranging from 9% to 20%, with communities featuring lagoons achieving a 12% premium.
Walkable coffee is the next amenity: Mentioned several times during the event, but first during the “Collaborative Excellence: Joint Strategies for Developers and Home Builders” panel, the new No. 1 requested amenity is a walkable place to have a cup of coffee. But, it isn’t all about the coffee. Developers believe this is a growing trend to socialize and have a central place to gather, as more people continue to work from home post-COVID.
Embrace retail placemaking: Continuing the retail conversation, Alison Williams, partner and CEO of Of Place, on the “Commercial Currents: Exploring the Evolution of the Town Center and What’s Next for Retail and Office” session stated five lessons for successful retail placemaking. When adding retail to a master plan, she urged developers to establish a vision, release in phases, green is good, set the stage, and embrace tenant expression. Plus, don’t forget the pickleball.
Gaze into the future: In the Future Gazers section of the conference, attendees got a look into ICON’s 3D-printed neighborhood and the rise of nature-inspired amenities. While the content in each presentation differed, both encouraged developers to step out of the box and consider innovative ideas like 3D printing or investing in a farm.
HOAs need a perspective shift: A usual pain topic for many developers, the “HOA Evolution” panel offered a shifting perspective for homeowner’s associations. Paul Johnson, former executive vice president of Rancho Mission Viejo, said homeowner’s associations should be called a community association, in order to create opportunities instead of obligations.