Meritage Homes has submitted an application for development for a new community along Lake Sharon Drive just east of the recently-completed Terrace Oaks subdivision. The new proposed 83-acre community is slated for 447 home sites in total. Preliminary plans call for 249 single-family “Cottage Home” sites with lots approximately 50’x 120′. There are also 198 “Patio Home” lots which are roughly 30’x 98′. These would feature a denser townhome product located toward the center of the community. Kimley Horn is working with Meritage Homes on the new planned development.

Development is tentatively scheduled to occur in four phases, with the first phase to occur east of an extension of what is currently Parkridge Dr. Parkridge currently terminates at Lake Sharon Dr, but plans call for Parkridge to be extended north into the new Lake Sharon development, passing by a proposed amenity center which will include a pool. The initial design statement contains the following:

“Phase 1 of development which includes Parkridge Drive and the portion east of Parkridge is currently anticipated to start construction Q2 2021, subject to necessary City approvals, and be completed Q3/Q4 2022. Phases 2 and 3 are currently anticipated to be developed with 1 to 1.5 years between the start of construction on each phase.”

With developable land in short supply, home builders have been working overtime to get their hands on whatever land is available. The 2020 pandemic and subsequent liquidity injections from the Federal Reserve unleashed a major buying spree in the housing market as interest rates plummeted to all-time lows this year. The National Association of Home builders reported this week that home builder optimism has never been higher. The NAHB/Wells Fargo Housing Market Index (HMI) just hit a new high of 90, up from the previous record in October. New home sales are still on a tear with interest so low and with resale home inventory in short supply.

I reached out to a Meritage representative, and the new community east of Terrace Oaks will be a new stand-alone community separate from Terrace Oaks. No name has been set for the development yet, but the new neighborhood at the intersection of Lake Sharon Drive and Parkridge should have its own set of amenities and its own HOA. Details have not been finalized. Meritage will be working with the City of Corinth in the coming months, as Meritage works to open this new neighborhood sometime in the summer of 2021.

Median and average home prices in Corinth were up 17 percent and 16 percent respectively last month, but most of the sales were resale homes. There just isn’t a lot of available land in the area for builders. Homes in Meritage’s previous development, Terrace Oaks, sold out fairly quickly. It will be interesting to see where Meritage positions this new development in terms of pricing and features. Corinth is a relatively small suburb, with a population of roughly 22,000 people. There are currently only about 20 homes for sale in Corinth, 6 of those being new construction. With the recent surge in sales activity this year, there is barely over a month (1.1) of supply in Corinth. Any new housing supply will likely receive a warm welcome with buyers.