Trumark's Gregg Nelson: Wallis Ranch A Great Place To Buy A Home
Gregg Nelson co-founded Trumark Cos in 1988 and has overseen the company through many real estate development projects, including land acquisition, homebuilding and community design, across a 35-year career.
Bisnow spoke to Gregg about his predictions for 2016, the company’s expansion across California and Trumark’s new community at Wallis Ranch in Dublin, CA. To hear more about Trumark's residential plans, join us at Bisnow's San Francisco Residential event tomorrow at Hotel Nikko, where Trumark Urban managing director Arden Hearing will be one of our speakers.
Bisnow: How do you think 2016 will shape out?
Gregg Nelson: We are optimistic in the direction that the market is headed in 2016 and beyond, but the recovery isn’t fully formed yet and we believe there are a lot of innings left to go in the game. We are excited about new homebuyers beginning to enter the market, resulting from broader job growth and an increase in wages. However, we are mindful that the downturn is still very real in everyone’s mind. One concern is that the market recovery to-date has been largely propelled by a fairly narrow pool of jobs—largely in the tech sector, rather than a broad-based recovery. As we continue along this path, we expect to see the recovery spill over into additional market tiers.
Aside from a slight correction here or there, we don’t foresee major milestones on the horizon for 2016 that could cause a downturn. At most, we will see moderate appreciation depending on location and continued increase in homebuyers.
Looking long term, we are eager to see what changes technology will bring to the homebuilding industry and how the market will adapt to those changes. For example, a looming shift in the driverless car arena could have a profound effect on buyer habits.
Bisnow: What is selling in terms of design? Are the things that Millennials are looking for really that different from what their parents were looking for?
Gregg Nelson: Dense, walkable suburbs with easy city access to jobs, entertainment and shopping options seem to be the ultimate amenity these days whereas 10 years ago, it didn’t exist. In this more-urbanized world we live in, buyers value a smaller lot, maintenance-free living, and interesting and functional architecture. As leading innovative builders, we are continually adapting the types of home products we develop and strive to introduce an array of homes that fit myriad lifestyles, such as our award-winning Timber development in Newark, CA (above), that includes both detached single-family and townhome-style residences.
Bisnow: How is Trumark Homes thinking about moving into secondary markets? Are you seeing a demographic shift or is it a job-growth story?
Gregg Nelson: We have been expanding significantly over the past several years throughout Southern and Northern California. As we continue to grow, key metros in these statewide markets will continue to be a strong interest for Trumark Homes. We’re particularly focused on undersupplied housing markets throughout California that exhibit favorable market conditions, including strong job growth, proximity to entertainment and dining hotspots, and access to major job centers.
Bisnow: Housing stock isn't keeping up with demand and driving up prices. How does Wallis Ranch help bridge that disparity?
Gregg Nelson: Dublin is one of the fastest-growing cities in California given its desirable Tri-Valley location offering homeowners a short commute to jobs, transportation and businesses of all kinds. In bringing Wallis Ranch to life, Trumark Communities is capitalizing on a region that has seen a significant boost in housing demand as buyers are being priced out of San Francisco and Silicon Valley. Wallis Ranch will be a significant addition for the region by providing 806 brand-new homes that are approachably priced for a range of buyers.
To hear more on Bay Area residential, come hear Trumark Urban managing director Arden Hearing and the rest of our esteemed panelists at Bisnow's San Francisco Residential event starting at 7:30am tomorrow at Hotel Nikko. Sign up here!