Lahontan 2018 Year End Market UpdateMike Montalbano, January 18, 2019 in Lahontan, Market Update, Real Estate, TMR, Tahoe/Truckee
Lahontan experienced the most active trading in community history. A staggering 27 properties traded, a figure 70% higher than the previous year. As neighboring Martis Camp pricing continued its incredible growth in 2018, with the average home trading in excess of $5.2M, saavy consumers continued to see the unbelievable value in the original Martis Valley private community. By comparison, the average Lahontan home sale traded at a more modest $2.336M.
Values in the community continue to rise, although some may argue at a more sustainable and healthier growth rate – 1.92% average annual growth vs Martis Camp’s 7.2% over the same 5-year period. The greater North Tahoe region saw significant gains in both Average and Median price, with the former exceeding $1M+ for the first time in history.
2018 saw the completion of the $1.2M renovation to the Tom Weiskopf Championship Course greens, surrounds, and approach areas.
Of the properties trading, a sweet spot in the market emerged. Nearly half of the Lahontan properties trading were in the $2M+ segment of the market. There were numerous larger acquisitions, as 3 premium homes traded in excess of $3M+, as well as an impressive $4.1M traded on EJ Brickell. In general, these larger dollar transactions involved newer, more contemporary properties.
By historic standards the Lahontan Days on Market was incredibly low. Despite the nature of buying and selling second homes and the longer sales cycle, Lahontan’s 103 Average DOM listing period outperformed many neighboring golf course communities.
Despite increasing costs to build across the North Lake Tahoe region, Lahontan vacant land activity was also robust. In total, an impressive 32 parcels traded. Over the past decade only 1 calendar year witnessed higher sales volume. Interesting to note was the $243,000 average land price, also a 10 year high.
2018 saw the completion of the $1.2M renovation to the Tom Weiskopf Championship Course greens, surrounds, and approach areas. The re-opening is scheduled for June 28, 2019. This major renovation was done with no assessment or debt to the membership, an impressive feat.
Lahontan Golf Club General Manager Jeff Cobain was able to shed some insights into the health of the community. Despite an early closure to the course – August 2018 – 15 golf memberships transferred. During the course of the year membership values saw a huge increase, with the most recent transfers in the mid $50K range.
More and more younger families have been attracted to the community’s growing programming. At the Annual 4th of July fireworks the Lake Lahontan grounds were packed with generations of families. Kids of all ages were out and about celebrating the holiday. The amenity package – from Camp Lahontan, Spa, amazing dining facilities/menus, Tennis, Bocce, and golf – has proven to appeal to families of all ages.
Over the past few years there have been no dues increases. From 2017 to 2018, annual dues remained at $16,300. Cobain confirmed the Board has approved the 2019 budget and again there is no increase on dues. For 2019, the $16,300 golf dues and $8,150 social membership dues will stay constant.
From a real estate perspective, social and golf participations, and improvement standpoint all metrics suggest Lahontan is thriving. The golf memberships have been sold out since 2009 and the club has no debt.
Anticipate interest in the community to continue into 2019, Q1. Already there are 3 pending transactions, including 12355 Lodgetrail Drive – an impressive Greg Faulkner designed 8500+ square foot masterpiece with an equal impressive price tag – $5,495,000. Currently, with 2 golf memberships already trading only 1 remains for sale, at $175,000. With just 12 active properties for sale look for another bellwhether year where more and more families call Lahontan home.