Monday, March 17, 1997 | 11:59 a.m.
It's a scene that actually makes one long for retirement.
A senior citizen with a tattered straw hat likely obscuring a smug grin paddles effortlessly around a heated outdoor swimming pool.
Across the street, a foursome makes its way to the No. 1 tee in a pair of carts gliding over paths that twist like shoelaces around a kelly-green ribbon of fairways that wrap around a neighborhood full of homes overlooking the spectacular Las Vegas Valley.
Just down from the pool, a group of guys are puttering away at their hobbies. Some are putting the finishing touches on a captivating model train layout while others are gluing pieces to the wings of plane they hope to fly someday. The putterers don't even look up when a horn honks outside. It's a casino shuttle bus, beckoning whoever's within earshot to climb on for a free half-hour ride to bingo, blackjack and buffets.
Welcome to Sun City Summerlin, an age-restricted town full of retirees and nearly retired residents who have invested in a promise the Del Webb Corp. made back in the '60s that has built steam in Southern Nevada in the '90s.
Building steam may be an understatement. The Meyers Group, a real estate information service that tracks the housing market in the Las Vegas Valley, reported last month that Sun City Summerlin sold 129 detached homes in the last quarter, nearly double the total from the previous quarter.
MacDonald Ranch, Del Webb's other Sun City property, in Henderson, sold 60 homes.
The top non-senior-restricted project, Lewis Homes' Saddle Brook, had 58 sales for the quarter.
Del Webb has held the top spot in home sales in Southern Nevada for the last nine quarters. That, in spite of selling homes with what are among the highest prices per square foot for construction in the city.
"We're not just selling homes here," said Scott Higginson, vice president of government and public affairs for Del Webb Communities Inc., the local arm of the Del Webb Corp. "We're selling a lifestyle."
At Sun City Summerlin, that lifestyle includes three recreation centers valued at about $16 million with a fourth under construction and three 18-hole golf courses. The development features 13 floor plans with prices ranging from $120,000 to the high $200,000s, well above the median price of $119,000 in Las Vegas.
Residents pay $440 a year per household in association fees to maintain the common areas. Three commercial centers operate on Sun City Summerlin's periphery, offering service businesses that do well with a senior citizen clientele.
MacDonald Ranch, somewhat of an experiment for Del Webb, is smaller in scale and lower in price. The 18-hole golf course is shorter than a standard championship layout and there's one recreation complex. The 10 floor plans have prices in the upper $90,000 to upper $100,000 range and the annual association fee is $425.
Sun City Summerlin is rapidly closing in on build-out with about 6,170 of the projected 7,700 homes completed. The 2,474-acre development is the sixth-largest of the 10 Sun City developments nationwide. MacDonald Ranch, meanwhile, is the smallest Sun City with about 18 percent of the 2,500 projected homes completed. Because it is small by Webb standards, the company is trying a few different tactics to sell the property.
Higginson, a former member of the Las Vegas City Council, said the impact of the Sun City lifestyle goes beyond the acreage at the west end of Lake Mead Boulevard, just north of the giant Summerlin master plan. He brashly says that a number of amenities in northwest Las Vegas wouldn't be there if it weren't for Sun City.
Medical centers and hospitals top the list, although a number of stores and restaurants have set up shop in the area knowing that they can profit from the demographic profile Sun City provides.
Walgreens, in announcing a major expansion plan for Southern Nevada last week, specifically identified the growing senior citizen demographic as a factor in its plan to triple the number of stores in the city in three years.
"The biggest competition we have is the home they (potential buyers) live in," said Frank Pankratz, senior vice president and general manager of two Nevada properties.
"We know that the market is coming, whether we build or not," added Higginson. "They're coming for the climate, for the favorable tax base and for the opportunities this city provides."
Del Webb executives point out that its retiree market brings in a wealth of experienced professional men and women with a lot of time on their hands. While some use the time for their own recreational pursuits, many give back to the community, Higginson said. Volunteers find their way to help at the schools and the medical centers, as business advisers in the local SCORE program and in community arts and recreation organizations.
Because of their ability to use time freely, the Sun City community is well organized. Clubhouse facilities have meeting rooms and computers, enabling residents to communicate easily. That leads to the ability to be politically active and Sun City communities are sometimes criticized for wielding too much power in their voter precincts.
In Arizona, for example, the school district surrounding the area dominated by two Sun City developments has had difficulty passing bond issues to fund school projects. The problem isn't as great in Las Vegas since the Clark County School District encompasses such a large area. Higginson said the criticism is unjustified here.
"Like any neighborhood constituency, especially one on a fixed income, this is another group that wants to (be) heard," said Higginson. "There's a preconceived notion that these people automatically vote against all taxation issues. That's not true. If they are ignored because of that preconceived notion, they'll vote accordingly."
Higginson cites the results of the last two area bond issues, one for the school district, another to fund Metro expenditures. Like the overall vote results, Sun City voters passed one part of school bond and rejected a second and also favored the anti-crime package. The latter was approved despite Sun City already having one of the lowest crime rates in Southern Nevada, largely as a result a volunteer group that patrols the area like a mobile Neighborhood Watch program.
Although Del Webb officials stress the social relationship the residents bring to Sun City, they are businessmen and they know their buyers are a tremendous financial resource.
"When they come to Las Vegas, they bring their bank accounts," said Higginson.
With a high percentage of disposable income that finds its way to the local tax base, the senior marketplace is perceived as a form of clean industry. Higginson noted that Sun City's amenities help prevent stress on local public facilities. Del Webb has an established formula for the number of recreation centers and golf courses it will build to serve its residents.
The cost of those centers are built into the square footage costs of the homes, which explains why they're so high. The Southern Nevada average cost is around $75 to $80 per square foot, while Sun City homes are more than $100.
Still, the demand for retirement property in Las Vegas keeps growing and Webb anticipates even more as the Baby Boomers reach retirement age.
To attract a broader market in Las Vegas, Webb acquired 564 acres south of Lake Mead Drive in Henderson and opened Sun City MacDonald Ranch in May 1995.
"We felt we needed to offer a range that was more affordable as well as diversify geographically," explained LeRoy Hanneman, an executive vice president with Del Webb who oversees Sun City projects all over the country and was formerly general manager in Las Vegas.
Like all Sun City properties, Del Webb's original philosophy of installing recreational amenities before selling a lot was carried out and the Desert Willow golf course opened ahead of sales.
Because MacDonald Ranch is smaller, there aren't as many amenities as its sister property at Summerlin. The golf course is smaller and there's only one recreation center. But the prices also are lower, giving potential residents a choice.
Another amenity that was left out at MacDonald Ranch are vacation villas. In most Webb properties, including Summerlin, a section of homes is devoted to vacationers contemplating buying property. Visitors stay three, four or seven days and have access to all the area amenities.
The lower price tag of MacDonald Ranch is appealing to some buyers since the last lots at Summerlin are among the most expensive.
Pankratz said the Summerlin property grew because the project was so successful. A section south of Lake Mead Boulevard was added to the original property, acquired from the Howard Hughes Corp.
The last lots available are the farthest west and are on severely sloped terrain. Since each lot is terraced, land preparation costs are high and the homes are accordingly priced.
With Sun City Summerlin growing up, Webb is looking to new opportunities in Southern Nevada.
Earlier this year, Summerlin became the third Sun City property to have residents take a controlling interest their homeowners association. Webb establishes associations when they build, hold a majority position on the board of directors, then gradually turns over control as homes are occupied.
Build-out is anticipated at Summerlin within two to three years.
By that time, Del Webb anticipates opening a new property in Henderson, a few miles southwest of MacDonald Ranch near Seven Hills, straddling Eastern Avenue south of Lake Mead Drive.
Pankratz said Del Webb is in the process of acquiring 2,500 acres in the first phase of an as-yet-unnamed development. The acquisition is coming through a trade with the Bureau of Land Management. The company is eyeing a second phase to include 2,200 acres. If the company is successful in making the acquisition, the acreage would represent an area about twice as large as Sun City Summerlin.
Because many of the different vice presidents within the Webb organization meet regularly to discuss common problems, some big ideas are being planned for the newest Sun City.
Del Webb CEO Phil Dion said the next generation of recreation centers is being developed at Sun City Grand, Arizona's newest Sun City property, located northwest of the existing Sun Cities on the highway between Las Vegas and Phoenix.
"Our rec centers are getting better and better and we've learned that our residents are wanting more fitness centers," said Dion.
The next generation of centers will be highly computerized. Fitness regimens can be programmed onto a swipe card and used at various workout machines. Reports generated by the card can be reviewed by fitness professionals who can make recommendations to the user.
"This is great stuff," said Dion. "It's the kind of health monitoring most of us would like to have."
Since experts in everything from fitness centers and pouring foundations to associations and governance communicate regularly, Dion feels each Sun City property will get better and better.
The new Sun City isn't Del Webb's only plan in Las Vegas.
The company is considering building a non-age-restricted country club development in Southern Nevada. A location hasn't been disclosed.
Dion said the as-yet-unnamed development would have a minimum of 1,000 units, a maximum of 1,800, centered around a high-end championship golf course. Webb already has a prototype of the development in Scottsdale, Ariz.
Terravita is an 823-acre complex near the famed Boulders country club, featuring a clubhouse, swim and tennis center and a health and fitness facility.
Home prices are listed between $170,000 and more than $500,000 and the $118 monthly assessment fee covers all amenities except golf. Golf club memberships cost $40,000 for play on the Greg Nash-Billy Casper-designed course.
"One of our goals is financial stability for the company," Dion explained. "We are diversifying geographically and are branching into non-age-restricted homes with country club projects and our Coventry Homes division.
"This is an industry that presents some monumental challenges. We're not pollyannas. We know that there are downturns in the economy.
"But now, we feel were are well positioned to weather whatever comes our way."
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