Peninsula brings New Urbanism to Iowa

The first traditional neighborhood development in Iowa — the Peninsula Neighborhood in Iowa City — is off to a good start in terms of sales and aesthetics, but costs have been a problem. Three months after the grand opening, more than half of the 81-unit first phase is sold or reserved, according to Terry Stamper of developer TL Stamper Holdings. The houses are making a good impression on buyers, Stamper says. “It’s tripping all of the right responses — emotionally, and physically, and intellectually — and people are making the decision that they want to live here. The only ones that walk away are the ones that I can’t find them a house at the right price.” Detached homes begin at $220,000, while rowhouses begin at $199,000, he says. In addition, 10 percent of the total 380 residential units will be affordable to those earning 80 percent of the median income. These units are in design, and will meet the same the design criteria as the market-rate housing. Stamper Holdings — formerly Peninsula Partners — was selected by the city to develop the site, located within the city but surrounded on three sides by the Iowa River. Making more housing types available will lure more buyers, he says. Rowhouses, duplexes, and loft units in mixed-use buildings are under construction. Despite the public response, developing the Peninsula Neighborhood has not been easy. The construction lender — an out-of-state bank — demanded an unusually fast payback. At the same time, design, education, and construction costs have been significantly higher than expected, Stamper says. “The more drawings you have that show how to do things like porches and columns, the more chance you have of getting it right —and that becomes very expensive. We’re going through the learning curve with the trades, and they are eating us alive. They bid one [cost figure], and then they come back with another. But we’re getting a steady stream of qualified buyers, so it is worth the effort.”