Hissom, Combs Plan Homes on the Range

Ronnie Hissom and Gary Combs stood beside the White River on St. Patrick’s Day and smiled like fugitive leprechauns.

Neither multimillionaire is Irish, nor were they grinning about the $120 million in greenbacks Hissom’s new Goshen subdivision is expected to be worth at build-out.

The visionaries of Waterford Estates at Hissom Farm were talking bass fishing, foliage and fields, and their plans for incorporating all three into what is believed to be the first large-scale conservation subdivision in Arkansas. Both said growing up on farms created their passion for the outdoors and the desire to build a conservation community — one with at least 40 percent of its area dedicated to green space.

The nature component at Waterford Estates, located five miles east of Fayetteville’s busy intersection of Crossover Road (Arkansas Highway 265) and Mission Boulevard, will actually exceed that figure. Hissom, the project’s owner/developer, said 200 acres or 50 percent of Waterford Estates will be preserved as open space. That will include 20 acres of lakes and water features.

Combs’ Basic Construction Co. in Springdale is the residential development’s general contractor and co-designer. Combs said it will cost $6.5 million-$6.7 million to build the project’s infrastructure including its own stepped water treatment plant.

Waterford Estates will include 200 home lots ranging from 0.75 acres to one acre. The lots will price from $100,000 each, and homes will start at $500,000. Covenants will include a 3,000-SF minimum and standard upscale requirements such as architectural shingles.

“Where else can you get three miles of this in a gated community?” Combs said, pointing at a postcard-worthy section of the White River. “Where else can you buy a lot that comes with 200 acres to walk and play on. You don’t know what’s going on down at the city park, but this is like having your own private park.

“That’s why, when you buy a lot at Waterford Estates, you’ve bought the farm.”

Hissom’s 750-acre Circle H Ranch is bounded by the White River on the south and east, Arkansas Highway 45 on the north and a mountain on the west. It includes three miles of White River frontage and is across the river from a flood plain that can’t be developed, which will give residents some natural insulation from future settlements.

Another buffer will be created by situating the majority of the green space between a long arc of homes and the highway. Hissom said he’ll develop his remaining 350 acres on the west side as Waterford Estates Phase II when demand dictates.

Hissom and Combs said the subdivision will have an architectural committee and that it will feature home exteriors with brick and stone. There won’t be, however, a set list of builders that residents are required to use.

“We believe that if a man wants to come out here and buy a lot, as long as he meets the covenants, he should be able to choose his own builder,” Combs said.

“… But all of it will be done in high style. It’s not that we’re trying to be uppity or anything, but this is going to fill the real high-end niche for the Fayetteville area.”

Combs said Goshen granted Basic Construction a grating permit, and preliminary site work was scheduled to begin in late March.

Land O’ Mulligans

Plans for an upscale development at Circle H Farms have wafted up the mountain since 2000. Originally, Hissom and Combs intended to turn the ranch into an upscale golf community through The Goshen Land & Investment Corp.

Pro Star Golf Group of Hilton Head, S.C., was set to develop an 18-hole, championship course that would be ready by fall of 2000. Plans were to include 312 home units featuring 43 exclusive home sites, villa-styled residences and condominiums.

“Ultimately, the Pro Star bunch couldn’t raise the money for the golf course, so we finally gave up on that,” Combs said. “They kept dragging it out and delaying the project.”

Hissom then teamed up with Lindsey & Associates Inc. in Fayetteville. But the rancher said Lindsey wanted to pre-sell 100 lots before doing any extensive site work, and there was apparently less interest in a super high-end golf community than was expected. After a brief period, the project bogged down again.

This time, Combs said, the difference is the ranch’s development is not dependent on any outside party. He pointed to Basic Construction’s own track record and predicted the development will be ready for home constructions by August.

“This is going to happen,” Combs said. “The only event that would delay Waterford Estates from happening would be Ronnie or myself dying.”

Andy Bethell is Goshen’s mayor, a developer and a registered investment adviser at Edward Jones Investments in Fayetteville. He said Goshen is excited to have the Waterford Estates project in the works.

“Ronnie’s farm is really a pristine area, and from what we’ve seen so far, he and Gary are going to add to that,” Bethell said. “We’ve seen things that Gary has done in the past, and they’ve been nothing but first rate. I have no doubt that they will take that property and enhance the area even more.

“Goshen has been Ronnie’s family’s home for a long, long time, and I know he wants something built on that land that he can be proud of.”

Some of the other famous citizens among Goshen’s 752 residents include trucking magnates J.B. and Johnelle Hunt, whose own ranch is about three miles east of Hissom’s, the polo-playing Dr. Brian Buell and a number of mid- to upper-level Wal-Mart Stores Inc. and J.B. Hunt Transport Services Inc. executives.

Land O’ Goshen

Despite spending most of his life outdoors, whether on the farm or in the wide open spaces of Africa on safari, Hissom said he doesn’t have mixed feelings about seeing civilization creep into his Washington County oasis. He’s already started adapting by moving his remaining 200-head of cattle to the ranch’s west side.

The late Robert and Beulah Hissom — oil tycoons from Midland, Texas — bought the original 500 acres for the farm in 1962. Ronnie Hissom, who has lived at the ranch full time for the last nine years, said he couldn’t remember what his parents paid for the property but he thought “it was high even way back then.”

The local standard at that time was $100-$150 per acre — sometimes less.

The Hissoms previously owned additional property across Arkansas 45, but the farm has been consolidated

“Mother and Dad lived up here until they passed away,” Ronnie Hissom said. “I was brought up on a ranch in west Texas where there’s nothing but sand. The closest place to Midland for a boat is about 300 miles. So this place, with the four seasons and rain and trees and everything, it’s just beautiful. I don’t have any mixed feelings about selling it because it’s a pretty place that people ought to get to see.

“We can go get some other place to run the cows. We’ll just have to step out a little farther like my parents did. Goshen isn’t way out any more, and the main thing that’s going to change here is we’re going to have kids down here playing by the river and people walking and having picnics.”

Additional amenities are expected to include a club house (size not yet determined), a 50-acre park between home sites and the river, extensive walking trails, a swimming pool, tennis courts and possible add-ons such as an equestrian section or soccer fields.

Combs — who grew up on a chicken, blueberry and strawberry farm in Baldwin — said the neighborhood will eventually be taken over by a property owners’ association. The POA, Hissom said, will be able to refine its amenity mix within the guidelines of city ordinances and the subdivision’s strict covenants.

Combs said an elaborate entrance into Waterford Estates will cost $500,000-$600,000 to build. Massive rock fences will draw residents down a central entryway through 20-30 acres that are being saved for light-commercial space. No commercial projects have been tabbed for Waterford Estates yet, Combs said, although at least one bank has expressed interest, and service-sector components such as dry cleaners are likely candidates.

Rolling berms will allow only glimpses into the development from the highway, and an internal security gate, vast open space and several water features will have to be driven past to reach the actual neighborhood.

Land O’ Cooperation

Although Waterford Estates must still be approved by the Goshen Planning Commission, Hissom and Combs have been working closely with that body since last September — early 2000 if counting the property’s previous incarnations.

The subdivision’s plat is expected to be submitted in April.

Jeff Clardy, chairman of the Planning Commission, said he told Hissom and Combs back in August that the commission couldn’t even act on Waterford Estates because it didn’t fit city ordinances at that time. Goshen previously required a two-acre minimum on subdivision lot sizes, but a more flexible rule has been in the works for a year.

On March 9, a new ordinance was passed that allows lots to be as small as 0.75 acres if a subdivision includes at least 40 percent green space. Of the remaining lots, however, 75 percent must be at least an acre.

The 40 percent open-space component may be used for things such as sports activities and walking trails. Goshen requires that those areas must be along arterial highways, and 75 percent of the green space must be contiguous.

“Some people have called the new rule ‘The Hissom Ordinance,'” Clardy said. “But that’s not how it happened at all. We were already in the process of needing to provide a more modern ordinance.”

Goshen was sued during fall 2002 by a citizens group to genuinely convert to a city of second class, or a step above an incorporated township with a population of 500 people. On paper, the township automatically became a city of the second class, which according to state law must provide such things as police protection and a comprehensive city plan, when its population exceeded 500 in 1990. But Goshen continued to operate as a township with five total alderman, instead of two for each ward, and continued to maintain its own ordinance structure.

A day before the hearing, the matter was settled out of court, and the township’s conversion began. Bethell, and a clean sweep of new city officials, took over in January of 2003. Most of the city codes approved during the last decade have had to be reevaluated.

Changing the acreage minimum, Clardy said, was largely opposed by citizens who wanted to preserve Goshen’s rural atmosphere. But the two-acre ordinance didn’t really accomplish that goal, he said, because “cookie cutter” homes could be plunked down every two acres. The compromise of open space for smaller lots, Clardy said, is a better approach for everyone.

“Ronnie and Gary have been at every Planning Commission meeting, and we’ve taken their input and have no problem with most of it,” Clardy said. “They want to develop a piece of property that will be attractive for Goshen, one that I would almost say would be cutting edge.”

Hissom said his subdivision’s population density isn’t affected by the ordinance. It just means somewhat smaller home lots, which he said is fine because a lot of people don’t want to mow a large yard.

“We’re keeping Goshen the way it’s always been, and we will comply totally with the parameters that the city has set,” Hissom said. “The mayor and city have been excellent to work with, and I’ll probably build a house over there myself. I’ve got five kids and they all want a house, too, so we may all be out here before it’s over.”

Waterford Estates Lots Could Fetch $20 Million

If Keri Barber were to sell all of the lots in Waterford Estates at Hissom Farm this year, that business alone would gross more than $20 million. It would likely be enough to land her among the top five or six residential real estate agents in the market.

Barber is a Realtor for Dallas Real Estate Services Inc. in Fayetteville, the principal broker for Waterford Estate’s 200 residential lots. The 0.75-acre to one-acre lots will start in the low $100,000s, and homes at the Goshen development are expected to price from $500,000.

She and husband, Brandon Barber, are investors in Dallas Real Estate along with David Dallas.

Keri Barber, who did $3.2 million in 2003 volume, said the potential at Waterford Estates has nothing to do with sales goals. She said new lots on Fayetteville’s coveted east side are getting more scarce, although the demand for homes near that area’s desirable public schools is also increasing.

“There’s just not many places left where you can go buy a large lot, chose your own builder and live in that nice of a neighborhood close to the schools out there,” Barber said. “People who are buying in this price range want some space, too. I see so many people moving here who want to spend top dollar on a house, but they don’t want to hear their neighbors’ phone ring.”

Dallas, principal broker at Dallas Real Estate, said his company is thrilled to be associated with Ronnie Hissom and Gary Combs’ project. He said both names mean quality.

“This is a huge boost for our company,” Dallas said. “I think they know that even though we’re a relatively new company, we’re hungry and energetic, and we’re trying to do everything we can to build this business right.

“They know we’re going to bend over backwards to give them the kind of service they want.”

About 50 percent of Dallas Real Estate’s listings are upscale, meaning $300,000 and up. The company had $4.8 million in 2003 volume.

Dallas said being able to get so much space in a subdivision, and still having neighbors, will be Waterford Estate’s biggest draws.

“People want to have neighbors, but here they’ll get the best of both worlds with ponds, rivers and walking trails,” Dallas said. “It’s going to have that country feel that people want.”

Young Guns

Dallas Real Estate Services Inc. is the listing agent for a growing number of mid-level to upscale properties in Fayetteville. In addition to Waterford Estates at Hissom Farm, the firm is listing:

Jackson Place — All 14 lots in this eight-acre subdivision near Old Wire Road and Arkansas Highway 265. Lots average a third of an acre and the average home is 3,300 SF with a price range of $400,000-$500,000. Twelve of the lots are being developed by Barber Homes Inc., owned by Brandon and Keri Barber. Celtic Construction is the builder on the other two.

Clabber Creek — About 50 lots of this 197-lot subdivision off Mount Comfort Road and near Holt Middle School. There are 109 lots in Phase I where homes average 1,600 SF to 2,200 SF and price from $168,000-$231,000.

Salem Village — 20 homes in this subdivision on Salem Road near Holcomb Elementary School. Homes here are 1,350 SF to 1,600 SF and price from $136,000-$151,000.

Legacy Pointe — 17 listings in this subdivision off Double Springs Road in the Farmington School District. Homes at Legacy are 1,850 SF to 2,000 SF and price from $190,000-$205,000.

Candlewood — Two listings in this subdivision off Arkansas Highway 265 near Township Road. They are 3,000 SF to 5,067 SF and price from $389,000-$735,000.

Land O’ Tax Haven Takes Shape Around Oxford Bend

Known early last century as Oxford Bend, named for the first settlers to this dogleg of the White River near what is now Goshen, the city offers a mini tax haven in comparison to its neighbors.

Washington County Clerk Karen Pritchard said Goshen is the only city in her area that does not collect a city millage. Adjacent Fayetteville and Springdale have city millages of 1.8 mills and 5.7 mills, respectively.

The city millage in Prairie Grove is 9.5 mills, and Lincoln collects 6.5 mills.

Gosheners still don’t escape the two public school district millages divided across its boundary for Fayetteville public schools (45 mills) and Springdale public schools (40 mills).

But for an enclave with some of Northwest Arkansas’ highest property values, Goshen appears to be a steal. Upscale Goshen subdivisions built in recent years include The Vineyards, Polo Estates, Riverland and Bordeaux Village.

Those developments added about 70 home sites with lots priced from $85,000-$140,000 and homes starting at 3,000 SF and priced from $400,000.

Gosheners have also gotten away with only one city franchise tax, 3 percent on cable television. Fayetteville’s residential city franchise taxes, for example, include 3 percent on gas; 3 percent on electric; 4.25 percent on water and sewer; 4 percent on telephone service and 5 percent on cable TV.

Andy Bethell, Goshen’s mayor, said the City Council is considering several initiatives related to future franchise taxes from 2-4 percent. It needs additional revenue to support services required of a city of the second class.

“We’re just a small bedroom community that tries to be exactly what it looks like from the road — a very, very nice place to live,” Bethell said. “We’ve had a different kind of growth here than what they’ve had in other places. In Goshen, instead of citing population percentages and numbers, we recite the names of people who’ve moved here. We know our neighbors.”

Goshen’s population grew 27.7 percent, a paltry figure by local standards, from 589 people in 226 housing units at the time of the 1990 Census to 752 people in 310 housing units by 2000.

As of April 1, 2002, that population had increased by another 60 people, according to the Northwest Arkansas Regional Planning Commission. By 2002’s end, the Commission estimated Goshen’s size at more than 812 people.

Still primarily agrarian and rural, Goshen’s geographic size is 11.2 square miles and its population density is 67 people per square mile. By comparison, Fayetteville (43.4 square miles) has 1,336.6 people per square mile and Springdale (31.3 square miles) has 1,604.

Combing the Countryside

Some of Gary Combs’ and Basic Construction’s other recent projects include:

– The Peaks residential/commercial development in Rogers, a 158-acre development along Interstate 540, will include patio homes ranging from 2,200 SF to 2,500 SF and condominiums starting at about 2,000 SF. The residences will sell from $300,000 and $225,000, respectively. Combs partnered with developer Neil Johnson of Springdale on this $220 million project.

– Sienna subdivision, a 550-lot Centerton neighborhood of which Johnson and Combs sold the 106-lot Phase I to John David Lindsey and have Phases II and III under contract with Lindsey. Combs is nearing completion of site work at the development where homes will range from 1,325 SF-1,700 SF and price from $108,000-$139,900.

– Electric Avenue Apartments, a 504-unit facility of which about 312 units are already complete, on Electric Avenue in Springdale.

– A 16,000-SF office building on Arkansas Highway 265 in Springdale that Combs said he sold to Brandon Barber-Latitude Electrical LLC. It includes 2.2 acres of highway frontage.

– Rainbow Junction, a 20-acre commercial project on Bentonville’s S.W. Walton Boulevard.

— Jeffrey Wood