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KB Homes' downsizing plan not yet approved

A motion to approve the modification to the Major Use Permit that KB Homes has for the Shady Grove development did not receive enough affirmative votes to pass at the August 18 meeting of the Fallbrook Community Planning Group (FCPG).

In order for the motion to pass, it needed eight affirmative votes; it only received five. If the motion had passed, the approval would have allowed KB Homes to downsize models in the community, much to the disapproval of those who have already purchased homes in the development.

Part of the reason that there were not enough affirmative votes to approve the motion was that three of the planning group members were concerned that KB Homes only went to one committee for approval of their Major Use Permit modification. Developers are not required to go to any other planning committee for approvals, explained FCPG Chairman Jim Russell.

According to the original plan approved for the Shady Grove development, the community would have 101 homes in the area with square footage ranging from 2,600 to 3,500 square feet. Thirty-six homes have already been built according to those plans.

At a meeting in March, KB Homes Project Manager Eric Scheck informed Shady Grove residents that the remaining (unbuilt) homes would be downsized and range from 1,600 to 2,200 square feet, with pricing between $300,000 and $500,000. Those owning homes in the development felt the change would lower their property values.

According to KB Homes, the proposed changes in size and price of the homes are in response to the poor economy and lack of a demand for high-end homes.

A Shady Grove resident notified the Department of Planning and Land Use (DPLU) of the situation in early April, expressing the residents’ worries and requesting a meeting. While the DPLU could allow the Shady Grove development to progress regardless of whether or not the Fallbrook Community Planning Group has approved the change, the DPLU generally follows the local group’s recommendation.

KB Homes representatives did not respond to phone calls by this newspaper for comment but have previously stated that company leaders are well aware of the homeowners’ concerns and have every intention of reaching a workable plan, one that is likely to entail the development being split into two different communities.

The developers have indicated that they are looking at creating homes with a separate marketing plan with a different entrance for the remainder of the homes. This, according to Stephenson, is a sign that KB Homes is looking for an alternative that would be more financially sound for the company while keeping the existing homeowners happy.

Russell stated that if KB Homes wants to bring the Shady Groves project onto the agenda for next month, the planning group will take a look at it again and come up with “a reasonable, rational and logical solution.”

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