Builders snag hundreds of lots in West Valley master-planned community

By Angela Gonzales

Under new ownership, the 20,000-acre Estrella master-planned community in Goodyear has sold hundreds of lots to homebuilders within the past year.

Most recently, Miami-based Lennar Corp. (NYSE: LEN) paid $48.9 million for 359 lots and Denver-based Richmond American Homes paid $25.6 million for another 149 lots at Estrella, according to Tempe-based real estate database Vizzda LLC.

Closing on Sept. 30, the acquisitions totaling 508 lots add to another 211 purchased by Richmond American Homes and Addison, Texas-based Brightland Homes earlier in the year.

In October 2021, San Diego-based Newland Communities Inc. sold the Estrella project for $212.5 million to Scottsdale-based Harvard Investments Inc., Pennsylvania-based Toll Brothers Inc. (NYSE: TOL) and Minneapolis-based Varde Partners Inc.

Since then, the partnership has invested $4 million to $5 million into the community's infrastructure and amenities, said Jeff Zimmerman, vice president of development for Estrella Development Co., which oversees the Estrella Development LLC joint venture.

Investments include new parks, improved signage and a renovation of the golf clubhouse exterior, with interior upgrades planned over the next couple of years, Zimmerman said.

The Welcome Center at the gateway to the Estrella community has won three regional and national design awards this year.

"Estrella has been pretty slow growth and sleepy for several years, but when this group bought it, we have spent a lot of money trying to polish it up and get it back," Zimmerman said. "This is really coming back. We are in discussion with other big builders."

Jeff Gunderson, senior vice president of land acquisition at Lennar, has noticed the owners' efforts.

"The new ownership has certainly done some things to spruce up the community and repurposed a few things," Gunderson said.

Lennar exec: Estrella now more appealing to builders

The last time Lennar purchased land at Estrella was in 2017, and it finished selling out its 106-home community, called The Signature at Estrella, about five years ago.

"They have certainly made it more appealing to homebuilders and how we market our homes," Gunderson said. "It's always been a tremendous master plan. The amenities at Estrella are unlike anywhere else in the Valley."

Gunderson and Zimmerman — along with Greg Abrams, vice president of land acquisition for PulteGroup Inc. (NYSE: PHM) — are featured speakers at Valley Partnership's Oct. 25 breakfast. They will discuss housing and master-planned communities.

Home to a Nicklaus-design championship golf course, amenities include Starpointe and Presidio Residents' Clubs, the Yacht Club of Estrella, two fitness centers, resort-style swimming pools, basketball, volleyball, pickleball and tennis courts.

Estrella also has more than 500 acres of open space that feature more than 50 parks and 65 miles of paths and trails, plus 72 acres of lakes for kayaking, sailing and catch-and-release fishing.

"Harvard's management is more conducive to what we're looking at for a master-planned community and how they're managing things today," Gunderson said.

Lennar's and Richmond American's lots are within Estrella's Montecito village, with home sites ranging from 47 feet up to 65 feet wide.

These lot purchases represent the third phase of Montecito, which will have upward of 5,000 homes upon completion, Zimmerman said.

Lennar is bringing four unique product lines to Montecito, with homes ranging between 1,100 and 2,600 square feet, Gunderson said. Included in those offerings will be Lennar's NextGen multigenerational product that features an attached suite with its own separate entrance.

Estrella could see even more development

Scottsdale-based Land Advisors Organization's Greg Vogel, Ryan Semro, Bret Rinehart and Wesley Campbell negotiated the lot sales on behalf of the owners of Estrella.

"I think it will become one of the more active communities in the country," said Vogel, Land Advisors' CEO.

"Estrella has the potential to sell 1,000 units a year," he said. "I would expect to see no less than eight active builders selling in Estrella in the next 18 to 24 months as they get infrastructure in. It should really be ramping up extensively."

Vogel also hinted at a large scale active adult community that may be built at Estrella. He expects an announcement for this project within a year.

About 17 miles west of Phoenix, Estrella has more than 8,200 homes, with another 1,500 projected to be developed within the next three years.

Home prices start in the high $300,000s for new homes built at Estrella, Zimmerman said.

"Estrella is very attractive right now," Zimmerman said. "It's got a refreshed, very new fresh look. Builders are excited about it. It's got water and all the utilities. We've got almost 5,000 acres all under one ownership group that's open for business. That's great for the city because they only have to work with one developer instead of eight to 12 different folks."

When Estrella opened in 1988, it was deemed far on the fringe of town, Vogel said.

"Now it is quite frankly the largest infill master plan in our region with proximity to everything — explosive job growth in the southwest Valley, explosive investments in infrastructure," he said.

"What's unique about this community is that it is near all the job growth along Loop 303, but it also is a decompression zone once you cross the Estrella Parkway Bridge or the Cotton Lane Bridge south of Interstate 10," Vogel said. "You've left the urban environment and you're in a safe and small town of its own."

If voters pass Proposition 479 to extend the half-cent sales tax next month, SR-30 will be built as a reliever of I-10 right through the intersections of Cotton Lane and Estrella Parkway, with interchanges at both, Vogel said.

"Estrella is a place where builders can come in and always get replacement inventory," Vogel said.

Final Thoughts

For anyone considering a move to Arizona, Estrella in Goodyear is a community that’s not just growing—it's thriving. With significant investments from homebuilders and developers, it offers a lifestyle that blends modern amenities with the serene feel of a small town. If you're looking to settle into a place that offers everything from scenic trails and lakes to top-notch recreational facilities, Estrella might just be your perfect match. Whether you're planning to work in the nearby booming job markets or simply looking to enjoy the warmth and beauty of Arizona, Estrella is a promising place to call home.