General Area
The subject property is located in the central portion of the City of Eastvale (“City”) in northwestern Riverside County. The black star on the below map shows the approximate location of JCSD CFD No. 47. It should be noted that the City is not the issuer of the subject special tax bonds.
_________________________________________________________________________________________________________ Appraisal Report
Jurupa Community Services District CFD No. 47 – Copper Sky by DR Horton
Kitty Siino & Associates, Inc. Page17
History
In 1893 when the County of Riverside was created, within the minutes of one of the first meetings there is a reference to the “East Vale” school district which was located in the area we now know as Eastvale. By the 1950s, Los Angeles’ population had expanded into outlying farm lands with dairymen moving their operations into the area. Dairies in Eastvale, Chino Valley and Ontario were owned and operated primarily by Dutch and Portuguese families. In the 1990s as the City of Corona neared build-out, residential homebuilders looked toward the north and south along I-15 with the Eastvale area being the best land available for development to the north. On October 1, 2010 Eastvale became California’s 481st and Riverside County’s 27th incorporated city. Eastvale has a
total area of 13.1 square miles.
Population
Eastvale has historically been one of the fastest growing areas in the County. Per the 2010 U.S. Census the population of Eastvale was 53,668 residents in 13,640 households with an average household size of 3.93 persons. Per the California Department of Finance the population grew to 63,162 by January 2016 which is a 3.8 percent increase from the previous year. This is the largest increase of any City in the County of Riverside during this time period. The 2000 Census indicated the area had a population of 6,011 suggesting an over 950 percent population increase in the past sixteen years.
Housing
Eastvale had a 2014 estimate of 15,603 existing housing units (most recent available estimate) per the Southern California Association of Governments. Between 1999 and 2005, homes in the Eastvale area sold at an exceptionally rapid pace due to the City’s location and the essential build-out of neighboring Corona of easily developable land. Within Eastvale most homes are located within a Community Facilities District with typical overall tax rates ranging from 1.5 to 2.0 percent. Eastvale was hit particularly hard by the housing bubble burst of the late 2000s. A large portion of the community’s homes were sold between 2000 and 2007 at inflated prices fueled somewhat by the availability of subprime mortgages. In June, 2006 the median home in Eastvale was valued at $601,000 while in June 2009 the median price was $304,000, an approximately 50
_________________________________________________________________________________________________________ Appraisal Report
Jurupa Community Services District CFD No. 47 – Copper Sky by DR Horton
Kitty Siino & Associates, Inc. Page18
percent decrease in home values over the three year span. Between 2009 and 2011 the development of smaller sized (square footage) homes became typical in Eastvale. However, in 2012 homebuilders began again building larger sized homes; similar in size to the homes built prior to the real estate recession. According to Zillow, a web based analytical real estate research firm, the median value of a home in Eastvale is $507,100 suggesting an increase from the bottom of the market of over 66 percent, however still 15 percent below the previous peak in 2006. It should be noted that these are Zillow value estimates and the median actual sale price of a home in Eastvale (over the past 90 days) is $488,150.
Eastvale was one of the first areas within the Inland Empire to come back into the new housing market after the Great Recession. In 2010 and 2011 when there was virtually no land development in the Inland Empire, several major home builders began developing residential lots within Eastvale while in 2012 and 2013 additional homebuilders began developing in the area. Currently DR Horton, KB Home, Lennar and William Lyon Homes are all selling in Eastvale. Due to nearing build-out of residential lands within the City, the majority of the projects are on small lots (similar to the subject property) or are condominiums.
With Eastvale nearing build-out of new single-family detached housing, new home projects are opening in surrounding communities. Within the southwestern portion of the City of Jurupa Valley (approximately two miles east of the subject property) there are eight currently selling neighborhoods within five communities. In the City of Ontario’s new Ontario Ranch area (formerly known as the New Model Colony) located approximately one mile north of the subject property, there are seven new projects currently marketing in the Park Place (Subarea 29), five new home projects in the New Haven (also known as The Avenue) area of Ontario Ranch and two Lennar projects at West Haven. In addition approximately two miles west of the subject in the City of Chino, the master planned community of The Preserve has three new projects selling while in College Park there is another new project.
_________________________________________________________________________________________________________ Appraisal Report
Jurupa Community Services District CFD No. 47 – Copper Sky by DR Horton
Kitty Siino & Associates, Inc. Page19
Economy
Several major retail developments opened in Eastvale over the past fifteen years. Eastvale Gateway opened in 2003 at the northeast corner of Limonite and Hamner Avenues. This development is anchored by a Home Depot, Vons, Best Buy, Target and an Edwards Theatre complex. Cloverdale Marketplace opened about the same time at the southwest corner of Limonite and Hamner Avenues and is anchored by a Ralphs Supermarket with a second phase opening in 2013. Along Archibald Avenue at Schleisman Road a neighborhood shopping center anchored by Albertson’s Supermarket opened in 2006. Also located across the street there is a newer center known as The Marketplace at The Enclave anchored by a CVS Drug Store with several in-line and pad stores complete and leased. In addition, the Vernola Market Place is located at the southeast corner of I-15 and Limonite Avenue (in Jurupa Valley) anchored by Lowes Home Improvement Store. Eastvale Gateway South located across Limonite from the original Eastvale Gateway opened in 2013 and now includes a Taco Bell, McDonalds, Walgreens, 24-Hour Fitness, a medical office building, inline space and a Chevron Station. There are future plans for a WalMart at the southeast corner of Limonite and Archibald Avenues and a project known as The Ranch at Eastvale at the northeast corner of Hellman Avenue and Kimball Avenue. The Ranch is proposed for over 100,000 square feet of mixed use commercial space including 17 acres of retail, 43 acres of industrial, 48 acres of business park and 9 acres of interior roads. Finally, in the pan-handle area of the City along Hamner Avenue is a new business park which is under development which will house several new industrial and distribution buildings.
On a more macro level, there are three regional shopping centers along I-15 within 15 miles of Eastvale. The first, Ontario Mills Mall which opened in 1996, is a regional outlet mall while the second, Victoria Gardens in Rancho Cucamonga (opened in 2005), is the premier regional mall in San Bernardino County. In addition Dos Lagos, a smaller lifestyle center opened in 2006 and is located approximately 10 miles south along I-15 in South Corona.
_________________________________________________________________________________________________________ Appraisal Report
Jurupa Community Services District CFD No. 47 – Copper Sky by DR Horton
Kitty Siino & Associates, Inc. Page20
Summary
Over the past 20 years Eastvale has transitioned from a dairy farming area to a large, incorporated city with thousands of homes. Originally a first-time buyer area, Eastvale has evolved to an established community with a significant number of larger homes. Several major retail projects have opened and appear to have been well received. New commercial projects are in the planning and development stages. While nearing residential build-out, the area has minimal large land parcels available for development with a few new projects currently selling, however mostly are residential small lot neighborhoods. Eastvale was considered a sustained pocket of development in the County during the recession when land development continued for both residential and retail projects. While median housing prices have risen substantially since 2009, they are still below the previous peak of 2006. However, prices have appreciated more quickly in Eastvale than most other areas of the Inland Empire.
_________________________________________________________________________________________________________ Appraisal Report
Jurupa Community Services District CFD No. 47 – Copper Sky by DR Horton
Kitty Siino & Associates, Inc. Page21