Middle Tennessee
Is Nashville Real Estate Market Adjustment Good for Us?
By The Condurelis Group

In 2007, the cautious buyers of real estate in Middle Tennessee favored Nashville TN homes in the established areas.  Developers included.  In 2006, they picked up over a hundred large parcels of land in Davidson and in the eight surrounding counties.  In 2007 they completed 74 deals for 100 acres or more and most are within a 20-mile radius of downtown Nashville TN real estate.

Thanks to the natural adjustment in the market, many big farms and forested areas will remain “green” Nashville real estate assets for residents and visitors to gaze upon during Sunday afternoon drives through the countryside.  Large parcels of property in areas such as Dickson, Maury, and Sumner counties, however, were already picked up by developers in 2005 and 2006. 

Suburban development remains important.  Although builders are working hard on more underutilized lots closer to downtown, developers are still holding on to the choice outlying properties for the future.

Three of our counties are still recording increases in big-dollar land deals while existing neighborhoods are getting filled in and linked together.  The patchwork in Davidson, Rutherford, and Williamson is being embellished quite a bit.  Boasting more than $76 million in spending, Williamson County led the crowd in major land deals.  One of the biggest deals ($7.4M for 2,700 acres in Dickson County) will be subdivided into large 40-acre tracts which offer less density and preserve more of that good ole “green” space. 

Bells Bend, a rural location only six miles from downtown, is a bit less convenient in its location across the Cumberland River.  However, some developers are seeing it as bargain property in comparison to land in more established areas.  Over 500 acres in Nashville’s Bells Bend section sold for over $11M and over 600 acres sold for about $7M.  One thing that developers are doing to tighten their belts is to buy fewer acres.  We may see smaller communities on 200-acre parcels breaking ground in the next five years, some with substantial commitment to reserving green space and developing with less density.

Common sense rules today.  Investors know that our bustling city will continue to be on an upswing for years to come and, though many are tempted to sell off for cash, the smart ones are paddling back out to catch the next wave.  In the meantime, we’ll all enjoy the views and space of the undeveloped parcels in our midst.  And that, too, is good for us.

For information and assistance when diving into the local market, contact Steve Condurelis at (615) 376-5123.