Where Conservation Meets Development:
On the Horse Trail

By Michael Donovan

Historically, economic development and conservation have been at odds. According to the Equestrian Land Conservation Resource (ELCR), since 2000, 13 million acres of rural land has been converted into subdivisions, shopping malls, workplaces, roads, parking lots and resorts. That’s more than the land mass of Rhode Island, Delaware, Connecticut and New Jersey combined. From a purely conservationist view, this is not welcome news. But, given the recent population growth – the U.S. population passed the 300 million mark this year – it is expected. The economic principle of supply and demand from our ever-growing population has put pressure on regions for increased development.

Instead of a growing conflict between conservation and development, a new dialogue has emerged. Thanks to a blend of technological advances, implementation of new sustainability principles, and a market demand for more eco-friendly development, new answers are surfacing to a growing problem: where will we put everyone in such a way that we can remain good stewards of our communities, land and resources?

Many builders and developers are turning to the growing demand for sustainable designs through a new market – the equestrian community. Through vision, effective planning, and leadership, more building industry members are seeing that conservation and development can be managed and transformed by building communities around the horse enthusiast.

Equestrian communities maximize the use of the natural environment for the developer, builder and the horse lover. All parties can gain access to land that otherwise might not have been available – except as part of an equestrian community.

For one, the building industry will find that many jurisdictions consider the equestrian amenity portion of the equestrian community as agricultural use. This designation can provide tax and lot-density benefits. One example of this is the ability to use areas designated as “Open Space” for horse pasture. Similarly, acreage allocated to the equestrian amenity often is not included in developed-area calculations. Both of these examples allow "greater” development to take place on constrained properties, making them more profitable.

Many developers also find increased public appreciation and acceptance due to the sustainable practices that naturally evolve in an equestrian community. These practices include reserving large tracts of open space for pasture, cross-country courses and creating and maintaining quality trails for riding. Wildlife corridors, proper pasture rest and rotation practices, water reclamation, erosion and run-off management, and maintaining the highest possible safety and health standards for the horses and their riders also are all part of the culture of sustainability required by an effectively-planned equestrian community.

Equestrian communities also require less earth-moving and other “land manipulation” techniques than typically seen with golf communities and other recreational residential developments. Developers will find that significantly less tree removal is required, and far fewer chemicals are needed to maintain an equestrian amenity than a golf course.  For example, rather than the heavy chemical use required to maintain golf-quality turf, a properly-prepared pasture area is kept appropriately weed-free with one or two seasonal mowings and the regular grazing of the horses.

Other sustainable practices, including using Leadership in Energy and Environmental Design (LEED)* certified designs along with LEED-certified or recycled materials, are also often considered in equestrian community design. Fence materials, stall and aisle flooring, and barn siding are all available in high-quality LEED-certified or recycled materials.

A significant percentage of home buyers that choose to live in equestrian communities will never be seen on the back of a horse – and that is just the way they want it. They – and the active equestrian participant – are drawn to the quality of life offered by these developments. Often called “new ruralism,” it provides an often highly sophisticated personal living environment (elaborate master bedroom suites, gourmet kitchens, smart, wireless-networked homes) in a pastoral setting with easy access to services traditionally found in a neighborhood. These specially-designed communities provide an opportunity for residents to enjoy horses (their own or their neighbor’s) on their terms and with the level of interaction they want. That interaction spans the gamut from simply viewing horses at liberty in a pasture or being ridden in one of the community's riding venues, to boarding their horse at the community facility, to providing all of their horse’s care at the private barn on their property. Furthermore, the minimally-disturbed and manipulated nature of these sites strongly appeals to many people’s desire to live in a less contrived, natural setting. Effectively-designed trails will preserve and highlight the areas of exceptional natural beauty on the property. This feature, as well as the ability for hikers and riders to generally coexist on the community’s trails, are in stark contrast to most golf communities (where hikers are welcome only during non-golf hours).

An equestrian community that has conscientiously embraced these principles is The Oaks of Lake City, a current Equestrian Services, LLC project in Lake City, FL. Situated on a 1,222-acre site, The Oaks includes a central equestrian amenity on more than 75 acres, with more than 260 additional acres preserved for equestrian parks, containing over 15 miles of looped trails. The 236 home sites have been planned to maximize view corridors and to provide a sense of open space. This project will serve the economic goals of the developers and bring employment and economic dollars to the community but will also preserve open space for riding, wildlife and outdoor enjoyment. This project – a win-win proposition – is providing a high-quality living experience for its equestrian and non-equestrian residents alike.

More than two million people own the 9.2 million horses in the United States, and another two million people are involved as equestrian volunteers or engaged in the equestrian lifestyle through family affiliations. But they also are experiencing decreasing options for managing and enjoying their horses. Developers and resort owners who investigate equestrian amenities will find a new amenity market – and new possibilities for tapping into the sustainability concept.

To learn more about The Oaks, visit www.theoakslakecity.com.

*The LEED Green Building Rating System™ is the nationally accepted benchmark for the design, construction, and operation of high performance green buildings.

Michael Donovan is a co-founder and principal of Equestrian Services LLC and Equestrian Management LLC..

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Development Tip:
Look Before You Leap - The Importance of a Feasibility Study

By Jan W. Wood

It never ceases to amaze me how a development project that is “clearly a home run” can turn out to be a poor investment. We recently came back from a feasibility study to analyze a beautiful site one-and-a-half hours outside of one of the largest and busiest economic markets in the United States. When we first received the call on this site, we were all tremendously excited, as the developer and our team were confident this would be a great project with an excellent return on investment (ROI). After all:

• The map showed it was located within a reasonable distance of a large and wealthy metropolitan market;
• The topography was well-suited for horses and for the market demands of equestrian buyers;
• The site had tremendous view corridors with truly breathtaking mountain views;
• The site was certainly large enough - nearly 1,000 acres - to achieve the density desired;
• The region has a strong equestrian market that has not yet come close to saturating the demand for equestrian buyers.

Like I said – “home run.”

Fortunately, the developer was wise enough to know he should have a feasibility study done on the project before “going hard” on the land purchase, because even the obvious winners don’t always give the desired ROI. As our team completed its preliminary research, we all arrived for the site visit with a few issues on our minds. It was clear that the entitlement process in this jurisdiction is cumbersome and would likely be costly. Although the equestrian market was booming and demand was high, the costs for hay and other supplies were skyrocketing, and the board and lesson rates in the area were marginal at best. This put a tight ceiling on the amenity operations budget. And although the site was technically located within 90 minutes of downtown, narrow and winding roads made it more likely a two-hour commute without any major delays. This put the site truly outside of commuting distance, eliminating the wealthy primary home buyers commuting into the city. Finally, the high cost of living and unfavorable tax structure of the state in question made it highly unlikely to attract a significant number of upper-middle income empty-nester retirement buyers. The result of this limited buyer pool would surely mean a slow sales pace.

By 1pm, the Client and our team agreed - this “perfect site” would not work in terms of its return on investment. There are many better ways to make money in the residential development business.
This is just one recent example of why our firm, and many developers, simply will not move forward on any residential or resort development project without a feasibility study. It is the essential foundation on which any successful project is built, providing the necessary information and guidelines that the developer needs to know regarding:

• The target market;
• The buyer profile and the source of those buyers;
• The optimal design of the community and the amenity(s);
• The equestrian programming and services that attract and retain those buyers.

From our perspective, a comprehensive feasibility study needs to look thoroughly at a project from three perspectives: the land-use, entitlement and design perspective; the market analysis including demographic and psychographic data and information; and the equestrian feasibility in terms of programs, services and operations. These three legs of the “stool” must be strong in order to insure the ROI and sustainability of a successful development project.

In reality, the cost of the study is less than one half of 1% of the cost of even a small residential or resort development project. This fractional expense can save a developer from making a multi-million dollar mistake on one end, or give them the tools and information they need to realize increased sales pricing and accelerated sales pace on the other end. In either case, it is a valuable investment to look before you leap.

Jan W. Wood is the Director of Marketing Services of Equestrian Services, LLC, with 23 years in residential and commercial real estate marketing.

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Trend Watch:
The Days of Super-Sizing May Be Over

By Jan W. Wood

In the '80s and '90s, bigger was better. We liked our cars bigger - so came the SUV craze, our meals bigger - so came the advent of the Super-Size/Combo meal, and we definitely wanted our houses bigger - so came the tongue-in-cheek term McMansions.

At the Urban Land Institute (ULI) Real Estate Trends Conference in April 2007, Keynote speaker Joel Kotkin, Economist & Senior Fellow at the New America Foundation, presented evidence and rationale for how and why more and more buyers are looking for smaller, not larger, homes. Although the demands for fit and finish, technology, and conveniences in those homes is continually increasing, the preference on total square-footage is clearly moving toward the “less is more” mentality.

In his presentation, Kotkin gave three key reasons for this trend.

Affordability
As housing prices and land prices have skyrocketed over the last decade, housing affordability has become an issue affecting buyers well beyond those in the low-income bracket. Even yuppies in the upper middle-income range are starting to talk about housing affordability at cocktail parties. As the cost of housing increases, buyers are putting more emphasis on the comforts and style of the home, choosing to spend more of their housing dollars on substance over size.

The Active American Lifestyle
Our lives are much busier than those of our parents. Our children play several sports each year, starting as early as age five. Our retirees are now active adults, traveling more and spending twice as much time out of the house during their retirement years as their parents did. The result is a new generation of buyers who do not have the time nor the inclination to maintain a large house.

The Growing Immigrant Population
More and more American buyers are people who moved here from Asia, Central and Eastern Europe and South America where the “normal” size for desired housing is far smaller than those born and raised by American standards. A 2,000-square-foot home is considered enormous in many countries around the world, and this influx of immigrants has shifted buyer perceptions.

This trend is actually good news for builders and developers, as smaller product could mean increased profitability and/or increased density where zoning allows. Whether this trend affects the bottom line per house or not, every developer knows that sales pace can make or break a project, so giving the buyers what they want is key.

One final important note from the conference - with the exception of California where more people are moving out of the state than into the state, current data shows that 70% of baby-boomers are “retiring in place” rather than relocating to new markets. This is surely a trend that will be felt in the coming years.

Jan W. Wood is the Director of Marketing Services of Equestrian Services, LLC, with 23 years in residential and commercial real estate marketing.

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Equestrian Architect/Land Planner Joins Equestrian Services, LLC

Michele Schwartz has been preparing for her position with Equestrian Services since a pivotal Career Day in eighth grade where she learned that in order to become a dentist/ orthodontist, she might need to work in an emergency room. That did it – architect it was! Michele has loved drawing and riding since an early age, two talents that prepared her well for her position as our new Lead Architect & Equine Planner.

Architecture studies at Kent State University were very time-consuming and left little time for riding; however, Michele was able to take a week long, inn-to-inn horseback riding vacation in southwestern England after she completed an eight-week study-abroad program in Florence, Italy. She also had the opportunity to travel around Europe and covered much of the continent from Athens, Greece to Inverness, Scotland and from Barcelona, Spain to Vienna, Austria.

While Michele’s training is in Architecture, she has attended various continuing education seminars and conferences on Land Planning, Urban Planning, Sustainable Design, and Solar Energy.

She is also a Registered Architect in Virginia and Indiana with more than ten years of experience in the field.

A lifelong equestrian, Michele spent her high school summers working at a horse camp for girls in northeast Ohio, where she taught riding lessons and basic horse-care principles. Her passion for riding continued throughout her years of higher education, and today, Michele and her horse Jet Set compete in Eventing. In addition to having competed in the American Eventing Championships, Michele is the Assistant Editor for Optimum Times the USEA Area II quarterly newsletter, and she is an active Area II Adult Rider member.

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Submit a Question:
Do We Really Need a Quarantine Area in Our Equestrian Amenity Plan?

Answer by Alejandra Abella, Director of Equestrian Management for Equestrian Services, LLC:
Yes, and for good reason. Although many developers ask this question when they initially see this line item in their budgets, they soon come to understand its importance in the success of an equestrian development.

The Equine Herpes Virus has afflicted equestrian facilities and race track operations in the U.S. in the last few years, and the worries about new viruses threatening both animal and human populations - such as the infamous Bird Flu - make this a timely issue. Bio-security requires a three-pronged approach: 1) vaccinate regularly; 2) do not introduce new diseases; and 3) do not allow transmission of existing disease. All three are important management strategies, and a quarantine area can help with at least two of them.

Proactive Quarantine Areas
Equine quarantine areas are the place where sick horses are segregated from the main herd, hence preventing the spread of disease. However, the most important role for a quarantine area is that of protector from illness, separating newly arrived horses from the regular equine residents and preventing the introduction of new diseases. In order for it to be effective, it must be prepared to combat the spread of illness before the illness spreads.

A quarantine area need not be an ugly, unsightly component of your facility. It can be a small stall or run-in shed with a paddock or turn-out area of its own, but it does need to be at least 300 yards from your central facility and from contact with the main herd. This is because air-borne illnesses and infected insects tend not to travel beyond the 300 yard boundary. If you have ample availability of land, you may even want to go beyond that distance (up to two miles is best), but make sure that the distance involved in feeding and caring for a quarantined horse doesn’t also cause an operation and management burden. Having to feed and clean two separate locations can affect your bottom line in terms of labor costs, so location planning is critical.

Efficient Quarantine Areas
Like with all other elements of your equestrian facility, planning is possibly the most important aspect of your quarantine area. Planning will help you correctly locate the quarantine area within your property so that it is not only effective, but also efficient.

Although a quarantine area segregates through distance, it also needs to be effective: 14 to 21 days of quarantine are usually sufficient for a concealed disease to emerge as symptoms in a new equine resident. Then, once a disease has manifested itself, the vet (and sometimes the State vet, if the condition is highly contagious) will determine how long the horse or horses must be quarantined. In addition, employees may be instructed to handle sick horses with rubber or disposable gloves and/or change clothes and shoes between handling of sick and healthy horses, thus ensuring the disease is contained and not spread. Quarantine buckets, grooming tools, blankets - all these must be segregated from the healthy herd at all times.

Good planning and design will determine the success of your quarantine area and, by extension, of your operation during a crisis. You will want your quarantine area to be at a certain distance, and yet easily accessible and manageable. Quarantine clothes and shoes may need to “live” at the quarantined area, so plan for even a small storage space. You will also want to have access to water, electricity and all the comforts of your central facility, so planning for your quarantine area must be done in unison with planning for your water access routes and electrical work. Think of direct outlets, because x-ray machines sometimes require direct contact to an electrical source, rather than through an extension cord, and the barn staff may have to clip areas of the horse’s coat for veterinary interventions. A quarantined horse may have to be off-pasture, so planning for a grass free turn-out area is essential.

The costs of having to plan, design and build a quarantine area are fairly minimal, especially when one considers the risk involved in not having one. Loss of revenues from a quarantined equestrian facility can be staggering and is unnecessary if the proper quarantine measures are in place. A quarantine area does not need to be fancy or expensive - it can be as simple as a run-in shed with stalls along with a small feed/hay storage area with water access and electricity.

The existence of a well-conceived and executed quarantine area will prove to be an important selling and marketing tool for your equestrian buyer. It will also:

• Have a positive effect on the insurance rates for your equestrian amenity;
• Ensure your facility is always open for business;
• Help to protect your facility from potential disease outbreaks and the heartaches and headaches that surely follow.

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