Stalled luxury housing complex in Stateline set to break ground at mobile home park site

By Kathryn Reed

Luxurious, high-end housing on the shores of Lake Tahoe designed to be second or third homes for the wealthy – presumably from the Bay Area – is set to break ground in summer 2016.

The project isn’t new. It’s been stalled because of the economy and the inability of the developers to secure financing.

Tahoe Beach Club, when it is built out, will include 143 units, a private 40,000-square-foot beach club on the water, restaurant, spa, workout area and facilities for banquets-parties-weddings. The club will offer memberships to the public.

It will be built in three phases, with occupancy expected to be ready in 2017. This will include 46 units, the clubhouse and gatehouse. Completion of the project will depend on how sales go as well as loans. If all goes according to plan, Tahoe Beach Club could be built out in 40 to 44 months once construction starts.

All of this will be built at the end of Kahle Drive in Stateline. By summer the remaining trailers at Tahoe Shores Mobile Home Park will be gone. The remaining residents have been given notice.

The project has been controversial since 2002 when the trailer park changed hands and the owners made it known the current residents would have to move.

Mobile home residents will need to have different lodging in spring 2016. Photo/LTN

“On the human side we want to do the best we can,” Tom Castaneda told Lake Tahoe News. He and Bob Mecay are the principles of Tahoe Beach Club. “We’ve met with every single one and told them the good news. I can give them some direction, which they have been looking for for 15 years.”

The developers will be responsible for helping with relocating the remaining 11 coach owners. There are also about 30 trailers that are being rented.

Part of the approved plans call for turning apartments on the street into deed restricted low income housing in which many of these people would qualify.

Castaneda would not put a price on the units, but mentioned how new high-end construction not on the lake is going for between $900 and $1,000 per square foot. These units are expected to be between 1,250- and 3,500-square-feet. On the low end that is $1.125 million. All will be whole ownership.

The duo doesn’t regret delaying the project.

“If we had gone into the market in 2009 when it was first approved, it would have been a disaster. I think it would have been extremely difficult to get construction financing. If we had gotten it, it would have been hard money and leveraged strongly,” Castaneda said.

During this time there has been some work done on the property. A nearly 160-foot pier, part of which is floating, has been installed.

More recently the Kingsbury General Improvement District pump house that was near the beach has been moved to the far southwest section of the property near where the current entrance to the trailer park is. A larger building had to be built to meet certain codes and regulations. Tahoe Beach Club gave KGID an easement on the property for the new structure.

Another advantage to the delay is being able to keep with contemporary design and interior features. While neither the footprint of the property nor the height of the buildings is allowed to change per the Tahoe Regional Planning Agency permit, the look and interiors can. There can also be fewer units, just not more.

“We can decide what the market is calling for,” Castaneda said.

Final architectural renderings are not complete.

IMI has been hired to be the sales team – the same company that sold Martis Camp and Lahontan in the Truckee area. Presales are likely to begin in the spring.