SPANISH FORT, Ala. — An economic impact study of The Highlands of Spanish Fort was recently released and showed that the largest planned unit development in Baldwin County to date could bring in significant numbers of new residents, and supply a substantial tax revenue for the local and state economy.

These benefits were outlined by Dr. Semoon Chang, an economics professor at the University of South Alabama, who was commissioned by International Paper to perform the study. The Highlands, approximately 11,130 acres, was commissioned by International Paper Realty.

According to Chang, the project would create nearly 7,246 jobs, and the area economy would be pumped up by building permit fees, sales on building materials, property taxes, sales tax when sales commissions are spent, and sales tax when new residents make purchases.

The Highlands is also counting on luring new and existing residents who will be taking jobs in many of the new plants or businesses in this area or in existing businesses which are expanding, such as the shipbuilding industry and port container terminal.

Brian Dangler, project director for International Paper Realty, said the economic news for Mobile and this area keeps getting better despite building being slow in some other projects.

“Our confidence in this keeps growing,” he said. International Paper will develop the infrastructure, while homes and residences will be built by private contractors, Dangler said. The first major hurdle was cleared with the City Council approved the large-scale PUD, he said.

Dangler said he was surprised by the magnitude of the economic impact which includes approximately $8.5 billion for construction output.

According to Chang, this could mean approximately $4.5 billion in wages through year 2050. And, it is assumed that there will be increased retail sales especially for shopping destination sites like the Eastern Shore Centre. Tax revenues generated by The Highlands include property tax and building permit fees as well as sales tax on building materials delivered to the site, when sales commissions are spent and when new residents spend their household income. According to the study, for example, in 2018 the total projected tax impact would be $4,335,503.

In his report, Chang said the average price of homes in the largest planned unit development in Baldwin County to date would be around $200,000, which is approximately $14,000 below the median price of homes sold in Baldwin County in 2007. According to the report, new employees from new businesses, such as ThyssenKrupp steel plant, a proposed race track, or existing businesses such as the container port or shipbuilding industry will be potential residents.

“It is full speed ahead,” Dangler said. “We are in the sales mode now.” He denies any real setbacks or stumbling blocks regarding the project.

According to Dangler, the infrastructure is in place for Phase I, and IP Realty is currently involved in negotiations with customers from unexpected quarters, he said. Currently, there are already two developments in the works — one residential and one commercial. According to Dangler, developer Jeff Thompson is now working on installing a pond and infrastructure for the first subdivision, Stonebrook, which is north of the new Spanish Fort Middle School.

According to Dangler, houses there are expected to be available early this fall. Developer Joe Endry is developing a business park called The Highlands Park at the intersection of D'Olive and Jimmy Faulkner Drive, which will be the site of offices and a bank.

IP representatives for The Highlands recently had a booth at the Green Gulf Coast conference in Mobile, which focused on Smart Growth principals. Dangler said smart growth principles are expressed in The Highlands. The Highlands development emphasizes connectivity, flow of traffic, multi-use development, protection of the environment with minimal sprawl and maximum smart use of utilities.

Presently the trail systems and sidewalks are being worked on for pedestrian use, he said. And, with development of the Bay Minette Parkway, eventually it will be a public trail system that the whole community can use, he said.

In addition, Dangler noted that IP officials are excited about the opening of the new middle school whose sign will read “The Spanish Fort Middle School at The Highlands.” They are also redesigning Redmond Road which is East of Jimmy Faulkner Drive, Dangler said.

“We just want to be ready when they come,” he said.