Housing demand is not soft in South San Joaquin County.

Exhibit No. 1 to support that statement will be found on River Islands at Lathrop within the next few weeks.

That’s when Cambay Group will be adding another first to its long list of firsts for the Northern San Joaquin Valley — installation of a $500,000 prefabricated 100-foot long bridge to allow home sales and construction to continue without a pause.

The bridge will be bolted to abutments that are now being put in place. It will allow a two-lane road to span what has been known for decades as the 60-foot wide main drain canal for the 4,880-acre Stewart Tract.

When it is completed next month, Kiper and Van Daele home builders will be able to start selling and building in their new neighborhoods.

As such, it won’t slow or disrupt the momentum that has River Islands on target to sell in excess of 500 new homes this year.

River Islands CEO Susan Dell’Osso said based on numerous models calling for above average precipitation this winter, they did not want to “chance the rain” might cause delays with the construction of the permanent bridge.

Such delays could essentially halt housing sales for several of the 13 current builders at River Islands.

Installing a temporary crossing 100 feet away from where the permanent bridge costing several million dollars will be built is unusual enough.

But add the fact the final permits for the permanent bridge are expected to be approved to start construction within months, and it underscores River Islands’ faith — and consistently accurate read — of the Northern San Joaquin Valley housing market.

“We put our money where our mouth is,” noted Dell’Osso.

It is actually more than that.

River Islands — just like builders in Mountain House — have zeroed on a sub-market of middle class buyers with robust Bay Area paychecks that are more than willing to pay “property taxes on steroids” to secure a lifestyle packed with community and neighborhood amenities.

And they are in the position to pay property tax bills that are double of what they would typically be.

River Islands has maximized its community facilities district fees to the highest allowed under state law.

The CFD is financing everything from state-of-the-art schools including a high school campus to recreational amenities several cuts above a typical city.

It also provides enhanced flood protection unmatched in California as well as security considerations when it comes to property crimes and such thanks to ultimately having only four — five at the most — access points to the reclaimed Delta island master planned for 15,001 homes.

It means buyers of a home that sells for $800,000 will have a basic annual tax bill of roughly $16,000 a year.

A similar situation exists in Mountain House, some 15 miles to the northwest.

But instead of a CFD, all development in Mountain House pays an added annual assessment in excess of 70 cents per square foot that allows the funding of amenities and services at much higher per household levels than Manteca and even Tracy.

The main drain canal is in the vicinity of where River Islands High is now under construction as well as an adjacent community park.

It is also where 900 lots are ready for the Del Webb age-restricted community that Pulte Homes is building.

Pulte Homes, though is opting to wait to pull the trigger on sales for their River Islands neighborhood that has significant interest from potential buyers until the permanent bridge is completed.

That is due to the fact it would be more of a “grand entrance” to the new segment of Stewart Tract being opened up for home construction.

As such, it plays into first impressions that factors heavily into a typical age-restricted buyers view. The strategy would likely assure Del Webb of higher prices.

Non age-restricted buyers are less distracted by such details given the much more intensive jockeying buyers are still facing in the market.

There are now 3,500 occupied homes on River Islands with a population of roughly 11,000 or a third of Lathrop’s overall resident count.

Most of those homes are selling between $750,000 and $900,000.

And while high interest rates have seen some builders resort to incentives, buyers are still selling between 7 to 10 new homes a week.

Dell’Osso said there was one week a few months back when a surge in interest rates, dropped the sales count for a seven-day period down to 2, which was half of all new homes sales within San Joaquin County that week.

The next week, River Islands sales were back up to between 7 and 10 homes.

Builders that a year ago had standing inventory after a number of buyers were opting out of contracts due to higher interests cost, now have none.

Home sales are now on track to surpass 500 this year, below the 640 that sold in 2030.

That said, River Islands from start projected buildout to take 30 or so years.

To do that, an average of 500 homes need to be sold on annual basis.

To contact Dennis Wyatt, email dwyatt@mantecabulletin.com