Hillwood Communities plans new neighborhood in Lockhart

By Anthony Collins

LPR Editor                        

    A major new residential development planned for Lockhart is beginning to take shape, with Hillwood Communities outlining plans for a 1,105-acre master-planned neighborhood that could bring more than 2,600 homes to the city over the next decade.

   The project, now known as Harken, was previously referred to as Spencewood in city documents. The development is planned on land between Dry Creek Road and U.S. Highway 183, placing it along one of Lockhart’s key growth corridors.  Representatives with Hillwood Communities presented updated plans to the Lockhart City Council during a June 30 special meeting. The project calls for approximately 2,600 to 2,700 homes, along with about 38 acres set aside for multifamily and commercial development. “When we look at the next 10 to 15 years, this is a tremendous opportunity for our customers, builder base and for the city to grow in a way that we think will be attractive for everybody,” said Duke Kerrigan, Hillwood senior vice president and general manager in Austin, during the meeting.

   The size of Harken would put the Lockhart project in line with some of Hillwood’s other major Central Texas developments, including Wolf Ranch in Georgetown, which spans about 1,120 acres. Hillwood is also working on the Melina community in Georgetown, an 840-home project.

   In Lockhart, the home lots are expected to cover about 609 acres and be developed across five phases. Kerrigan said Hillwood has carefully studied the lot distribution and believes the plan will allow the company to attract a strong mix of builders and buyers. “The goal here is to have a good distribution of where we think we can capture as much home sale activity,” Kerrigan said. “A lot of evaluation went into this, and we are very, very confident in this distribution.” According to the timeline discussed during the meeting, Hillwood hopes to close on the Harken land this fall and begin preparing for construction shortly afterward. The company is aiming for a summer 2027 construction start, with the first phase expected to deliver about 450 home lots by fall 2028. Homes would continue being built on a mix of 40- to 80-foot lots through 2038.

   Hillwood is also working to bring multiple homebuilders into the project from the beginning. Kerrigan said the company has pitched 12 builders for the first phase, including Taylor Morrison and David Weekley Homes. Hillwood has already received several letters of interest, with additional responses expected soon. “We really envision having seven to eight builders in here from the get-go,” Kerrigan said. “In order to get that, you need to fill different lot sizes with different builders to create momentum.” Beyond the homes, Harken is expected to include several major amenities intended to create a full neighborhood experience. The first phase of amenities, expected in fall 2029, would include a customer experience center designed to serve as a central gathering place for residents and visitors.

   Kerrigan said Hillwood wants the amenity center and programming to help establish Harken as a welcoming gateway into Lockhart. “We’re trying to create a critical mass, a point of interest for someone to arrive in this community,” Kerrigan said, noting that many early buyers may be commuting from other areas. “We consider this site to be a gateway community to Lockhart, so we want to have a comfortable feel upon their arrival.” Plans also include a community farm, sports complex, open space, pocket parks and a trail system throughout the neighborhood. Kerrigan said the goal is for every homeowner in Harken to be within a quarter-mile of some type of trail connection.

   As Lockhart continues to grow, the development has also raised questions about future school needs and how Lockhart ISD may be involved. Lockhart ISD Superintendent Dr. MarkEstrada said the district’s involvement with the proposed Harken development is limited to discussions regarding a possible land donation for a future elementary school site. “As our community continues to grow, the district has a responsibility to plan ahead and evaluate opportunities that may help meet the long-term educational needs of students and families,” Estrada said. “The donation of land for a future school is one component of that planning process.”

   Estrada said accepting a future school site would allow the district to preserve options as enrollment grows and help ensure educational facilities can be located closer to where students and families live. “Acceptance of a school site allows the district to preserve options for future growth and helps ensure that educational facilities can be located where students live,” Estrada said. However, Estrada emphasized that Lockhart ISD is not part of the development approval process. “The district is not a party to the development approval process,” Estrada said. “Decisions regarding zoning, land use, and development approvals rest with the appropriate governmental entities. Our focus remains on serving students, planning responsibly for future enrollment needs, and being good stewards of taxpayer resources.”

   The project has been a recurring item on recent City Council agendas. Council members granted a fourth 90-day extension for the proposed municipal utility district in May. Since discussions with the city began in 2024, the structure of the project has changed. Instead of moving forward as a development in the city’s extraterritorial jurisdiction, the current proposal includes annexation plans, an in-city municipal utility district and the creation of a Tax Increment Reinvestment Zone, or TIRZ.

   A TIRZ is a financing tool that allows future increases in property tax revenue within a designated area to be used for public improvements such as roads, utilities, drainage and other infrastructure needed to support development. During the June 30 meeting, council members voted unanimously to support the creation of a TIRZ for the neighborhood and allow city staff to continue negotiating the final development agreement with Hillwood. Lockhart City Manager Joseph Resendez called the vote a “key milestone” that allows the city to continue working through the details of the project and future discussions with Caldwell County.

   City officials have not taken final action on the overall development. Discussions around the project are expected to continue as the city reviews issues related to land use, infrastructure, utilities, roadways and future growth. While home sales are still several years away, the Harken project represents one of the largest planned residential developments in Lockhart’s history. If completed as proposed, it would bring thousands of new residents, new infrastructure demands and new opportunities for commercial and school growth. “We’re about three years away from home sales, but there’s a lot of work that gets us to this point,” Kerrigan said.