Institutional-Level Subdivision Development in Johnstown, Ohio: A Strategic Look

[Robert Ellis]

Key Points:

• Intel’s Columbus Expansion: A transformational mega project driving demand.
• Johnstown School District: Prime for horizontal subdivision development.
• Land Availability & Affordability: Large tracts under $100K per acre.
• Infrastructure Dependencies: Sewer and water expansion are crucial.
• Investment Opportunity: Targeting equity investors writing $1M-$5M checks.

Introduction: Why Johnstown is the Next Big Opportunity

With Intel’s $20 billion investment in semiconductor manufacturing just outside Columbus, Ohio, the surrounding region is set for massive economic growth. While many investors focus on New Albany, the true opportunity lies in Johnstown, Ohio—directly adjacent to the Intel project, offering abundant land at competitive prices.

Johnstown’s land availability, affordability, and infrastructure potential make it an ideal target for institutional subdivision development. Unlike New Albany, where land prices and availability are restrictive, Johnstown offers an open runway for horizontal development, providing a direct path for national and regional builders.

Intel’s Impact: A Mega Project Shaping the Market

Intel’s plant, originally slated for 2027, has faced delays pushing full operations to 2030. Despite this, the plant is expected to reshape the economic landscape of Columbus, creating high-paying jobs and increasing housing demand.

This type of transformation has historically driven substantial housing shortages in similar projects nationwide. Developers who position themselves now can capitalize on the early-stage land appreciation and control supply for the coming years.

Johnstown: A Data-Driven Market Analysis

Land Price & Availability:

• Johnstown land prices: Average below $100,000 per acre.
• Availability: 15 to 50-acre plots are common, unlike New Albany’s scarcity.
• Target purchase: Institutional-scale developers seek $1M-$5M land acquisitions for subdivision planning.
• Comparable markets: Similar suburban expansions have seen 3-5x land value growth post-infrastructure improvements.

New Construction Market:

• Average new build price: $458,000 (Johnstown 2024).
• Lot acquisition targets: 10-15% of home sale price.
• New construction inventory: 13 homes sold in the past year, signaling early-stage demand.

Infrastructure Considerations:

• Water & Sewer Expansion: A critical factor in large-scale horizontal development.
• Utility availability: Developers must conduct due diligence on rezoning and service expansion.

The Johnstown Horizontal Development Fund

The best approach to maximizing land gains in Columbus is to structure a horizontal equity development fund, focused on acquiring and entitling land for large-scale residential development.

Fund Strategy:

• Land Aggregation: Acquiring 15-50 acre tracts in Johnstown for future subdivision.
• Infrastructure Planning: Working with municipalities for water and sewer expansion.
• Entitlement & Rezoning: Increasing land value pre-development.
• Sell to Builders: Deliver finished lots to national and regional homebuilders.

This strategy mirrors successful suburban expansion models seen in cities like Phoenix, Austin, and Raleigh, where early land investors have generated 5x-10x returns.

Why Now? Timing the Market Entry

• Intel’s delay means developers have time to prepare land.
• Infrastructure development is imminent, creating significant land value appreciation.
• Institutional investors are seeking stabilized land investments with long-term upside.
• The New Albany Company has already begun Johnstown Gateway Development—validating the market.

Conclusion: A Call to Investors

The time to enter Johnstown’s horizontal subdivision market is now. With land prices still under $100K per acre, and major economic tailwinds from Intel, institutional capital can position for multi-fold appreciation in the coming years.

Investors writing $1M-$5M equity checks can secure prime subdivision-ready land, entitle it for housing, and capitalize on one of the Midwest’s biggest economic expansions in decades.

For investors looking for high-velocity land appreciation, Johnstown is the next logical step in Columbus’s growth trajectory.