New Construction on corner lot?

[Gabriel Mabry]

Just brain storming and needing some advice. I have access to a corner lot which is owned by a relative. It's located in a great neighborhood close to town and amenities. However, most houses in the area are valued from 85-115k, which rules out new construction? Is there a more secure way to make a profit such as buying a closeout modular? 

Has city water/sewer

around .5 acre lot

there are 2 -  2000 sq/ft houses in the neighborhood around 144k Would new construction be able to command high end prices and be able to sell in a neighborhood such as this?

I'd rate it as a solid B. Nice quiet older community.