Healdsburg’s Reimagined ‘Mill District’ Debuts, Sells 70% of New Homes

By Ted Andersen – Digital Editor, San Francisco Business Times

Vancouver developer Replay Destinations announced on Tuesday that it has just completed the first phase of construction on the Healdsburg project known as “Mill District” and has reached over $90 million in sales, representing the sale of 26 — or 70% — of the project’s units. Initial home buyers began moving into the first group of 43 luxury residences — dubbed “Canopy” — last month. Canopy homes start at $1.65 million and immediate move-ins are available.

Set on 10 acres near Healdsburg’s town plaza, the $500 million development’s first phase was designed by Seattle-based architects Olson Kundig, members of Architectural Digest’s AD100.

“Mill District is the first and only neighborhood of its kind in Sonoma County, and there’s nothing else like it for the foreseeable future,” said Mike McCone, vice president of development for Replay. McCone noted that the studios sold the fastest, while the two-bed, three-bed and penthouses have all sold well.

Interior design highlights include open-concept living and dining areas that flow into privately landscaped patios. Other features include Miele kitchen appliances, stone countertops, Italian-made MandiCasa cabinetry, Waterworks fixtures, wide-plank oak flooring, temperature-controlled wine walls and a free-standing sculptural tub.

In addition to Canopy, Mill District will feature a pool house and fitness center, culinary and retail experiences, a neighborhood park featuring heritage redwoods and a 53-room luxury hotel owned and operated by Replay and Mayacama. The pool house will be complete spring of 2026 while the remaining culinary and retail experiences will be completed with the hotel.

Over the summer, the boutique luxury hotel tapped Wine Country hospitality veteran Greg Champion and private club Mayacama to form a new hotel operating brand at what’s being called the “Mill District Hotel.” The hotel is still in the design review process with Healdsburg, but it is expected to begin construction in spring 2025 and deliver in spring 2027.

Phase 2 of the development will also include a 12-home community adjacent to Canopy, and Phase 3 will include 62-home and 50-home developments.

In 2016, Replay Destinations acquired the two sites for the development in a $16.5 million transaction: One was an abandoned Garden Inn and the other the home of Nu Forest Products.

Replay Destinations noted that in the 1940s, there was a housing and lumber boom in Healdsburg and that one of the most prominent operations there was Nu Forest, which operated for nearly 80 years. Before moving to its new location in Cloverdale, Nu Forest milled some timbers that will be showcased alongside mill artifacts, such as large fans from the old kilns, as well as dust hoppers that will be used in the design of the neighborhood.

 

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