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Friday, October 9, 2026 at 1:40 AM

West Babbitt developer holds public forum

West Babbitt developer holds public forum
An image of the “Cottage” home listed at $300,000 to $350,000.

West Babbitt developer Terry Pernsteiner visited Babbitt for a public forum on Thursday, Oct. 1 to answer citizen questions and showcase home designs.

“What we have here is a great opportunity and a great project,” Pernsteiner said.

Construction is expected to launch in spring 2027, with two spec homes installed toward the beginning of the process.

Pernsteiner said his home builds will target working families and individuals. He aims to prioritize affordability through designs that are both “really functional” and “really beautiful.”

West Babbitt will feature Americana-style houses. Preliminary designs showcase farmhouse modern flair, cottage- style homes and multifamily housing with a colonial appearance.

“I care about what we can make this place look like for the young people,” Pernsteiner said.

Pernsteiner added that he grew up in a town of 3,500 people and understands local concerns about how Babbitt might change with the new homes in place.

Two apartment buildings and several townhomes will go into place on the east end of the 130acre development.

Pernsteiner suggested reducing lot sizes across the development to increase affordability. However, a number of the one-acre lots drawn up during the development’s initial planning phases could remain full-sized for those seeking a more dispersed feel.

“I like rural living, but the burden goes back to taxpayers. It comes back to bite you. Who’s paying for it? There are fewer people spread over the neighborhood,” Pernsteiner said.

Only the furthest east section of the development is a permanently- recorded plat, with a majority of the map still conceptual and available for alterations.

Council member Joe White said the council is more than willing to make changes if reduced lot sizes help sell homes.

“We’re here to assist you in getting this project done,” White said. “If the lots are an issue, we just need to sit down and come up with a plan for how we minimize that.”

Representatives from the Conservation Club presented concerns about the development’s proximity to the gun range.

Club members are concerned that noise complaints from future residents will lead to the gun range’s closure.

Pernsteiner said the club’s concerns could be addressed with the implementation of a through street on the development’s west end.

“The Conservation Club is a huge, important thing for all of us in the community,” White said. “It’s one of the best ranges around. It’s one of the few sports our kids are still involved in, so we definitely don’t want anything to happen with that.”

Mike Rhein of the Babbitt ATV and Snowmobile Club spoke about the importance of the ATV trail that runs near the development. Thousands of off-road vehicles pass through annually.

“That chunk of trail is a vital piece of our trail system,” Rhein said.

With the trail immediately north of the parcel, Rhein said dust could blow toward the area on dry days with northwest winds. Rhein said noise complaints could pose an additional concern.

“The trail system has a huge economic impact, summer and winter, for our businesses here in town,” Rhein said. “It would be catastrophic if it went away.”

Pernsteiner said a conifer barrier will be planted north of the phase one development section, ameliorating dust and noise concerns and improving the property’s aesthetics.

“I want to get a big spade and start treeing up that spot. We don’t even have to buy trees. We have thousands of them right there,” Pernsteiner said.

“We want to impress (drivers),” Pernsteiner said. “We don’t want to make it look like there’s some institution sitting there.”

Discussions are in the works for trail re-routes.

White extended a formal invitation for Conservation Club and ATV representatives to join planning meetings moving forward.

One resident inquired about multifamily home ownership options. Those interested in twin homes may own or rent their unit, Pernsteiner said. There will not be any homeowners associations in West Babbitt.

Pernsteiner suggested marketing the new development with billboards on Hwy. 35, in addition to other advertising efforts.

“We want to market everywhere so we start getting momentum,” Pernsteiner said. “That is a very large parcel. We want to create a destination.”

Pernsteiner’s primary development company, Pernsteiner Builders and Developers, will carry out construction across the development.

Pernsteiner entered into the purchase agreement with the City of Babbitt under his Minnesota LLC called Solum Holdings. Solum is Latin for “land” and Pernsteiner is the sole owner and affiliate of the LLC.

Development will occur over four phases, with individual closing dates for each section.

According to the purchase agreement between Solum Holdings and the City of Babbitt, phase two closing must occur within two years of the phase one closing date. Phase three and four closings will occur within three years of the previous closing date.

Those looking to purchase a development home or unit can contact Pernsteiner Builders and Developers for more information. Prospective buyers may discuss design ideas if interested.

An image of the “Craftsman” home listed at $330,000 to $390,000.
Kitchen in the “Farmhouse” from Pernsteiner Builders and Developers.

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