(To read more on the multifamily market, click here.)

ROCHESTER, MN-Cardinal Communications, a telecommunications provider and residential and commercial developer, said today it has started building a 155-unit luxury townhome and condominium project here.The $31 million project is called Stonegate Summit and will offer a built-in package of voice, video, high-speed internet and home security services to homeowners.

Stonegate Summit "represents a new model of home development," says Jeff Fiebig, president of Sovereign Cos., the division of Cardinal Communications that includes Sovereign Homes of Minnesota. "We have learned that incorporating an advanced communications infrastructure from the ground-up allows us to command a premium for our construction," he says.

The project also affords the Broomfield, CO-based company "a strong recurring revenue stream and substantial additional margin" as it continues to provide the services for years after the homeowners move in. The homes will be available for sale in early fall, with first deliveries scheduled in late 2005 or early 2006.