Railyards Housing Construction Delayed Until 2028
LDK Ventures CEO Denton Kelley says new residential construction in Sacramento's Railyards may not begin until around 2028.
Updated on Nov. 8, 2026 in Remote Work
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LDK Ventures CEO Denton Kelley said new residential construction in the Sacramento Railyards may not begin until about 2028. Kelley made the forecast at the North State Building Industry Association's annual housing forecast event, citing weak rents and market conditions.
Why it matters
Rents and the current market do not support new residential development, according to Kelley, which delays housing supply in Sacramento's core. Suburban markets along the Highway 50 corridor are outperforming the city's core in the near term.
Nationally, builder sentiment in October was at its lowest level since 2012, according to a National Association of Home Builders survey. LDK Ventures has owned the Railyards land since 2018, and it is unclear what rent or market shift would prompt construction to begin before 2028.
The players
LDK Ventures
LDK Ventures is the master developer of the Railyards district in Sacramento, having owned the land since 2018 and overseeing its mixed-use redevelopment.
Denton Kelley
Denton Kelley is the CEO of LDK Ventures, who shared the Railyards housing timeline and Highway 50 corridor outlook at a regional housing forecast event.
North State Building Industry Association
The North State Building Industry Association is a regional trade group for homebuilders in Northern California that hosts an annual housing forecast event.
The details
Kelley said the Railyards will include a Kaiser hospital, a soccer stadium, and a concert venue, and some planned rentals will be 420-square-foot micro units. He added that the Railyards will take a couple of years to get through current market softness, and that Solidigm and Micron's recent investments signal job growth in Highway 50 corridor suburbs such as Folsom and Rancho Cordova.
Timeline
October 2026: National Association of Home Builders survey shows builder sentiment at its lowest since 2012.
2018: LDK Ventures acquires ownership of the Railyards land.
Around 2028: New residential construction in the Railyards is expected to begin.
Market Landscape
Builder sentiment nationally has fallen to its lowest point since 2012, according to an October National Association of Home Builders survey. Sacramento's Railyards delay mirrors that national pullback, while suburban Highway 50 corridor markets are expected to outperform the core for the next three to five years.
Renters and buyers looking for new Railyards housing should expect the earliest new units around 2028, not in the near term. Households considering suburban options along Highway 50 in Folsom or Rancho Cordova may find more available supply and job growth from recent Solidigm and Micron investments.
The takeaway
Housing timelines in Sacramento's core are likely to lag suburban growth for several years, so people weighing where to live or work should factor in both current rents and the Highway 50 corridor's expected outperformance.
Further reading
For broader context on how housing and job location trends are reshaping where people live and work, explore Remote Work coverage for the Sacramento region.
Source note: This article includes information reported by The Sacramento Bee.
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