AUGUSTA -- The neighborhood of the future. That's what Mark Johnston calls Cony Village, a new neighborhood going up on the city's east side.

"The focus of this development is to maximize green space while promoting energy efficiency and fostering community spirit," said Johnston, chief financial officer of the Kennebec Valley Community Action Program.

He is not the same Johnston who is president and chief executive officer of Kennebec Savings Bank, although the bank has provided funds toward the project.

KVCAP is behind the development, along with Bread of Life Ministries. The two nonprofits have contracted Vallee Real Estate in Hallowell to serve as real estate broker.

Cony Village is considered a "smart growth" neighborhood. It is characterized by smaller home lots and large shared green spaces. The plan is to reduce sprawl while allowing for different sizes of lots and continued development.

Cony Village was originally planned to be a six-house development.

The plan is now for 43 -- 27 houses and 16 duplex-style townhouses and condominiums -- with 16 acres of green space, walking trails and a community center.

"The days of sprawl are over," Johnston, of KVCAP, said. "Cities and towns need to look at housing development in a different light than they have in the past few decades."

Four homes have been built, and the first buyer is expected to move in within a month.

Two of the homes were built by Capital Area Technical Center students under the supervision of their instructor, Bruce Baker.

Dean Lachance, executive director of Bread of Life Ministries, said residents of Cony Village would also be able to have "green" appliances and light fixtures that reduce energy consumption -- and in turn, their energy bills.

"Buyers may choose to use energy- efficient appliances in their homes within Cony Village, which really makes sense, if you think about it," Lachance said.

"You can buy a 10-year-old house for cheap, which is fairly new as far as houses go; but there are always going to be the ongoing costs of maintenance. We offer a way to keep these homes low-maintenance, and thereby, low-cost, for homeowners."

Lachance said Cony Village is aimed at teachers, police officers, state workers, senior citizens and young families.

Residents are within walking distance of Farrington Elementary School and public transportation routes are accessible.

"There's this entire demographic out there who may be under the impression they can't afford a house in Augusta, even though they work there," Lachance said. "These are homes built specifically for them."

The units start at $150,000, Johnston said.

Based on income guidelines, subsidies are available. The federal $8,000 first-time home buyer's tax credit is also applicable.

Though financial aid is available for home buyers based on income, Johnston and Lachance stressed the neighborhood's "mixed income" profile.

"We're committed to making these units affordable," Johnston said. "That goes for first-time home buyers who are part of the working class, to senior citizens looking to downsize and simplify. We have wonderful opportunities for moderate- to low-income customers, but this is not a low-income neighborhood."

While the real estate market has plummeted, Cony Village could still be successful, Lachance said.

"We have, of course, seen a slowdown in the real estate market," he acknowledged. But, he said, "The interest rates out there and the cost to build a new home has never been better."

Meghan V. Malloy -- 623-3811, ext. 431

mmalloy@centralmaine.com