DAYTON, Ky. — The city of Dayton and million-dollar homes? Northern Kentuckians could be putting those words together as early as next year.

        Until now, Dayton has been known as a working-class Campbell County city of 6,700. The proposed Rose Harbor subdivision would be the first major new housing since Chateau Ridge was built in 1976 on the west side of Dayton Pike, about a quarter-mile south of Belmont.

        Rose Harbor subdivision is one of three development projects that newly selected interim Mayor Ron Gunning and City Council will consider when they meet next month.

        It's part of a planned makeover that extends from the hillside above the city to the downtown business district to the riverfront.

        In addition to Rose Harbor, on the east side of Dayton Pike near Belmont Drive, the city is also figuring out how to spend nearly $315,000 in state grants for streetscape and building facade improvements on Sixth Avenue, and negotiating the purchase of a half-mile stretch of riverfront property on the city's west side for a new marina and restaurant.

        “There are plans in the works,” said Mr. Gunning, who was appointed Thursday to replace Bobby Crittendon, who was impeached and removed Dec. 23.

        The city approved a zoning change and preliminary plans submitted by Lanco Development of Mount Washington this fall.

        Of the three projects, Rose Harbor might have the greatest potential impact.

        Lanco plans to build 74 single-family homes on a 30-acre plot that was owned by the Prigge family. Company owner Preston Black said the land once belonged to Revolutionary War Gen. James Taylor.

        Mr. Black said there would be two types of homes: 23 “manor” structures costing $350,000 to $500,000; and 51 “estate” homes running $500,000 to $1 million.

        What makes Mr. Black think people will spend that much money? Two words: river views. He said people would be able to see from Cincinnati's west side to Lunken Airport.

        “It probably has the best view of the river in Greater Cincinnati,” Mr. Black said. “It takes in everything.”

        The first thing City Administrator Dan Groth thinks about is the property tax base. Residents now pay $4.67 per $1,000 assessed value.

        “A development like this could raise our tax base by $40 million,” Mr. Groth said.

        And Mr. Groth said there will be a new-looking downtown Dayton when the new residents move in. He said the state grants would be used in the 500 and 600 blocks of Sixth Avenue, the city's main street.

        One, of about $278,000, would be for installing new brick sidewalks and street lights.

        The other, for $37,500, would be used for storefront facade improvements. The city would match business owner contribution up to a combined $10,000.

        Mr. Groth said the West side riverfront property would include a floating restaurant and marina. He said both should be open next spring.

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