K. Hovnanian's Return Highlights Atlantic City's Inlet Development Boom

There is a lot of momentum building in Atlantic City's Inlet, and the return of K. Hovnanian Homes is one of the clearest signs yet that the neighborhood is emerging as a major hub for residential development.

The national homebuilder broke ground in August 2026 on Terraces at Absecon Inlet, a 38-townhome community bringing new residential investment to a neighborhood with tremendous room to grow. The four-story homes will feature approximately 1,848 square feet of living space, three bedrooms, 3.5 bathrooms, tandem two-car garages and balconies designed to take advantage of the coastal setting. The first homes are expected to be delivered as early as summer 2027.

The project is significant not only because of the homes being built, but because of what it represents: confidence in Atlantic City's residential future.

K. Hovnanian's investment builds on a residential development story that local developers have been advancing for years.

Developer Keith Groff recognized the Inlet's potential in the early 2000s, when he purchased property in the neighborhood and eventually began developing luxury homes. His Lighthouse Row project transformed previously vacant land into high-end residences designed for large and multigenerational families. Its second phase began construction in spring 2026.

Groff has long viewed the Inlet as a neighborhood with significant room for growth, and today's development activity is helping turn that vision into reality.

What makes the current momentum particularly exciting is the way projects are beginning to build upon one another. New homes bring new residents, creating additional demand for businesses, restaurants, entertainment and services while expanding the city's tax base.

Why the Inlet?

The neighborhood offers something developers and homebuyers increasingly value: coastal living with access to everything Atlantic City has to offer.

Residents are close to the beach and Boardwalk, restaurants, recreation and entertainment while still enjoying a neighborhood atmosphere. And unlike more established shore communities where available land is limited, the Inlet still has significant room for new development.

That combination is attracting both local developers and larger companies like K. Hovnanian.

‍