Joyce Dean thought she'd died and gone to house-hunter heaven when she opened the door to her family's new digs on Davis-Monthan Air Force Base.
Instead of cramped 1950s base housing, where they've been living with a backed-up toilet, the Deans now have more than 1,600 square feet with extras like walk-in closets, energy-saving appliances and 2.5 sparkling bathrooms.
"It's like 'Extreme Makeover!' " Dean, 26, exclaimed of the upgrades, similar to some seen on the popular TV show.
The Dean clan — which also includes Staff Sgt. Roy Dean, 31, son Derran, 10, and 2-year-old daughter Nyima — is one of the first local families moving into new base housing in a multi- million-dollar privatization deal.
Under the plan, D-M's housing stock was deeded to a firm owned by a global corporation. Actus Lend Lease of Nashville, a subsidiary of Australia-based Lend Lease Corp. Ltd., has built similar developments at several other U.S. military installations.
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Since 2007, Actus has torn down scores of old D-M homes and is in the process of replacing them with 573 new ones that are up to 40 percent larger.
On top of the new construction, another 159 homes are being upgraded through renovations. The firm also is building playgrounds, a splash park and other recreational amenities in the new military neighborhoods.
Rents are covered by the housing allowances the military pays its personnel. Actus uses the rent money to pay for upkeep and cover its borrowing costs for construction, and eventually turns a profit once loans are paid off.
Company officials have estimated that the D-M projects will pump about $165 million into the local economy through construction contracts and other services.
Air Force officials approved the public-private partnership because it costs less and offers airmen better housing than the service could provide with scarce tax dollars.
"The housing privatization on Davis-Monthan is a success story," Col. Paul Johnson, D-M's wing commander, said in a ribbon-cutting ceremony Tuesday that marked the opening of the first batch of new homes for junior enlisted personnel.
About 30 families a month will be moving into new homes this year, Johnson said.
Construction is due to be completed by next year.
Company officials have estimated that the Davis-Monthan projects will pump about $165 million into the local economy through construction contracts and other services.

