(FORTUNE Small Business) – Eco-Friendly developer Jonathan Rose, 53, has almost completed Highlands' Garden Village, a $102 million, 27-acre property ten minutes from downtown Denver. About 650 residents occupy 306 units, ranging from four-bedroom townhouses to apartments to carriage houses, with some housing set aside for low-income renters. Even before oil prices spiked, Rose embraced wind power, using it to run two apartment complexes as well as all public lighting. The property boasts a storied past--it has been an amusement park, a botanical garden, and a zoo in which P.T. Barnum once housed his circus animals. After the city weighed several proposals, Rose got the nod, in part because he had successfully developed the historical Denver Dry Goods building. Rose is an heir to a New York City real estate dynasty and has overseen environmentally friendly projects around the U.S. The project has been so successful, economically and environmentally, that his techniques are being copied by developers of Denver's old Stapleton Airport property. At left, some Highlands' Garden highlights.

1 THEATER AND CAROUSEL During the planning phase, neighborhood residents were asked what they wanted in a development. (Project manager Charles Perry, 56, sat in a café every Tuesday night for 18 months to answer questions and held 56 public meetings for feedback.) One feature everyone agreed on: The historic theater and carousel--both original structures--had to be incorporated into the plans. "Residents felt that our project was an extension of their neighborhood," says Rose. Much of the cost of renovating both structures has come from the city of Denver, which is recycling property taxes back into the project--a planned $5 million over 20 years.

2 GRASS The landscaping at Highlands' Garden features indigenous grasses, trees, and other plants that don't consume much water. Local gardening groups help maintain the plants, and residents grow produce in shared gardens. One drawback: Some occupants have complained about the buffalo grass, which conserves water but remains brown much of the year.

3 TOWNHOUSES The homes are built from farmed-lumber products (no old-growth or rainforest trees), which are engineered to be stronger and require 50% less material than construction in a typical home. All decking, carpeting, and flooring comes from recycled materials. The thermostats feature a switch that allows furnace air to circulate, making the homes cooler in summer and warmer in winter. At 1,200 square feet to 1,500 square feet, two- and three-bedroom units sell for about $350,000.

4 ASPHALT Rose saved money during construction by recycling asphalt from the old site's parking lot and using it in Highlands' Garden's new roads. He and his builders rented an onsite chopper to break up 30 tons of asphalt, which was incorporated into new paving material. Savings: $60,000.