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The movement towards creating sustainable communities has gained increased prominence with approaches such as New Urbanism, yet there are few examples of the successes. This text offers an analysis of one such example: Village Homes outside Davis, California. The area offers features including extensive common areas and green space; community gardens, orchards and vineyeards; narrow streets; pedestrian and bike paths; solar homes; and an innovative ecological drainage system. The authors were instrumental in the design of Village Homes and draw extensively on their practical experiences, as well as examples from a number of other sustainable village projects, to deliver a comprehensive analysis of the process of designing and building sustainable communities.