Sales in the upscale gated community in Bluffton hit $134 million in 2005, a year considered to be one of the hottest ever for the coastal market.

While sales softened in many areas in 2006, the community off S.C. 46 logged only a slight decline, selling about $132 million worth of property. The community also saw an increase in transactions -- 210 closings last year versus 167 in 2005.

"It was a very strong performance in the face of a national and regional real estate market that has been trending downward for the past 18 months," said William G. Peacher, general manager and chief operating officer Palmetto Bluff, in a press release. "This marks the fourth consecutive year that we have exceeded our sales goals."

The news follows some national attention for the Inn at Palmetto Bluff, which community officials say played a part in attracting buyers. The inn was named the No. 2 resort in the United States by Conde Nast Traveler magazine.

"The inn has made a huge difference in attracting a level of buyer who can afford to buy in Palmetto Bluff," said Tom Gardo, Palmetto Bluff spokesman. He added that 45 percent of the first-time visitors to the community who are interested in real estate end up buying a house or lot.

Gardo said a buyers' survey determined that 85 percent of the purchases could be attributed to Palmetto Bluff owner Crescent Resources' financial stability and the quality of the development.

"They have a lot of faith in the product," Gardo said of the buyers surveyed.

He said about 90 percent of the buyers surveyed were planning on a second home or a retirement residence in Palmetto Bluff. The survey also indicated 27 percent of the buyers were from South Carolina, 17 percent from Georgia, 8 percent from Illinois and 8 percent from Connecticut, with the rest coming from various places around the country and internationally.

In all, Charlotte-based Crescent Resources, a joint venture between Duke Energy and Morgan Stanley Real Estate Fund and the company's management, sold 173 lots, 15 new homes and had 22 home resales in Palmetto Bluff last year.

The community has surpassed the $400 million sales mark since it began selling lots in 2003, the company reports.