Developing in the fringes is not only cheaper but faster too. If the density is kept low then the rural road network and infrastructure that exists around most cities will be sufficient for the intial Club Zones. Modern self contained wastewater plants can service the zones if trunk connections are not nearby. Freshwater and stormwater can be collected and disposed of on site if need be and most rural roads have a power network.
It is unlikely House Club could offer inner city houses much cheaper than the market currenltly offers as the land is already zoned residential so very expensive, and building high rise and in a city location is also very pricey. However if you are looking to buy in the city voting House Club in to power will likely reduce the price of houses there as the overall supply will be greatly increased. The same applies to rents.