We report a new lateral selective‐area growth by liquid‐phase epitaxy with the preparation of a new buried‐heterostructure laser, the lateral double‐barrier buried‐heterostructure (DBBH) laser, as an illustrative example. The DBBH laser so prepared operated in a stable clean fundamental mode with reduced optical scattering losses due to sidewall roughness of the etched mesa. Pulsed operation was achieved at temperatures as high as 280 °C. This new selective‐area growth can also be used to form guided wave integrated microlens systems.