Is Hailey ready for another large-scale real estate development?
Developer David Hennessy hopes to move forward with plans to build 378 homes and an 18-hole golf course on property owned by Quigley Green Owners LLC, which stretches one and a half miles into Quigley Canyon east of Hailey. The Hailey City Council can make his dream a reality by agreeing to annex 1,100 acres of the canyon into the city limits.
The size and location of the home lots in the canyon may be the biggest issues facing the city and the developer.
The City Council held the first of three public hearings Monday night to consider Hennessy's request for annexation, which would allow the developer to build three times the number of homes he is currently allowed under county zoning standards in the canyon.
City Hall was packed on Monday with residents who spoke in favor of and in opposition to the development. Those in favor said it would boost the local economy, create jobs and provide recreational opportunities. Those against the plan said the timing is wrong for such a large-scale development, and that wildlife in the canyon would suffer from it.
Former Hailey Mayor Steve Kearns, an avid golfer, said the development would be good for a town that has always lived in the shadow of Ketchum and Sun Valley to the north, a town that is finally coming into its own. He recalled a time, not long ago, when the city was given less respect than it gets today.
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"Hailey has become the hub of the valley," he said. "Why not make the city a destination rather than just some place to pass through?"
Yet Hailey resident Andy Harding said the Quigley development would only add to other struggling developments such as nearby Old Cutter's subdivision, which was annexed into the city in 2006 and is now in default on a payment of $875,800 in annexation fees it owes the city.
Sweetwater Townhomes, the largest planned residential development in Blaine County's history, came to a halt in October when Tennessee developer J. Kevin Adams suspended operations on the 421-unit development in the Woodside subdivision of Hailey.
"There may be a time when we want to sprawl that far east (into Quigley Canyon), but this is not it," Harding said. "We should build in the in-fill of the city first."
Yet several people at City Hall on Monday night viewed the development as an economic opportunity.
"In case you haven't noticed, there are not a lot of jobs out there," said Woodside resident Robert Blakely. "This developer will put several million dollars into the economy and put people back to work. Forty-five thousand dollars a year looks pretty good."
That number referred to the annual earnings Hennessy said would go to as many as 500 workers employed during construction of the development. He was citing a fiscal impact study that the council expects to see finished in late February or early March. Based on the report, Hennessy also said the golf course, when it is completed, will bring in $2.75 million in spending to the area by golfers in years to come.
"This will be a great community asset to the city of Hailey," he said while presenting his plans, which could take 30 years to complete.
Blaine County Recreation District board Chairman Tim Hamilton said a golf course in Quigley Canyon would also provide revenue to support the rec district's programs. The district spends about $300,000 each year on year-round sports, swimming and after-school programs for about 1,000 kids in Blaine County.
Despite the popularity of those programs, Hamilton said he is facing financial challenges.
"Over time we are going to lose some programs," he said. "The golf course will allow us to fund other programs in the recreation district."
Hennessy's plans for Quigley Canyon were recommended for approval by Hailey's Planning and Zoning Commission last summer after several months of public comment and deliberation, but only if the developer abandons plans to build on the eastern, up-canyon reaches of the site.
That area includes much of Dead Man's Gulch and about a half mile of creek and beaver ponds beyond Quigley Pond. The area is considered by the Wood River Land Trust and the Idaho Department of Fish and Game to be crucial for wildlife.
Hennessy's plan includes 68 upscale homes on lots of three-quarters of an acre to four acres. He said Monday that selling these "estate lots" were crucial to raising revenue for the golf course and other amenities he is promising the city in exchange for annexation. Hennessy said the total value of the amenities he is offering the city is $27 million.
"Without these lots, we cannot go forward with the project," Hennessy said. "This condition could be a deal breaker."
The City Council will continue the public hearing on the Quigley annexation request on Thursday, Jan 8, at 5: 30 p.m. at City Hall, 119 S. Main St. in Hailey.
Developer David Hennessy makes his case to Hailey City Council for building 378 homes and an 18-hole golf course in Quigley Canyon
