Sweetwater Community developer J. Kevin Adams is in town this week to try to strike a new deal with the Hailey City Council that would allow him to sell the first 71 units of a 421-unit housing development in Woodside subdivision.
Adams suspended operations at the development last year, owing the city money.
The city has yet to grant final plat approval for the town homes on the corner of Woodside Boulevard and Countryside boulevards. Final plat approval would allow Adams to sell the units.
"We are hoping to gain some yardage with this proposal, rather than come to a global solution," said Adams' attorney, Jim Laski, at a City Council meeting Monday.
The council will discuss Adams' proposal at a special public meeting at City Hall today, Wednesday, at noon.
Adams once had great hopes for Sweetwater, a $200 million development on 21 acres straddling Countryside Boulevard that already includes a shared hall with a big-screen movie room, outdoor pool and a grassy park. Final plans call for commercial and retail space as well. Additionally, Sweetwater plans include a concierge service to organize mountain guides and fly-fishing excursions.
But times have changed.
Adams told the council Monday that he is facing a foreclosure sale of about $11.2 million worth of undeveloped land on the 21-acre project on Nov.30. He hopes to avoid the auction by striking a new deal with the city that would put him in better standing with creditors.
Adams told the council that he has spent $56 million on the development so far and lost "tens of millions" on it personally since the collapse of the housing market.
"I have put myself and my family in real jeopardy with this project, but I believe in it and will not run away from it," Adams said.
His proposed changes to the existing planned-unit development agreement would alter phasing agreements, allow waiver of money owed for a traffic light on state Highway 75 and change the time frame for community housing requirements.
Adams also hopes the city will waive a bond for landscaping of the property and allow him to defer park fees until after the sale of the first 71 units.
He is also asking that the city to remove time frames for the sale of 40 workforce deed-restricted housing units required at the development.
"We would never be able to sell a workforce deed-restricted housing unit today," Laski said.
City Attorney Ned Williamson told the council Monday that Adams' proposal "deserves serious consideration."
Tony Evans: tevans@mtexpress.com
