
Circuit Judge Sandra Upchurch issued an order today setting a two-week trial starting on Nov. 16 in the lawsuit Palm Coast Holdings, the Allete subsidiary and developer of Town Center, filed against Palm Coast government last October. Docket sounding–the last step before trial–is scheduled for Nov. 3.
Palm Coast Holdings is alleging that the city failed to guarantee water and sewer services, costing the company major land sales to developers it claims had been close to buying but for uncertainty over utilities. The city rejects the claim, arguing that Palm Coast Holdings does not understand the city’s land use regulations and is misapplying the development order pertaining to Town Center.
The city asserts that no development has been held back for lack of services, including in the 1,557-acre Town Center zone. The city is under a state consent order to expand and modernize its oldest and largest sewer plant, an order the lawsuit uses as evidence buttressing its claims. The city last year embarked on an ambitious, half-billion dollar initiative to expand its water and sewer capacity.
The latest development order approved 4,575 residential units in Town Center and 4.38 million square feet of commercial and retail space at build-out. If all residential units were built–hundreds remain unbuilt–they would lack utility services, the lawsuit alleges.
Several ongoing developments in Town Center appear to belie the claim. Those include a 300-unit apartment complex near Imagine School, the first 224 of a planned 333 single-family houses at Sabal Preserve off Royal Palms Parkway, 61 single-family homes at the Retreat, and the Promenade, a six-building, 230,000-square-foot project, with 70,000 square feet of retail and commercial space, are all nearing completion, running water and functional indoor plumbing included.
By the day of the trial, each development will be at least partially occupied by residents and, in the Promenade’s case, by businesses. Deputy City Manager Lauren Johnston said other developers have shown interest in mirroring the Promenade.
The city has filed a motion to dismiss. Palm Coast Holdings filed an amended complaint. Upchurch is hearing arguments in both motions at 1:30 p.m. on March 2. A trial date does not preclude a pre-emptive ruling dismissing the case or an out-of-court settlement.
In December, Allete, a Duluth, Minn.-based energy company that owns several utilities–it used to own Palm Coast’s water utility–was acquired by Canada Pension Plan Investment Board (CPP Investments) and Global Infrastructure Partners (GIP),






























S. Peters says
This thing is atrocious!
Epic Failure says
Town Center (lol) is an Epic failure.
Just look at the town centers to our north & Daytona 1 to our south. All started after Palm Coasts promised gem.
All are successful and growing except ours!
Wonder why?
Could it be nobody wants to deal with the circus currently known as City Hall ?