Back on Jan. 31, we brought you the story of a lawsuit filed by the city of Henderson against a real estate developer and his team that was behind an agreement to develop a multisport complex of arenas to lure professional sports teams to the area. That commercial litigation has now been partially settled for a much smaller payment to the city than readers may have expected. The parties say that an attorney for the developer has agreed to pay the city of Henderson $750 within a “reasonable time” to end the litigation.
As we wrote on Jan. 31, the developer, his attorneys and other members of his team approached the city in 2011 with a proposal to build several sports arenas on 485 acres of federally-owned land. Henderson officials approved the plan and rezoned the land for commercial use in exchange for an agreement by the developer to pay $10.5 million in several installments.
But no arenas ever reached the construction stage. Instead, attorneys for the city contend, the developer began selling the land in small parcels to residential and commercial developers. He informed the city by letter that the sports complex project had been terminated. In marketing materials, the developer has said that the contract with the city allowed the land to be used for mixed-used and residential buildings.
Accusing the developer of fraud, the city filed suit. Despite the millions of dollars included in the original agreement, an attorney who helped represent the developer during negotiations settled claims against him for $750, as long as he pays the money within a “reasonable time.” If he doesn’t, the suit will not be dismissed.
Source: VEGAS INC, “Henderson settles lawsuit against lawyer for accused sports arena developer for just $750,” Eli Segall, Feb. 14, 2013