Developer suing Reno for $50M over denied housing project
RENO, Nev. (AP) — The California-based developers of a proposed housing development in a natural flood plain in Reno have filed a lawsuit accusing the city of blocking the project for political reasons.
The Reno Gazette Journal reported Friday Newport Pacific Land is seeking $50 million in damages after the City Council halted the project in November.
The company says in the lawsuit filed last week in Washoe County District Court says it stands to lose $100 million if it’s not allowed to build the Daybreak development with 4,700 housing units in southeast Reno.
The company based in Newport Beach says it spent more than $50 million to buy the land and develop mitigation to address the city’s concerns, including flood storage, mercury-contaminated soils, high groundwater levels and traffic issues.
City spokesman Jon Humbert says the city attorney’s office is reviewing the suit.
Information from: Reno Gazette-Journal, http://www.rgj.com