N-Shea Group, LLC, the developer of the Park Place mixed-use residential and commercial development on Avenue of the Fountains, has sent the Town of Fountain Hills a notice of claim alleging council actions led to the cancellation of construction of phases two and three of the planned development.
The notice claims that the council and town staff failed in their professional duties related to discussions and actions surrounding recent efforts to move new construction forward. The claim alleges failure to act in good faith, failure to provide proper meeting notification, secret ex-parte communications with parties to the contract, engaging in arbitrary and capricious actions and failure to abide by the terms of a development agreement between the parties.
It also claims the town failed to issue lawful approvals where requirements were fulfilled.
