The developer of a subdivision in Lakewood said that boards of residents are refusing to let it connect 87 houses to a wastewater system, grinding its development to a halt.
Brookfield Residential is asking District Court Judge Jason Carrithers in Golden to force three metropolitan district boards to connect the unbuilt homes to their sewer system. Brookfield, which operates as Solterra LLC, said it will lose $27 million if Carrithers doesn’t do so.
“There is likely to be empty lots and unfinished construction with the development, leaving the impression that Solterra LLC is unable to complete what it started. It also may be forced to terminate employees, which will further impact its reputation,” it wrote April 25.
Solterra is a master-planned community near the foothills of Lakewood. Since 2005, Brookfield has built about 1,250 homes there, or 93 percent of the planned neighborhood, and is working to build the final 94. Seven are under construction and 87 are being held up.
Though Solterra dates back to 2005, the sewer dispute has its roots in a 2017 election.
Like most master-planned communities in Colorado, Solterra is governed by metropolitan districts and Brookfield initially controlled the boards of those districts. But in 2017, Solterra residents recalled the Brookfield-friendly board members and replaced them with residents. Those district boards have since caused headaches for Brookfield.
In late 2022, Brookfield sued the three districts, which are known as Fossil Ridge Metro Districts 1, 2 and 3, for not paying it $32 million in infrastructure costs. A trial is set for October.
Meanwhile, in last month’s lawsuit, Brookfield said that the three Fossil Ridge boards, along with the Green Mountain Water and Sanitation District, are blocking Brookfield from accessing Solterra’s sewer system. The Fossil Ridge metro districts own a sewer system that connects to Green Mountain’s sewer system, which then connects to a wastewater facility.
Brookfield said it has paid Green Mountain $421,000 in sewer development fees for the 87 proposed homes, in addition to the $12 million it has spent improving Solterra’s sewer system over the decades. It also stands to lose the $10 million it has already spent developing the 87 sites and the $5 million in profits that it estimates making from those houses.
“Unfortunately, there’s not a lot I can say,” Karen Morgan, president of Green Mountain’s board of directors, said last week. “We are doing our best to fulfill all of our contractual obligations and unfortunately, as you can see, they expect more out of the contract than is there.”
Fossil Ridge’s lawyers, Kelley Duke and Ben Larson, were more willing to discuss the case.
“Our position is that this matter has already been litigated,” said Duke, with the Ireland Stapleton firm. “Last year, Solterra LLC sued our clients claiming mostly all of the same things that they are claiming in this lawsuit and the judge ruled on that case already.”
In October, Judge Ryan Loewer in Golden determined after a 10-hour trial that Fossil Ridge is required only to coordinate sanitation services for existing homes at Solterra, not all proposed homes. Brookfield is appealing that verdict to the Colorado Court of Appeals.
“There is no way for our client to provide sewer service,” Larson said. “Green Mountain is the sewer provider. We don’t oppose Green Mountain providing sewer service.”
Brookfield is represented by attorneys Neil Arney with the Denver office of Kutak Rock, and Daniel Calisher with the Denver law firm Foster Graham Milstein and Calisher.
The developer of a subdivision in Lakewood said that boards of residents are refusing to let it connect 87 houses to a wastewater system, grinding its development to a halt.
Brookfield Residential is asking District Court Judge Jason Carrithers in Golden to force three metropolitan district boards to connect the unbuilt homes to their sewer system. Brookfield, which operates as Solterra LLC, said it will lose $27 million if Carrithers doesn’t do so.
“There is likely to be empty lots and unfinished construction with the development, leaving the impression that Solterra LLC is unable to complete what it started. It also may be forced to terminate employees, which will further impact its reputation,” it wrote April 25.
Solterra is a master-planned community near the foothills of Lakewood. Since 2005, Brookfield has built about 1,250 homes there, or 93 percent of the planned neighborhood, and is working to build the final 94. Seven are under construction and 87 are being held up.
Though Solterra dates back to 2005, the sewer dispute has its roots in a 2017 election.
Like most master-planned communities in Colorado, Solterra is governed by metropolitan districts and Brookfield initially controlled the boards of those districts. But in 2017, Solterra residents recalled the Brookfield-friendly board members and replaced them with residents. Those district boards have since caused headaches for Brookfield.
In late 2022, Brookfield sued the three districts, which are known as Fossil Ridge Metro Districts 1, 2 and 3, for not paying it $32 million in infrastructure costs. A trial is set for October.
Meanwhile, in last month’s lawsuit, Brookfield said that the three Fossil Ridge boards, along with the Green Mountain Water and Sanitation District, are blocking Brookfield from accessing Solterra’s sewer system. The Fossil Ridge metro districts own a sewer system that connects to Green Mountain’s sewer system, which then connects to a wastewater facility.
Brookfield said it has paid Green Mountain $421,000 in sewer development fees for the 87 proposed homes, in addition to the $12 million it has spent improving Solterra’s sewer system over the decades. It also stands to lose the $10 million it has already spent developing the 87 sites and the $5 million in profits that it estimates making from those houses.
“Unfortunately, there’s not a lot I can say,” Karen Morgan, president of Green Mountain’s board of directors, said last week. “We are doing our best to fulfill all of our contractual obligations and unfortunately, as you can see, they expect more out of the contract than is there.”
Fossil Ridge’s lawyers, Kelley Duke and Ben Larson, were more willing to discuss the case.
“Our position is that this matter has already been litigated,” said Duke, with the Ireland Stapleton firm. “Last year, Solterra LLC sued our clients claiming mostly all of the same things that they are claiming in this lawsuit and the judge ruled on that case already.”
In October, Judge Ryan Loewer in Golden determined after a 10-hour trial that Fossil Ridge is required only to coordinate sanitation services for existing homes at Solterra, not all proposed homes. Brookfield is appealing that verdict to the Colorado Court of Appeals.
“There is no way for our client to provide sewer service,” Larson said. “Green Mountain is the sewer provider. We don’t oppose Green Mountain providing sewer service.”
Brookfield is represented by attorneys Neil Arney with the Denver office of Kutak Rock, and Daniel Calisher with the Denver law firm Foster Graham Milstein and Calisher.