Developer hasn’t given up on stalled subdivision

The developer of the long-stalled Cedar Vineyard subdivision on Port Washington’s south side said he is continuing to work on the project, albeit in an abbreviated form.

Tom Swarthout, president of the Highview Group, told the city’s Plan Commission on April 16 that although he hasn’t “gotten over the finish line” with the Cedar Vineyard subdivision, he is working on a proposal for a 45-lot development on a portion of the property.

“We’re actually moving forward with the north 70 acres,” he said. “We’ve been in discussion with the property owner. We think we’re pretty close to finalizing our project.

“We’re hopeful to be in front of the Plan Commission, I think, next month.”

Swarthout, who called in to the meeting to offer kudos to retiring City Administrator Mark Grams, made the comments when asked about the status of the Cedar Vineyard project.

The Cedar Vineyard project, which was first proposed five years ago, would have been built along Port’s south bluff on a 227-acre parcel that straddles Highway C.

Swarthout planned to create 82 half-acre lots on the land, with a vineyard planned along Highway C and a winery on the west side of Highway C south of Stonecroft Drive.

A 101-acre nature preserve will also be created that encompasses Cedar Gorge and roughly 150 feet of land along the Lake Michigan bluff. 

The nature preserve, which is referred to as the Cedar Heights-Clay Banks Nature Area, would have been purchased by the Ozaukee Washington Land Trust, which would have later transferred ownership to Ozaukee County, which would hold the land in perpetuity.

To facilitate the development, the City of Port Washington created a tax-incremental financing district to pay for the extension of infrastructure to the development.

Frustrated by stalled negotiations, Waukesha State Bank, which owns the property, last year said it was embarking on a development plan of its own, splitting the land into three parcels.

On the east side of Highway C, roughly 79 acres north of Cedar Gorge was earmarked for development and the southern 131 acres were expected to be sold for either development or conservation.

The Ozaukee Washington Land Trust, in cooperation with Ozaukee County, is working to raise the funds to purchase the southern parcel, which includes environmentally important areas such as Cedar Gorge, the Clay Banks and a portion of the Lake Michigan shoreline.

Bank officials said last year that they had also accepted an offer to buy the remaining 30 acres on the southwest side of Highway C from a buyer who planned to build a house and horse barn there.

The Plan Commission tabled action on a proposed rezoning of the land that would allow for this use, with members noting that there is no cost-effective way to extend sewer service to the parcel.

If the Land Trust does acquire the property across the street, the commission noted, it may cut off the parcel from utilities indefinitely.

The property owner has proposed using a private system, something the city has been loath to do without knowing when it would be hooked up to municipal services.

Bob Harris, the city’s director of planning and development, told the commission that staff members can’t recall a time when a new residential development was approved without municipal water and sewer connections.

Approving the applicant’s request could set a precedent, he said, and result in large areas of the city being developed in a rural fashion rather than a more dense, urban pattern.  

Harris also told the commission the property owner has said additional single-family lots could be created on the property.

Tom Schmitzer, an attorney for William Fine, who plans to purchase the property from Waukesha State Bank, told the commission the planned rezoning is consistent with the city’s master plan and should be approved.

But commission member Eric Ryer said the questions of rezoning and sewer use shouldn’t be separated.

“If the commission makes a recommendation to approve the rezoning, my concern  is that would in some way obligate the city to (approve the private sewer system),” he  said. “I don’t know that that’s consistent with the city’s master plan.”

Ald. Paul Neumyer, a member of the commission, said the large estate planned for the property isn’t consistent with the city’s master plan.

“We never planned for larger estates,” he said.

Public Works Director Rob Vanden Noven, a member of the commission, said the issue needs to be considered in light of surrounding land uses, and those haven’t been finalized.

He also said the commission should look at the preannexation agreement and developers agreement for the property before making a decision.