Stalled bluff subdivision shows signs of life

Work may begin soon on the beleaguered Prairie’s Edge subdivision planned for Port Washington’s south bluff.

Crews parked a construction trailer on the 35-acre property off South Wisconsin Street last week, and more equipment may be seen there soon, City Administrator Tony Brown said Tuesday.

The developer, Black Cap Halcyon, needs to provide the city with a letter of credit to begin grading, Brown said, and “in anticipation of that, they’re getting equipment on site.”

Once the city receives the letter of credit, Brown said, grading on the north phase of the project can begin.

But to do anything beyond grading, there are still things that need to be done, he said.

“Once they start grading, we’ll probably be able to get some of the other things done in short order,” Brown said. 

Key to that is an addendum to the developer’s agreement.

Brown said the city and Black Cap Halcyon have reached a tentative agreement on an addendum to the developer’s agreement that must be approved before any additional work can be done on the property.

The addendum deals primarily with the schedule of payments Black Cap Halcyon needs to make to the city — payments that will go toward the developer’s purchase of the land from the city, Brown said.

But while the two sides have reached a tentative agreement, Brown said he’s unsure when the addendum will come before the Common Council for approval.

Brown said that Black Cap Halcyon has not told the city when it expects to begin construction, although they have indicated it is likely to be sometime in spring.

As Prairie’s Edge moves forward, Brown said, Black Cap Halcyon will have to come to the Common Council to negotiate addendums for each phase of the development.

Aldermen decided that would be the easiest way to deal with the negotiations, he said.

The city’s agreement with Black Cap Halcyon does not specify when construction of the subdivision should start, Brown said, although the firm was expected to have the first and second phases done by now.

The only “hard and fast” date in the document requires the project to be completed by July 2023, Brown added. If that doesn’t occur, the city can purchase the property back from the firm.

The south bluff property, which is directly south of We Energies, was acquired by the city in 2004 as part of an agreement allowing the utility to convert its plant to natural gas without city objections.  

The Common Council considered three development proposals for the land before deciding to sell the land to Black Cap Halcyon for $2.26 million.

When completed, Prairie’s Edge would be the city’s largest subdivision, adding almost $60 million to the city’s tax base with 34 single-family houses, 16 pocket neighborhood single-family homes, 20 townhouses and 156 apartments, as well as 40,000 square feet of commercial space.

A 36-unit senior living facility included in the first phase of the project replaces eight townhouses and a commercial building initially planned for the site.