MERIDIAN, Idaho — The development company, Galena, owes more than $20 million to its contractors. The original project details plans for over 300 residential units, retail and office spaces.
(Below is the transcript from the broadcast story)
"I would love to see it finished. Really." said Domy.
Alex Domy manages The Roosevelt bar in Downtown Meridian, directly across from the unfinished Union 93 project, that once promised two city blocks of mixed-use development on the corner of Main St and Broadway Avenue.
Galena Opportunity Fund’s website details plans for more than 300 residential units, retail and office spaces but the project hasn't made any progress in the last two years.
I talked to Galena’s attorney James Donoval over the phone, and he says it was an investor who backed out, leaving the buildings incomplete
“Obviously all of the contractors and subcontractors had done a lot of work and were owed money. So they all started filing liens and then ultimately filed lawsuits,” said Donoval.
Since things stalled in 2022, court documents show several cases settled out of court with only one going to trial.
In total, Donoval says the developers owe more than $20 million to its contractors, not yet including attorneys fees.
I asked the City of Meridian for comment and they told me they look forward to the outcome of the legal challenges being resolved and for the project to be completed... becoming “an active asset in the community.”
"Anytime a project is approved in Meridian, we hope to see it completed. While unfortunate, we know this project has suffered delays and setbacks. We look forward to the legal challenges, which the city is not a part of, being resolved based on the court’s rulings, and we are hopeful those get resolved in a timely manner and that a project resumes from the existing framework that is there, becoming an active asset in the community."
Residents I spoke to off camera agree, and at the Roosevelt, Domy tells me he remembers when the project started and then stalled, "I think it would be awesome when it’s done, and like I said the housing would be great, because the more foot traffic is a big deal."
As for who will pay out the settlements, Donoval says it will be investors and once that is taken care of, the development company hopes to finish what they started.
“My clients are telling me that they do have a locked in, well ask locked in as can be, investor that will pay off all of these amounts that are owed to the contractors and then put in money to finish the project," said Donoval.
That process would begin once the attorney’s fees have been added to the settlement sum and have been paid off by said investor.
If the money isn’t paid, a judge could order an auction, allowing others to bid on the property.
