DULUTH, Minn. (Northern News Now) - Duluth city leaders are responding community concerns that there wasn’t enough inspection into the developer behind a $500 million housing complex who has now allegedly fallen into hot water.
Developer Luzy Oestreicher, who heads a New York-based real estate company, broke ground on Incline Village at the former Duluth Central High School site in December.
He’s planning to build 1,300 condos and apartments.
However, in a letter dated June 2, the Duluth Economic Development Authority (DEDA) says the developer hasn’t met the terms of their agreement with the city.
They say this includes paying taxes, providing proof of funding, and meeting other deadlines.
DEDA is giving the developer a 45-day window to make corrections or the city could terminate