La Quinta City leaders to give rare public update on TALUS resort financing efforts as latest deadline nears
The La Quinta City Council is set to give a rare public update Tuesday on the long-delayed TALUS luxury resort development.
That project missed another January city deadline to re-secure construction financing. The City Council's Tuesday agenda suggests that TALUS financing is set to be closed by the end of next month.
The City Manager's report for Tuesday's City Council meeting will outline the now extended efforts to recapitalize TALUS, located off Avenue 52 just west of Jefferson Street and at the base of the Santa Rosa Mountains.
TALUS was originally set to open in 2019 and promoted as a crowned jewel development for the city with two branded luxury hotels by Pendry and Montage, a spa and conference center, and 84 turn-key single-family homes and condominiums.
In January of last year, City Councilmember Kathleen Fitzpatrick told the developer, Robert Green of the Robert Green Company, "People are very concerned, and they have a right to be."
At the time, Green told the council he expected to have the project's financing within weeks.
At the end of that city council meeting exchange with Green, Mayor Linda Evans jokingly said, "Get the money! Show us the money!"
Nine months later in October, the council signed off on a fifth development agreement with Green after being forced again to extend deadlines on recapitalization loans with a new deadline of January 1st, 2024.
That deadline has also now been missed, but the council is allowing Green until June 30th as an ultimate deadline due to his continuing good faith attempts to secure financing loans and bonds.
In Tuesday's update, the City Manager Jon McMillen's printed statement says, "The city is acutely aware of the financing progress and the deteriorating site conditions at the currently stalled core project components at TALUS." Also, "Both the City Manager and City Attorney are in constant communication with the developer, their legal counsel, and lenders as the outside closing date for recapitalization approaches."
Mcmillen's report says senior critical lenders are focused on a May 31 closing date for $360 million in loans which should be enough to get TALUS construction moving again.
The City Manager also says the Robert Green Company has promised that out-of-compliance conditions regarding dust control at the site will be stabilized as of Monday the 15th.
Residents launched a change-dot-org petition complaining of the environmental health hazards from dust coming from the site this past month. That petition had gathered nearly 300 signatures asking the city to demand the developer bring the site into compliance.
Stay with KESQ News Channel 3 for complete coverage of Tuesday's La Quinta City Council update.
That meeting starts at 4:00 p.m. at La Quinta's City Hall.
