Commission debate splits over default, reversion rights and Audubon ownership

Commissioner Zadofsky moved to declare Audubon Development Inc. and Live Oak Holdings in material breach for failing to meet the July 15, 2026 deadline in the third amendment and to direct the city attorney to issue notices to terminate the development agreement and pursue reversion. The motion received no second and was not voted on.

Commissioner Broderick then offered an alternate motion to approve a 180‑day extension conditioned on an acceptable fourth amendment drafted by city and developer counsel; that motion was seconded and passed 3–2. Commissioner Zadofsky argued the record shows noncompliance and said another amendment could weaken the city's remedies. "At some point, the extension ceases to be a reasonable accommodation and becomes a refusal to enforce the agreement," Zadofsky said. The commission instructed legal staff to include technical default notices and to analyze how any amendment would affect reversion and other remedies.

City Attorney Wallace said the city's prior actions included release of reverter only for the villas (2025) and that additional research was necessary to specify how a 0.25 or fourth amendment would interact with existing contractual rights. Commissioners requested a 30‑day drafting window for the city attorney to prepare the amendment for review.