The improvement work onsite continues as curb and gutter, base for the public roads, and related activity is making daily progress.  The site contractor is maintaining a steady schedule of activity for the completion of the Phase I bonded improvements.  Once curb and gutter is completed, the paving of the streets should begin.  Frankly, once paving begins, it should be completed relatively quickly.

While the work above continues, the process of amending the Development Agreement is underway between Rick Elsey and the City of Flagstaff.  The current projected review date for the development agreement is August 4th.  The approval of the revisions is a necessary condition for the City of Flagstaff to allow the commencement of house construction.  The amended development agreement allows us to begin building homes on the public streets that are under contract.  Doucette will be requesting addtional latitude for adjacent homes which will require us to extend some of the public improvements into the private street area.  Our goal is to incorporate as many of the presold homes into the first phase of home construction as possible.

The overall completion of all improvements is still a major issue in the ongoing court proceedings.  The developer is continuing his efforts to ensure that sufficient funding is available to complete the balance of the streets and utilities for the entire community.  The bankruptcy proceedings will continue for the coming months and there is not a quick or easy route to completing this portion of the ongoing saga.  We will continue to update you as often as we can.  Thanks for your continued patience.