BSRE Point Wells, LP Responds to Woodway, Save Richmond Beach Lawsuit

Editor's note: The following press release was sent out by Blue Square Real Estate Point Wells, LP late Tuesday afternoon, Sept. 13.

As the result of litigation filed Sept. 12 by the Town of Woodway, BSRE Point Wells, LP, (BSRE Point Wells), proponent of the transformation of a 61-acre industrial site into a signature mixed-use
community, will now consider formally withdrawing from
the Municipal Agreement negotiation process established
under Snohomish County's Urban Centers Code.

A neighborhood group, Save Richmond Beach, has joined
Woodway in the litigation against BSRE Point Wells and
Snohomish County.

BSRE Point Wells is proposing a project developed in
phases over 20 years, beginning with clean-up of the
aging industrial site. The new master-planned community
would provide new public access opportunities to 2/3
mile of sandy beach, parks, a public pier, restored and
enhanced habitat and other amenities.

"Unfortunately, Woodway has chosen to litigate rather
than negotiate," said Gary Huff, an attorney
representing BSRE Point Wells.

He said the developer is now considering whether to request that its Urban Center Application be reviewed under an alternative
application process, which includes a public meeting
before the Snohomish County Design Review Board and a
public hearing before the county's Hearing Examiner.
Dating back to April of this year, BSRE Point Wells has
been engaged in on-going discussions with a goal of
reaching a Municipal Agreement with both Woodway and
the City of Shoreline.

"This is particularly disappointing given that Woodway
has not participated in meaningful negotiations for
several months," said Huff. "We have repeatedly
requested written confirmation of specific concerns and
suggested project revisions from town officials to
allow us to undertake the appropriate analyses and
consider the feasibility of their proposals. For
whatever reason, Woodway has refused to provide us with
any kind of reliable response."

"By filing this lawsuit, the Town of Woodway and Save
Richmond Beach appear to believe they can overturn the
long-standing constitutional and statutory bases for
Washington's vesting doctrine," said Huff. "The vesting
doctrine provides that the rules and regulations under
which a project will be reviewed are those which are in
place on the date of filing of a permit application. We
are confident the court, as it has for over 50 years,
will continue to uphold Washington's vesting rules."

A successfully negotiated Municipal Agreement--covering
the manner in which the project would be developed and
its impacts mitigated-would be submitted to Snohomish
County for review and possible inclusion in a
Development Agreement between the developer and the
county.

Huff said BSRE Point Wells will continue discussions
with the City of Shoreline following the city's August
24 publication of a Letter of Intent expressing a
desire for a negotiated agreement.

"Our conversations with the City of Shoreline have been
productive, resulting in a general agreement on the
manner in which the traffic impacts of the proposal
will be measured so that mitigation measures can be
analyzed and established," said Huff. "While
significant differences remain, we are encouraged by
the progress to date."

"It's important to note that this is a long-term public
process with many opportunities for public
participation and input," said Mark Wells,
Environmental Manager for Paramount Petroleum, which
currently owns and operates a marine fuels distribution
center and asphalt facility at the site. "Key
considerations, including traffic, are among those to
be addressed in the upcoming preparation of an
environmental impact statement."