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April 25, 2007 - 6:02AM

Developer puts Mohave project on back burner

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Mark Flatten, Tribune

Las Vegas homebuilder Jim Rhodes has suspended his large-scale development in Mohave County, a company representative confirmed Monday.

Special Report: New land baron has checkered past

Rhodes, whose ties with corrupt Nevada politicians and history of bitter litigation was chronicled earlier this month in the Tribune, has pulled work crews from his Pravada development in Golden Valley southwest of Kingman, where he has plans approved to build more than 32,000 homes on about 5,750 acres.

Lisa Urias, a spokeswoman for the company, said Rhodes is not pulling out of the county. Rather he has gone as far as he can with the permits that have been approved, and is moving crews to other developments in Nevada where they are needed, she said.

“We haven’t really shut down,” Urias said. “We are basically just pulling back because it’s taking a long time and he’s working on a couple of other developments right now in Nevada. It’s a business decision that he’s made to allocate his resources in the areas that are ready for development.”

Rhodes became the most influential developer in the East Valley in December when he was the successful bidder on more than 1,000 acres of critically situated state trust land in Apache Junction. He also won the right to master-plan the surrounding 6,700 acres, which will set the tone for development of 275 square miles of state land that extends from Apache Junction to Florence.

Last week the Tribune reported on Rhodes’ past ties to Nevada politicians convicted of taking bribes from a Las Vegas strip club owner, and the dozens of lawsuits he has faced that include claims of fraud, self dealing, theft and shoddy workmanship.

The Mohave County Board of Supervisors approved general plan amendments for four Rhodes developments in December 2005. But his plans to build more than 130,000 new homes there have stalled because the Arizona Corporation Commission has yet to issue a certificate to operate a water and sewer company that would serve his development in Golden Valley.

Rhodes also has a few small projects in Kingman.

Kingman Mayor Lester Byram said Rhodes approached him April 12, three days before the Tribune series was published.

“He wanted to know why everybody was against him and picking on him,” Byram said in recounting the unscheduled meeting with Rhodes. “I said ‘as long as you obey the rules and ordinances, you won’t have any trouble here in the City of Kingman.’” The day after that meeting, Rhodes began pulling his work crews out of his projects, Byram said.

Byram and two Mohave County supervisors say that for the last week they have been barraged by local real estate agents accusing government officials of trying to run Rhodes out of the county.

Supervisor Pete Byers said he is skeptical of warnings from the agents that Rhodes could abandon his developments if he does not get better treatment from elected officials.

“As far as him pulling out, that’s his business,” Byers said, noting that despite his big plans Rhodes has only built a few model homes in Golden Valley. “If he pulls out, fine. I have a feeling he’s probably grandstanding a little bit.”

Byers added the slump in the Mohave County housing market might also be a factor in Rhodes’ decisions to put his plans there on hold.

Supervisor Buster Johnson said he also has been contacted by several real estate agents chastising him for the treatment Rhodes has gotten in the county.

Todd Tarson, past president of the Kingman-Golden Valley Association of Realtors, defended Rhodes in an electronic posting on his newsletter April 14.

Tarson also urged his fellow agents to contact elected officials to voice support for the Pravada development.

In an interview with the Tribune, Tarson said he is concerned that if Rhodes drops his plans in Mohave County it would create an impression that the area is unfriendly to developers and damage the economy. Though he encouraged other agents to contact elected officials, it is not part of an organized effort, he said.

“There are certain city and county leaders who seem to want to put a kink in some of the development plans in Mohave County,” Tarson said. “Some of those people need to be reminded that this is a growing community and there is lots of potential for businessminded, professional people to enhance their lives. I don’t want to see that go away.”

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