For the past few years, the Eastside city of Issaquah and the Highlands' developer, Port Blakely Communities, have been waiting for Microsoft to green-flag construction of an office complex here that could eventually grow to 2.95 million sf. Unfortunately, the project has been bogged down by Issaquah's infrastructure problems. Last January, Microsoft pulled the reins on its plans, citing a lack of resolution to those issues.

Drake says that while Microsoft hopes to begin clearing and grading the land by next spring, it will not close on the 37.5 acres for its "Phase I" until a few issues have been fully resolved. "Permits and some infrastructure obligations need to be met by the city to ensure we will have the correct infrastructure," she says.

The sticking points are a master-plan permit and completion of the Sunset interchange of Interstate 90. As to the permit, the city's Urban Village Design Commission is currently scheduled to be briefed on Dec. 11, with public hearings to be held on Jan. 8 and 15.

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