Scottsdale officials want voters to decide on the fate of Ellman's proposal before allowing the developer to back out of the deal. In a letter to city officials sent by Ellman last week, the developer said he wanted to end the redevelopment agreement signed with the cityin July that would have given him more than $36.7 million in tax subsidies to turn the 42-acre McDowell and Scottsdale roads property into a big-box retail center.
Pulling out of the deal would have made a March 9 ballot question challenging that agreement unnecessary. City officials, however, said the issue will remain on the ballot since a clause in the agreement specifies both parties must agree to terminate the deal.
Along with the ballot question, Ellman was facing fierce community opposition to the plan along with a drop in the land value appraisal by his lender. Although the developer has shelved his current plans for the site, Ellman said he is working on a new redevelopment plan for the Los Arcos site.
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