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July 22, 2009

Renewed town approval not enough to nudge Cape Ann Tool site plans

ROCKPORT — The town's Board of Appeals has renewed approvals granted to Old Colony Maritime LLC for its proposed 25-unit condominium complex at the site of the defunct Cape Ann Tool Co.

But pending litigation and challenging economic times continue to delay construction of the town- and state-approved plan, a lawyer for developer Christopher Kaneb said yesterday.

A Suffolk Superior Court judge in December dismissed a complaint filed by a 10-citizen intervener group that has blocked Kaneb's plan to develop the 5.1-acre site into a housing units and a commercial building for more than two years.

The citizens' group, headed by Gloucester activist Stevan Goldin and citing "unconstitutional" court rulings and dangerous pollution levels at the site, appealed the Superior Court's decision to the Appeals Court, the state's second highest court, on Jan. 8.

Kaneb's attorney, Dan Bailey, said both sides have now filed briefings with the appeals court, which will be followed sometime in the next three to four months by oral arguments. A decision is expected to follow another three to four months later, Bailey said.

Though Bailey was hopeful yesterday the group's latest appeal would be its last, the pending litigation has effectively stifled any progress on the project.

"We can't go forward with (a project with) variances under appeal," Bailey said. "The other problem is that no one is going to give you the money to do it; you're very unlikely to attract a lender with construction financing in these economic times and under these circumstances."

Town officials continue to support the project, which includes construction of six new townhouse-style buildings containing 22 condominiums and the complete rehabilitation of the existing Cape Ann Tool Company historic Machine Shop Building to house three moderate income residential units, an 85-seat restaurant, and other retail space off Granite Street at Pigeon Cove Harbor.

The Board of Appeals renewed a trio of variances exempting Old Colony Maritime from "Rate of Development" limits, minimum lot area requirements, and fence height restrictions earlier this month after holding a public hearing on the matter June 28. The variances were originally granted in November 2007 and last fall were extended through May 28.

Bailey said the renewed variances are now valid for another year.

Several special permits are set to expire Nov. 28; Bailey said his client will petition to renew those as well.

Goldin has said the appeals process could take another year, and he is hopeful the Appeals Court would rule in his group's favor.

Jonathan L'Ecuyer can be reached at jlecuyer@gloucestertimes.com.

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