A developer has applied to redevelop about 89–90 acres on the island adjacent to the Nautical beachfront resort, city officials said at the Lake Havasu City “Coffee with the Mayor and City Manager” meeting on Oct. 3.
The application from Falcon Eye Ventures seeks a major amendment to the city’s general plan and a rezone to a planned development, city manager Dreskin Knutson said. The project had its first public hearing before the Planning and Zoning Commission on Oct. 1; a second commission hearing is scheduled for Nov. 5 in the council chambers, Knutson said.
Why it matters: the parcel includes the former Nautical golf course that closed about six years ago and was acquired from the Arizona State Land Department in 2023. Officials said the size and scope — a single developer proposing to build nearly 90 acres at once — is unlike prior, incremental development in Lake Havasu City.
Officials described elements included in a letter of intent and in the project presentation: more than 35% of the site as open space, shoreline access and a public ramp, retail including a grocer and gas station, multifamily housing and townhomes, and a large resort component. City staff and the applicant presented proposed concessions made during neighborhood outreach, including reducing one three‑story residential element to two stories and adding buffer/open‑space areas adjacent to nearby condo properties, according to Jess (staff member), who attended the hearings.
The planned‑development zoning process requires applicants to show building footprints, hotel and resort locations, housing and retail layouts and other design details at the application stage, Jess said, which differs from straight commercial zoning where fewer site specifics are required at review.
Public access: city staff said the applicant’s proposal includes a 15‑foot public shoreline access strip that would be recorded as an easement or deed restriction. City officials also noted an existing deed restriction preserving 50 feet of shoreline access in some parts of island body‑beach zoning; officials described the city’s goal of preserving meaningful shoreline access “for generations.”
Process and timing: city staff and the mayor repeatedly said the application is at an early stage. Knutson emphasized the role of public input, calling it “the very, very first steps” and urging residents to review the online presentation and attend upcoming hearings. Knutson and the mayor noted the amendment and rezone require Planning & Zoning and City Council review; final adoption of any new general‑plan language would also follow the city’s established public process.
Officials and others stressed there are no final approvals yet and outcomes could include denial at either the Planning & Zoning or City Council level. The mayor and staff also noted that because the land is former State Trust Land, state land auctions and state policy influence availability of island parcels and the city has been in discussions with the State Land Commissioner about shoreline priorities.
What’s next: the city asked residents to follow the project materials posted online and attend the Nov. 5 Planning & Zoning hearing. Knutson and Jess encouraged neighbors and other residents to communicate with staff and the applicant during the review period.