Developer asks Imperial City Council for two months to resolve past-due assessments on stalled subdivisions

Andrew Routh, a representative of Novalk Company, told the Imperial City Council on May 2025 that his firm is prepared to restart work on three stalled residential projects in Imperial but requested two months to resolve outstanding parcel and assessment issues before the city pursues legal action.

Routh said the company’s local projects include the La Fuente subdivision (described in the meeting as a half-built, eyesore site near South Of Ayton), the Mayfield Ranch development and the Gazette Ranch property. He said Novalk has paid past-due property taxes on 40 of “approximately 58 parcels” at La Fuente and has already paid “a significant portion” of past-due community facilities district (CFD) assessments on the other two properties.

“We are committed now and we’ve—we’ve told the count, told city staff that we are prepared to pay the full principal amount of all past due CFD assessments,” Routh said, asking council for two months to show progress before the city moves toward foreclosure or other legal remedies.

Why it matters: CFD (Mello-Roos) assessments and unpaid taxes can block new construction and trigger city enforcement or foreclosure actions that affect neighborhoods, property owners and future housing supply. Routh said Novalk intends to bring financing and construction teams to Imperial and estimates its combined investment on the three projects will be more than $50,000,000.

Council did not take formal action on the item; Routh’s remarks were delivered during the public-comment period. He described an ownership complexity at La Fuente — not all parcels are owned by his firm — and said the company will continue negotiations with property owners and city staff. Routh did not specify detailed milestones or exact dates for ownership transfers and said some details remain to be worked out with “neighbors out there.”

No member of the council moved a staff report or introduced a specific follow-up motion during the meeting. The city attorney’s closed-session report earlier in the meeting noted that council had given direction on labor and property negotiations and on matters of exposure to litigation, but no public decision was made in response to Routh’s comments.

What to watch: Routh asked for two months to demonstrate progress; if the city resumes formal enforcement or legal action, future agendas or staff reports may show related items such as notices of default, foreclosure filings or negotiated payoff agreements for CFD assessments.