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Developer outlines reduced-density concept for Rainbow Lake site; commission flags HOA and infrastructure issues

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Summary

Hillcrest Builders presented a concept to convert remaining Rainbow Lake multifamily parcels into duplexes and single-family condo units, reducing the previous 248-unit plan to 101 units overall. Commissioners stressed stormwater, private utilities, lift station capacity and homeowners-association legal arrangements must be resolved.

Hillcrest Builders on May 6 presented a concept plan to the West Bend Plan Commission for redevelopment of remaining parcels in the Rainbow Lake condominium development, proposing to replace the previously approved 248 multifamily units with a mix of duplexes and single-family condo units that would produce 41 new units on the undeveloped parcels and a 101-unit total for the whole development.

Paul Apfelbach, director of development for Hillcrest Builders, told commissioners his firm has owned the property for five years and wants to replace larger multifamily buildings with duplex-style condominium units and some single-building condo units to make the project economically viable and to reduce maintenance burdens on existing homeowners. Apfelbach said the existing homeowners association (about 60 units) has generally supported Hillcrest’s approach, though legal work remains to amend condominium declarations and establish the contractual terms that will govern maintenance and cost sharing.

Staff member Jim explained that the development was originally approved in February 2004 for 248 multifamily units, but only some buildings were constructed (three 4-unit buildings on the north lot and three 16-unit buildings on the south lot). All utilities and roads in the development are currently private and maintained by the homeowners association. The new concept would create three different land uses across the two properties and would require rezoning to incorporate RM-1, RS-4 and RD-2 to match the proposed mix of uses.

Commissioners and staff identified technical and legal issues that must be addressed before any formal public hearing or approvals: stormwater-management revisions because of changes in impervious area and regrading; potential realignment of shallow storm sewers that bisect parcels; private lift-station operations and historic failures; and detailed homeowner-association agreements to make sure existing residents are not left with disproportionate maintenance obligations. Staff and the developer agreed the plan is complicated and asked the commission to continue review; the commission did not vote to approve any zoning or land-use change at the meeting and asked staff to bring the item back for further discussion at a subsequent meeting.