Land Dispute Spirals For Shelbourne Development

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November 28, 2007 - The Chicago Spire saga seems to have as many twists lately as the future tower’s design. Crain’s reported that the River View Condominium Association filed a lawsuit against Garrett Kelleher and his Shelbourne Development Group. This comes on the heels of a dispute made public earlier in the month over a narrow strip of land between the existing condo complex and the development site. The two parties have been at odds and the stakes were raised today with the legal action thrown into the mix.

The land in question is critical to both the River View complex and the Spire construction site. Shelbourne Development had previously obtained easement from the River View Association to use the land. The point of contention is that Kelleher’s true intent was withheld and the condo association entered into the agreement without being fully informed.

The lawsuit alleges that Thomas J. Murphy, acting as legal representation for Shelbourne, didn’t inform the condo association of the developer’s plans to construct a 7 story underground parking garage until after they had signed binding documents agreeing to the deal. The association had thought that the only excavation that would be done was to accommodate utility lines. The developer now admits that the excavation would cause the townhomes at the base of the River View towers to sink at least two inches and the tower’s lower level could experience significant structural damage.

Shelbourne counters that they were up front with their intent and now questions whether or not the River View Association even owns the rights to the land in question. In a short time Kelleher has managed to become one of the most controversial Condo Builders in Chicago.

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