GRAND LEDGE, Mich. — Construction at the $200 million Delta Crossings development off West Saginaw Highway in Delta Township has been put on hold after one of the developers, K2 Retail Construction Services, sued seven other partners in the project earlier this month, claiming to have not been paid for more than $4 million in labor and materials.
In a statement to Delta Township, the owner of K2 Retail Construction Services, Kris Krstovski, who also referred to himself as founder of West Lansing Retail Development/Delta Crossings said, "In order to move forward, West Lansing Retail Development must first reach a legal agreement for specific partners to exit the project."
Krstovski continued by saying that the disagreement "stems from a major overreach by specific partners."
According to court documents, Krstovski sued West Lansing Retail Development LLC and West Lansing Retail Development II on May 10 over breaches of contract. Krstovski is listed in state records as the resident agent for both companies he sued.
Records indicate that K2 Retail provided nearly $976,000 in labor, materials and equipment to West Lansing Retail that has not been paid back. On top of that, K2 said that it provided nearly $3.4 million in labor, materials and equipment to West Lansing Retail II that has also not been paid back.
K2 is also suing A&R Development II, LLC, and Spirit Realty, L.P., as they have ownership interests in the project, as well as The Sherwin-Williams Company, Michigan Paving and Materials Co. and TL Conracting Inc., as they recorded a construction lien on the property.
On April 28, K2 claimed liens on the property worth more than $4.3 million.
In his statement to Delta Township Krstovski wrote, “I fully intend to make good on my promises to the Delta Township Board, Eaton County Commissioners and the community.”
In a statement to FOX 47 News, Delta Township Manager Brian Reed wrote, “We hope that the situation is resolved in a timely manner so the project can continue. Olive Garden and Consumers Credit Union will continue with construction as they own their parcels and are managing the construction of their building. The At Home and the proposed housing is delayed as we understand.”
Neither Krstovski nor his attorney, J. Christian Hauser, returned requests for an interview.
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