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Article updated: 10/10/2013 5:32 AM

Lakemoor to complete roads in unfinished subdivision

By Mick Zawislak

Residents in the Rockwell Place subdivision in Lakemoor may have become used to traveling on unfinished streets, but village officials have had enough.

Repairs are being made, and a final surface soon will be installed on about 1.5 miles of roads through the subdivision off Sullivan Lake Boulevard, north of Route 120. The village will pay $259,369 for the work to head off future problems.

"The village is extremely concerned if we hold off, the price in the future will be substantially more," Village Administrator David Alarcon said.

The streets were left unfinished about four years ago, when subdivision developer Kirk Homes filed for bankruptcy in 2009. Builders typically are required to set aside funds to ensure work is completed, but the bond companies in this case are denying liability and withholding the funds, Alarcon said.

The village took the matter to court about 18 months ago, but the proceedings could continue for another 12 to 18 months, according to a letter to residents by Village President Todd Weihofen.

The roads were inspected and continue to deteriorate, Weihofen said. If they remain that way, it's likely the entire road would need to be replaced, he added.

"It is the village's hope that completion of the roadways, followed by resolution of the lawsuit, will encourage the proper completion of the remainder of the subdivision," Weihofen told residents.

The townhouse portion of the project is complete and about 115 single-family homes have been built. There still are about 75 vacant lots available for homes.

"For us, right now, the public safety concern is the streets," Alarcon said.

The village will try to recover its investment as part of the proceedings.

"It's the bond companies that are refusing to pay out," Alarcon said. "They're claiming it's the responsibility of the successor developer, and there is none."

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