Town, Stefanonis Closing In on Leroy-West Deal

Darien appears to be nearing a settlement with developers Margaret and Chris Stefanoni over a planned senior affordable housing complex at 77 Leroy Ave., according to Town Counsel Wayne Fox and documents obtained from state sources.

An agreement, if reached, would mark the end of a two-year battle between the town and the couple over the Leroy-West Senior Residences, a 16-condo, age-restricted development proposed for the southwest corner of the intersection between the two avenues.

"Within the next four to six weeks, we might have closure on this matter," Fox said Friday.

The Planning and Zoning Commission denied the Stefanonis' rezoning and site plan applications in October 2008, citing concerns over sight lines, parking capacity, density, and environmental impact. In December 2008, the couple filed suit against the town in an effort to have that decision reversed.

Because the proposed complex would include five units restricted to low-income earners, it enjoys special protection under Connecticut General Statute 8-30g, which permits developers to circumvent local zoning restrictions in many cases in order to encourage affordable housing construction.

Though the parties have been tied up in litigation for many months, Fox said that settlement negotiations seemed to be drawing to a close.

"I think we are close. I think we have made some significant progress," he said.

Fox declined to comment on the specifics of recent discussions. "I do not want it [progress] to fall apart," he added.

Chris Stefanoni also declined to discuss details of an ongoing negotiation.

"Since it's in litigation, I really don't want to comment on that," he said last week.

An email from Margaret Stefanoni to Michael Santoro, Community Development Specialist for the Department of Economic and Community Development, suggests that the two parties were coming to terms as early as April regarding the affordability plan for the project.

"After a long process, I am presently finalizing an affordability plan with the Town of Darien as part of a settlement agreement on an 8-30g development," Stefanoni wrote, going on to ask how to set maximum sale prices and fees for affordable condos.

The message was obtained through a Freedom of Information Act request.

After pretrial hearings in March 2009 and February 2010, court records show that Darien's attorney, John Louizos, requested a continuance, citing a desire to review proposed settlement materials. In April, Louizos filed a second such request as the two parties continued to discuss terms. Judge George Levine, who is handling the case, granted both.

In May, Chris Stefanoni told the Darien Times that, as part of a settlement, he would consider revising plans for Leroy-West to give preference to Darien residents. It is not known whether this concept found its way into subsequent negotiations.

On July 23, Louizos wrote a letter to the Stefanonis in which he referenced the prospect of arranging a P&Z executive session, apparently to discuss proposed settlement terms.

"We would be happy to schedule an executive session, but before we can do so we will require that the following be submitted to our office for review, based upon our discussions in New Britain Superior Court on June 29, 2010," he wrote. 

Among other requests, Louizos asked for an updated affordability plan, a report on herbicide/pesticide testing at the site, and a stipulated judgment.

Because the Stefanonis' Leroy-West materials were filed long before the town's pending 8-30g application, the project will still enjoy the protections of that law, even if a moratorium is granted.

A four-year freeze would give the town a break from appeals similar to this one, but to earn such a reprieve, Darien must show that it has added affordable housing units (or the equivalent) equal to two percent of its total stock. Town Hall and the Stefanonis differ sharply on whether Darien has done that, but the decision rests in state hands now.

Last week, Patch reported that the Stefanonis were "on the verge" of filing one or more additional affordable housing applications, and that they will likely do so quickly if a moratorium is granted in order to meet the grandfathered deadline.