Developer’s Suit Claims City Delayed Business Completion to Benefit Mayor

SEA ISLE CITY – A local businessman filed a lawsuit April 3 alleging the city sought to delay his construction project to protect Mayor Leonard Desiderio’s business. 
Christopher Glancey, as one of the principals of 8600 Landis LLC, filed suit in federal court alleging that the city delayed and tried to prevent the construction of a restaurant and apartment building at 8600 Landis Avenue. Delays, he alleged, have cost him over $1 million. In a recent interview, Glancey said he wants to recoup the money he lost, and what he spent on legal fees pushing for the okay to continue construction, as well as damages from the city, although he said he had not set a specific number in the suit.
“I’m a reasonable person. If a reasonable settlement is reached, then a reasonable settlement is reached,” Glancey said.
According to Glancey, it took an order from Superior Court Assignment Judge Julio Mendez last year to force the city to issue the required building permits to complete construction.
The building was completed and opened for the season last summer, but according to the suit, the legal fees and construction delays cost big money.
Built where Busch’s Restaurant operated for generations, the building includes Doc Magrogan’s Oyster House and 13 condominium units upstairs.
According to reports at the time, Desiderio was on hand for the July 1 ribbon cutting.
Desiderio, who also serves as county freeholder vice director, owns a bar and restaurant, Kix McNutleys on 63rd Street, as well as the nearby Freda’s Sea Isle Inn. 
In addition to Sea Isle City, the suit names Desiderio, as well as City Administrator George Savastano and Solicitor Paul Baldini.
None responded to requests for comment April 24. Savastano reportedly told the Press of Atlantic City that the matter had been referred to the Joint Insurance Fund.
Glancey, originally from Philadelphia, has worked as a real estate agent in Sea Isle City and is the president of the Sea Isle City Chamber of Commerce and Revitalization.
He is a part owner of Diamond’s Liquor Store. This spring he is involved in two large-scale, mixed-use projects in the same neighborhood as the property mentioned in the suit.
One will include the return of a small food market, he said, and the other will include retail and a restaurant on the ground floor. Both have residential units upstairs. Glancey estimates the total cost of the projects at about $10 million.
“We’re building away. We expect to be open in June,” he said.
According to the lawsuit, the city Planning Board, in 2010, approved the construction of a project to include a ground-floor restaurant and 13 residential units.
The three-story structure included close to 10,000 square feet of interior space.
A revised plan was submitted with a few changes before the end of 2014, and in the spring of 2015, the developer had the go-ahead to build the upstairs units, but not the restaurant, according to a timeline presented in the lawsuit.
According to the suit, in September 2015, Baldini wrote a letter calling for the construction office to issue a stop-work order on the property.
“The city solicitor has no power to deal with planning issues,” Glancey said in a recent interview. He and other sources indicate the city believed the multi-unit property was set to be operated as a hotel.
City officials argued that the plans showed residential units and that included an expectation of occupancy of at least 90 days. Glancey pointed out that a large number of properties are rented throughout the beach resort by the week.
“The only difference is that I have a bar and restaurant on the ground floor,” he said.
According to the suit, the issue rose after an advertisement was printed for the property. It alleges that Baldini’s daughter, who was not named in the suit, called to try to make a reservation. In the suit, and in the interview, Glancey said the city solicitor has no power to investigate issues and no say in planning matters.
The suit alleges that even after construction was completed, Sea Isle City issued a certificate of occupancy after it was ordered by a court.
“Rather than engage in legitimate competition in the marketplace, (the) defendants abused their power and engaged in improper conduct specifically designed to damage and delay plaintiff, a local competitor in the restaurant and hospitality industry in the city of Sea Isle City,” reads a portion of the suit.
To contact Bill Barlow, email bbarlow@cmcherald.com.