MAYVILLE – A regional financial institution has ceased development of a new condominium project in Mayville.
That’s according to a lawsuit filed by Lake Shore Paving in Chautauqua County Supreme Court. The company is suing “The Lodge at Chautauqua Lake” project and those associated with the build for lack of payment on work already completed at the site.
In February, the suit says the developers were notified by Bank of Erie that they will not issue a loan for construction and the project would not move forward.
The company is suing developers for $127,155 to retain compensation for work already completed.
In July 2021 the Webb Hospitality Group, headed by Ben Webb, held a groundbreaking ceremony on the site. The plan was to build out 21 new condo units on the site along Route 394 in Mayville.
In addition to private loan funding, the project received money from a county revolving door loan and various tax breaks from the Chautauqua County Industrial Development Agency.