Metro Estates: A Development Approved, a Landscape Changed, and Unanswered Questions

Dear Friends and Neighbors

The Beginning: A Promise of Growth for Loch Sheldrake
When Metro Estates first came before the Town of Fallsburg Planning Board, it represented more than just another housing development. The proposal, known as Sunny Iceberg / Metro Estates, included a residential duplex development, a commercial office building known as Metro Plaza, an expansion of infrastructure to support the project, and the promise of additional economic activity in the Loch Sheldrake corridor. The project was presented during a time when residents were asking for thoughtful growth, development that would bring not only housing, but also services, jobs, and year-round economic activity.

The Town Planning Board reviewed the project for months. In 2022, the project moved forward through the approval process. The residential portion and the commercial portion were treated as connected in the overall review, but the Planning Board was careful to distinguish between them. One important point was made clear: The residential construction would not automatically establish vested rights for the commercial building. The office building had to stand on its own. That distinction would become increasingly important.

The Planning Board Timeline: Approvals, Questions, and Growing Concerns

May 12, 2022: Residential Approval The Planning Board reviewed the Metro Estates residential proposal. During this meeting, the project had changed from townhouses to duplexes, the Board approved the SEQR Negative Declaration, subdivision approval was granted and the residential site plan approval was granted. However, concerns were already raised about water pressure in Loch Sheldrake, ensuring adequate water supply, school bus concerns, how the residential and commercial portions would remain connected and what would happen if one portion was built and the other was not. The developer stated the project was ready to move forward.

June 9, 2022: Commercial Approval (Metro Plaza)
The office building component received approval. The Planning Board included conditions that required the building to substantially match approved architectural renderings, infrastructure approvals and recognition that the commercial project would be evaluated separately for vested rights. This was an important moment because the Town understood that a development can change over time. Approving a project does not guarantee it will be built exactly as promised. 

Extensions Begin and Questions Increased
For a period after approval, there was no additional Planning Board activity. Then, in 2023, the developer returned.

November 9, 2023: First Six-Month Extension Request
The developer requested more time. The reason given was delays with the NYS Department of Transportation regarding the entrance location. Redesigning work and additional approvals. The Planning Board approved a six-month extension. But the discussion changed. The Board began focusing on traffic impacts, infrastructure, whether additional contributions should be required and whether the project was truly moving forward.

April 11, 2024: The Turning Point
This meeting revealed the greatest concerns. The developer requested another six-month extension. The applicant explained the project was delayed, maps had not yet been finalized, financing was still being worked through and they wanted additional approvals related to the commercial portion. The discussion became centered around one major concern: What happens if the land is cleared and the building never happens? Planning Board members specifically questioned why clear land before financing is secured, what happens if the bank does not approve funding and does the Town want another cleared property sitting unfinished? The developer stated they had no intention of clearing without building. The Board remained cautious. This meeting is significant because the concern that residents now have today was already being discussed openly: A clear-cut property with no completed development.

Another Extension and the Last Opportunity

February 13, 2025: Final Six-Month Extension
The developer returned again. This time no representative appeared initially. The staff explained that Metro Estates residential construction had begun and the commercial building had not. Town officials explained that additional building documentation had been requested before allowing further steps. The discussion again focused on preventing a scenario where trees are removed, land is disturbed and construction never follows. Staff recommended approval of what they described as the final six-month extension, running until August 2025. The Planning Board approved it. After this meeting, no additional Planning Board meetings concerning Metro Estates were found.

A Warning About Sequencing
Only weeks after the Planning Board granted Metro Estates its final six-month extension, the broader issue of development sequencing took center stage. At the March 4, 2025 Public Hearing on proposed Zoning Code Amendments at the Hurleyville Performing Arts Center, former longtime Town of Fallsburg Building Department CEO Alan Frishman urged the Town to prohibit significant site disturbance until financing, water and sewer availability, and other critical approvals were firmly in place. Speaking from decades of experience overseeing development in Fallsburg, Frishman warned that once developers begin clearing land, building roads, or making substantial improvements, municipalities may lose leverage because developers can later claim vested rights. As he told the Town Board, “nothing should be granted to any development until you know you have sewer and water… it should be zero disturbance.” Although Frishman was speaking about future policy rather than Metro Estates specifically, his remarks closely echoed the concerns already raised by the Planning BoardWhat happens if the land is cleared and the project never reaches completion? Looking at Metro Estates today, with extensive clearing, an unfinished structure, and the promised commercial building still unbuilt, his warning illustrates why the order of approvals, financing, infrastructure, and site disturbance matters.

What Happened to the Land?
Today, residents are left looking at a property that appears dramatically different from what was originally presented. The land has been cleared. A two-story unfinished structure remains. The promised commercial building has not materialized. No residential units have been constructed. The full vision presented during the approval process has not been completed. The Planning Board’s earlier concerns now seem even more relevant. Was the project financially ready? Was the commercial component realistically moving forward? Should land clearing have been allowed before financing and construction certainty existed? Did the Town have enough safeguards? The record does not definitively tell residents what happened behind the scenes. There are unanswered questions regarding financing, permits, final approvals, clearing authorization and the status of the commercial component. But the result is visible: A changed ugly landscape and an unfinished project.

The Questions Residents Deserve Answers To
1. Who authorized the clearing and when?
What permits were issued? What acreage was approved for disturbance? Did the clearing match the approved plans?
2. Was financing ever secured?
Was there a construction loan? Was financing contingent on permits? Did financing fail?
3. What happened to the commercial building?
Will it still to be built? Has its approval expired? Does the Town have any remaining leverage?
4. Were all conditions of approval satisfied?
Water capacity? Sewer requirements? Traffic impact requirements? Required plans?
5. Why does the Town allow clearing before construction certainty exists?

How Fallsburg Can Prevent This From Happening Again
Metro Estates highlights a larger planning issue. The Town should consider stronger protections before allowing large-scale land disturbance.

Possible changes:
1. No major clearing before proof of financial readiness
Before a developer removes large portions of forest, require evidence of financing, a construction schedule and a realistic timeline.
2. Require phased clearing
Do not allow an entire property to be disturbed all at once. Allow clearing only where construction will immediately occur and according to a phased plan.
3. Stronger reclamation requirements
If a project stops, the Town should have financial security, bonding or escrow funds sufficient to stabilize and restore the property.
4. Tie major approvals to milestones
Approvals should not simply sit for years while conditions change. Require foundation completion, building starts and infrastructure milestones.
5. Protect the community vision
If a project receives support because it includes a commercial space, medical services, employment opportunities or community benefits then the Town should consider whether those components need stronger guarantees.

The Final Questions
The question is not whether Fallsburg should grow. The question is: What kind of growth do we want, and what protections do residents deserve when that growth changes our landscape forever? Metro Estates was approved as a project that promised more than housing. Years later, residents are left asking: Was the approval process strong enough? Did the Town have enough protections? And most importantly: How do we make sure the next developer cannot remove the natural character of our community, leave behind an unfinished property, and walk away while residents live with the consequences?

Fallsburg's Future is a community network of concerned Fallsburg residents established in January 2016. Its Mission is to help guide the urban development of the town of Fallsburg and its five hamlets, to promote its sustainable economic development, protect the fragile beauty of its natural habitats and enhance the opportunities and quality of life for all its residents and visitors. We hope to curb the suburban sprawl that is threatening to overwhelm the town’s physical infrastructure and destroy the natural beauty that the area depends on for its future development. See us on Facebook and our website Fallsburgsfuture.com.

Next
Next

Liberty Gets $2.365 Million for Its Park & Pools. What About Fallsburg?