Developer, governor, GHURA ask court to dismiss $1.79M housing credit lawsuit
A developer, the governor, and GHURA are seeking to dismiss a lawsuit challenging the allocation of $1.79M in housing tax credits.Summary
A dispute over $1.79 million in Low Income Housing Tax Credits intended for an affordable housing development has escalated into a legal battle involving a competing developer, the Guam Housing and Urban Renewal Authority (GHURA), and the governor. Core Tech Development affiliates Summer Vista II and Summer Vista III initially sued GHURA, alleging it illegally reserved the credits for Flores Rosa, an affiliate of Pacific Federal Management. GHURA and the governor, represented by the Attorney General’s Office, now seek to have the lawsuit dismissed, arguing that Summer Vista lacks the standing to enforce federal law regarding the tax credits and that the governor has no authority over the credit approval process.
The conflict stems from a December 2024 application where Flores Rosa’s 30-unit project was selected over Summer Vista’s proposals. A prior Superior Court settlement in September, following allegations of improper scoring by Summer Vista, involved GHURA informing the Treasury Department that the $1.79 million in credits were lost due to an “administrative error.” Despite the settlement, GHURA later moved to reserve a new allocation of $1.79 million for Flores Rosa, prompting Summer Vista to file the current federal lawsuit.
The District Court of Guam previously denied Summer Vista’s request for an injunction to block the credit reservation, but the case remains ongoing as Flores Rosa, GHURA, and the governor jointly pursue its dismissal.
(Source：Guam Daily News)