POST FALLS - A controversial proposal that would allow 488 apartment units to be built on 27 acres near Sysco Foods still isn't settled.

Tuesday's public hearing on Foursquare Properties' appeal of the Planning and Zoning Commission's denial of a special-use permit that would allow multi-family housing to be built in The Pointe at Post Falls was postponed until likely Feb. 15.

The hearing was pulled after the Post Falls City Council agenda was developed on Friday.

Foursquare's Jeff Vitek planned to make the presentation, but the hearing was postponed after he couldn't attend the meeting, said city administrator Eric Keck.

Foursquare will be required to pay for another public hearing notice.

The apartments would be built in phases as part of a 40-lot, 109-acre commercial subdivision in The Pointe, which is anchored by Cabela's and Walmart. The council on Tuesday unanimously approved the subdivision, but the special-use permit allowing residential in the project is still pending.

Foursquare believes residential development would help retailers in the project and support the city's goal to create live-and-work communities.

The proposed apartment sites, north of Sysco and east of Beck Road, would have recreational amenities such as greenbelts, pools, basketball courts and indoor fitness buildings, according to the proposal.

But opponents, including neighboring Sysco, believes residential isn't a good fit in the area, especially with the truck noise created by the 24-hour food distribution business.

Sysco also has concerns that a chemical refrigerant leak - unlikely, but possible - could place nearby residents at risk. The planning commission believed the high-density project would also require more police services in that area.

Jim Watson, developer of the adjacent Expo project, said he has concerns that Foursquare's proposal for the alignment of Expo Parkway would jeopardize the development of his project.