Facing an uphill battle over density and traffic issues, the developers of the proposed 2nd Street Residences subdivision in Whitefish have withdrawn their application and will redesign the project for a second time.

Two weeks ago the Whitefish City Council tabled a decision on the housing project amid remaining questions about traffic, safety and the affordable housing component. A public hearing had been continued to Tuesday’s council meeting, but now will be canceled.

2nd Street Residences, the first major housing development proposed in Whitefish in years, has been a long, arduous slog for both the developers, Sean Averill and Will MacDonald of Community Infill Partners, and the neighbors who remain opposed to the density of the proposed subdivision north of the intersection of Second Street and Armory Road on the city’s east side.

The developers began downsizing the density earlier this year after there was opposition to the initial 173-unit subdivision planned on the open hay fields north of Second Street.

They reduced the number of units to the current configuration of 16 single-family homes with accessory apartments, 20 condominiums and 92 apartment units.

Instead of building long, massive apartment buildings, they redesigned the project to put the rentals in the interior as a “pocket” neighborhood, with the single-family homes bordering Second Street.

An affordable housing component including 14 deed-restricted rental units was a pivotal piece of the project.

The latest plan had the support of the city staff and Planning Board, but it was clear after the Aug. 19 hearing that the project might not have gotten the required two-thirds majority vote from the City Council.

State law stipulates that if 25 percent of the property owners living within 150 feet protest the proposed development, a two-thirds majority vote is required. Neighboring property owners turned in a petition with enough signatures to activate the state law.

Averill and MacDonald now are working on a new plan that reduces the density even further.

Though the developers could not be reached for comment on Friday, a city staff report addressing council members’ questions about the project noted information from MacDonald that said the density would be reduced to 117 units in the forthcoming redesign.

The subdivision would include 83 apartments and 34 single-family condominiums.

Responding to written questions from council members, MacDonald wrote that “it is important to note that at this density we no longer are required to provide affordable housing.

“However, we see the important of this product and will offer 12 affordable housing units to Whitefish Housing Authority,” MacDonald said.

Features editor Lynnette Hintze may be reached at 758-4421 or by email at lhintze@dailyinterlake.com.