COEUR d'ALENE - The Lake City Development Corp. gave developers of a new 39-lot, gated subdivision the approval they needed to proceed with the project near the northeast corner of Atlas Road and Seltice Way.

"This is a classic urban renewal effort," said LCDC Commissioner Brad Jordan. "The piece of land where the subdivision is going in has always been under-utilized for as long as I can remember."

Active West Development of Coeur d'Alene asked the LCDC to consider reimbursing the cost of extending 2,800 feet of sewer line along the north side of Seltice Way. Combined with the demolition of the existing building on its land and some curbing infrastructure, the company was seeking $371,000.

Sandy Young, of Verdis Consulting, represented Active West at the meeting. She said the company, which won significant environmental awards for its Meadow Ranch development near the "Big Red Barn" and Fred Meyer, is planning a similar project on Seltice.

Young said the gated subdivision, named Circuit of Seltice, will include 39 LEED and Energy Star certified homes, ranging in size from 1,000 square feet to 1,600 square feet.

With LCDC's approval for the sewer reimbursement, the company plans to file a Planned Unit Development application with the city next week, she said.

The sewer project would also serve another 14 properties along the north side of Seltice. Ten of those are annexed into the city and the other four remain in the county, she added.

Additionally, Young said the property will connect with a portion of the Centennial Trail that runs parallel to Interstate 90.

"We are talking with the Idaho Transportation Department about that now," she said.

Young said the developers are targeting a specific demographic of single adults to purchase the homes, and that is why they wanted the extra security of a gated subdivision.

"Demographically there are a lot of single women looking for homes like these," she said.

The homes would range in price from $179,900 to $229,000, said Dennis Cunningham, president of Active West.

Total property value on the land would increase from its current value of $536,000 to roughly $6.4 million. The tax revenue generated from that increase would be used to reimburse the developer for the infrastructure.

"The developer would pay to build that out, and be reimbursed over time," said LCDC Chairman Denny Davis.

LCDC Commissioner Deanna Goodlander made the motion to proceed with a reimbursement agreement with the developer. It passed unanimously.

In other business, LCDC agreed to partner with the city of Coeur d'Alene and the Coeur d'Alene Downtown Association on a two-year $400,000 sidewalk repair program downtown.

The city will pay $300,000 of the costs, the downtown association has agreed to $30,000, and LCDC will pay $70,000 toward the project.

LCDC also approved a final agreement to reimburse the developer of the Riverstone West Family III affordable apartment project $280,000 for infrastructure in that development.

That project will include 38 new affordable family apartments and is currently under construction.