Minor reservations aside, the Libby City Planning and Zoning Committee recently approved a rezoning request by a local developer for the old Asa Wood School property.

Ohno, LLC’s Chris Noble made the request in March to rezone Parcel B, a 4.28 acre parcel of land in what is now known as the Flower Creek Development. The parcel was previously zoned Residential A and Noble sought a Residential Business designation.

The old school was recently demolished and equipment operators continue work to make the ground suitable for development.

At the Monday evening city council meeting, councilors unanimously approved the request without any discussion or public comment. Council president Brian Zimmerman made the initial motion to approve the request while councilor Gail Burger seconded it.

Kristin Smith, Zoning Commission chair, wrote in a July 6 memo to city councilors that the primary concern was the speculative nature of the request.

“The applicants do not have an overall development plan to envision the build out and anticipated mix of uses,” Smith wrote.

Noble Investment Properties’ Tina Oliphant was present at the Zoning Commission’s June 22 meeting to answer questions.

“The zoning approval is an important step in repositioning the old Asa Wood property for future development,” Oliphant said. “The Residential Business zoning allows the property to be considered for uses such as multi housing, commercial office space and other compatible neighborhood-scale development.

“Work on the property has been underway for some time as it moves from undeveloped land to a site ready for build out. Over the past approximately 24 months, design, engineering, permitting and early development activity has been moving forward. Ortho Rehab was the first new development on the property, and work is now underway on new road access connecting to Nevada Avenue, along with construction of City utilities.”

Oliphant said there is no timeframe for the build-out on the property.

“At this time, we do not have a specific date for full build-out,” Oliphant said. “Our next phase will focus on preparing the site for future users and marketing available opportunities for their own development plans.”

Smith’s letter to council members outlined the zoning commission’s positives and negatives of the request before deciding the parcel was appropriate for rezoning.

Those reasons included the width of Idaho Avenue, offering space between the parcel and residences on the other side of the street, a Residential Business designation could accommodate more dense housing opportunities and portions of the overall property are zoned Highway Commercial, making the Residential Business zone a transition for uses between full residential and full commercial.

Smith pointed out in the memo that a business which wants to be located in a Residential Business zone would still have to be approved by council.

Prior to the Zoning Commission’s decision, city administrator Sam Sikes wrote in a March 11 letter to it about Noble’s request while recommending approval of the request.

“In 2020, the city adopted a new Highway Commercial District to accommodate business opportunities that tend to be more auto oriented and in 2024, the city altered the zoning code to ensure Residential Business District designations were in place to create a buffer between fully commercial and fully residential district,” Sikes wrote.

He also pointed out the city’s adoption in 2023 of a growth policy that, “supports and participates in economic and community development efforts to build and maintain a strong, diverse economy through new and expanded business opportunities.”

The Asa Wood School closed in June 2011 due to a massive budget shortfall of $700,000. The 42,200 square-foot school building was built in 1953, with additions in 1956, 1960, 1967 and 2015. The last work was the addition of a commercial kitchen in 2015.

The school district received a $388,000 grant from the Environmental Protection Agency’s Brownfields Program in 2021 to clean up toxic buildings materials on the property, which include asbestos, thermostats which contain mercury and lead-based paint on the inside of the building.

The district agreed to sell the school in September 2021 to California-based Compass Health Inc. for $730,000. Compass manages assisted living facilities.

At the time, Compass Health executives presented plans to build a 35- to 45-unit assisted living facility on the property or develop the lot into commercial and mix-use buildings and homes with sections for senior and low-income housing.

Darren Smith, CEO and owner of Compass Health, previously said, “Our motivation is not financial but rather to have an opportunity to enjoy a project outside of our home state of California.”

According to a Dec. 14, 2021, story in The Western News, Compass Health’s substituted Playa Dulce LLC, as the buyer in a strategy to protect the health care company from lawsuits.

Noble’s Ohno LLC acquired the property Dec. 26, 2025, in a quit claim deed transaction to Noble Industries.

Compass Health’s decision to sub in Playa Dulce LLC, or sweet beach LLC, as the buyer was a strategy to protect the health care company from lawsuits, Goodman said.                   

In the petition to the city for the zoning change, Noble estimated the 4.28-acre parcel was currently worth $900,000 with an estimated value of $1.4 million at 50% build out and $1.8 million at 100% build out.

    Asa Wood School's "Timeout" wall was one of the last remaining pieces of the structure before its demolition earlier this year. (Scott Shindledecker/The Western News)
    A Noble Excavating employee uses a hydraulic excavator Monday, March 23, 2026, to tear down the north section of the former Asa Wood Elementary School. (Scott Shindledecker/The Western News)