James Briggs

james.briggs@indystar.com

The Indianapolis Airport Authority is starting from scratch in its effort to redevelop an old terminal site, effectively killing a proposed $500 million sports medical complex that it seemed set to approve days earlier.

The airport authority has canceled its request for proposals for the 130-acre site, rejecting all bids and restarting the process. It made the move at a Friday board meeting.

"We will leave our options open and continue to search for the optimal project that will provide significant benefits to Central Indiana and, especially, the west side of Indianapolis," the airport authority said in a statement. "We will also continue to engage and gather feedback from our stakeholders, including the city of Indianapolis, our neighboring communities and others."

The airport authority said it made the decision because it "has been listening to the community's input and will always put our community first." The prime west-side site includes the former terminal and a massive parking lot near the terminal, all of which is unused.

As recently as Monday, the airport authority said it was considering issuing a letter of intent to Athlete's Business Network, a first-time developer that wanted to build hundreds of thousands of square feet, including four medical buildings, hotels and a 20,000-seat stadium. The letter of intent would have started a 90-day period of exclusive negotiations with ABN.

The airport authority reversed course, though, almost exactly one month after it unveiled the project during a Feb. 17 news conference with ABN.

"The chance for the west side to benefit is tremendous," airport board member Philip Borst said at the time. "It can elevate this side of town."

But the project received mounting criticism in the weeks since that announcement. ABN lacked development experience — its $500 million proposal would have been its first real estate project — and declined to disclose its investors. ABN co-founder and CEO Craig Sanders also has a history of business and personal bankruptcies, raising questions about the group's leadership team.

ABN declined to comment on the airport authority's decision.

The airport authority selected ABN over a bid from the owner of Rising Star Casino Resort. Las Vegas casino operator Full House Resorts wanted to build a $650 million casino-anchored mixed-use project at the terminal site.

Although that proposal was panned for including a casino — which would require approval from the state legislature — a spokeswoman for Full House has said the group would consider scrapping the casino from its plan.

The airport authority's decision Friday reopens the process to new proposals from any developer, including ABN and Full House, board President Kelly Flynn said. The airport authority does not plan to issue a new request for proposals, he said.

"All of our options are quite open," Flynn said.

Alex Stolyar, the chief development officer for Full House, said the company plans to continue pursuing a version of its proposal, called American Place.

"Full House Resorts continues to believe that a lifestyle and entertainment center like American Place is right for Central Indiana, and will continue to work towards its development," Stolyar said in a statement to IndyStar.

Taylor Schaffer, a spokeswoman for Indianapolis Mayor Joe Hogsett, called the airport authority's decision an "opportunity for a true community conversation." Flynn in a letter to airport authority members earlier in the week cited discussions with the Hogsett administration as a reason for the board to pause. Schaffer did not say whether Hogsett opposed ABN's proposal.

"City leaders will continue to work with the airport authority to encourage a selection process that engages all local stakeholders in this important discussion," Schaffer said in a statement.

The airport authority will take its time in determining next steps, Flynn said.

"We think it is a great piece of development land," he said. "We want it to be good; we want it to be right."

Call IndyStar reporter James Briggs at (317) 444-6307. Follow him on Twitter: @JamesEBriggs.