The city is unfairly trying to put expenses on Beitler to satisfy zoning conditions for both buildings at once when the developer isn’t required to build them at the same time, the letter says. Capital markets are troubled by the idea of conditional zoning and simply want a statement that the project has zoning approvals, Beitler has previously told the city.

The city sees it differently.

It is Beitler that repudiated the development agreement in its notice that it won’t be able to obtain financing and perform obligations within deadlines, a March 14 letter to the developer from assistant city attorney Kevin Ramakrishna says.

Beitler’s allegations are “false, senseless, insulting and unprofessional,” it says.

Step by step?

The city hasn’t tried to make Beitler obtain financing and begin construction of the hotel and apartments at the same time, Ramakrishna’s letter says. The amended development agreement sets forth separate and distinct dates for each element, and a phasing plan can be secured through an administrative process, it says. A major alteration approval is always required for significant changes to the project, it says.