Federal Judge rules in favor of St. Johns County in dispute with developer over road widening

St. Johns County bracing for population explosion.

A federal court has sided with St. Johns County in a yearslong dispute with two housing development firms regarding agreements to widen one of the county’s most used roads.

The U.S. District Court for the Middle District Florida issued a ruling this month that came down on the side of the county in a legal fight that dates back to 2016. That’s when developers Southeast Development Partners LLC and Southeast Land Ventures LLC both agreed to widen a three-mile stretch of State Road 16 around the Grand Oaks housing development.

Grand Oaks is a “luxury” gated community with single-family homes starting at about $780,000. There are a few different housing communities within the development. When the housing area was constructed, the developers agreed with the county to pay for widening State Road 16 in order to compensate for the increased traffic that would be caused by more residents living along that stretch of road, a key thoroughfare that runs from Interstate 95 into St. Augustine and surrounding areas.

The developers did not complete the work, leading the county to declare them in default.

As recently as February, the St. Johns County Commission held a hearing on a proposal from the developers to amend the development agreement. Commissioners rejected the request. In March, the developers filed a federal civil lawsuit against St. Johns County seeking relief from the original development agreement.

U.S. District Judge Claire R. Kelly ruled entirely in favor of the county.

“This ruling reaffirms our commitment to holding developers accountable and ensuring that promises made to our residents are kept,” St. Johns County Commission Chair Sarah Arnold said at the conclusion of the court dispute. “The developer’s attempt to alter the terms years later was a breach of trust. We stood firm for our community, and this decision sends a clear message that we expect all parties to honor their commitments.”

St. Johns County Attorney Joy Andrews said the Commission simply wants the developers to honor their agreement. In addition, the eight years it took to resolve the dispute drove up the cost of the road widening, which was originally projected to cost $15 million. That work is now estimated to run about $60 million.

“The ruling from the U.S. District Court is a powerful validation of the St. Johns County Board of County Commissioners’ conviction in prioritizing responsible development and its firm belief in defending our residents’ rights at every turn, without compromise,” Andrews said. “This court decision represents a significant victory for our residents.”