Sunland Park officials and business owners are facing a lawsuit after backing out of a deal with Independent Nation.

Independent Nation, the group behind a planned entertainment complex, has filed a lawsuit against Sunland Park officials and business leaders after the city’s “abrupt reversal of approvals” for the complex

“We were excited to be able to answer the city’s call to build something amazing, it was a passion project for us,” said David Bingham, principal at Independent Nation LLC, in a news release on Tuesday, Dec. 2. “Side by side with the city, we were encouraged at every step through approvals and design reviews, all of which required major investment on our part.”

When dispensaries first began opening in Sunland Park, local leaders called for the cannabis market to be more than just a sales operation. To that end, the city established an entertainment corridor to attract new operations.

The complex, set to be anchored by Sports Illustrated Clubhouse, was set to include an indoor-outdoor event space, retail operations and local vendor markets. Additionally, it was expected to create hundreds of jobs and millions in new tax revenue, according to the news release.

It was projected to open in the first half of 2025, reported by the El Paso Times in 2023, and a groundbreaking ceremony was held on Oct. 11, 2023.

The company worked alongside the city to get the operation up and running and even held a groundbreaking ceremony. But then plans derailed.

“Despite this momentum, the project began facing resistance after misleading claims circulatedin various media outlets suggesting elements of the project were inconsistent with city zoningand intent,” the Independent Nation news release stated. “Although these claims were later proven false, the confusion fueled community opposition and delayed what had once been a unified effort to revitalize the area.”

Sunland Park Mayor Javier Perea said in 2023 the project is viable and aligns with the city’s vision for an entertainment district, capitalizing on Sunland Park Racetrack & Casino and Western Playland amusement park.

Much of the opposition to the project has come from nearby dispensaries, which have distributed “false leaflets and statements mischaracterizing the entertainment complex as a ‘strip club’ and making incorrect claims regarding zoning and property location,” the news release alleged.

The Sunland Park City Council sided with the opposition.

Independent Nation’s lawsuit calls for “judicial review of (the city’s) actions as well as damages tied to theinvestments lost, opportunities delayed, and commitments made in reliance on the city’s prior approvals.”

“When a city calls on its community to help rebuild and then changes course mid-stream, it sends a message that progress here can’t be counted on,” said Amit Bijlani, principal for Independent Nation. “And for Sunland Park and the entire Borderplex to thrive, predictability must be part of the promise.”

“We didn’t want to go down this road. We just want the fairness and transparency every developer should be able to count on, especially when they’re answering a city’s own invitation to invest.”

This story is developing. Check back for updates.

Adam Powell covers government and politics for the El Paso Times and can be reached via email at apowell@elpasotimes.com.

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