Development stalled on former TVA waterfront

 

CHATTANOOGA (AP) -- A planned $500 million residential-recreation complex on Nickajack Lake property that the Tennessee Valley Authority swapped away to a developer is in financial trouble. 

A lawsuit also contends money has been improperly diverted to other projects.

The Chattanooga Times Free Press reports that a group of lot purchasers filed suit Friday seeking repayment of their money, plus damages.

The project has been planned and marketed as an upscale residential development with marina, golf course and other amenities on 578 acres in Marion County.

Neither the developer of Nickajack Shores, Rarity Investment Co. owner Mike Ross, nor his attorney, David W. Long, could be reached by telephone for comment Monday.