Dyer Mountain files bankruptcy
The biggest development proposal in the Sierra has been put on hold after owners filed bankruptcy in a Federal Bankruptcy Court in San Francisco.
Dyer Mountain Associates filed for Chapter 11 bankruptcy protection on March 27 after pursuing development for ten years in a remote area of Lassen County known as Dyer Mountain.
Plans for the four season mountain resort included 4,000 homes, three golf courses and a ski resort on 7,000 acres of forest lands. The site is considered sacred by the Honey Lake Maidu.
In 2000, 62 percent of Lassen County voters approved re-zoning Dyer Mountain from timber production to a mountain resort.
In recent times the project has become mired in financial troubles with lawsuits stemming from defaulted loans and mismanaged funds.
Despite the problems, Lassen County approved the project in September 2007.
Mountain Meadows Conservancy, Sierra Watch and Sierra Club petitioned Lassen County Superior Court to overturn the county’s approval, contending the proposed development was illegal.
In January, creditors foreclosed on the property.