The Perry’s project is backed by Sun Valley resident Broderick Smith and Ketchum resident Carson Palmer. They purchased the three lots immediately east of the Ketchum Post Office last year. The parcels include the Perry’s building and two vacant lots to the north. The partners and their company, Silent Water Real Estate, are now in the process of developing plans to build a mix of market-rate and affordable housing on the site, with some commercial space.

Palmer said the primary goal of the project is to provide affordable workforce housing in response to the ongoing housing crisis in the valley.

Longtime Ketchum resident Keith Perry previously owned the building that has housed the popular restaurant and deli he has operated with his wife, Paula, for 37 years. After Palmer and Smith bought the two adjacent lots, he decided to sell his property and a deal closed last June, Perry said.

PEG hotel returns to council

Also on the packed agenda is a discussion on whether to grant a change to the development requirements of a new hotel slated for development just south of the Limelight on the west side of Main Street. The development team behind the hotel planned for the entrance to town is asking for more time between when the building permit is issued and the certificate of occupancy is granted. A certificate of occupancy signals that the hotel is ready to be used; the plan grants them 18 months, but they are asking for 30.

The Marriott-affiliated project first came before the commission in 2019. It was ultimately approved in February 2020. Soon after, a noticing error was discovered, and the project “basically had to start over,” according to Suzanne Frick, former head of Ketchum’s Planning and Building Department. Frick is now executive director of the Ketchum Urban Renewal Agency and is advising the commission on this project.

The decisions and approvals were suspended once the noticing error was discovered, and new hearings started later in 2020. The City Council approved the new set of permits in February 2021. As part of those approvals, the design review and development agreement were to come back later for review and approval.

The P&Z approved a design review permit in June 2022. But before a hearing on a development agreement could be scheduled, the applicant informed city staff members that according to a new law firm it had hired, the agreement was no longer acceptable. Specifically, PEG objected to the financial performance guarantees, completion dates and some formatting decisions.

Another item up for discussion at the meeting this Monday is whether to implement a traffic calming project in Ketchum. The staff packet says that several residents of West Ketchum have requested different traffic calming techniques, and that a neighborhood meeting was held onsite last fall to review problems and solutions. The project would see traffic patterns around town adjusted and experimented with, if it is implemented. A survey on the popularity of a program like this indicated that 14 of 21 respondents were in favor, while seven were not.

The City Council will also hear an update on Ketchum’s five year capital improvement plan. No motion or decision will come from this, but the council will provide direction to city staff on the approaches and scope of this project. After the presentation, Ketchum staff will post and online survey and open house to receive community feedback on the plan. Ketchum staffers will present the plan again during the June budget discussion, according to the packet.

The final subject of note is a quarter one update from Sun Valley Economic Development Executive Director Harry Griffith, as well as a few others. Griffith is expected to share how the organization's efforts have fared in the first part of 2023, using metrics obtained from a variety of outlets. This includes surveys of local business owners, as well as data obtained from a company called Destimetrics.

The meeting starts at 4 p.m. at Ketchum City Hall.