South County : Original Coto de Caza Dwellers Sue Developer

A lawsuit filed by residents who say they represent 800 charter homeowners in the affluent Coto de Caza development seeks more than $10 million in damages from developers.

The suit filed this week in Orange County Superior Court alleges that developers are trying to cut back on rights of the original homeowners, in violation of sales agreements. The class-action lawsuit names as defendants Coto de Caza Ltd. and general partners Chevron Land Development Co. and Arvida Corp., according to Kenneth S. Kasdan, attorney for the homeowners.

Homeowners in the gate-guarded community fear that developers will not honor their promises to give original homeowners access to common amenities, Kasdan said.

A similar dispute erupted last March, when homeowners balked at paying a $15,000 membership fee and $250 a month for access to a newly opened 18-hole golf course. Homeowners already pay fees of approximately $75 a month for facilities such as a gymnasium, swimming pool and equestrian center at Coto de Caza, where home prices run from $200,000 to more than $2 million. They said the fee entitles them to access to any new facilities.

An agreement was reached to end the dispute in June, but homeowners have now accused the developer of violating the agreement and breaking a promise to record the deal with the property deeds, making homeowners’ rights a certainty. The developer could not be reached for comment Thursday.

The most recent violation, according to Kasdan, is a requirement that charter homeowners pay $5 to use driving range at the golf course. The 80 new golf course members who are not homeowners are not charged the fee, Kasdan said.