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CONTINUED

09/11/2003 Judge rules couple can't sue KB Home
By Adolfo Pesquera Express-News Business Writer
 
A state district judge Wednesday told a couple who lived in the KB Home Creekside subdivision they couldn't sue the homebuilder for not disclosing the couple was sold a house in a 100-year floodplain.

The ruling puts to rest a yearslong controversy for KB Home, but it will have little effect on a separate nondisclosure lawsuit set for trial next month.

KB Home sought to remove the floodplain issue from a lawsuit they filed against Abel and Sherree Martinez, a retired couple that the homebuilder claims breached an agreement to repurchase an allegedly defective house.

The Martinezes in turn have filed a counterclaim alleging KB Home tried to make them accomplices in a fraudulent land sale by preventing them from disclosing what they knew about the house's defects.

"Based on what I heard," 166th District Judge Martha Tanner said, "it appears the neighborhood didn't come into the floodplain until after the house was built."

Creekside abuts Culebra Creek at Westover Hills Boulevard. Various flood map revisions have put as many as 198 and as few as a dozen houses in the 100-year floodplain. Presently, the Federal Emergency Management Agency map has only portions of 26 lots but no houses.

City drainage department records show that early 1990s engineering maps KB Home gave the city show the subdivision outside the floodplain.

Tanner said the arguments she heard led her to conclude that FEMA didn't revise the map until after the 1998 flood.

However, an earlier FEMA map also showed the area in the floodplain, according to a defense exhibit.

On Feb. 16, 1996, exactly one year before the Martinezes bought their house, then-Bexar County engineer Raymundo Rendon Jr. wrote to FEMA chief Michael Buckley requesting a revision of the map, which on that date had much of the subdivision in the 100-year zone.

During construction of the subdivision, KB Home made drainage improvements and said it believed that the floodplain wasn't an issue when it was constructing houses.

The issue first became public in 1999 when the Creekside neighborhood association complained to City Council that they couldn't get a permit to build a playground because the area was "newly designated" as in the floodplain.

The city determined that mining on a neighboring property by Del Mar Investment Group was delaying a FEMA revision. After threatening the mining company for code violations because its activities had adversely affected the flood channel, the issue was resolved in late 2001.

apesquera@express-news.net
 

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Last Updated 10/10/2003
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