Citing a pending lawsuit and project changes to accommodate local hoteliers, John Thomas of All Star Investments has withdrawn as developer of a hotel and conference center and new academic building at the University of California, Davis.

Sited at the I-80 entrance to campus near the Alumni and Visitors Center and the Mondavi Center for the Performing Arts, the project includes three buildings: a 75,000-square-foot conference facility with meeting space for 500, a ballroom, restaurant and pub; a 40,000-square-foot hotel with 75 guest rooms, scaled back from 150 guest rooms in response to hotelier concerns about possible negative impacts; and a three-story building to house the Graduate School of Management as well as University Relations units and the Internship and Career Center.

"This has been a difficult decision for All Star and its development team," Thomas said. "All Star Investments must now devote its resources to other business opportunities. It is unfortunate that the past two years of effort on both organizations' part has not led to the construction and occupancy of these much-needed facilities."

Oral arguments in a lawsuit filed by Davis resident Norman Rogers last April are scheduled to be heard Oct. 15 in Alameda County Superior Court. Rogers' lawsuit alleges the university's environmental impact report for the project violates the California Environmental Quality Act and that the UC Regents violated the Bagley-Keene Open Meetings Act by limiting public comment before approving the project last March. The university contends it has complied fully with CEQA and that no violation of the open meetings law occurred.

All Star's withdrawal from the project removes the firm as "a real party in interest" from the lawsuit.

John Yates, UC Davis director of real estate services, said the campus will "reapproach an excellent pool of finalist developers" who'd responded to the initial call for qualifications, and anticipates having a new master developer on board by October.

"We continue to move forward with this important project," said John Meyer, UC Davis vice chancellor for resource management and planning. "The hotel and conference center and the academic building are greatly needed by the campus and offer significant benefits as well to our broader community."

The project has received the endorsement of the Davis Area Chamber of Commerce, the Davis Downtown Business Association and local hotel owners, and the support of the Yolo County Board of Supervisors.

Yates said that "it's our hope to begin construction by the summer of 2003, with the building completed by late 2004."