SOUTH HADLEY — After five years of little to no progress redeveloping the former Bardwell Library property into condominiums, the Select Board decided to investigate legal options against the developer for breach of contract.

The town-owned South Hadley Falls property at 27 Bardwell St. was slated to become five condominiums with three garage bays and a stand-alone garage structure. In 2018, Yi Sheng Inc., a South Hadley developer, took over the project two years after the Planning Board approved the project’s special permit. According to a memo from the Planning and Conservation Department, slow progress on the project occurred from 2018 to March 2020, when the pandemic caused labor storages and supply chain issues that ultimately ceased construction.

After these industry-wide hindrances began clearing up in May 2023, progress remained stagnant.

“The developer has continued to mask the lack of progress with a few trim boards going up and some fresh paint,” the memo said.

The memo states that developer Jesse Liu has issued delinquent progress reports, ignores the Building Code requiring regular inspections and owes $10,000 in property taxes.

“Everything seems to fall on a deaf ear about this project,” Director of Planning and Conservation Anne Capra told the Select Board on April 15.

Yi Sheng Inc. could not be reached for comment.

Capra urged the board to investigate a liquidation damages clause in the original agreement between the town and a developer, most likely Orange Park Management LLC., issued back in 2015 when the project was first pitched. Orange Park Management planned to construct six condominiums before transferring the agreement and deed to Yi Sheng in 2018.

“I don’t see this project moving forward without that (action),” Capra said.

The developer has received six extensions to the special permit for the project since Jan. 28, 2020. As the labor shortages and supply chains for construction began to return to pre-pandemic levels, the Planning Board added stipulations to the special permit extension, including bimonthly progress reports. However, the board has only received two progress reports since the extension approval on Jan. 1, 2024

The Planning Board also conducted two site visits in June 2024 and October 2024. In June, the first two units consisted of framing, rough plumbing and electrical and sprinklers. The other three units had some finish work like flooring, installed final rough plumbing and electrical and applied drywall sheets. However, none of the units had kitchen appliances, gas fireplaces, bathroom fixtures. The board members witnessed no substantial progress when they visited in October.

Building Commissioner Jason Forgue inspected the site on July 1, 2024 — his first day on the job — after the former commissioner allowed permits to lapse. The developer requested an inspection in February 2025, but the Building Commissioner denied his request after learning that the plumbing and electrical systems had not been inspected. All plumbing and electrical permits will require a reissue fee due to late inspections.

To prevent an entire redesign of the project when the new building codes went into effect in June 2024, the Building Department renewed the developer’s building permits on the condition that he pay off the property taxes owed in 2023 and 2024, roughly $21,000. The taxes were paid with two separate credit cards.

“The developer has demonstrated that they are financially distressed, in violation of the State Building Code, and in violation of certain requirements of their Special Permit,” the Planning and Conservation Department’s memo concluded. “This project was intended to be a catalyst for redevelopment and housing in South Hadley Falls. It has now become another failed attempt to revitalize a historic neighborhood that the community continues to prioritize over and over again for such.”

Select Board Chair Andrea Miles noted that the project has been around over a decade, and the lack of progress remains concerning. The board asked Town Administrator Lisa Wong to discuss the issue with Town Council and report back at a later meeting.

Staff Writer Emilee Klein can be reached at eklein@gazettenet.com.