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The owners of the orange dinosaur are suing Saugus. Here’s why.
The developers behind Essex Landing accuse the town of delaying their project and pressuring them to pay $200,000 to move forward.
The developers of Essex Landing, home to the iconic orange dinosaur off Route 1 in Saugus, are suing the town in federal court, accusing the town manager of pressuring them to pay a $200,000 donation to allow the project to proceed.
In a complaint filed on Aug. 21, the developers, TB Holdings LLC, say Town Manager Scott Crabtree largely caused the “arbitrary and discriminatory” treatment toward them.
The developers claim that Crabtree “exercises unfettered discretion and unchecked power over the town” and pressured them into paying a $200,000 donation to the parks and recreation department to move the project along.
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The developers also claim that the town is liable for “egregious constitutional violations” and is asking the court to grant them damages and just relief.
TB Holdings spokesperson Peggy Rose said, “The lawsuit speaks for itself,” and did not provide additional comment.
Crabtree did not respond to a request for comment on the allegations.
According to the complaint, TB Holdings received master plan approval from the Planning Board in 2015, a special permit from the Board of Selectmen allowing height over 50 feet for the development’s six-story building in January 2016, and site plan approval from the Planning Board in August 2016.
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TB Holdings constructed a mixed-use residential and retail project and prominently displayed the orange dinosaur from a former mini-golf course on the site.
Three of six planned condo buildings remain undeveloped along Collins Avenue. TB Holdings planned to develop them by selling two to Wingate Living to be used as an assisted living facility.
In 2022, developer Michael Barsamian allegedly tried several times to contact Crabtree on behalf of TB Holdings to discuss the development plans.
When Crabtree responded, he said that TB Holdings was supposed to provide a “grant” to the town, according to the complaint. He allegedly said he would not speak to Barsamian about the development until he paid $200,000 to Saugus parks and recreation.
In the complaint, TB Holdings says it believed it had no choice but to proceed with this course of action because it had already invested time and about $18 million into the project.
According to the complaint, TB Holdings’ counsel contacted Crabtree and inquired whether a $100,000 grant would be sufficient, especially since the developers had already paid $1.6 million for off-site improvements to the town’s utilities, such as water and sewer.
Crabtree allegedly responded with “disapproval” and said it had to be $200,000.
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The two sides agreed to a meeting, but Michael Touchette, another principal of TB Holdings, was requested not to be included because Crabtree allegedly has “personal animosity towards Touchette.”
The meeting occurred in May 2022 at Saugus Town Hall. They discussed constructing a residential apartment building with about 45 units at 15 Collins Ave. and the assisted living facility with the potential buyer of Wingate at 26 Collins and 30 Collins.
Crabtree stated toward the end of the meeting that Touchette would get “a slap on the wrist, but the obstacles to the development would be removed,” the complaint says.
Barsamian handed the check to Crabtree with the requested grant letter, according to the complaint. In response, the complaint says Crabtree “became visibly elated, repeatedly pounding on his chest ‘like King Kong.'”
Documents show the town deposited the check on Aug. 22, 2022.
However, TB Holdings says the town continued to slow down the project, which has resulted in separate litigation. They also say the town refuses to provide additional information through a public records request.
Despite the lawsuit, Rose said the assisted living facility and the additional apartment building are still moving forward, but the timeline is “to be determined.”
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