Homestead’s Darkening Outlook: A Lynden Community Adrift in Legal and Financial Uncertainty
Residents of the Homestead subdivision in Lynden, Washington, are facing a growing crisis as a six-year legal battle over the community’s golf course and common spaces continues to unravel. The situation has escalated beyond disputes over maintenance fees, now impacting basic services like street lighting and threatening the future of the development itself.
Lights Out: A Symptom of Deeper Problems
In early February 2026, streetlights in the Fieldstone area of Homestead began to fail, as Puget Sound Energy (PSE) disconnected service due to unpaid bills. This isn’t a simple matter of delinquent accounts; it’s a direct consequence of the ongoing confusion surrounding ownership of the property. The previous owner, 18 Paradise, remains listed as the owner, while IMM Capital Advisors holds the deed but faces over $8 million in liens. The city of Lynden is hesitant to intervene, stating they are unsure where to direct notices with unclear ownership and acknowledging the complications of foreign ownership.
A Tangled Legal History
The core of the issue stems from a 2020 class action lawsuit filed by residents contesting a $57-per-month increase in maintenance fees. This dispute has spiraled into a complex web of litigation, involving multiple parties, amended complaints, and appeals. The case reached Washington State Court of Appeals, with plaintiffs seeking control over restrictive covenants and maintenance fee spending. A previous ruling nullified the fee increase, but failed to provide a clear path forward for fee refunds or establishing a homeowners association.
The legal battles have created a climate of uncertainty, deterring potential buyers for the weed-consumed golf course. A lack of a “clean title” is a major obstacle to any future sale or redevelopment.
Financial Instability and Dissolved Entities
The financial woes extend beyond unpaid utility bills. Property taxes on the golf course and open space parcels haven’t been paid since 2024, potentially leading to foreclosure by Whatcom County. Adding to the complexity, 18 Paradise, the former owner, was administratively dissolved by the Washington Secretary of State in December 2025. The former owner, Morris Chen, is reportedly living on another continent.
Possinger Law Group, representing MJ Management, is currently attempting to collect unpaid maintenance fees from 2020-2023 to refund overpaying homeowners, leading to further legal action against those refusing to settle.
Community Impact and Resident Concerns
The situation is taking a toll on the Homestead community. Residents are advised to take extra precautions at night due to the lack of street lighting, including wearing reflective clothing and using flashlights. Former resident Alenda Michael, who now monitors the situation remotely, describes the information available as a “black hole,” highlighting the confusion and frustration felt by those affected.
Steve Zehm, a plaintiff in the lawsuit, expressed frustration with the legal system, state politicians, and the City of Lynden for not enforcing ordinances. He, along with other plaintiffs, desires a resolution that revives the golf course without burdening homeowners with additional fees.
The Future of Homestead: Awaiting a Resolution
Despite the challenges, there is still hope for a positive outcome. Real estate agent Patrick Starr believes there are interested parties willing to restore the golf course and heal the community, but a resolution to the legal and financial issues is crucial. The Washington Court of Appeals is expected to reach a decision within the next few months, but 18 Paradise currently lacks legal representation, further delaying the process.
Frequently Asked Questions
- What caused the streetlights to go out? Unpaid Puget Sound Energy bills due to the ongoing ownership dispute.
- Who is currently responsible for the Homestead property? Ownership is unclear. IMM Capital Advisors holds the deed but faces significant liens.
- What is the status of the lawsuit? The case is currently with the Washington Court of Appeals.
- Is the golf course still open? No, the golf course is overgrown and has been declared a wildfire hazard.
Pro Tip: Stay informed about the Homestead situation by following updates from the Homestead Parcel Owners website.
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