By Travis Gettys
The Cincinnati Enquirer

CRESTVIEW HILLS - A proposed retail development moved ahead another step as city council gained approval for zoning changes sought by the developer.

Plans for the 500,000-square-foot Bluegrass Commons Lifestyle Center had been on hold while officials awaited the Northern Kentucky Area Planning Commission's acceptance of the proposals.

The planning commission agreed to some flexibility in size, location and number of signs and approved a plan to reduce the ratio of parking spaces per square foot of retail space.

"Except for the Christmas season, it's a bunch of asphalt sitting there," said city councilman David Kramer.

A $90 million bond financing plan to complete the project has been approved, but city officials continue to negotiate with Jeffrey R. Anderson Real Estate on the amount of payments in lieu of taxes the Cincinnati-based developer would make on the bond.

"We have not come to an agreement on that, but we're moving forward with everything else," said Mayor Paul Meier.

A special meeting will likely be called as soon as an agreement is reached, Kramer said.

"It just takes some time to get these things put together," said J.R. Anderson, a principal with Anderson Real Estate.

Developers hope to begin demolition of the Crestview Hills Mall in April so construction can begin in June.

A $25 million, 200,000-square-foot Dillard's department store will be built.

Anderson wouldn't comment on possible tenants while negotiations with them are under way. But he said the mix would be similar to stores at Rookwood Commons and Deerfield Towne Center.

E-mail tgettys@enquirer.com