CROWN POINT | It's a race to the finish for city officials to solidify an incentive agreement with developer Harlem Irving Cos.

The company's option to buy the property at the southeast corner of Interstate 65 and U.S. 231 expires Dec. 31. If the sale falls through, Crown Point likely will be back in federal district court against the property's previous developer. Lauth Property LLC and Crown Point Partners LLC sued the city last year for enacting an ordinance controlling big-box development to prohibit a Wal-Mart from coming to Crown Point.

"It was clear to me just as a public citizen that the administration and public officials didn't want Lauth to be there," said Rob Gardiner, president of the Crown Point Redevelopment Commission. "Not because of the company itself, but because of what they wanted to put in there. From that standpoint, I think Harlem Irving as the developer and project is much more suitable."

City officials have kept mum about what it will cost to lure Harlem Irving to close the deal, but a public hearing notice lists the proposed bond as an amount not to exceed $13 million.

Crown Point's 2008 budget lists $400,000 toward debt service for Harlem Irving's bond.

The bond would finance "public and private infrastructure and tenant improvements for a new retail shopping center," according to the public notice.

In July, the Crown Point City Council unanimously approved a special-use permit for Harlem Irving to build three large anchor stores at U.S. 231 and I-65. The developer wouldn't reveal who the anchor tenants would be, but told the council it was working with several businesses it routinely deals with.

Harlem Irving has had a strong relationship with The Home Depot in the past. It also mentioned Kohl's Department Store and Target as possibilities at previous meetings.

The council's approval of the permit is contingent on Harlem Irving being the developer of the land and beginning construction within the next year and a half.

Economic Development Director Eric Hammond said the city and Harlem Irving still are negotiating how much the city will pay for off-site improvements that would impact the entire community. Those include turn lanes, stop signs and other infrastructure.

Crown Point will also provide on-site incentives to the developer. The incentives would be used to help ease the cost of building to the city's higher design standards, Hammond said.

Brian Duggan, director of development for Harlem Irving, declined to comment.