Developers of the Chestatee community have agreed to drop a lawsuit against the Dawson County Board of Commissioners.

After more than two years in litigation over a denied rezoning, the groups reached an agreement last month that allows developers to move forward with plans that include a new residential phase, updated amenities package and a bed and breakfast.

The board of commissioners approved the rezoning in January, although limited the bed and breakfast to six rooms and the residential component to 23 attached homes.

Chestatee Development spent almost two months reviewing the county’s stipulations and agreed last month to accept the offer and end the litigation.

“Obviously, we’re delighted with the outcome and glad that we’ve finally been able to put this to bed and allow the developer to proceed with the same quality product previously developed in Chestatee,” said Chestatee Attorney Kathy Zickert.

The economic climate, however, is expected to prevent developers from moving forward anytime soon, she said.

Dawson County Commission Chair Mike Berg said the agreement is a benefit to all concerned.

“The developer has given us a plan to show exactly what they plan to do with the balance of the project, and we have agreement from both sides.

We’ve now got something we understand and more important, that the residents understand,” he said.

The county has spent in excess of $75,000 in legal fees over the course of the disagreement, according to County Attorney Joey Homans.

E-mail Michele Hester at michele@dawsonnews.com.