Lawsuit Claims Lino Lakes Development Moratorium Discriminates Against Muslims

Developers behind a mosque-centered housing development in Lino Lakes have sued the city over a one-year development moratorium in part of the city, claiming the city’s action discriminates against Muslims.

City council members approved a moratorium on development in the northwest corner of the city in July, putting the Madinah Lakes project on hold. Now Zikar Holdings LLC, the group behind Madinah Lakes, is asking the courts to intervene.

Plaintiffs Jameel Ahmed and Faraaz Mohammed, co-directors of Zikar Holdings, name Lino Lakes and City Council members Michael Ruhland and Chris Lyden in their federal lawsuit, alleging that the defendants “do not want Muslims in their city” and that they “have made a series of blatantly discriminatory statements and official decisions in support of this unlawful and unconstitutional goal.”

Sam Diehl, an attorney representing the plaintiffs, spoke about the case Tuesday outside the federal courthouse in downtown Minneapolis.

“This is not a situation where we should rely solely on circumstantial evidence or inferences of discrimination,” Diehl said. “But members of the City Council have – from the podium at City Council meetings – made blatantly anti-Muslim statements and shown a blatant disregard for the law and the requirement to consider applications on their merits and not on the identity or religion of the applicant.”

The trial came a day after the Lino Lakes City Council voted 3-1 to censure Lyden because he appeared to endorse an Islamophobic message sent to his city email account. Ruhland was the only member to vote against the resolution.

In an email dated August 4, the sender, citing a New York Times report on the conflict over the Madinah Lakes development project, made hateful remarks against Muslims and signed off by writing: “Good luck ending the Muslim takeover of Minnesota!”

On August 6, Lyden responded using his official city email address: “This may be the best email I have ever received! Thank you, sir!”

The claims

In their filing, Ahmed and Mohammed rely on the city’s approach to a previously proposed 707-unit housing development planned on the same property on which Madinah Lakes sought to build.

Those parcels on what is now a turf farm were within the Lino Lakes Comprehensive Plan’s “10-year staging area,” meaning future development in that area would be consistent with the city’s anticipated infrastructure expansion needs and “would not adversely impact the natural features of the community,” the lawsuit says.

The plan was submitted by Integrate Properties, LLC (IPL) in December 2021, was reviewed within two months, and was not subject to further review for its potential environmental impact or congestion on Main Street. However, IPL did not proceed with the development of the property, opening the way for Zikar to explore the possibility of locating the Madinah Lakes project there.

In March, Zikar struck a deal to buy the turf farm, provided his plan was approved by the city. The developer posted a video online previewing Madinah Lakes, and within a week, a city planner reportedly called Mohammed to tell him that the video had sparked a backlash from community members and that he should attend the next city council meeting.

At that March 25 meeting, Councilman Ruhland introduced an agenda item for the April 1 council work session to consider a moratorium on development, citing concerns about water infrastructure. The plaintiffs argue that Ruhland would not have asked the council to consider a moratorium on development if the community had not responded to Madinah Lakes’ proposal.

“Defendant Ruhland proposed the residential development moratorium in response to negative, anti-Muslim views he heard from Lino Lakes residents regarding Madinah Lakes and in particular the mosque he proposed,” the lawsuit states.

Over the next few months, opponents and supporters of Madinah Lakes packed city council meetings to voice their opinions. The city council was scheduled to consider Zikar’s development plan on July 1, before the moratorium was passed, but chose to postpone the vote until August 19. The moratorium was finally approved on July 8.

The plaintiffs say council members claimed the moratorium was due to infrastructure issues and had nothing to do with anti-Muslim sentiment, while debate over the issue has repeatedly focused on Muslims and immigration.

The lawsuit seeks to prevent Lino Lakes from enforcing the moratorium and to prevent the city from requiring conditions for Madinah Lakes that are “not neutral and generally applicable” or that were not part of the city’s comprehensive plan, zoning code or other ordinance at the time Zikar submitted his proposal.

5 EYEWITNESS NEWS has reached out to the municipality for comment. The municipality said its lawyers are reviewing the matter and have no comment at this time.

A full copy of the lawsuit is included below: