DEADWOOD, S.D. -

A $35 million condominium-hotel project planned in the Old West gambling town of Deadwood is on hold.
    
The Rapid City Journal reports the decision by the group that owns the Deadwood Mountain Grand comes in the wake of highly critical reports issued by the city and the state historic preservation office.
    
DMG Managing Partner Marc Oswald says the consortium will reassess its plans and return to the Deadwood Historic Preservation Commission later with a revised application.
    
The Chalets at Deadwood Mountain Grand proposal called for 103 one- and two-bedroom units on a steep hillside. Developers said the condos could attract a high-profile clientele not currently seen in Deadwood.
    
Some residents worried the project would mar the hillside view, and that absentee condo-owners wouldn't contribute anything to the community.