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LUCERNE — The Lake County Board of Supervisors has until June 30 to purchase a property in Lucerne deemed a high priority for redevelopment on the Northshore since 2005. After facing reluctance on the part of the property”s current owners, the Board of Supervisors approved the option to purchase agreement in its Tuesday meeting.

Informally nicknamed the “Blue Monster,” a large three-story house that occupies a parcel sandwiched between two other county-owned properties along Highway 20 would be demolished if the County opts to buy it.

“Particularly for this stretch of Lucerne, this may be the single most visually impactful decision that we can make,” said Dist. 3 Supervisor Denise Rushing.

The property lies in the heart of her district, along with the entirety of the county”s redevelopment activities. Rushing cited the property”s location along the lake front and the fact that it is “a landmark, and not necessarily one that we want Lucerne known for,” as reasons she supported the acquisition.

“This may be the single most important property in Lucerne for the county and Redevelopment Agency to acquire,” said Deputy Redevelopment Agency (RDA) Director Eric Seely. Seely added that the agency needs the property in order to successfully complete the Third Avenue Plaza project, which is an extension of Alpine Park and a part of the RDA”s plan to develop a promenade in Lucerne stretching from First Avenue to Sixteenth Avenue.

A $500,000 grant from the California Department of Parks and Recreation was already approved for the project, said Chief Administrative Officer Kelly Cox, and a $470,000 grant from the California Wildlife Conservation Board is expected soon.

“There has been a lot of community support for this acquisition,” said Cox. He indicated that a “full-scale” survey of the community will go out in the mail in about a week. It includes 20 questions to gather community input about redevelopment and other issues in Lucerne. One of them specifically asks if residents support the concept of the promenade plan.

In a memo accompanying the agreement, Seely writes the property”s current owners, Dennis and Pam Crilly, were reluctant to reach an agreement with his predecessor Andy Peterson. On his appointment as director in September, Seely contacted the Crillys, and they agreed that the RDA would order a new independent appraisal of the property.

Fair market value puts the purchase price at $570,000 according to the agreement. The vote to approve the option itself, not the purchase, was four to one with Dist. 5 Supervisor Rob Brown casting a “no” vote.

During the discussion before the vote, Brown asked how much the property would cost without the house, since the County would demolish the house once the purchase was made.

Cox quoted a price of $250,000, plus an estimated $25,000 to demolish the house, a task he said would be more complex because its proximity to Highway 20.

“So we”re spending $600,000 for a $250,000 plan,” Brown half-queried, which brought an affirmative nod from Cox.

“No matter what we”re going to do with (the property), we have to pay fair market value for what is there now,” commented Chairman Jeff Smith.

Seely proposed the county fund the property”s purchase with a combination of $365,000 in Prop. 40 State Park Bond funds, $40,000 of proceeds for the sale of an easement in the Paradise Cove subdivision and the remaining $165,000 from the RDA”s land acquisition funds.

While he cast his vote in favor of the purchase option in the end, Dist. 4 Supervisor Anthony Farrington expressed misgivings about the amount the County would spend on the property. “To me, $600,000 is a lot when there”s a lot to do in this community as a whole,” he said, citing water and other infrastructure issues.

Cox clarified later Tuesday that while Prop. 40 money could be used throughout Lake County, the portion his department is proposing to be used for the purchase is earmarked for park acquisition and improvement purposes on the Northshore.

The next step is to schedule a public hearing, said Seely, which he said would happen in three to four weeks.

“We”re moving forward with this Third Avenue Plaza, and we know that the desires of the community will change. This is going to be a very essential public space irregardless of whatever the project is in the end. The more we can do early the more bang we can get for our buck,” he said.

Contact Tiffany Revelle at trevelle@record-bee.com.

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