CLEARLAKE, Calif. – The city of Clearlake is taking a new approach in its ongoing efforts to develop the former airport property.
City Manager Alan Flora presented, and received approval for, his plan to facilitate development of the former Pearce Field Airport property on Highway 53 from the council at its Oct. 1 meeting.
The site has been slated for a shopping center in several different iterations, but so far no project has been completed.
Flora said it was “a little depressing” to research the property’s history, as he didn’t realize how far back efforts and discussions to develop it went.
Based on Flora’s report to the council, the Clearlake Redevelopment Agency purchased the 38.5-acre property for $840,000 from the county in 1994, after the county closed it. Four years later, the redevelopment agency sold 10 acres that were used to develop Outrageous Waters water park, now closed.
After the shutdown of redevelopment, the property was transferred in 2013 from the agency to the city for public use, he said.
Flora proposed to the council that the city offer a compensation agreement to the taxing entities that are entitled to proceeds – such as the Konocti Unified School District, Woodland Community College, the Lake County Office of Education and the county of Lake – should the city sell the property.
In order to actually make the project happen, Flora said the city needs to get creative. That includes installing infrastructure – water, sewer and roads – at the site.
If the city has full control of the property, Flora said it could move forward with a low- or no-cost ground lease to a development firm, that would then develop the property and rent it out.
Eliminating the cost of infrastructure and land would make the site more attractive to developers, Flora said.
Flora said there are a couple of successful local businesses that are potentially interested in this proposed development model.
He said the city would need to take the plan to the Lake County Redevelopment Oversight Board for final approval.
The proposal includes having the city maintain 1.72 acres for uses including animal control’s shelter, the city’s Public Works yard – until a new location is found – and the Lake County Fire Protection District.
Flora proposed paying $10,000 per acre to the taxing entities – or a total of $241,800. He said the taxing entities have been agreeable to a proposal to reduce the cost for private developers.
“This is a little different model than what we had proposed before,” he said.
The city could then take on the commitment of installing infrastructure. Flora said if the city can get those first two steps moving forward, it can start on design work and negotiations.
Councilman Phil Harris moved to approve the plan, which the council approved 5-0.
The council unanimously approved a second motion for the city to work with RAM Development Partners, a sister company to Retail Strategies, the company that has been working with the city to attract development interest and investment into Clearlake, on the project.
Flora took the proposal to the county’s redevelopment oversight board late last month.
At the meeting, which Flora took place on Oct. 28, the board unanimously approved the compensation agreement.
He said he has a good amount of interest in the project.
RAM Development’s current role is marketing and planning for the build-out, Flora said.
“We will be developing plans and designing the roadway and infrastructure. If all goes well we will actually use RAM as the developer for the property. We would do a ground lease to RAM, they would then build the space and then lease to tenants,” he said.
“Everything is looking great for this project to move forward,” Flora said.
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City of Clearlake pursues new approach to promoting airport property development
- Elizabeth Larson
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