Knight's Inn purchase approved; All phases of Bijou Park Creek project outlined

The South Lake Tahoe City Council made it official Tuesday and unanimously approved the purchase of the Knight's Inn for $5,935,000, paving the way for the 850-acre Bijou Park Creek Watershed Restoration Project. The 110-unit Knight's Inn, a motel built in 1956 on Highway 50 near Ski Run Blvd., has been owned by the Patel family since 1994.

"This project has been in the works for 10-12 years," said Pradip Patel. "This is the best for me, my family, and the community."

Patel said the California Tahoe Conservancy (CTC) first approached him over a decade ago in an effort to deal with the 40,000 pounds of sediment that travels from the mountain, under the motel, and to the lake on an annual basis.

Once the motel is demolished in June or July of this year, the first of three phases of the Bijou Park Creek project will begin. Flood mitigation, SEZ restoration and water quality improvements will begin.

Funding for this phase, including the purchase of the Knight's Inn, comes from the sale of the southwest corner of Ski Run Blvd. and Highway 50 for $1,100,000, the sale of 64 of the Knight's Inn Tourist Accommodation Units (TAUs) to Placer County for $800,000, the sale of the developmental portions of the property for $4,000,000 and water quality improvement grants already obtained.

Halferty Development Company, LLC is in escrow to purchase the southwest corner lot and is interested in buying the developable properties after the motel is demolished. Whole Foods 365 announced last year that they would be one of Halferty's tenants but it is unknown who else will join them in an area that will have trails and bridges connecting the neighboring residents and visitors to a new shopping and dining experience. All buildings in the area will have to meet the City of South Lake Tahoe's new design standards.

The project will achieve a lot of goals of the City and fits in with the General Plan, Strategic Plan and Tourist Area Plan and their vision of redeveloping old properties to provide active development in the area. All buildings that will be placed on the

On Thursday, March 16, the CTC will evaluate the City's request for Proposition 1 funds to complete the portions of Phases 2 and 3 that current grants won't cover.

The City Council thanked Patel for his partnership in the project.

"Thank you, this is a great project for our community," said Councilmember Tom Davis. "It has been a pleasure working with you," Councilmember Brooke Lane added.

Phase 1:
Acquisition of Knights Inn
Flood Mitigation
SEZ Restoration
Water Quality Improvements

Phase 2:
Preliminary Design and Environmental Planning
Watershed Scale Planning
109 Acres of Public Land
Funded by State Water Resources Control Board

Phase 3:
Implementation of Upper Watershed
Restoration
Water Quality
Stream Environment Zone (SEZ)
Restoration
Floodplain Rehabilitation

There has been some community comment about the type of businesses that will go into the new project, something the City has no control over as long as they meet code and design restrictions.

"We cannot tell them they cannot do something unless it doesn't fit City Code," said Kerry. "Government doesn't stop private business if it allowable, they can choose what to put in."