POA sells fire station to city

At a ceremony Monday, a prototypical example of full cooperation between the Canyon Lake Property Owners Association and the City of Canyon Lake which led to a purchase agreement of the Canyon Lake Fire Department Station on Vacation Drive to the city was celebrated.

For a purchase price of $1.39 million, the station and the land on which it sits will be sold to the city after being owned by the Canyon Lake POA since 1970. After months of working closely together, the two entities reached an agreement on the final terms of the Purchase and Sale Agreement for Canyon Lake Fire Department Station 1.

In January, the city initiated the purchase of the station from the Canyon Lake POA for the appraised value. The station was rented by the Canyon Lake POA to the various local agencies who used it over the years to provide Fire and Emergency Medical Services to the citizens of Canyon Lake.

Canyon Lake Board President Bill Van Vleet

“We are pleased to have worked closely with the city to finalize this sale and find a solution that best serves the Canyon Lake community,” Canyon Lake Board President Bill Van Vleet said. “In doing so, we have helped safeguard the city’s ability to provide crucial EMS and Fire Services now and into the future.”

City of Canyon Lake Mayor Jeremy Smith said the agreement is an example of how the Canyon Lake POA and city can work together to benefit their shared constituency, the Canyon Lake community.

“We are excited to have finalized the purchase of the fire station with our POA,” he said. “This action marks a page in the history books to show the community that the partnership between the POA and the city is truly Canyon Lake Strong. It is clear that it’s a new day in Canyon Lake with both the POA and city working as one. ”

The Offer to Purchase was accepted by the Canyon Lake POA after determining the sale of the property to the city was in the best interests of the association and that the prospective severed-parcel’s use as a fire station was a necessary public use that greatly benefits the members.

Subsequently, the Canyon Lake POA and the city each established ad-hoc committees to meet, as needed, to reach an agreement between the parties and legal counsel. City of Canyon Lake Mayor Jeremy Smith and Mayor Pro Tem Dale Welty served on the committee for the city and Board President Bill Van Vleet and Vice President Greg Doherty served on behalf of the Canyon Lake POA.

The Canyon Lake POA’s Board of Directors approved the agreement at a Special Open Session Board Meeting at the Fire Station on Monday. Following the approval, the city and the Canyon Lake POA commemorated the historic moment with a signing ceremony to “pass the key.”

The full City Council, POA Board and respective staff members were in attendance to celebrate. At the ceremony, Bill and Jeremy addressed those assembled and spoke of their gratitude in seeing the sales agreement come to completion.

City of Canyon Lake Mayor Jeremy Smith

“My colleagues and I are beyond grateful to the POA Board and staff, and of course our attorneys, for the hard work, honesty and creativity used to create an agreement that is fair and reasonable for the citizens of Canyon Lake,” Jeremy said. “This is a first for our city and once again demonstrates our commitment to ensure greater local control over the quality and cost of public safety services for our community.”

The city launched its own fire department on Jan. 1, 2022, renaming the station Canyon Lake Fire Department Station 1. The department is led by Fire Chief Jeff LaTendresse, who played an integral role in building the new department. The city took over fire services from the county, which had occupied the fire station which was called Fire Station 60 under its tenure.

According to the PSA, after the city’s due diligence period, the city will prospectively purchase Fire Department Station 1, inclusive of necessary access rights, for a total of $1.39 million as offered. As part of the sale, the city will split Parcel 12 so that the Canyon Lake POA retains the North Ski Area parking lot and launch ramp for use by Canyon Lake residents. The sale is expected to close by early 2024.

Both parties are prepared to work together over the next few months to complete the purchase. During the due diligence period, the parties will exchange documentation and the city will investigate the property prior to closing on the sale.

Jeremy said that owning the station allows for grant opportunities and a local control of public safety that would not be possible without owning the building.

“I personally want to say thank you to the community for all of its support and to our city council for making this a reality,” he said. “The great work of our city manager and general manager was shown in the final hours of negotiations and we are thankful for their hard work. Lastly, I want to personally thank our new POA President Bill Van Vleet and the new board because without their leadership this could not have happened.”