The large swath of land is next to the Ocean City Community Center.
By MADDY VITALE
A long saga over a large piece of property will soon be over. On Thursday, City Council introduced a nearly $10 million funding package to pay the remaining balance for the property, adjacent to the Ocean City Community Center.
A public hearing and final Council vote on the bond ordinance are scheduled for Thursday, Jan. 11.
The city acquired the land in 2021 from brothers Jerry and Harry Klause through its power of eminent domain.
But the case went to court over the value of the land. In October, a jury decided that the city should pay Klause Enterprises nearly $17.9 million for the property.
“The bond ordinance is for the balance of the funds needed to satisfy the judgement for the acquisition of the Klause Enterprises piece,” City Solicitor Dorothy McCrosson explained during Thursday's Council meeting.
The bond ordinance specifically provides a “supplemental appropriation of $9.990,000 for the acquisition of the property.”
City Council votes to approve the bond ordinance to pay for the property.
The land is bordered by 16th Street, 17th Street, Haven Avenue and Simpson Avenue. It is currently undergoing environment cleanup because of contamination suspected to be from a former dry-cleaning business that was once on the site.
It's been a long battle to get to the point that the matter is at now.
The city initially tried to acquire the Klause land in 2019 for $9 million. The deal fell through when the community group Fairness In Taxes circulated a petition drive for a voter referendum to block the purchase.
It forced the city to restart the process to acquire the land, which eventually significantly increased in price.
Officials said the city's main objective has been to stop the site from being densely developed. At one point, the Klause brothers proposed building 22 single-family homes on the land.
Since the property has been under the city's ownership, Mayor Jay Gillian has proposed keeping the site as open space, while leaving a portion for parking for residents and those who use the nearby Community Center.
The Community Center is a hub of activity year-round. It attracts hundreds of thousands of visitors each year. The complex includes the Free Public Library, the Arts Center, the Aquatic & Fitness Center, the Historical Museum and the Seniors Center.
The property connects the city’s Emil Palmer Park, the Community Center and other public facilities within a five-block corridor.
Back in 2021 when the city acquired the property, the mayor remarked about what it means to the community.
"It’s an extremely rare opportunity to be able to protect that much open space. I’m looking forward to the next steps,” Gillian said then.
An environmental cleanup continues at the site.
