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West Linn-Wilsonville School Board Poised to Sell Oppenlander Property : December 30, 2024
The West Linn-Wilsonville School Board remains committed to offer the City of West Linn the opportunity to purchase its Oppenlander Property as a community-use park. The School District prevailed in its litigation against the City on claims for breach of contract, breach of the duty of good faith and fair dealing, and declaratory relief. The appeal window has closed. Accordingly, the School District will proceed with the sale of the Oppenlander Property.
Oppenlander Property Sale: Current Timeline
In December 2024, the School Board Chair informed the Mayor and a council member that the School District would like to give the City of West Linn another opportunity to purchase Oppenlander Property. The School District awaits the City’s response. If the City remains interested in the purchase, the cost and terms of sale will be presented by the School District. The School District's outreach in December provides ample opportunity for the City Council and staff to explore the offer and prepare a ballot measure for the May 2025 election should they determine that a vote by the community is necessary to meet the new purchase and sale conditions. Should the City reject the School District's offer to purchase the Oppenlander Property or reject the terms of the new purchase and sale agreement, the School District will open the sale to the public.
Review of Oppenlander Property Sale: Past Timeline
- In February 2021, the School District approached the City of West Linn with a “first right of refusal” to purchase Oppenlander Property if interested. The City refused that offer, asserting they were not interested in purchasing and maintaining another park.
- In April 2021, the School District received an appraisal value of $6.5 million for the Oppenlander Property and solicited purchase offers. The School District received seven offers.
- In May 2021, after receiving public feedback, the City asked the School District to take the Oppenlander Property off the market and re-engage with the City on a potential sale. The School District agreed to do so. A Letter of Intent was drawn up in August 2021 with a formal purchase and sale agreement (PSA) signed by both parties in December 2021. While the new appraisal was not yet concluded at that time, there was trust that the joint appraisal process would be completed with integrity.
- In January 2022, the joint appraiser issued a report valuing the Oppenlander Property at $120,000. Representatives from the School District and the City were surprised by this result, which did not reflect the parties’ understanding that the Oppenlander Property should be valued at fair market value. The School District rejected this appraisal and asked the joint appraiser to redo the valuation; he refused. Despite efforts to resolve the issues with the valuation, the City brought a ballot measure before its constituents in May 2022 seeking approval from voters to issue $3.5 million in bonds to cover both the purchase of the Oppenlander Property, capital improvements, and associated bond costs. The School District had no choice but to file a lawsuit for termination of the contract to contest the valuation and protect its interest in the Oppenlander Property.
- In August 2024, following an eight-day jury trial, the School District prevailed. The jury unanimously found that the City had both breached its contract and its duty of good faith and fair dealing in multiple ways. Evidence at trial revealed that the City attorney had communications with the joint appraiser without the School District’s knowledge.
While the School District was forced to litigate this dispute to eliminate the tainted appraisal and move forward, the School Board remains committed to working with the City Council if they remain interested in purchasing the Oppenlander Property for community use. Thank you for your attention to this update.