Land swap could make Indian Point beach public; plans for resort on hold

PORT TOWNSEND — The city of Port Townsend is considering a land swap with a landowner who wants to eventually build a hotel on Indian Point.

The swap would give the developer easier construction access and grant the city a strip of prime public beach just south of downtown, both parties say.

“This is a good deal for everybody,” Planning Director Rick Sepler said.

“It gives the public access to one of the nicest beaches in town.”

Silver Cloud Inns and Hotels of Bellevue owns a strip of noncontiguous land adjacent to the Tides Inn near the intersection of Sims Way and Water Street, which it plans to develop into what it calls a destination resort.

Jim Weymouth, who owns the 10-hotel Silver Cloud chain, said Thursday that he had no firm plans or construction schedule and would most likely wait until the economy recovers to build upon the one-acre site he purchased this spring for a little more than $1 million.

“We haven’t decided what we will do with this land,” Weymouth said. “Right now we are concentrating on getting the land swap approved by the city.”

Silver Cloud owns eight parcels that are bisected by a city-owned right of way lining up with Scott Street. That city right of way was never opened.

One of those parcels includes an odd-sized portion that Silver Cloud wants to trade for the right of way.

The city comes out ahead with regard to quantity, as it will relinquish 5,100 square feet and get 5,400 square feet in return, city senior planner John McDonagh said.

It also benefits in quality.

“If this goes through, the public will get access to a great area for recreation that is perfect for launching kayaks and other activities,” McDonagh said.

“Or we could build stairs to the beach, among the possibilities.”

Hearing Examiner Phil Olbrecht heard testimony on the matter on Friday afternoon but did not make a recommendation.

He has 14 days to do so, McDonagh said.

The matter will then go to the Port Townsend City Council, most likely at the end of September, McDonagh said.

Weymouth said that he builds hotels to suit each town and that the Port Townsend site would reflect the character of the town.

With the financial help of Shell Oil Co., the Indian Point site, a former petroleum storage depot, was cleaned of waste oil that had seeped as deep as 14 feet and spread over much of the property.

It was most recently used as overflow parking for the Washington State Ferries.

Silver Cloud has hotels in Seattle, Bellevue, Redmond, Mukilteo, Tacoma and Portland.

The company bought the land after Port Townsend developers Bill Wolcott and Vern Garrison had proposed a green-built retail and condo project two years ago, which never came to fruition after all city permits were secured.

The former project planned 26 condominiums and14,000 square feet of commercial space, with condos priced from $400,000 to $1.2 million.

The former project proposed public beach access, pocket parks, parking and on-site drainage retention.

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Jefferson County Reporter Charlie Bermant can be reached at 360-385-2335 or charlie.bermant@peninsuladailynews.com.

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