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Closed Door Meeting Held on Old OC Car Dealership

A file photo shows demolition of a former car dealership in Ocean City. Plans call for the area to be used as open space

By Herald Staff

OCEAN CITY – A former car dealership that the city has sought to acquire for years in a bid to turn it into open space was the subject of a closed-door meeting ahead of Ocean City’s Council meeting April 7. 
The closed session was allowed because the discussion surrounded pending litigation, the Press of Atlantic City reported. The city has moved to acquire the property through eminent domain after failing to reach an agreement for a sale with the owners of the lots. 
The land is controlled by two companies – Palmer Center, LLC, controlled by John Flood; and Klause Enterprises, owned by brothers Harry Klause and Jerry Klause, who are Flood’s cousins – the Press reported. Both reportedly had approvals to develop the land with residential units. 
In March, Ocean City Council approved two bond ordinances worth more than $3 million each to fund the acquisition of the land. Current city appraisals put the total land value at more than $17 million, the Press reported. The city also expects to need $1 million for remediation on a contaminated part of the property. 

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