Getting your Trinity Audio player ready...

The Shell Rock River Watershed District on Friday sold about 35 acres of the former Albert Lea Country Club to the Albert Lea Economic Development Agency for about $258,000 with closing costs.

Watershed District Administrator Andy Henschel said the sale has been in the works since the spring.

“I think the board is excited to see something happen out there,” Henschel said. “I think it has a lot of potential out there for whatever ALEDA has planned for it.”

The watershed district had initially purchased the land in 2013 as a staging area for the dredging of Fountain Lake, but it was ultimately not used for that purpose.

He said they were close to a sale on the property with other developers at two different times, but it was difficult to sell because of the requirements the district was expected to fulfill.

ALEDA Executive Director Phillip Johnson said ALEDA and the city of Albert Lea are actively working with a group on a housing development at the site, but said he could not release any further information until they get further in the process.

The district had initially purchased 50 acres but used the remainder for wetland credits when it constructed the confined disposal facility north of Interstate 90 for the dredging material.

The district will retain ownership of the ponds at the site.

Henschel said the money from the sale will go back to the district’s general fund and will likely be put toward the third phase of dredging on Fountain Lake.

District officials are meeting at the Capitol with state Sen. Gene Dornink, state Rep. Peggy Bennett and leaders of the Minnesota Department of Natural Resources Jan. 7 in hopes of moving toward the permit approval of the last phase of dredging.

If the permit is approved by the end of January, the district will put the project out for bids shortly after that with the goal of dredging starting still in 2025.