THE OCEANSIDER: Developments with Developments – Current Cafe / Surf Shop Controversy Continues to Play Out

By Jerry Keene, Editor, The Oceansider

The off-again, on-again saga at Three Arch Inn took a new turn several weeks ago when owner Duane Bauley approached Corey Shields and Tyler McComas to re-open discussions about retaining their retail and cafe operations on the ground floor of the Inn building. This overture came soon after Bauley withdrew his zoning application to replace the Cafe and Surf Shop with new hotel rooms after the ONA Board and Oceanside Protection Society surfaced evidence of a historical agreement by previous owners to limit the hotel to five units. It also came after Shields and McComas had already liquidated most of their inventory and laid off employees in anticipation of a permanent closure. The parties have not yet reached a final agreement regarding a renewed lease, but Shields and McComas expressed cautious optimism about the prospect of a long- term arrangement.

Meanwhile, Tillamook County Community Development Director Sarah Absher facilitated a meeting early last week at which Bauley and his wife offered their perspective on the controversy and their future plans to ONA President Sharon Brown and Jerry Keene, President of the Oceanside Protection Society. One key issue on the table is whether the Inn may continue offering its former manager’s apartment as a hotel rental unit in addition to the five units approved for such use when the Inn was expanded years ago. The Bauleys transitioned the sixth unit to a short- term rental soon after they purchased the Inn in 2021 without realizing they would need to secure county approval. The issue came to light during discussions regarding the Bauleys’ previous proposal to convert the Cafe / Surf Shop into three additional hotel units. Neighbors in the area oppose permitting the change, citing longstanding parking problems and traffic congestion on Tillamook Avenue, which some neighbors say worsened when the Bauleys began renting out the sixth unit to visitors. The Oceansider will refrain from offering further details at this time in order to avoid interfering with the ongoing discussions. Stay tuned!

Update on Proposals for New Oceanside Hotels

It has been a while since The Oceansider reported on the progress of plans to construct two new hotels in Oceanside, one that will replace the Oceanside Cabins and the other to build on the site of the former House on the Hill hotel. Your friendly editor has kept in contact with representatives of both developers and attended meetings at which they discussed their preliminary plans with state and county officials in addition to local utility districts. Fusion Lodging continues to develop the details of its proposal to replace the existing cabins and the Blue Agate Cafe with 17 hotel units and a new restaurant. The proposal has hit a snag, however, in that the restaurant may only serve hotel customers unless the development includes additional parking for the public. Such space is not readily available unless the developer reduces the number of proposed hotel units. (The Oceanside Cabins and Blue Agate currently provide no onsite parking because they are grandfathered under previous rules. The spaces across the street from the Cabins are actually part of the Oceanside Beach State Wayside.) Fusion and the county continue to work on this issue.

The development group purchasing the House on the Hill site proposes to build a new, 2-story hotel compound with 23 new units and a restaurant that will only serve hotel customers. The developer’s spokesman, Nile Hagen of Portland, told The Oceansider that it hopes to hold a second “pre-application meeting” with the county and other agencies before the end of the year. Potential issues include possible adjustments to the height limit and the capacity of current sewer lines to handle the increased load. Hagan indicated that design sketches are still being worked up but that The Oceansider will be provided a copy to share with the public when they are ready.

COMMUNITY CALENDAR

November 6 Oceanside Community Club Potluck
Oceanside Community Hall – 6 p.m.
Guest Speaker: NOFD Chief Tim Carpenter

November 16 Oceanside Action Partnership Workshop
Oceanside Community Hall – 4 to 5 p.m.
Information at www.oceansidepartnership.org

And that’s the view from Oceanside!