Sequim Cinema land dispute settled; owner starts again to find financing for theater

SEQUIM — A years-long dispute over land beneath the hoped-for Sequim Cinema has come to an end, but plans for the multiplex on Washington Street are still in suspended animation.

Phil Lassila — owner of both the Deer Park Cinema and the Lincoln Theater in Port Angeles and The Pumpkin Patch west of Sequim — intended to build a 10-screen movie palace, replete with a party room, back in 2006.

He had 5 acres in the northeast corner of East Washington Street and Rhodefer Road, but needed to add a 100-foot adjacent strip to the property to make room for a storm-water management system.

The adjacent piece belonged to Sequim resident Ruth McCord.

Lassila has said that he initially agreed to buy it for $150,000, but that McCord later sought an additional $100,000.

In August 2007, Lassila filed a complaint against McCord in Clallam County Superior Court — and McCord filed a counterclaim alleging that Lassila, without her permission, had a catch basin dug, pipes installed and a large amount of soil removed from her property.

In the complaint, McCord, 72, also contended that “Lassila repeatedly harassed [her] with unwanted telephone calls and unrelenting pressure,” and “bullied her into signing a document at a price that was less than one-half of what he knew to be fair market value.”

A trial was finally set for March 9, but Lassila’s attorney John Rutz and McCord’s lawyer Robert Tulloch reached a settlement out of court.

The struggle has been “rectified,” Lassila said on Wednesday.

“I think we prevailed . . . they decided they didn’t want to continue,” he added. “The property is in place. It’s a done deal.”

Lassila would not, however, give details about the settlement.

McCord also declined to comment on Wednesday, except to say that the dispute’s legal costs became untenable.

Starting from scratch

As for the Sequim Cinema, Lassila said he must start again to seek financing and city permits for the project before construction can resume.

“We’ve got to start from scratch,” he said, “and go through the loops and hoops.”

Lassila said he’ll consult with his accountant before moving any more dirt.

When asked how his Port Angeles theaters are faring in the recession, Lassila said the newer Deer Park is holding its own, while the older Lincoln in downtown Port Angeles isn’t doing as well.

“When the Sequim theater comes online, we’ll take a look at that,” he added, hinting that he’s not inclined to spend much more on keeping up the Lincoln.

Lassila also predicted, as he has done in past years, that The Pumpkin Patch won’t reopen this October.

The 36-acre farm on U.S. Highway 101 at Kitchen-Dick Road features a corn maze, fields of pumpkins and other Halloween-related activities every fall. But Lassila said it’s become far too expensive to run.

“It doesn’t make sense anymore . . . I have to reconsider in these economic times.”

Lassila said he wants to grow grain or some other crop on the land and has been talking with local farmers.

Lassila, 70, lives near Palm Springs, Calif., during winter and spring, while his daughter Theresa Lassila takes care of The Pumpkin Patch. His son-in-law Bryan Cook manages the Deer Park and Lincoln theaters from an office in Wenatchee.

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Sequim-Dungeness Valley reporter Diane Urbani de la Paz can be reached at 360-681-2391 or at diane.urbani@peninsuladailynews.com.

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