LAKE ELSINORE, CA — Despite ongoing litigation over the future of a historic downtown Lake Elsinore building, the City Council voted unanimously Tuesday night to approve a demolition contract for the structure.
Following advice from City Attorney Barbara Leibold, the council approved a $198,000 construction agreement with Ventura-based Precision Works Inc. to demolish the four-story building at 164 S. Main St., formerly known as the Ambassador Hotel.
Demolition will not begin immediately, according to Leibold.
The property's owner, nonprofit Dream Center Lake Elsinore, appealed a July 21 court order authorizing the demolition due to the building's severely deteriorated state. A judicial stay issued late Friday forces the city to halt tear-down efforts until the legal challenge is resolved.
Crews were conducting asbestos abatement at the site this week in preparation for demolition. Workers were expected on-site Wednesday to secure the asbestos, Leibold said, but all other work remains paused under the stay.
Approving the contract allows the city to begin demolition as soon as the court resolves the legal issues, Leibold added.
Dream Center Executive Director Brett Masters told Patch on Tuesday that he did not know when the next court date is scheduled.
After the property sat vacant for decades, Dream Center Lake Elsinore purchased the building and land for $195,000 in 2022, according to county assessor records. The organization also acquired the adjacent parcel, which formerly housed Gearhart's Garage before a 2020 fire destroyed the business.
Since the purchase, Masters maintains his organization has worked in good faith with the city to rehabilitate the Ambassador property into a facility for individuals in need. The Gearhart's property was purchased as a parking area for the proposed project.
The city claims the Ambassador continues to be a public safety concern, despite efforts to revive the structure.
According to Riverside County assessor records, the 15,485-square-foot building was constructed in 1947.
However, historical records indicate the site dates back much further, according to Masters. The location originally featured a two-story brick building erected in 1887 by city founder Franklin Heald. It initially housed Consolidated Bank on the ground floor and community meeting rooms upstairs, later serving as the site for early City Council meetings and the first Lake Elsinore High School graduating class in 1907.
The property was eventually converted into a hotel, taking on the Ambassador Hotel name by 1947.
The building shuttered in the early 1990s and has since remained vacant, becoming a persistent safety concern for municipal officials.
During Tuesday's meeting, City Councilmember Steve Manos expressed empathy for residents advocating for preservation but noted that the structure has been red-tagged ever since he was a child.
"The building is dangerous," Leibold said. "It's at risk of falling down."
Ruth Atkins, a Lake Elsinore community leader who served as head of the local historical society before her death in late 2022 at age 91, once told Patch that the Ambassador building had undergone so many structural alterations over the decades that obtaining official state or federal historical landmark status was virtually impossible.
"The Ambassador Hotel has long been identified as a blighted property within the City," city staff wrote in meeting documents. "Over the years, it has become a focal point for community complaints and safety concerns. The building poses significant hazards due to its deteriorated structural integrity. In its current state, the building represents potential for many risks and specifically could lead to injury or other public safety issues."
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