By Kathryn Reed

The commercial strip housing the Tahoe Wellness Cooperative is about to be foreclosed upon.

Patty Olson

A notice of default on the South Lake Tahoe property that is owned by Patty Olson has been filed. It is slated to be sold at auction on Jan. 17.

Cody Bass, founder and executive director of the medical marijuana collective, has been trying to buy the property since earlier this year. He is suing Olson for breach of contract.

Both sides were in mediation for the better part of Dec. 14. However, no settlement could be reached.

A mandatory settlement conference is slated for the end of January, with a trial date set for the first week of February.

It’s possible the two sides could reach an agreement at any point. It’s also possible for the bank to delay the auction.

U.S. Bank holds the note on the commercial property in the Bijou Center.

Wells Fargo has the loan on the house owned by Olson which is nearby. An escrow has been entered for local businessman Bob Hassett to purchase the house. (Olson now lives in Sparks.) A different local businessman saved the house this fall from being foreclosed on.

Bass is operating his business without a permit from the city. He is unable to get the permit because Olson won’t sign the necessary paperwork as the landlord. That brouhaha played out before the City Council on Dec. 13.