Sierra Pacific Resources had offers to sell 3,350 acres in the Truckee River Canyon west of Reno for development of everything from new homes to a gravel pit.
After years of talks, the Reno-based utility a few days ago closed its sale of the property that straddles the California state line to The Nature Conservancy, which will preserve it.
"In our hearts, we simply believed that it was the right thing to do," said Walt Higgins, Sierra Pacific's chairman and chief executive officer.
The utility holding company, he said, was paid "a reasonable amount" for the property, although no one provided financial details.
If a private buyer had purchased the property, Higgins said Sierra Pacific probably would have been paid less to reflect the delays and hassles of getting approvals for any development.
There were plenty of delays and hassles in getting the job done anyway, said Lisa Gilbertson, public outreach coordinator for The Nature Conservancy in Reno.
The deal took four years to come together as it also involved Truckee Meadows Water Authority which relies on the watershed for water supplies along with public and nonprofit agencies such as the California Department of Fish and Game.
"It was important enough to everyone that was involved that they thought it was worthwhile to stick it out," Gilbertson said.
Sierra Pacific had a long history with the land. A predecessor company began generating hydropower along the river in the late 1800s, and Sierra Pacific kept a close eye on the condition of the watershed during the decades it operated the water utility in the Truckee Meadows.
But its financial stake in the property waned after the water utility was sold to TMWA in 2001, and Sierra Pacific occasionally fielded offers to sell the land for development.
While the company wanted to preserve the land from development, Higgins said the deal with The Nature Conservancy allowed it to generate some cash from the asset.
The Nature Conservancy said the land provides a migration route and winter range for mule deer and includes large stands of riparian willows and cottonwoods.
