Exclusive: Lured Market Sues Lake Lure Over Police Boathouse Dispute After Helene Recovery

Restaurant owner claims town improperly took control of disputed building; Lake Lure says lease never included police facility.

Second Mountain LLC, the owner of Lured Market & Grill in Lake Lure, has sued the Town of Lake Lure, alleging the town wrongfully removed the business from a town-owned boathouse after Hurricane Helene and interfered with rights the company says it obtained through a lease agreement.

The lawsuit, filed June 1, 2026, in Rutherford County Superior Court, centers on a dispute over the town-owned police boathouse near Memorial Highway and the former Lake Lure ABC store building now occupied by Lured Market & Grill.

The Town of Lake Lure filed its response Aug. 5, denying the allegations and filing counterclaims against Second Mountain, arguing the restaurant had no legal right to use the police boathouse.

The case is filed as Second Mountain, LLC d/b/a Lured Market & Grill v. Town of Lake Lure, Rutherford County Superior Court case number 26CV000857-800.

Dispute follows Hurricane Helene damage.

The disagreement began after Hurricane Helene devastated Lake Lure in September 2024, causing widespread damage to the lake, surrounding properties, and public infrastructure.

According to court filings, the Lake Lure Police Department moved its two police boats before the storm from its enclosed boathouse to another town-owned dock to protect them from damage.

After the storm, debris removal, sediment removal, and lake drawdown efforts left the police boathouse inaccessible for months.

Second Mountain argues the town’s loss of use of the boathouse triggered provisions in its lease agreement involving additional property rights.

The town disputes that interpretation, saying the lease only covered the former ABC building property at 2654 Memorial Highway and never included the police boathouse or lake access.

Former ABC building at center of lease

The commercial property at issue was previously used as Lake Lure’s ABC store before being leased to Second Mountain for operation of Lured Market & Grill.

The town’s response says the lease identified the premises as the building and parcel located at 2654 Memorial Highway and did not transfer any interest in nearby town-owned property.

Lake Lure officials previously discussed leasing the former ABC building while maintaining town control of nearby public facilities, including the police boathouse.

Restaurant alleges town wrongfully removed property

In its complaint, Second Mountain alleges that after Helene, the company believed it had rights to use the police boathouse under the lease agreement.

The lawsuit claims the town later changed course and removed locks and personal property belonging to the business from the boathouse.

The company is asking the court to recognize its claimed rights and award damages.

Town calls claim “absurd”

In its Aug. 5 filing, the town asked the court to dismiss the lawsuit, arguing the restaurant’s interpretation of the lease would create an unreasonable result.

“The idea that a grocery store tenant renting nearby premises has the legal right to evict a police department landlord from a boathouse crucial to public safety is absurd,” the town wrote in its motion.

The town argues the police boathouse has been used for years by the Lake Lure Police Department for lake patrols, emergency response, and public safety operations.

Town files counterclaims

Along with asking for dismissal, Lake Lure filed counterclaims accusing Second Mountain of:

• Trespassing on town property;

• Breaching the lease agreement;

• Improperly taking control of the police boathouse;

• Failing to timely pay rent under the lease.

The town is asking the court to declare that Second Mountain has no leasehold interest in the police boathouse and to issue an injunction preventing the business from entering or using the facility.

Public safety facility vs. private business rights

The legal dispute highlights a broader question following Hurricane Helene recovery efforts: whether temporary loss of access to a public facility during disaster recovery changes ownership or lease rights.

Lake Lure officials argue the police boathouse remained a critical public safety asset throughout the recovery process.

Second Mountain argues the town’s actions violated its lease rights.

The case remains pending in Rutherford County Superior Court.