The city of Apple Valley is moving forward with plans for a third municipal liquor store.

On Jan. 10 the City Council approved a $1.11 million purchase agreement with South Shore Development for the 1.7-acre site located at the southeast corner of Pilot Knob Road and 157th Street in the Cobblestone Lake development.

The $1.11 million price tag for the site equates to about $15 per square foot.

"It's a lot of money, but it also is a great opportunity," City Administrator Tom Lawell said.

The city anticipates that the liquor store will start generating revenue after its first year of operation, he added. That money could go to support the city's parks and recreation programs, purchase fire trucks and fund police items, he said

Currently, the city's two existing liquor stores generate about $450,000 annually for the city's general fund, Lawell said.

The Apple Valley Planning Commission is slated to review the construction plans for the new store in February, followed then by city council review. If approved, construction is expected to begin in April and finish up in November. The overall budget for creation of the new store is approximately $4.9 million.