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==History== Sanden, which consisted of the small area near the harbor, was the original name for the municipality of Lillesand. Lillesand is built on the ancient estate of Lofthus. [[Christian Jensen Lofthuus]] was captured on his Lofthus estate around 1780. In 1821, when Lillesand became a [[Market town|privileged port]], it had a population of only 300 and had nine [[shipyard]]s. By 1895 the merchant fleet was 95 vessels strong. But the death of the sailing ship caused severe economic difficulties for Lillesand. Sailing ships had been inexpensive and could be built from local timber. Steamers were built of steel, were expensive and required more capital than locals could muster. Shipyards were closed. Many of the residents emigrated from there to the [[United States]]. Lillesand remained a fishing village, though even this area suffered when the [[herring]] left the coast. The [[Saltholmen Lighthouse]], located on an island off Lillesand, is a nineteenth century lighthouse with a slate roof and a concrete tower for the light. It operated as a staffed lighthouse from 1882 to 1952. Saltholmen (lit. ''"Salty Islet"'') is named after the salt extraction industry once there, established by [[Hans Nielsen Hauge]]. The [[Lillesand-Flaksvandbanen]] operated between Lillesand and Flaksvann from 1896 to 1953. {{ORP|Orzeł|1938|6}}, a [[Poland|Polish]] [[submarine]], sank the German [[troopship]] {{SS|Rio de Janeiro|1914|2}} on 8 April 1940 off Lillesand. ''Rio de Janeiro'' was on its way to take part in the initial landings of [[Operation Weserübung]] the next day, the invasion of Norway.
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