Steve, I'm not surprised at all. Until the severe ice storm a few years ago, Blue Herons were very common in the Auburn valley. In fact, the small town of Algona, which is just south of Auburn is known as the City of the Great Blue Heron. It's the town's official logo too.
They had large nesting grounds in the Peasely Canyon area near Highway 18. Ironically, the nests were essentially man made, created by the wetlands that resulted from the highway construction killing trees. The dead trees made great nesting sites, and the location in the middle of a swamp discouraged predators, so the Herons loved them. Unfortunately, the big ice storm a few years ago knocked down many of the trees and nests. The Herons are slowly recovering but they're still not nearly as common as they were before.
Before the storm, it was quite common to see them flying by, with their impressively large wingspans. On rare occasions I'd see them exploring the drainage ditch along the road near my house, but there's no fish in it, so they wouldn't stay long.
On day I came home and saw one perched on a neighbor's rooftop, looking a bit like a stork trying to deliver a baby. He'd sit on the roof for a bit, then disappear for a moment, only to come back and perch on the roof again. This went on for quite some time, and I couldn't figure out what he was up to. I told my neighbor about it and she laughed and said "So that's what happened to all the goldfish in my Koi pond!"
In any case, they seemed to be quite at ease in urban areas.