Nanaimo Daily News, July 11, 2015

Page 1

NANAIMO REGION

Westwood Lake closed to swimming for now

Pan am Games open in Toronto

Island Health has informed the City of Nanaimo the lake’s E.Coli count exceeds the allowable limit. A5

Athletes from dozens of nations ready to compete

BRITISH COLUMBIA

Showers, cool weather may help with wildfires Lower temperatures and possible rain over the weekend are forecast into next week. A6

Nation & World, A8

The newspaper of record for Nanaimo and region since 1874 || Saturday, July 11, 2015

» Downtown

COMMUNITY

Developer kills hotel, cites lack of support on council

Drought conditions could end city water slide event ROBERT BARRON DAILY NEWS

The developer who had sought to build a hotel adjacent to the Vancouver Island Conference Centre will no longer go ahead with the project. [AARON HINKS/DAILY NEWS]

‘Viability’ of project at risk, says SSS Manhao DARRELL BELLAART DAILY NEWS

A

developer has rejected the City of Nanaimo’s counter-offer needed for a 21-storey, $50-million hotel to be built beside the downtown Vancouver Island Conference Centre and the project is now dead. On Friday the city released a copy of a Thursday letter from SSS Manhao’s lawyer, Perry Ehrlich, stating that it would not accept conditions attached to a six-month extension on a deadline to start work on the luxury hotel. Ehrlich’s letter said Manhao “look(s) forward to confirmation” the city will buy back the Gordon Street property. Two years ago SSS Manhao bought land at the foot of Piper Park from the city for $565,000. After missing several deadlines, council wanted the company to contribute $100,000 for improvements to Piper Park, and give up the right of first negotiation to manage the Vancouver Island Conference Centre. “I’m extremely disappointed,” said Mayor Bill McKay.

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Sunny High 20, Low 16 Details A2

“Council’s positive productivity seems to be at an all-time low and it is difficult to find optimism in this outcome for other matters before council.” Kim Smythe, Greater Nanaimo Chamber of Commerce CEO

He blamed the “extremely hostile treatment we displayed toward them,” a reference to recent council meetings where the developer was “insulted and embarrassed” by council. Greater Nanaimo Chamber of Commerce CEO Kim Smythe said the decision is a big loss. “Losing this hotel project means a significant loss in local investment and job creation. One cannot imagine the void created by their leaving will be filled easily, if at all,” stated Smythe in an email. “Council’s positive productivity seems to be at an all-time low and it is difficult to find optimism in this outcome for other matters before council.”

In December the developer missed a deadline to start work on the hotel. The project was intended to draw thousands of Chinese tourists, conference centre delegates and business travellers. But SSS Manhao then missed a May 30 construction deadline, which allowed the city to reverse the land sale. At a June council meeting, councillors Jerry Hong, Bill Bestwick, Jim Kipp, Bill Yoachim and Gord Fuller voted 5-4 against a one-year extension on buying back the property for the original $565,000 price. Instead, Hong’s compromise motion for a six-month extension that passed was turned down by the developer in a letter dated Thursday. That lack of council support left the developer convinced that “viability of the hotel development is at risk,” the lawyer wrote. “They’re kind of blaming us for it,” Fuller said. “I would really have to wonder if it’s not the economy of China that’s caused them to have second thoughts about building a hotel here. This just gives them an excuse to save face.”

Coun. Wendy Pratt, who supported the one-year extension, said she’s “sorely disappointed,” with the news. “I just feel it’s a huge missed opportunity.” Sasha Angus, Nanaimo Economic Development Corp. CEO, had travelled to China to help shepherd the hotel project forward. “Obviously, we’re regrettably disappointed,” Angus said. “Discussion we’re going to need to start having is, is there a Plan B, and what will it look like? “We’ve got a number of other projects and I think we have to ensure as a community we’re welcoming as a community – we’ve got the Hilton, the fast ferries. “It’s important to put our best foot forward and make sure we’re a welcoming place.” Darrell.Bellaart @nanaimodailynews.com 250-729-4235 » We want to hear from you. Send comments on this story to letters@nanaimodailynews.com. Letters must include daytime phone number and hometown.

Omar Sharif dies at 83 after career in movies

Genocide in Bosnia marked after 20 years

The Egyptian-born actor’s Hollywood debut immediately enshrined him as a smouldering leading man of the 1960s, transcending nationality. » Nation & World, A9

Some 50,000 people are expected to attend ceremonies mourning the 8,000 Muslim men and boys killed in the eastern Bosnian town of Srebrenica. » Nation & World, A9

Local news .................... A3-5 Markets ...............................A2 B.C. news ............................. A6

Editorials and letters ..... A4 Sports ................................... B1 Scoreboard ........................ B3

Classified ............................ B6 Obituaries ........................... B6 Comics ................................. B4

Drought conditions in the region could lead to Nanaimo having to cancel plans for a huge waterslide that is scheduled to be set up downtown. Utah-based company Slide the City is planning to bring a 300-metre vinyl waterslide to Nanaimo for one day in late August, with the exact date to be confirmed, as part of a tour of B.C. cities. The slide would be located on Victoria Road, starting at Finlayson Street at the top of a steep slope, and ending at the Esplanade Street intersection. Approximately 80,000 gallons of water would be needed for the event. But the ongoing dry spell on Vancouver Island, which has left Nanaimo currently with Level 2 water restrictions, might mean city council could have to reconsider having the slide set up here if the conditions continue. Tom Hickey, the city’s general manager of community services, said staff will present council with an update on plans for the slide at Monday’s council meeting. “We had no idea when this idea was first proposed in May that these dry conditions would be as severe as they are,” Hickey said. “We don’t know how long it will continue, but if it goes on into August and the time the slide is scheduled to come here, it will ultimately be up to council to decide if it should go ahead.” Mayor Bill McKay said council members will be closely monitoring Slide the City’s visit to Kamloops on July 18. He said the company is employing a water recycling system in Kamloops that is supposed to reduce the water use by up to 80 per cent. McKay acknowledged there are health concerns and the city will be interested in how that event unfolds. Robert.Barron @nanaimodailynews.com 250-729-4234

Crossword ................ B4- B5 Sudoku ................................. A2 Horoscope .......................... B7

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