The following comes from the municipalities own press release announcing that the deal with Medican collasped.
"The Vachon Group, who is still the official applicant for the hotel development, intends to continue working with Crowsnest Pass on the complex".
Comments from July 16 G+P meeting
Chris Vachon spoke to council regarding this issue made some very interesting comments and responses to Councilors questions:
-Investors that were previously lined up went to what they know best the condo market
-The Best Western brand and franchise was approved for the Pass under the Vachon group
-The cost to maintain the Best Western for two years will be $50,000, the way it came across to myself is Vachon put the money up six months ago. The municipality as a deadline of July 26 to make a decision on if they will pay the $50,000 to maintain the rights to Best Western. If they don’t I suspect Mr Vachon will get his $50k back from Best Western and the option to own those rights will disappear.
At this point Councilor Gail asked if there would be a problem finding Investors down the road especially with the MCNP already having the feasibility study done?
Mr Vachon told him that Best Western came in and did their own study and would probably have to update the study when new Investors show up. He also stated that new Investors showing up would be tied to what happens in the Coal/lumber markets locally.
Councilor Londsbury asked if Best Western sees this town has a viable option?
Mr Vachon gave a qualified yes based on once again what happens in the coal industry.
Councilor Saindon asked how can Medican pull out, didn’t we have an agreement, didn’t we honor our side of the agreement, thing’s get difficult they pull out?
Myron Thompson stated terms of the agreement were not met by Medican the contract became null and void.
Councilor Saindon asked what was the out clauses that Medican used?
Myron Thompson responded with “various clauses”.
Councilor Gallant said Best Western did not play games, independent studies said this location was viable, he asked how long Sparwood has been on Best Western books and is there a time limit on how long they will be on the books?
Mr Vachon stated that he did not know Sparwood was trying to get a Best Western until they filed the application for Blairmore. He also stated that Best Western watchs a location for signs of moving forward (foundations being put in place etc)
Councilor Mitchell asked if he had heard correctly that there is a deadline of July 26?
Mr Vachon said yes for the $50,000
Councilor Saje asked for an explanation of what the status of the present contract is?
Mr Vachon stated we will talk further later in the meeting (In Camera)
Pass Herald July 16
“What brings me out here is to see if there is any interest in pursuing a new , under myself,” said Vachon.
Crowsnest Pass Peomoter
The curious case of the hotel Part 3 from Joni MacFarlane