I was just asked several questions about the hotel deal regarding the contract with Medican and the timelines laid out in the agreement and what repercussions are involved if the timelines are not followed.
You can see the contract for yourself by going to the following address: http://transparencycnp.shawwebspace.ca/blog/posts/2/5/
Included in the contract are the following conditions on page 7 of the agreement:
1 (a) Be satisfied with the zoning of the lands and the Municipality of Crowsnest Pass new land use bylaw, on or before Febuary 15,2013
(b) Completion of final engineering design on or before on March 29,2013
(c) Apply for and or obtain a development permit respecting the development, on or before March 29,2013
(d) Securing an agreement with a hotel chain for the development, on or before April 30, 2013
(e) Obtain a council resolution approving the waive of off-site levies for the development, on or before April 30,2013.
Conditions B and C were extended for an additional thirty days with approval of the municipality, Condition D did that take place? I have not heard anything there is nothing that has been released by the municipality yet.
The agreement also states under section 13 that the clearing of the land including demolition of all the present structures shall take place on or before August 30,2013.
My opinion, there is a council meeting next week (May 7) I expect Bruce will want to receive the maximum exposure on this issue. He will release an announcement in the next couple of days which will allow him to walk in to council next week a hero. He will announce that an agreement has been reached between Medican and Hotel chain ?????? prior to April 30th. Which could not have been achieved without the massive support, guidance, direction and positive thoughts from Council and Administration.
If this does not happen can these deadlines be extended? of course the purchaser requests an extension then the municipality can either agree to the request or let the agreement die, the political repercussions of the latter? not good just months before an election.
Showing posts with label Hotel development. Show all posts
Showing posts with label Hotel development. Show all posts
Wednesday, May 1, 2013
Wednesday, March 27, 2013
Crowsnest Pass Ratepayers Letter to the Editor
Here is the letter from this weeks letter to the editor also check out the ratepayers Facebook page for other information on the organization.
http://www.facebook.com/notes/crowsnest-pass-ratepayers-association/other-side-of-the-story/538457979539095
http://www.facebook.com/notes/crowsnest-pass-ratepayers-association/other-side-of-the-story/538457979539095
Other side of the story
The Ratepayers do not have access to the taxpayer funded municipal communications system. It becomes very expensive to advertise on radio, in the papers, mail inserts.
It leaves the ratepayers association seeking other alternatives to getting out our concerns, comments and questions.
In response to the Mayor’s latest newsletter. It is good to see that our restructured administrative staff is working well as a team with our staff.
Maybe the talk of morale at the municipality being at an all time low is not accurate.
The Mayor addresses the issue of differences of opinion in a healthy organization is he referring to Councillor Saje recent statements? Were those the only times that process was not followed? Is Councillor Saje the only one that has concerns?
The hotel development, the selling price of the property was $1.1 million.
The municipality actually only receives $300,000 in cash with $100,000 of that used to put in a playground at the site. The developer was given an allowance of $800,000 to remove the building by August 30. There was a request for proposals, last year were there bids for less than $800,000?
Medican is a company that has had serious financial problems, they are now
in the process of coming out of CCAA court protection.
More news in the Mayor’s newsletter at the open house with Riversdale Mining, there spokesman clearly stated that every thing going perfect the mine would be starting up in 2017, the Mayor now suspects the mine will be in place sooner than anticipated.
The Mayor is also excited about the branding project, that cost the taxpayers $47,000 don’t we all feel “naturally rewarded”. The Mayor’s task force report in May of 2011 clearly recommended the use of the “Mountain
Freedom” brand, that would have cost us nothing. That same report also stated a top priority would be the hiring of an Economic Development Officer
by Sept 2011, the job is finally now being advertised, will it be in place prior to the election?
Ranchlands is going to meet with our council, it would be great news for the taxpayers of the Crowsnest Pass to know when we will be reducing our high tax rates, franchise fees and other various charges with the additional income that Ranchlands will provide. The Mayor should provide us with examples of other municipalities where this process has taken place, we can only find examples where communities anticipating tremendous population growth were allowed to annex their neighbors.
Finally, the Mayor basks in the glory of the Emergency Services Open House, it was great that it brought back memories of a cardboard helmet from his early childhood. What about the memories of the individuals that put 20-40 years of there lives into those organizations.
This will be the first letter to the editor from the Ratepayers Association, we have many more issues to raise, we ask all residents to take the time to think about these prior to October 21. (This letter was written without the assistance of any Public Relations firm)
Thursday, March 14, 2013
Update on our Hotel Developer in the Crowsnest Pass
I was under the impression that Medican was already out of court ordered creditor protection:
Several interesting stories from the Medicine Hat News, Lethbridge Herald, Western Wheel:
Medican attempts to get back into the swing
Feb 16,2013
COLLIN GALLANT
cgallant@medicinehatnews.com Twitter: CollinGallant
A former pillar of the Medicine Hat construction community is poised to come out from under court-ordered creditor protection, according to Ty Schneider, the chief restructuring officer at Medican.
Court proceedings this week and next should be the final phase, said Schneider, before a new entity emerges from the tangled story of the collapse of the construction and development company in May 2010.
"Things have come along way from where it was, and 2013 and 2014 should be good years of building," said Schneider, who is confident that a Court of Queen's Bench judge will approve the final settlement.
A settlement arrangement that was voted on and approved in January 2012 that would see unsecured creditors paid up to a guaranteed amount of $2,750 and then part of a $10-million fund built up by the company was approved by a majority of nearly 500 unsecured creditors who voted.
Creditors who spoke with the News this week say they have had no contact with the court-appointed monitor about possible payments.
In August, officials with Ernst and Young said they were beginning the process of verifying claims. Interview requests with the monitor made this week were not returned.
According to court documents, the new company has three years from the time it emerges from court protection to disperse the funds after it initially builds up $1 million, then quarterly as funds become available.
"It's very clear in the court order, we've agreed as a company to pay $10 million. " said Schneider. "The jobs that we've got are good jobs, and providing that we can get financing, provided the market remains stable, we can do OK."
Frustrated creditors reacted poorly to the news this week that Medican is planning to build a new hotel and commercial development in the Crowsnest Pass but officials with the company emerging from court protection say new money coming in means debts will be settled sooner.
"How do you spend money that you don't even have to pay back money that you can't pay back? It's business backwards to me," said Dawn Cameron, whose company Budget Blinds was owed about $7,500 when the company filed for creditor protection.
Spider Electric of Medicine Hat was owed $1.3 million by Medican, and now the owner is resigned to the idea that no funds are forthcoming.
"Education costs money and we got schooled pretty hard," said company president Mark Simmons. "We prepared ourselves but we're not expecting a nickel."
The original unsecured creditors list shows that at least 66 local companies are owed more than $1,000, and 10 area firms are owed in excess of $100,000.
During the first year of the court proceedings, unprofitable operations were closed and assets like unsold condo units and land were ordered sold to pay almost $110 million owed to secured creditors.
Schneider said that at least $1 million of unpaid secured debt remains.
Along with work in the profitable concrete pouring wing of the company, the courts have allowed Medican to move ahead with or complete projects deemed profitable in the interest of maximizing the value of assets for settlement.
Along with the Crowsnest development, the company has a new project to build a hotel in Okotoks and is completing work on condo projects in Red Deer begun in 2011.
Most of the new investment has been made by individuals, said Schneider, though one chartered bank, ATB Financial, has extended terms to the company.
Medican looking to build hotel in the Crowsnest Pass
Feb 14,2013
Several interesting stories from the Medicine Hat News, Lethbridge Herald, Western Wheel:
Medican attempts to get back into the swing
Feb 16,2013
COLLIN GALLANT
cgallant@medicinehatnews.com Twitter: CollinGallant
A former pillar of the Medicine Hat construction community is poised to come out from under court-ordered creditor protection, according to Ty Schneider, the chief restructuring officer at Medican.
Court proceedings this week and next should be the final phase, said Schneider, before a new entity emerges from the tangled story of the collapse of the construction and development company in May 2010.
"Things have come along way from where it was, and 2013 and 2014 should be good years of building," said Schneider, who is confident that a Court of Queen's Bench judge will approve the final settlement.
A settlement arrangement that was voted on and approved in January 2012 that would see unsecured creditors paid up to a guaranteed amount of $2,750 and then part of a $10-million fund built up by the company was approved by a majority of nearly 500 unsecured creditors who voted.
Creditors who spoke with the News this week say they have had no contact with the court-appointed monitor about possible payments.
In August, officials with Ernst and Young said they were beginning the process of verifying claims. Interview requests with the monitor made this week were not returned.
According to court documents, the new company has three years from the time it emerges from court protection to disperse the funds after it initially builds up $1 million, then quarterly as funds become available.
"It's very clear in the court order, we've agreed as a company to pay $10 million. " said Schneider. "The jobs that we've got are good jobs, and providing that we can get financing, provided the market remains stable, we can do OK."
Frustrated creditors reacted poorly to the news this week that Medican is planning to build a new hotel and commercial development in the Crowsnest Pass but officials with the company emerging from court protection say new money coming in means debts will be settled sooner.
"How do you spend money that you don't even have to pay back money that you can't pay back? It's business backwards to me," said Dawn Cameron, whose company Budget Blinds was owed about $7,500 when the company filed for creditor protection.
Spider Electric of Medicine Hat was owed $1.3 million by Medican, and now the owner is resigned to the idea that no funds are forthcoming.
"Education costs money and we got schooled pretty hard," said company president Mark Simmons. "We prepared ourselves but we're not expecting a nickel."
The original unsecured creditors list shows that at least 66 local companies are owed more than $1,000, and 10 area firms are owed in excess of $100,000.
During the first year of the court proceedings, unprofitable operations were closed and assets like unsold condo units and land were ordered sold to pay almost $110 million owed to secured creditors.
Schneider said that at least $1 million of unpaid secured debt remains.
Along with work in the profitable concrete pouring wing of the company, the courts have allowed Medican to move ahead with or complete projects deemed profitable in the interest of maximizing the value of assets for settlement.
Along with the Crowsnest development, the company has a new project to build a hotel in Okotoks and is completing work on condo projects in Red Deer begun in 2011.
Most of the new investment has been made by individuals, said Schneider, though one chartered bank, ATB Financial, has extended terms to the company.
Medican looking to build hotel in the Crowsnest Pass
Feb 14,2013
Dave Mabell
Lethbridge Herald
LETHBRIDGE
Medicine Hat construction company Medican is planning to build an "internationally branded" hotel in Crowsnest Pass and could start work on the 50- to 75-room facility this year, an official with the company says.
It's a new direction for Medican, developer of hundreds of condominium units in Medicine Hat, Lethbridge, Red Deer, Grande Prairie and other cities over recent years.
The company filed for court protection from its creditors in 2010 and is currently working towards meeting the terms of a settlement agreement reached in January 2012.
Medican has been concentrating on its profitable concrete pouring business during court proceedings, according to legal documents, but a hotel is a departure from that plan.
Bill Cooper, vice-president of sales and marketing for Medican, says the Crowsnest Pass is long overdue for greater choice in accommodation and dining.
"With its central location between Lethbridge and Fernie, the Crowsnest Centre site is perfectly located to become the destination stopping area for travellers through the southern Rocky Mountains," he said.
Medican has signed an agreement with the Municipality of Crowsnest Pass covering property at the western edge of Blairmore, Cooper reports.
The hotel – with an indoor pool, restaurant, sports bar and meeting rooms – will be near Highway 3. Adjacent retail spaces are also planned.
"There are exciting things happening in the Crowsnest Pass and we are excited to be bringing forward this hotel and commercial development," Cooper says.
Lethbridge architect Alvin Reinhold Fritz is developing a design for the hotel, he adds. Alberta investors are backing the project.
Cooper said the company has no other projects currently in southern Alberta.
In Red Deer, however, it's developing an adults-only condominium complex adjacent to the 280-unit assisted living complex it built recently for Extendicare.
Cooper says Medican is selling units in the final phase of a 148-unit condo unit aimed at spouses of seniors who've moved into the health-care facility.
A similar Medican project in Lethbridge was hit by a recession but Cooper says it could possibly be resurrected in improved market conditions.
Lethbridge Herald
LETHBRIDGE
Medicine Hat construction company Medican is planning to build an "internationally branded" hotel in Crowsnest Pass and could start work on the 50- to 75-room facility this year, an official with the company says.
It's a new direction for Medican, developer of hundreds of condominium units in Medicine Hat, Lethbridge, Red Deer, Grande Prairie and other cities over recent years.
The company filed for court protection from its creditors in 2010 and is currently working towards meeting the terms of a settlement agreement reached in January 2012.
Medican has been concentrating on its profitable concrete pouring business during court proceedings, according to legal documents, but a hotel is a departure from that plan.
Bill Cooper, vice-president of sales and marketing for Medican, says the Crowsnest Pass is long overdue for greater choice in accommodation and dining.
"With its central location between Lethbridge and Fernie, the Crowsnest Centre site is perfectly located to become the destination stopping area for travellers through the southern Rocky Mountains," he said.
Medican has signed an agreement with the Municipality of Crowsnest Pass covering property at the western edge of Blairmore, Cooper reports.
The hotel – with an indoor pool, restaurant, sports bar and meeting rooms – will be near Highway 3. Adjacent retail spaces are also planned.
"There are exciting things happening in the Crowsnest Pass and we are excited to be bringing forward this hotel and commercial development," Cooper says.
Lethbridge architect Alvin Reinhold Fritz is developing a design for the hotel, he adds. Alberta investors are backing the project.
Cooper said the company has no other projects currently in southern Alberta.
In Red Deer, however, it's developing an adults-only condominium complex adjacent to the 280-unit assisted living complex it built recently for Extendicare.
Cooper says Medican is selling units in the final phase of a 148-unit condo unit aimed at spouses of seniors who've moved into the health-care facility.
A similar Medican project in Lethbridge was hit by a recession but Cooper says it could possibly be resurrected in improved market conditions.
Hotel construction to start this month
Business: 82-room Best Western project has been years in the making
March 6,2013
It’s been many years in the making, but work on an Okotoks Best Western hotel will finally get underway later this month.
The hotel’s owners have revealed they are planning to break ground on the project on March 20.
Hotel co-owner Roanne Bodnarchuk said there’s a great need for another hotel in town, particularly to support the growing “sports tourism” market in the area. As a regular billet for the Okotoks Dawgs, she has often heard about the need for another hotel.
“The feedback from the billets has been, ‘There’s nowhere for our parents and our families to stay,’” she said. “We started looking into it four years ago after we had our first billet.”
Located next to Costco on Okotoks’ east side, the full-service hotel will boast 82 rooms, a banquet facility, indoor pool, waterslide and meeting rooms. There will also be a restaurant in a separate building on the site and Bodnarchuk said they are working to attract an “upscale” restaurant name.
The Okotoks resident and her husband Greg own BWO Hospitality Inc., which is developing the project.
It has been a lengthy planning process that began several years ago.
The Okotoks Municipal Planning Commission (MPC) approved the proposed Best Western in November 2011.
The developers had one year to meet a number of conditions set out by the MPC and they received an extension in November 2012 giving them until the end of June 2013 to meet the conditions of the approval.
The developers still have a number of steps left to complete before they can break ground.
Okotoks planning officer Wendy Cardiff said a development permit will be issued once the development agreement for the hotel is submitted to the Town and executed.
Bodnarchuck said the final designs for the building have been completed and they are awaiting final approval from the Town on the development agreement.
Medican, the contractor hired to build the hotel, said they are ready to go when they get the signal.
“All of our ducks are lined up and waiting to go and we’re just waiting for that green light, which we know is coming,” said Bill Cooper, Medican vice-president of sales and marketing.
Shane Olson, Okotoks’ economic development team leader, said he believes there’s a strong need for another hotel in Okotoks and has been working to get a new hotel built in town for some time. There are only three hotels in Okotoks. The 64-room Lakeview Inn and Suites is the largest hotel while the smaller Okotoks Country Inn and the Royal Duke Hotel are the other options in town.
He said Okotoks has lost out on several opportunities to host events, major sports competitions and tournaments in particular because of a lack of hotel space in town.
“We believe the regional field house is a huge hook and huge anchor and a reason to build a full service hotel in that area,” said Olson.
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