by Dave Preston
Friday the 13th may not have been a good day for Peachland’s beleaguered Trepanier Manor project.
On the other hand, what happened July 13 is just one more step toward the relaunch of the luxury hotel project, according to its president.
The Canadian Western Bank on Friday applied for the right to sell a portion of or all of the lots comprising the Trepanier Manor project in order to satisfy an outstanding mortgage, according to court documents obtained by PeachlandNews.com
On October 17, 2011, Master Donaldson of the BC Supreme Court granted the bank an Order Nisi concerning the outstanding mortgage. The order required the principals of Trepanier Manor to pay the debt owed to the bank by April 17, 2012, or the bank could then apply to have the property sold to satisfy the debt.
A total of $4.141 million plus interest and costs is owed to the bank, according to court documents.
Though the deadline to pay the mortgage passed three months ago, the Canadian Western Bank did not take steps to apply for an order allowing it to sell the Trepanier Manor property until now.
PeachlandNews.com has learned, through other court documents, that Trepanier Manor principals Byron Dafoe and Richard Dudelzak attempted to work out a deal with the bank since April 17 over the outstanding mortgage.
The application to the BC Supreme Court dated July 13 claims there are other, subordinate, secured charges registered against some or all of the lots comprising the Trepanier Manor property, including:
- A mortgage to Trepanier Manor architect and partner John Kerrigan Sproule & Associates dated July 1, 2011 for the sum of $488,122. (The application notes this mortgage may have been settled and paid out);
- A mortgage to Eagle Mountain Investments and 1239466 Alberta Ltd., dated November 30, 2009 for the sum of $1.602 million. (The application notes that these two companies are owned by Dafoe and Dudelzak);
- A judgement in favor of the Business Development Bank of Canada for the sum of $85,956 plus costs.
The application notes there are outstanding property taxes owed on the Trepanier Manor property.
Canadian Western Bank claims the latest appraisal for the Trepanier Manor lands showed an aggregate value of $5.96 million (if the separate parcels were sold individually) or $4.09 million if sold as one package.
The bank’s application to be given the right to sell the Trepanier Manor lands is scheduled to be heard on August 1, 2012.
Scott Wilshaw, Trepanier Manor president, said the bank’s application is just a procedural issue. He claimed on Tuesday that money to pay the Canadian Western Bank mortgage is sitting in a trust account.
Wilshaw said the bank has been asked for a reconciliation of the amounts allegedly owed. He added once the bank mortgage is paid, the plan is to pay amounts owed to other people and then the Trepanier Manor project will “restart itself.”