A B.C. property company says a lender has pulled out of financing a new building because of the recent Cowichan Tribes ruling that granted Aboriginal title to more than three square kilometres in Richmond.
Montrose Property Holdings, which develops industrial warehouses on land it owns, some of it in the Aboriginal claims area, said it had been in “advanced discussions” with the lender which it had successfully dealt with several times before, and a prospective tenant.
But talks ended because of “uncertainties and risk allocation issues” raised by the B.C. Supreme Court ruling in August, the company says in an application to reopen the court case that will be filed soon.
Montrose said it spent about $7.5 million advancing the project and expected to borrow another $35 million to complete construction.
The company said discussions have also ceased for the same reason with companies such as Fortis and Enbridge to develop a facility to capture landfill gas, rather than flare it. Those discussions had been underway for six years.
The 31-page application to reopen the case and a 1,200-page supporting affidavit, which have been sent to the parties involved in the case, were shared with Postmedia.
The business effects Montrose says it is experiencing from the Cowichan decision are among the first specific examples to be aired publicly.
https://www.timescol...ruling-11590794