Developer takes City of West Kelowna to court over $750,000 in unexpected fees | iNFOnews | Thompson-Okanagan's News Source
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Kelowna News

Developer takes City of West Kelowna to court over $750,000 in unexpected fees

Lakeview Pointe in West Kelowna.
Image Credit: Submitted/Ironcladdevelopments.ca

Ironclad Developments has gone to court against the City of West Kelowna seeking a review of a fee of almost $750,000 it paid under protest.

In dispute is the amount of latecomer fees Ironclad paid when it built four Lakeview Pointe apartment buildings with 193 units on Elliot Road.

An earlier developer was required to instal excess services or enlarge services into the area. In 2018 the city estimated that Ironclad’s share of those costs, if it built within the next 15 years, would be just under $400,000 in “latecomer fees.”

Ironclad started construction in 2019 and shows the project as complete on its website.

The original estimate for servicing the lands was just under $670,000 but the actual cost turned out to be more than $1.9 million.

The city, therefore, charged latecomer fees of almost $750,000 and Ironclad paid those in late 2020 under protest in order to get its occupancy permit so residents could move in.

Ironclad (technically Ironclad Developments Inc. and Ironclad Developments Elliott Inc.) disputed the cost of construction of those services and asked for documentation to investigate but the city refused.

It’s challenging the amount of the latecomer charge and asking the court to quash or to set aside the city's decision to impose the latecomer charge.

The matter went to the B.C. Supreme Court in Kelowna earlier this week.

“The judicial review proceedings brought by Ironclad Developments remains before the court and the City of West Kelowna has nothing to add to the information that is publicly available,” the City of West Kelowna said in an email to iNFOnews.ca. “No date has yet been set for the hearing on the merits of the proceedings.”

 - This story was updated at 12:40 p.m., Aug. 15, 2022 to clarify name and legal terms.

READ MORE: West Kelowna forcing strata to open its waterfront walkway


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