Kelowna Mountain developer loses court case over nearby project | iNFOnews | Thompson-Okanagan's News Source

Would you like to subscribe to our newsletter?

Kelowna News

Kelowna Mountain developer loses court case over nearby project

Kelowna Mountain owner Mark Consiglio

Kelowna Mountain developer Mark Consiglio’s attempt to stop the sale of three Kelowna building lots has been turned down by a judge.

In 2012, Consiglio and Bradley Donald Stock MacBeth borrowed money from Tri City Capital Corp. to develop a small residential subdivision on Trumpeter Road in the Upper Mission area of Kelowna.

Two years later, Tri City launched foreclosure proceedings after no payments were made on the loan, according to a B.C. Supreme Court ruling issued Dec. 29 by Justice Len Marchand.

While the ruling dealt with three properties in the subdivision, Marchand provided details mainly relating to one lot, saying his ruling applied to all three.

On July 10, 2012, Tri City loaned the men $360,000 for the one lot. The loan was guaranteed by the lot referred to in the ruling.

The loan came due on Aug. 1, 2013. Despite efforts to negotiate alternative repayment methods, no payments were ever made so foreclosure proceedings were launched by Tri City in 2014.

Over the years, there were a number of legal actions and counteractions.

The latest action was over Tri City’s efforts to sell the three lots, which Consiglio and MacBeth tried to stop.

In 2017, Tri City first listed the property for sale but an appraiser said it couldn't be sold because it was undeveloped.

Tri City decided to spend more money so it could service the property then put it back on the market. A court ruling allowed it to spend up to $50,000 per lot, plus taxes.

Tri City tried, at various times since, to sell the property before finally getting bids in 2020.

In the latest court action, Consiglio and MacBeth tried to block the sale saying, among other things, that the land hadn’t been properly marketed, meaning it would be sold for a lower amount.

Marchand disagreed with that and their other arguments against the sale. He ruled that the sale should go ahead at $427,000 for the one lot. The other lots had bids on them for different prices.

While the sale price was above the $360,000 of the original loan, it does not pay off the full amount owing on that loan.

In August of 2016, in a different court ruling referred to by Marchand, the redemption amount owing on the loan was set at $538,651 with interest accumulating at $176.97 per day.

In a completely separate business deal, Consiglio bought three parcels of land totalling 640 acres just south of the City of Kelowna boundary off Gillard Creek Forest Service Road more than a decade ago and started developing it as Kelowna Mountain.

He pursued various visions for the project including a ski hill and large residential development but all of them stalled before regulatory bodies like the Central Okanagan Regional District.

He announced in September that he was getting that project back on track.

READ MORE: Kelowna Mountain developer says project will be 'moving forward'

To contact a reporter for this story, email Rob Munro or call 250-808-0143 or email the editor. You can also submit photos, videos or news tips to the newsroom and be entered to win a monthly prize draw.

We welcome your comments and opinions on our stories but play nice. We won't censor or delete comments unless they contain off-topic statements or links, unnecessary vulgarity, false facts, spam or obviously fake profiles. If you have any concerns about what you see in comments, email the editor in the link above. 

News from © iNFOnews, 2021

  • Popular vernon News
View Site in: Desktop | Mobile