Vancouver developer pulls out of 3rd project
Last Updated: Friday, February 29, 2008 | 3:48 PM PT
CBC News
A Vancouver developer who pulled out of two building projects worth $95 million last November has halted a third development citing financing difficulties, CBC News has learned.
The Sophia in Vancouver's Mount Pleasant neighbourhood is 85 per cent complete but went into receivership on Monday.
(CBC)
The Sophia on E11th Avenue and Sophia Street in the city's Mount Pleasant area went into receivership last Monday and the receiver, The Bowra Group, has 21 days to submit a plan to the courts.
The developer of the 81-unit condo project, The Eden Group of Companies, has completed about 85 per cent of the building but construction has stopped — leaving purchasers on uncertain ground.
Purchasers have not been notified officially, but some told CBC News they were aware something was wrong because construction recently came to a halt.
Prices for units have risen from $480 per square foot to $540 per square foot since presales began in March 2006.
Vancouver real estate developer Bill Eden assured CBC News last November that his company would complete the Sophia project.
(CBC)
Last November, CBC News reported the scuttling of Eden's Elyse development, a 119-suite condominium complex planned for E7th Avenue and Scotia Street in Vancouver. Fifty-five people had already purchased units.
Another Eden project, a $30-million townhouse development, was also shelved.
Bill Eden, owner of the development group, said at the time that skyrocketing construction costs forced him to make the decision to halt both projects.
Eden could not be reached for comment on Friday.
In the case of the Sophia development, the receiver could find another developer willing to finish the condo project and honour the existing contracts or ask purchasers to pay extra.
Details of the plan will not be known until the receiver reports back to the court.
