Thunder Bay waterfront hotel project delayed again
Jeff Walters | CBC News | Posted: September 2, 2015 9:29 PM | Last Updated: September 2, 2015
Development agreement states hotel must be completed by 2017
There is another setback for the condominium and hotel development project at Prince Arthur's Landing, on Thunder Bay's waterfront.
Project developer, Gisele MacDonald of the ReSolve Group said she is no longer working with Manshield (NWO) Construction on the two condominium buildings. MacDonald said the contractor's inability to meet construction deadlines was causing her concern.
"They are months and months behind, and, I need to ensure that the integrity of the building is taken care of before winter arrives, and they just weren't maintaining and meeting the schedule," said MacDonald.
The second condo building, named Aurora, needs work completed to ensure it can withstand the winter weather, she said. As well, the first condominium equires work to fix deficiencies, and landscaping.
"If I was Manshield, this should not come as a surprise, I'll put it that way," said MacDonald.
"We're protecting the integrity of the building, and the integrity of what the purchasers actually bought. We have to protect their investment," she added.
MacDonald said her legal team is still working on a lien, placed on the Aurora building by Manshield Construction. She said the value of that lien is approximately $5.9 million. A lien on the first condo building, Allure, has now been dropped.
Hotel project also affected
Although the condominium and hotel projects are separate developments, the issues caused by Manshield will also delay construction on the proposed hotel, according to MacDonald.
This is not the first time the construction date on the hotel has been pushed back. As of June, work on the hotel was to have started in September. A building permit was issued for the hotel in January 2013.
A development agreement between the ReSolve Group and the city of Thunder Bay states the hotel must be completed by 2017. MacDonald said she believes the project can be finished by that deadline.
MacDonald predicted work on the hotel would begin in February, 2016.
"It makes no sense to start the superstructure in November. It makes no sense to do it in November, December and January," she said.
The hotel's foundation has already been "substantially completed" as part of the development agreement. MacDonald estimated the value of the concrete and steel put into the foundation at approximately $4 million.
Earlier this year, a lien worth about $1.5 million was placed on the hotel project.