Hot times arrive as investment pours into small B.C. town


Sunday, August 12th, 2007

On the edge of a dream

Ashley Ford
Province

Mayor John Slater is fully behind the upsurge in development coming to his small town.

The Osoyoos First Nation, owner of the Nk’Mip Cellars, Canada’s first Aboriginal winery, have led the tourism charge for the town and opened a spectacular Desert Cultural Centre.

Osoyoos is “hot” and not just because it’s slap bang in the middle of Canada‘s only desert.

The South Okanagan town and B.C.’s newest resort sits on the shores of a lake of the same name, cheek by jowl with the U.S. border.

It has become a mecca for developers, who are pouring more than $250 million into new tourism projects.

This immense investment is coming into a town that only has about 6,000 full-time residents.

But its arrival will boost tourism spending to about $80 million by next year and bring in more than 350,000 visitors annually.

It’s a huge leap of economic faith for the small community and a long way from 1999, when it recorded a scant $3 million in new construction spending.

Few residents seem to be complaining about the hectic pace of expansion and Mayor John Slater says the town is solidly behind the initiative.

Slater says the goal is to boost the economic impact of the town and region without losing its small-town appeal.

“We want that family feeling of ‘Let’s go to grandma’s house.’ It is really important. We also want to make sure the development we do is positive,” he says

There have been some voices of disapproval, Slater admits.

“Their attitude is ‘we have bought our piece of paradise, now let’s close the door,’ but that is not how we see it. We are a vibrant community and the community’s growth, whether commercial or residential, helps pay for the amenities we are putting in,” he says.

“People are resigned to the fact that we have to grow and we simply cannot stand still,” he adds.

The “bogey” of urban sprawl or over-development isn’t in the cards for Osoyoos — space available for future development is limited by geography.

The town is surrounded by untouchable agricultural land, mountains and the U.S. border.

Slater admits the town is “running out of dirt,” adding “we don’t want to move up the mountains.”

Developers are aiming at well-heeled baby boomers on the cusp of retirement, according to Destination Osoyoos executive-director Glen Mandziuk.

Destination Osoyoos is the economic development arm of the town and works with council, the Osoyoos Indian Band and developers.

Most buyers come from Alberta and the Lower Mainland, with some from just up the road in Kelowna.

Prices are already getting that “urban” feel, with small units starting at $200,000.

The town’s appeal is undeniable. It enjoys mild winters and hot, dry summers. It has pristine air, mountains, a lake, golf courses and skiing at nearby Apex resort in winter.

The area is sometimes called Napa of the North. It’s surrounded by spectacularly beautiful vineyards and is home to the Nk’Mip Winery, the first aboriginal winery in North America.

All this is within a 51/2-hour drive from Vancouver.

Current projects under way or in the approval stage include:

Watermark Beach Resort — developer Osoyoos Shoreline Development, investment $75 million. A beach resort with 153 waterfront units to be operated by Boutique Hotels;

Walnut Beach Resort — developer Palcor, investment $45 million, with 112 units on the waterfront to be operated by Atlific Hotels;

– Spirit Ridge Vineyard Resort & Spa — developer Bellstar Hotels and Osoyoos Indian Band, investment $75 million. Currently, there are 94 units with another 132 units to be built in second phase;

– Indigo on the Lake — developer Kingsway Group, investment $80 million, 173 condo units, currently in pre-approval phase;

Mount Baldy Ski Area — developer Mt. Baldy Ski Corp. Plans call for 7,892 “bed units” in a phased approach, 45-per-cent public use and 55-per-cent private use in mostly low-density zoning.

In addition, there are several smaller condo developments, ranging from 10 to 21 units, either in pre-sale or under construction.

Curt Jansen, Bellstar Hotels and Resorts’ manager of real estate, says all the stars are aligned when it comes to Osoyoos.

“This won’t ever be a big city and that’s the lure to people who are stuck in traffic in Calgary or Vancouver.”

Allan Taylor, director of marketing for Lakeshore Development Corp., says many people questioned the company’s judgment four years ago when it developed a higher-end, 42-townhouse project known as Luna Rosa.

“People thought we were crazy to do what we did, but there were buyers and it snowballed from there,” Taylor says.

“People who used to come up here and camp are now investing and looking to retire,” he says.

“That’s the beauty of the condo hotel. You buy a unit, use it for your vacation, put the key on the counter and go. And it’s all looked after.”

– – –

OSOYOOS FACTS

– The official “resort” designation for Osoyoos comes from the provincial government. There are 13 in B.C.

– The designation brings with it some financial contribution from Victoria for advertising and improving amenities.

– Population: About 6,000

– It gets 350,000 visitors annually

– Visitors spend $60 million

– Construction projects worth $250 million.

Osoyoos is located in

Canada‘s only desert.

– It has the country’s lowest rainfall at just 304.8

millimetres of rain a year.

– It gets more than 2,000 hours of sunshine annually

– The region has 57 per cent of all B.C. vineyards and 86 per cent of all grape

growing.

© The Vancouver Province 2007

 



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