A development project proposed in 2011 took a step closer to reality when Victoria City Council approved a new development permit for the project on Jan. 9.
The development would see the Admiral Inn, located at 257 Belleville Street, demolished and replaced by a 35-unit residential project. The Admiral Inn currently provides semi-furnished rooms rented on a weekly to yearly basis and is set to be replaced by an eight-storey condo building.
The decision followed a staff recommendation to approve a bylaw amendment and authorize the issuance of a new development permit with variances, as some policies and regulations have since changed.
The original project plan was approved in 2011. According to a City of Victoria staff report, its permit was renewed three times between 2013 and 2018. Project developer ADZ Properties, which did not disclose why construction had not begun, said a review of its target market determined it was now time to proceed.
The renewed plan presented to council by the developers remained consistent enough with previous plans to move forward.
While council expressed significant dissatisfaction with the project, they voted unanimously to proceed with the recommendation and issue the new permit.
“Have I got it right that what the applicant is proposing is to demolish 34 affordable units, or relatively affordable units, to put up 35 likely very expensive units? Is that correct?” Coun. Dave Thompson asked staff. They replied, “Essentially, yes.”
Staff explained that while the current building's affordability is not explicitly secured, it "happens to be the case."
“I dislike everything about this project. I think the city has gotten played,” said Coun. Jeremy Caradonna.
“I think that we have learned a lot of lessons about what happens when developers come to us with a concept and then spend over a decade not building anything,” Caradonna added that if the proposal were brought forward today, council’s approach would be very different.
Due to Victoria City Council’s 2011 decision to rezone the area to accommodate the project, council was unable to require increased amenities, contributions, or significant alterations to the plan. The developers had already met their contributions at that time.
Despite this, Coun. Thompson suggested that, given the current market conditions, the developer might wish to consider reframing the project with more units.
“Given the fact that this has been sitting on the books since 2011, and under the current owner since 2015, I am not seeing a huge urgency,” Thompson said. “Frankly, other developers have told us many times—and our staff have told us many times—that this is not a great time to be proceeding with projects.”
“This is probably a good time to go back to the planning board and figure out how to make this into 80 or 100 units.”
Mayor Marianne Alto echoed many councillors’ concerns about the project’s limited number of units.
“I do regret that it's not larger in the context of advancing into 2025. Thirty-five isn’t enough. That being said, it is the right of the developer and the applicant to determine that subject.”
In line with their original agreement, ADZ Properties is set to contribute $433,000 in community amenity contributions. Although not required, they will also provide existing tenants with relocation support based on their length of residence. This compensation may include free rent or monetary payments for up to four months, along with the option to keep their furniture.
