What remains of the first phase of the $1 billion Capital City Centre mixed-use residential, office and commercial development at Colwood Corners along Sooke Road. Construction had ceased in the summer of 2013. Vancouver-based Onni Group of Companies has plans to resume construction as early as this year with vastly altered plans to those of the former bankrupt developer, League Assets Corporation. Citified.ca.
The Victoria-based developer of the former Capital City Centre mega-project at Sooke and Goldstream roads in Colwood has been proclaimed bankrupt by the Supreme Court of British Columbia.
As part of a court-monitored restructuring process under the Company's Creditors Arrangement Act that began in 2013, League Assets Corporation was officially declared bankrupt on December 17, 2015 following a final distribution of remaining corporate assets to secured creditors and investors. The restructuring, overseen by PriceWaterhouseCoopers, yielded limited returns of invested capital to secured creditors while some 90% of the $370 million collected from just under 4,300 independent investors was unrecoverable.
League's Capital City Centre project, which began construction in 2012, had stalled in the summer of 2013 once payments to contractors had ceased. League's officers had initially expressed hope that the restructuring process would allow the company to seek additional investment revenue or a partnership to re-inject life into the first phase of the $1 billion project. However, the development never regained its momentum and the property was subsequently sold to the Onni Group of Companies in 2014. Plans now call for several mixed-use residential and commercial lowrise buildings upwards of six floors in lieu of League's vision of a cluster of highrise towers.
Capital City Centre's first phase included a 27-storey residential tower, several lowrise residential buildings with ground floor commercial space leased to RBC Royal Bank, London Drugs, Coast Capital, among other retailers, and a lowrise office building planned to become League's corporate headquarters. While interest in the project's commercial component was high, Capital City Centre struggled to attract home buyers during a period of lacklustre real-estate sales throughout the Capital Region. C
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Article resources
- 90 pages of discussion on the Capital City Centre project, from concept in 2006 to bankruptcy in 2015, are available on VibrantVictoria here
- Follow the discussion on League Assets Corporation here
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