Uncertainty looms over major Metro Vancouver projects as developer faces big mortgage troubles
A real estate developer in British Columbia has spent a lot of time in BC Supreme Court in recent months over three foreclosures in several high-profile areas in Metro Vancouver next to SkyTrain stations.
According to foreclosure documents obtained by Daily Hive Urbanized, AimForce Development Group and Davidson Guo, named as the director, are seeing major challenges and financial troubles related to properties and projects in Surrey, Richmond, and Coquitlam.
Combined, the assessed land values for the properties are worth nearly $100 million.
- You might also like:
- 67-storey condo and office tower proposed for Surrey City Centre
- US inflation has fallen, making a rate cut from Bank of Canada even likelier
- Vancouver sub penthouse sees massive price drop in just over a year
- Donnelly Group selling 7 pubs in Vancouver and 1 in Toronto as restaurant group restructures
- 230-room hotel: Office-to-hotel conversion for major Surrey tower mid-construction
The property at 10227 King George Boulevard in Surrey City Centre is among those now facing financial scrutiny, as it has an estimated $45 million of debt connected to it due to two accruing unpaid amounts. Pacific Mortgage Investment Corporation (PMIC) initiated the proceeding, according to the documents, and is claiming to be owed $29 million in debt alone which is accruing daily by $14,814.12. Amber Financial, another mortgage company, is also seeking an additional $16 million against the AimForce.
AimForce’s redevelopment concept for the 1.6-acre property of 10227 King George Boulevard — located just east of SkyTrain Surrey Central Station — called for a 67-storey, mixed-use tower with 685 homes and 200,000 sq ft of office, retail, and restaurant spaces. If built, it would be one of Metro Vancouver’s new tallest buildings.
Site of 10227 King George Boulevard, Surrey. (Google Maps)
Site of 10227 King George Boulevard, Surrey. (Google Maps)
November 2022 artistic rendering of 10227 King George Boulevard, Surrey. (Chris Dikeakos Architects/AimForce Development Group)
Currently, this property — situated at the prominent northwest corner of the intersection of King George Boulevard and 102 Avenue — is occupied by a strip mall, with surface vehicle parking and tenants such as RBC, Bubble 88 and Popeye’s Supplements.
BC Assessment has valued this property at $68 million.
“According to a property tax certificate printed July 4, 2024, there are outstanding property taxes in relation to the Lands in the amount of $583,013.33,” a filing reads in part.
The order also lists that there will be a shortfall in recovery if there was a land sale in this case due to realtor fees, money due to PMIC, minus the accrued interest, and Petitioner’s costs.
“If the Lands were sold at $45,700,000.00, a realtor’s commission at 3% plus application taxes would be $1,371,000.00, plus $68,550.00 in taxes, totalling $1,439,550.00.”
In total, it would be a shortfall of $3.8 million, the documents stated in a July 9 submission. A decision on Amber Mortgage Investment Corp. and Xuefeng Wang’s application on conduct of sale on that property is set to go before the court again at the end of July.
November 2022 artistic rendering of 10227 King George Boulevard, Surrey. (Chris Dikeakos Architects/AimForce Development Group)
The other properties listed are the land assembly of 3771 and 3791 No. 3 Road in Richmond City Centre and 541 Clarke Road in Coquitlam.
Lanyard Investments brought forward the foreclosure proceedings in May regarding the Coquitlam property, which is immediately west of SkyTrain Burquitlam Station. It currently holds a former restaurant and pub building that is now Townline Homes office and presentation centre.
According to BC Assessment, this 0.6-acre Coquitlam property has a value of over $12.4 million.
There were plans to build a mixed-use development of two buildings, including a 21-storey tower with condominiums and rental housing and a two-storey townhome block for a total of 215 homes and a minor commercial space component.
Chris Dikeakos Architects is the design firm for both the Surrey and Coquitlam projects.
Site of 541 Clarke Road, Coquitlam. (Google Maps)
Site of 541 Clarke Road, Coquitlam. (Google Maps)
The Richmond proceedings and efforts to force the sale of those properties also show an accruing interest of $872.00 per day, which AimForce has apparently failed to pay to Lanyard, as well as City of Richmond property taxes.
The mortgage amount is nearly $2.5 million, and in May, it was stated that AimForce had “failed to pay.”
Currently, the Richmond property is located just north of SkyTrain Aberdeen Station. BC Assessment values the 0.8-acre land assembly, used as a car dealership, at nearly $12 million.
Site of 3771-3791 No. 3 Road, Richmond. (Google Maps)
Site of 3771-3791 No. 3 Road, Richmond. (Google Maps)
Another issue surrounding this legal battle appears to be the absence of the company’s director.
Efforts in June detailed in the documents show that Davidson Guo has been difficult to reach, and Petitioners have even gone as far as to the house on Guo’s driver’s license to attempt to speak with him. Apparently, when a process server for a title service company tried to speak with Guo, they were told he had moved from the home two years prior.
“…she did not understand why Davidson Guo continued to use the above address as his mailing address. Tracy further informed the process server that she had no forwarding information for Davidson Guo.”
None of the allegations have been proven in court, and this matter remains ongoing.
- You might also like:
- 67-storey condo and office tower proposed for Surrey City Centre
- US inflation has fallen, making a rate cut from Bank of Canada even likelier
- Vancouver sub penthouse sees massive price drop in just over a year
- Donnelly Group selling 7 pubs in Vancouver and 1 in Toronto as restaurant group restructures
- 230-room hotel: Office-to-hotel conversion for major Surrey tower mid-construction
Follow Channels and Categories