Forebase International Holdings Ltd., listed on the Hong Kong Stock Exchange, is planning to buy the upscale Brentwood Bay Resort and Spa for $13.998 million.
The agreement came together in the past month and is scheduled to close Oct. 31, Dan Behune, hotel managing director and one of its three owners, said Tuesday. The luxury resort has been lauded over the years, recently receiving an award of excellence from Trip Advisor.
The resort was not being marketed when Forebase made its offer, Behune said.
Its Brentwood Bay purchase leads the way for Forebase to expand holdings into Canada.
Forebase’s head office is in Chongqing, China. Founded in 1996, the group was established with hotel real estate development as its focus.
The sale was announced by Forebase in a statement, which revealed the agreed-upon selling price of $13.998 million.
Behune and his partners developed the 33-room, three-storey property, which opened in 2004 at 849 Verdier Ave. “It [the sale] was definitely bittersweet, for sure,” Behune said. “We certainly have mixed feelings. We have an amazing team that has worked for us for many years.”
One condition of the sale is that the 100-plus staff and management team remain in place, he said.
The resort “will continue business as usual,” he said.
A diverse business model at the 33,000-square-foot resort created a strong financial base, Behune said. “The business just keeps growing.”
He cited the waterfront location, its marina, pub licence, eco-adventures, patios, reputation for fine dining and spa. The hotel is close to the airport and ferry terminal. All these factors combined, “keeps it a really solid business year-round.”
The Brentwood Bay Resort is less seasonal than some hotels and its spa and restaurants are strongly supported by local residents, Behune said. “We have had a great summer.”
Behune will remain on the job at the resort to assist with the transition. He said nothing definite is planned for his future but “I’m always keen to be creating and building new things.”
Randy Holt, of DTZ Barnicke Victoria Real Estate Ltd., represented the Brentwood Bay Resort in the sale agreement. He said Forebase is “certainly looking to acquire hotels in North America. Brentwood Bay Resort would be the first.”
Forebase is among the companies that have been introduced to Pacific Sands Beach Resort on Cox Bay in Tofino, he said. That resort, located on 41 acres, is listed with DTZ to be sold under a bid process.
Pacific Sands is among a number of hotels listed by DTZ. Interest from potential buyers, including from Asia, has picked up “significantly” in the past couple of months, Holt said.
Chemistry Consulting principal Frank Bourree said Brentwood Bay Resort has been able to charge some of highest room prices in the region for about five years. “That’s through Dan’s good management and hard work. He’s done a great job with that hotel.”
