The Land Conservancy’s most pressing issue is to raise money by first selling a parking lot next to Abkhazi Garden and a site in Sechelt, the latest court-appointed monitor’s report states.
Marketing those properties is an early step in a comprehensive analysis of the non-profit society’s holdings and what can be sold. The TLC went under creditor protection earlier this month as it faced debt of $7.5 million.
Sechelt is listed at $1.9 million as a residential property. The Abkhazi land is at 507 Foul Bay Rd., next to the Abkhazi Garden and amid an area of high-end homes. It is listed for $539,000 with Royal LePage Coast Capital. It is described in the listing as an 8,575-square-foot sunny “building lot.” It is zoned for residential use. B.C. Assessment records show that it has an assessed value of $513,000.
Other properties appear to have “marketability” in the future, the Oct. 30 report from monitor Wolrige Mahon Ltd. said.
A full assessment of the TLC’s 50 properties will likely take until the end of this year, it said.
Real estate consultants and appraisers have been hired to develop an action plan, initially concentrating on properties that can be “readily sold, with or without restrictions on title,” the report said. A list of 17 properties includes the Deertrails area at the Sooke Potholes and the renowned eco-forestry property Wildwod near Cedar, as well as sites by the Cowichan and Chemainus Rivers, and the Qualicum Bat House.
At the same time, the Registrar of Companies has granted TLC an extension to May 3 to hold its 2013 annual general meeting.
Land holdings have been split into various categories to help decide their future. Some, such as seven historic properties, have varying degrees of marketability and have special interest groups dedicated to maintain their preservation. These include the Abkhazi Garden and Ross Bay Villa, both in Victoria.
Money needs to be raised to cover day-to-day operations, the cost of restructuring, and establishing an endowment to pay for future conservancy operations, the monitor said.
Creditor protection came after years of criticism and worry about the finances of The Land Conservancy from its supporters.
Its portfolio is wide-ranging, covering everything from remote undeveloped land to historic buildings.
Victoria-based TLC took out mortgages to buy new properties, a practice that is not typical of a land trust. It also borrowed from restricted funds to cover operating costs.
The board tried to shave costs but was unable to successfully tackle the debt issue on its own.
