Tag Archives: Drew Meredith

Creating Whistler’s Parks: Rainbow Park, appropriate to expropriate

The Whistler Question wrote in 1980, “The Municipality has reviewed the opportunities in the Alta Lake area and without expropriation or purchase of private land property, the recreational opportunity in the Alta Lake area for swimming, especially a beach area for young children, is extremely limited.”

It was clear all along that more public access was required for Alta Lake and the Resort Municipality of Whistler (RMOW) had been looking into buying lots on the foreshore of the lake to turn into parks. When Drew Meredith became Mayor in 1986 the council started to think bigger than buying single-family lots, and Rainbow Lodge caught their attention.

Rainbow Lodge, where Rainbow Park is now located, had a long history of tourism. Myrtle and Alex Philip opened the popular vacation destination for summer visitors in 1914. Then in 1948, they sold Rainbow Lodge to the Greenwood family where it continued as a summer resort. In its heyday Rainbow Lodge contained over 40 buildings, including a main lodge, post office, stables and many cabins.

Rainbow Lodge and surrounding facilities, ca 1930. Philip Collection.

Rainbow Lodge was sold to Joan Saxton, a speculator from Vancouver, in 1970. Resort operations ceased in the early 1970s, however, people could still rent rooms and cabins on a more long-term basis. Disaster struck in 1977 when the main lodge burnt down during renovations, and by 1986 many of the remaining buildings had fallen into disrepair.

Whilst Whistler had gone through a period of booming development throughout the 1970s and 1980s, Rainbow Lodge remained rather unchanged. Joan Saxton said during the expropriation in 1986, “Pat Carleton said he wanted to get the town centre going, and then after that it would be my turn. They’ve down zoned me and put me off the sewer system.” In Saxton’s eyes this unfairly reduced the value of the land, and the RMOW and Saxton could not come to an agreement on purchase price.

The RMOW had the land appraised twice, and then went to the Provincial Government where they received permission to expropriate the land for public interest. In 1987, the 43.2 hectare (108 acre) parcel of land on Alta Lake was expropriated for $367,000.

The lakeside cabins at Rainbow Lodge. Philip Collection.

If the owners had been living on the property the expropriation process may have been more difficult, but the Saxtons lived in the city and rented out some of the remaining cabins. Many of these buildings were in rough shape and had to be demolished when the area became a park. Three of the cabins were preserved for historical value, however, and you can still see these in Rainbow Park today.

Three remaining guest cabins at Rainbow Park. Photo courtesy of Jeff Slack.

The park was quickly developed, opening for public use during the summer of 1987. Early improvements to the property included creating a pedestrian crossing over the railway, building up the marshy pathway which was often flooded, and clearing vegetation from the sandy beach. Open wells that had been used for the lodge were filled in, the parking was cleared, and picnic tables added. The beachfront and facilities continued to expand and the park quickly reached the goal of becoming the top beach park in Whistler.

While the council at the time believed the deal was signed and done, the story of Rainbow Park does not end there. In what would become one of the longest lawsuits the RMOW has faced to-date, the Saxton family continued to fight for further compensation. They argued that the land appraisals were not taking into account the size and development potential of the property.

In 2012, the decades-old dispute was finally settled with the judge ordering the RMOW to pay an additional $2.4 million to the Saxton family, valuing the land at $12,000 an acre, comparable to the value of the Nicholas North lands in the early 1990s. With hindsight, the land was revaluated to $1.3 million dollars, and the RMOW was required to pay the difference, plus an additional $1.5 million for unpaid interest.

While Drew Meredith disagreed with judgement, he said Rainbow Park was worth it even at $2.4 million. With the number of people enjoying the sunshine recently, I tend to agree.

Rainbow Park in September 1990. Griffith Collection.

Whistler’s Answers: December 15, 1983

In the 1980s the Whistler Question began posing a question to three to six people and publishing their responses under “Whistler’s Answers” (not to be confused with the Whistler Answer).  Each week, we’ll be sharing one question and the answers given back in 1983.  Please note, all names/answers/occupations/neighbourhoods represent information given to the Question at the time of publishing and do not necessarily reflect the person today.

Some context for this week’s question: The Council elected in 1982 was the first to be led by someone other than Pat Carleton (Mark Angus was elected as Mayor) and had only one councillor who had previously served on Council (Terry Rodgers joined Council in February 1982, ahead of the election, to fill the seat left vacant by Al Raine and Mark Angus had previously served as a councillor). The Council was faced with a major recession and a struggling Whistler Village Land Company, as well as the more usual business of running a municipality. Some of their decisions, such as the decision to charge fees to use the trails around Lost Lake, were controversial while others, such as the decision to open meetings to the public, were generally welcomed. To see some of the issues that appeared during the first year, take a look back through the Whistler’s Answers of 1983.

Question: What do you think of Council’s first year in office?

Fred Barter – Businessman – Emerald Estates

I think they’ve done an excellent job under the circumstances. If any council is perfect I’d like to meet them. There’s always room for criticism and improvement.

Ruth Peterson – Housewife – Whistler Cay

Committee of the whole being open is a tremendous step. If you know the background of issues it makes a tremendous difference because input before a public hearing is very important. I have had a lot of differences with council, but it’s a matter of opinion. This council inherited a legacy which has limited things because the land company went down the drain under the previous council.

Drew Meredith – Executive Director, Whistler Resort Association

Under the unsettled circumstances surrounding Whistler I think they have done a reasonable job. My perception is, however, that council has not communicated enough amongst themselves on longer term issues.

Whistler at 22% Interest – Part 2

Find Part 1 here.

When the financial crisis of the 1980s hit Whistler even the prime real estate at the base of both mountains did not make it through unscathed. Dick Gibbons and Jack Cram were partners in Fitzsimmons Condominiums and Stoney’s Restaurant, where La Bocca is today. With a completed Whistler development under their belts, they were approached by Whistler Village Land Company (WVLC) about potentially purchasing the unfinished project where the Carleton Lodge now stands.

The base of Whistler Mountain in 1981 showing the Carleton Lodge under construction. The Pan Pacific Whistler Mountainside Hotel can be seen on the right. The base of the mountain looks a bit different today! Arv Pellegrin Collection.

At the time the foundation was partially complete and it was anticipated that this building would be a day lodge and gateway for both Whistler and Blackcomb Mountains, however WVLC’s finances were dire and there was not enough money to finish the project. Dick recalls a conversation with Neil Griggs, President of the WVLC “I don’t want to exaggerate this, he literally begged us to finish the Carleton Lodge. I seem to recall he had tears in his eyes.”

Together with additional partners, they negotiated a deal wherein they agreed to finish the project on the condition that if they were unable to sell the 32 condominium units for a certain price the development permit charges would be refunded. Throughout the build the architect, building contractor, and many partners felt the financial strain. By the end of the project, Dick Gibbons and Ken Mahon were the only two left to finance and run the show.

Dick Gibbons and Gilbert Konqui in 1981. It was all hands on deck to get the Carleton Lodge and The Longhorn completed. Whistler Question Collection.

When the Carleton Lodge was finally completed in November 1982, few residential units sold and Dick Gibbons ended up running The Longhorn because nobody else would buy it. The unsold residential units were transferred to the people involved in the development according to their investments, and development permit charges were refunded as initially agreed after the court got involved.

When Dick Gibbons was asked how he was able to balance his finances while many in Whistler could not, he said, “Being a little more risk adverse than some others might be was good for me at times and bad for me at other times because you miss opportunities. I sold quite a bit of real estate when the market had its peak in Vancouver because I thought it pretty much couldn’t go any higher.” Obviously real estate in Vancouver did eventually increase, but selling these real estate investments left Dick in a more comfortable position when interest rates skyrocketed, although it was still a difficult period.

Signs for The Longhorn and Nasty Jack’s can be seen while the Carleton Lodge is still under construction in 1982. Arv Pellegrin Collection.

Interest rates had an impact throughout all of the Whistler community. Bruce Watt, who had been a patroller since 1974, decided his family needed better financial security which led to him getting into real estate, a career he has loved and where you will still find him today. On the other hand, the ugly unfinished Village led realtor Drew Meredith to make “the mistake of running for Mayor in 1986” (his words, not mine) where he served for two terms.

While similar circumstances led to very different decisions, a consistent sentiment when talking to long-time locals about this time is that they would not want to do it again. The Village was started just in time, a year later and it may never have happened.

Whistler at 22% Interest – Part 1

In the early 1980s, just as the development of Whistler Village was starting to boom, the economy bottomed out and interest rates skyrocketed. Whistler Village was left with 27 unfinished lots as owners, developers, and contractors were going bankrupt at unprecedented levels. Remembering the mess left behind as construction halted, Drew Meredith said, “Imagine standing in Village Square looking up towards Mountain Square and all you see is half finished concrete foundations with rebar sticking out of it. Rusty, dirty rebar. The stroll was there but on both sides of the stroll was just chaos. Very tough to sell that to anybody who wants to come for a holiday.”

Construction in Whistler Village halted when the economic crisis of the 1980s reached Canada leaving many lots unfinished. Eldon Beck Collection.

Canada’s inflation had accelerated throughout the 1970s, reaching over 10% in 1980. To curb inflation, the Bank of Canada raised interest rates to a peak of 21%, however inflation remained high. During this time interest rates for home loans reached 22% and Canada went into a recession. To top it off, in November 1981 the federal government ended the Multiple-Use Residential Building (MURB) program of tax credits. With multiple-use residential on the second and third floor of every building, much of Whistler Village was constructed with the understanding that MURB would provide tax incentives for investors. With the MURB program coming to an end many investors poured the foundations quickly to make use of these incentives before it was too late.

While some developments in the new Whistler Village had opened, most were just a foundation as the economic crunch really hit. Whistler had prioritised small developers in the building of the Village and many struggled to continue and could not pay their land taxes.

Aerial view of the construction in Whistler Village, December 1980. Whistler Question Collection.

The Whistler Village Land Company (WVLC) was a non-profit arm of the municipality incorporated in 1978 to oversee the sale and development of the Village. As land was sold, the WVLC would use the income to pay their liabilities, including loan repayments and development costs for municipal assets, notably the Arnold Palmer Golf Course and the Resort Centre intended to host a pool and ice rink (eventually the province dictated that the Conference Centre would be built instead). However, in the early 1980s when more lots were placed on the market they would not sell. To further financial woes, in July 1982, only 60% of taxes were paid to the municipality on time and they could charge a maximum of 10% on late payments, less than the bank’s interest rates. Between 1981 and 1982, the municipality’s capital budget was almost halved from $1 million to $650,000 and in 1982 municipal staff took a 2.5% pay cut.

With finances in dire straights, WVLC staff were let go and WVLC operations transferred to the municipality. With debts of approximately $8 million, no way to pay them, and creditors knocking, concerns were mounting that the banks would repossess assets worth far more than the loan amount. Banks could then sell these lands independently to developers, while the government would get nothing for the sale and still have to pay liabilities.

Bringing in the big guns. New Mayor Mark Angus takes Lands Minister Anthony Brummet and Assistant Deputy Lands Minister Chris Gray for a tour of the rebar with WRA Executive Director Earl Hansen in January 1983. Whistler Question Collection.

Whistler went to the provincial government for assistance. On January 6, 1983 it was announced that Whistler Land Company Developments, a new Crown corporation, had acquired the assets and liabilities of WVLC for $1. Government studies showed that all outstanding debts would be paid with future land sales and continued development would create many jobs, plus the expected revenue from tax and tourism. While there was uproar at the time about a taxpayer bailout, the provincial government went on to recoup far more than the initial investment through the land sales of Village North, and today Whistler brings in 25% of BC’s annual tourism revenue.

Looking at some of the unfinished construction in Whistler Village. Whistler Question Collection.

Hear how some of the Whistler community dealt with the economic crisis next week in Whistler at 22% Interest – Part 2.