Vancouver school board ponders mall land sale
VALUED AT $79 MILLION: Proceeds could be used for capital projects
The Vancouver school board is set to begin a process that could end with the sale of the land beneath Kingsgate Mall.
The board is wrestling with a $24-million shortfall for its 2016-17 budget and has a long-range facilities plan that calls for the closure of up to 21 schools over the next decade.
It owns the mall property, a large plot of land appraised at $79 million, on Broadway near Main Street in Mount Pleasant. Proceeds from its sale could be used for capital projects — such as building new schools or upgrading old ones — but not to reduce the operating shortfall.
Last year, when the board said it might not be able to balance its budget, the provincial government appointed an adviser from Ernst and Young to examine its books.
The adviser said the board should “engage a real estate professional to conduct a market study and prepare a valuation of its priority non-core lands,” including Kingsgate Mall.
The mall is leased to the Beedie Development Group under a 99-year lease, which brings in about $750,000 for the school board, the adviser’s report says. The lease, which expires in 2071, may decrease that value, although its conditions are due to be reviewed in 2017.
“The Kingsgate Mall is well situated in an inner city growth corridor and Beedie may be willing to acquire the land outright,” the adviser said in his report.
The property was once home to Mount Pleasant elementary school, which was demolished in the 1970s.
Last year, the board agreed to consult with the public before making any decisions or negotiations around non-school properties, Lombardi said. That consultation over Kingsgate will begin Monday, when the board will start distributing flyers advertising a “pop up discussion” on Sunday, May 1.