By ThinkPol Staff
Pre-sale purchasers of a cancelled Cambie Street corridor condo project have filed a lawsuit against its developer accusing the company of abandoning the development to extract a higher profit from the “sharp rise” in land values in Vancouver.
27 of 72 buyers filed a Notice of Claim against Vivagrand Developments, the developer behind the proposed Langara West at Cambie Street and West 59th Avenue, on Friday at the BC Supreme Court in Vancouver[1]YANG, Chen-Tao v VIVAGRAND DEVELOPMENT (MARPOLE) CORP. VLC-S-S-1711163.
“At some point in late 2016 or early 2017, the Developer realized that due to sharp rises in land values in Vancouver it could realize greater profit by discontinuing its pursuit of the Development Permit and the Development, and instead pursue the resale of the Lands to another party,” the plaintiffs allege in the Statement of Claim. “It ceased to advance its efforts to obtain the Development Permit and abandoned the Development.”
“Real estate prices have risen sharply in Vancouver since the parties entered the Purchase Agreements,” the complaint reads. “The The market prices for new condominium units along Cambie Street nearly doubled from just over $800 per square foot in April 2016 to approximately $1,400 per square foot in August 2017.”
“Due to the sharp rise in real estate prices in Vancouver since the parties entered the Purchase Agreement and in particular the market value for the Property, the Developer would be unjustly enriched at the detriment of the Purchasers if it were permitted to cancel the Development and the Purchase Agreements,” the plaintiffs allege. “The Plaintiffs have lost the opportunity to acquire condominium units at April 2016 prices.”
The plaintiffs are seeking from Vivagrand a return of their deposits, as well as damages for breach of contract and restitution for unjust enrichment.
The buyers are also seeking from the company and its directors Zhong Liang and Chao Tai Liang an equitable lien charging the Cambie corridor lands, a remedial constructive trust in and to the lands, and a Certificate of Pending Litigation.
The plaintiffs are seeking from all defendants damages for misrepresentation under Real
Estate Development Marketing Act (REDMA) and damages for the deceptive and unconscionable acts or practices committed or engaged under BC Business Practices and Consumer
Protection Act (BPCPA), as well as interest and costs.
Last month, Vivagrand is sued 19 out of the 72 buyers of its Cambie Street corridor seeking a declaration that “Vivagrand is entitled to terminate the Contract and pay the First Deposit and the Second Deposit, plus all accrued interest thereon to the Purchaser as the purchaser’s sole remedy in respect of the Contract.”
Lawsuit states “Vivagrand cannot and will not be proceeding with construction of the
Development,” as it is unable to “unable to deposit the final strata plan or obtain an occupancy permit for the strata lot by the Outside Date,” which is deemed to be July 31, 2019
Vivagrand describes itself as “North American office of Xiangli, a leading real estate firm with 22 years of experience and over 350,000 square feet of residential, mixed-use, and infrastructure development in China,” according its website[2]http://www.vivagrand.com/about-us/.
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[Photo Credit: City of Vancouver]
References [ + ]
| 1. | ↑ | YANG, Chen-Tao v VIVAGRAND DEVELOPMENT (MARPOLE) CORP. VLC-S-S-1711163 |
| 2. | ↑ | http://www.vivagrand.com/about-us/ |