Gospel Rock developer has problem paying bills

Two companies, one of them local, put lien on title; developer had $2 million mortgage on Block 7 in 2019

(By Newsdesk)

Local company Maycon Construction Management Limited put a $261,684.93 lien on title for non-payment for the land clearing for the Gospel Rock project on January 13, 2020. It was lifted on October 3, 2020. 

Kindred Construction Ltd. of Vancouver put a $14,080.50 lien on title on November 5, 2019 for its work on Gospel Rock. The bill was paid a year later, on November 2, 2020.

An invoice from Bennett Land Surveying Ltd. remained unpaid for a long time; the firm did not specify how long. “In the end we got most of our money,” Sunshine Coast Branch Manager Javier Siu told The Coast Clarion.

The disclosure statement for the presale of one of the lots in the development says “This is Yan Ji’s first development project in Canada, however Mr. Ji has more than 10 years of prior experience in the development industry internationally” and adds “the developer has its own funds available to complete the Development.”

A screenshot from a May 13, 20202 disclosure statement for the presale of one of the homesite lots on Gospel Rock

On January 22, 2019, Greenlane Homes (with Ji Yan as sole director) obtained a $2-million mortgage on Block 7 from Xuan Zhao, a business person in Anmore, BC. Greenlane Homes paid the RBC prime rate plus 7.55 per cent per annum, with monthly installments of $19,166.67. The mortgage was paid in full on February 5, 2020.

For the work to continue, the Town’s stop-work order needs to be lifted and a servicing agreement put in place so the developer can get subdivision approval and apply for a building permit. Industry sources put the cost of this agreement at about $10 million: the developer must provide a letter of credit for 120 per cent of the construction cost of the roads and water and sewage lines.

Developer Ji Yan did not return calls.

2 comments

  1. Thanks for your reporting here. It’s a murky picture emerging, that’s for sure.

    1. Dream that it is too cost prohibitive to go forward, that there are many road blocks. The land speaks and I can hear her say please, go away.

Comments are closed.