Investors in our project come from British Columbia, Ontario, the United Kingdom, Mexico, the United States, Singapore, and South Africa. Some of us grew up near Whistler, some of us got engaged here, and most of us have been coming here for decades. Each of us invested in Whistler because we love what Whistler represents and we wanted a permanent connection.
Then we all made an enormous mistake and bought Whistler Phase 2 real estate. Owners in our project have been disenfranchised from their own property while a rental manager has rented out the property and kept the proceeds for himself.
We have learned the hard way that investing in Whistler brings not just market risk (which comes with any investment) but, surprisingly, political risks. The problem is an unreliable contractual relationship with the Resort Municipality of Whistler (RMOW) that every investor enters into when buying Whistler Phase 2 real estate.
Our project is an example of what can happen when the RMOW fails to administer its own rules. Owners paid to help build a beautiful project named Nita Lake Lodge. The plan was that experienced management would operate it for many years. But then an opportunistic real estate investor from Vancouver got involved, who, relying on the RMOW’s inaction, seized control of owners’ property and ultimately locked other owners out of their own property. This investor was an individual who used to practice law in B.C. As a lawyer, he was convicted of ethical violations and suspended from practice by the B.C. Law Society for violating a court order and improperly using client trust funds.
In our project, claiming authority under the Resort Municipality of Whistler’s covenant, he unilaterally assumed control of the project, declared long term contracts invalid, and rented owners’ property to others, while keeping the revenue for himself.
By not paying owners and preventing them from accessing and using their own property, this investor has forced some unit owners into foreclosure and then bought their units for himself at firesale prices.
This conduct has only been possible because of the investor’s use of Whistler’s Phase 2 covenant, and Whistler’s unwillingness to honor and enforce its own rules.
To say the least, it does not seem to us that these kinds of practices are what Whistler had in mind when it set up the rules for Phase II projects.
Owners have even sought the assistance of the BC Courts. But even the B.C. Courts can’t help Whistler Phase 2 investors when the City themselves won’t opine and enforce their own rules. Why? ….because it’s a Whistler Rule and only they can administer it.
We’ve asked Whistler repeatedly to manage its own rules, and they won’t. No investor should purchase Whistler Phase 2 real estate until the City of Whistler is willing to take action against the abuse of its own rules.
Nearly 5000 units in Whistler are Phase 2 and have similar covenants attached to them. By allowing exploitation of its rules so that investments fail completely, the RMOW is sending a message to every Phase 2 investor that Whistler’s real estate model is high risk.
We built this website to educate others, so that what happened to us won’t happen to you.