Leasehold Properties in Whistler

What is a leasehold property?

A leasehold property is a property that has a landlord and a tenant, whereby the tenant occupies the land/property for the duration of an agreed upon term. Sometimes these leases are prepaid, or have ongoing lease payments. Whistler’s leasehold properties are prepaid. At the end of the term, the lease is either renewed based upon an initial lease agreement stipulating a ‘right of renewal’ for an agreed upon term(s), or the lease expires without a renewal option in which case 1 of 2 things can happen in the case of a stratified property:

1- the landlord and tenant agree to a new lease agreement under the same terms and conditions as before, however the rent (for the lease) can be charged at current market rates and the term length can also be changed.

2- the landlord must buy out the tenants if no new lease can be agreed upon, again at current market rates; if the basis for calculating the purchase price was not set out in the original strata lot lease.

Example

In the Suncrest development in Whistler which consists of 2 and 3 bedroom townhomes, many buyers and sellers and even agents, are unaware that the lease for this development has no automatic right of renewal after is 99 year lease (commencing 1992). So by 2091, the landlord and tenants must either agree on a new lease , or the owners get bought out. No one can know which route will occur that far ahead but it is something prospective buyers and sellers should be aware of.

The complex was developed with lands leased by the Resort Municipality Of Whistler (RMOW); the landlord, however the buildings themselves are owned by the owners. Essentially, the leasehold strata plan allows the owner to occupy the strata lot for the duration of the agreed upon term as set out in the ‘Head Lease’.

Note: because of this, you can often find that prices are much lower than a similar ‘freehold’ property. If you don’t plan on living there forever it can be a cost effective method of owning in Whistler in comparison to freehold purchases of a similar size and style.

So what properties in Whistler are Leasehold?

Eva Lake Village

1,2,3 bedroom condos/townhomes located in the Nordic Whistler subdivision. This complex also has an employee restricted covenant on the title to the properties, meaning anyone can own them but an employee or retiree of a Whistler based business must occupy it. There is also 1 building in the complex that is freehold, not leasehold; confusing right?! The leasehold buildings have a 99 year lease with a plan for the municipality to purchase the units at fair market value, or as decided by arbitration. However when the time comes I am sure the municipality will try and renegotiate a lease.

Suncrest

2 and 3 bedroom townhomes located in the Brio Whistler subdivision which is within walking distance to Whistler village. Again, this complex also has an employee restricted covenant. It too too has a 99 year lease with no right of renewal.

Vale Inn

Studios, 1 bedroom and 2 bedroom units. Built in the 1970’s this complex is located in the southern end of the Nordic Whistler subdivision, close to the creekside gondola. This complex is a little different from the first 2 in that banks do not lend on it (meaning no conventional mortgages), but also that anyone can own or occupy it (no employee restrictions) and it can also be rented out on a short-term (nightly) basis which is great for revenue production. All your expenses (maintenance fees, taxes etc) are covered in your monthly strata fee, and it has a 200 year lease but all owners make up the value inn association and therefore have a voice in decision making about the leases when they expire.

Leasehold properties in Whistler don’t have to be daunting, you just need to understand them!

4A 2230  Eva Lake Road, Nordic

4a 2230 Eva Lake Road 4a, Whistler

10852
Excellent value here! A great opportunity to own a Whistler property at a good price! This spacious open concept 3 bedroom, 2 bathroom Townhome is conveniently located in Nordic …more
Engel and Volkers Whistler
$849,000
31 2230  Eva Lake Road, Nordic

31 2230 Eva Lake Road 31, Whistler

5402
Eva Lake Village is a conveniently located complex within the Nordic Estates neighbourhood that is occupied by employees or retirees of Whistler and as a result offers a wonderful …more
Engel and Volkers Whistler
$499,000