The $235 million deal to sell the high-rise tower at the intersection of W Broadway and Birch Street in Vancouver, as first reported by The Realist in December, has been formally terminated, according to filings in the Supreme Court of British Columbia.
The project is a 28-storey tower with 200 market rental units, 58 Moderate Income Rental Housing Pilot Program (MIRHPP) units, and 24,455 sq. ft of commercial space being developed by Vancouver-based developer Jameson Development Corp and is located at 2538 Birch Street (formerly 1296 W Broadway).
The 2538 Birch Street project is legally owned under 1061511 B.C. Ltd. and beneficially owned by Jameson Broadway & Birch General Partner Ltd. and Jameson Broadway & Birch Limited Partnership. Court documents state that Jameson Development Corp owns a 75% stake in the project through James Holdings Ltd., while Gatland Capital Corporation owns the remaining 25%.
In November, the developer filed an application for creditor protection under the Companies’ Creditors Arrangement Act (CCAA) after the construction lender suspended funding due to concerns regarding payment. The construction lender is Crown corporation BC Housing, who agreed in November 2022 to provide a demand non-revolving credit facility up to a maximum principal amount of $164,227,655, with the interest rate set at RBC Prime Rate + 1% per annum until January 27, 2026, after which the interest rate escalates to RBC Prime Rate + 6%.1
Jameson said the suspension of funding resulted in a “liquidity crisis” for the company and that approximately $156.5 million was owed to BC Housing and $8.5 million was owed to other creditors as of November. They also estimated that $20.3 million was needed to complete the project.
Jameson’s application was granted on November 25. On December 9, Jameson then secured up to $31 million in interim financing from Maynbridge Capital lnc. to fund the CCAA proceedings and completion of the project.
The (Failed) Sale
Jameson stated in their application that further equity injections, loans from limited partners, and refinancing were all unfeasible options, but that — after trying to sell the project since January 2024 — they had entered into an agreement on August 12, 2025 to sell the property to FPB Holdings Group lnc. — First Peoples Group — for a price that was later increased to $235 million, which was based on a $240 million appraisal from Parkes & Company Ltd.2
Although BC Housing had not issued a demand for payment, liens were beginning to accumulate and Jameson believed that creditor protection would provide some breathing room for them to get the project across the finish line, complete the sale of the project, and pay off all outstanding debt.
However, according to more recent court documents, the purchase agreement with First Peoples Group had a financing condition waiver date of December 19, that condition was not waived, and the purchase agreement was formally terminated on December 19.3 The plan is now for a “different restructuring path.”
“In consultation with FPB, the Petitioners have determined the best path forward is by way of a plan of arrangement as opposed to progressing the existing Purchase Agreement,” said the court-appointed Monitor in a recent report. “The contemplated plan would include a utilization of the existing partnership structure (restructured) as a vehicle to complete a restructuring transaction in the CCAA Proceedings that would repay both BC Housing, Maynbridge (noting the Interim Financing from Maynbridge is sufficient to pay Metro-Can and all other ongoing obligations to complete the Development) and all other creditors of the Petitioners in full.”
Exact details of the restructuring were not provided and are unclear, but one interpretation of the Monitor’s statement may be that First Peoples Group will be involved as a partner instead of acquiring the full project outright. The Monitor said further details will be provided “in due course.”
The Project
The week Jameson applied for creditor protection, the City of Vancouver published a rezoning text amendment application pertaining to 2538 Birch Street that would see the 200 market rental units converted into 200 “Temporary Accommodation for Medical Care” units.
According to First Peoples Group’s website and court documents, the project will be “A safe, culturally appropriate lodge for Indigenous members receiving long and short-term medical treatment in the Vancouver area, with accommodation provided at subsidized rates to the patients, families and their Nations,” called Dunna’eh House. This remains the plan for the project.
In the latest court documents, the Monitor states that Jameson is “finalizing plans for a debt and equity raise” and that First Peoples Group “remains committed to the transaction under the plan-based approach versus the Purchase Agreement and is collaborating with [Jameson] in raising the required equity and debt financing.”
At the time of Jameson’s CCAA application, the project was estimated at 91% completion, with the outstanding work primarily being work related to finishes. Since securing interim financing from Maynbridge, payments were made to general contractor Metro-Can Construction and construction has re-commenced.
The original expected completion date was May 2026 and the current outside completion date is the end of July 2026.
The Province announced funding for the project in June 2023, although details of the loan were not disclosed.
After I published the initial story on December 1, numerous commercial real estate industry sources reached out to comment on the price, saying the price was far too high.
As I noted in my original article, First Peoples Group had already paid the first deposit. It’s unclear from the new court document whether the deposit was refunded.