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Former Nanaimo hotel being dismantled for future development

Plans for the property — the former home of the Howard Johnson Harbourside Hotel — have not been finalized, but the Snuneymuwx First Nation is exploring mixed-use for the site.
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An artist’s rendering of the Nanaimo Millstone Riverfront project that had been planned for 1 Terminal Ave. in Nanaimo. The project did not proceed. D’AMBROSIO ARCHITECTURE

The former Howard Johnson Harbourside Hotel in central Nanaimo is being deconstructed, with plans for the site’s main building to be dismantled before the end of this month.

Other work to remove material from the high-profile property is also underway, a spokesman for the Snuneymuwx First Nation said Tuesday.

Plans for the property have not been finalized but the nation is exploring mixed use, he said.

Nanaimo Mayor Leonard Krog is pleased to see changes. “I’m looking forward to hearing their specific proposal for the site.”

It’s “fair to say that the citizens of Nanaimo have been waiting a long time to see that site redeveloped,” saying it became a “gross eyesore.”

Krog said he liked the original concept of the previous developer with plans for residential use and a hotel.

“It’s an amazing site for redevelopment by every standard.”

This past summer, Snuneymuwx First Nation took ownership of the land which contains an old First Nation village site. The land was returned to the nation under the terms of an 1854 treaty.

It was a long and sometimes contentious process.

In 2023, the City of Nanaimo was heading into fourth and final reading for the land, then held by a private sector developer who aimed to put up 760 homes, a 134-room hotel, commercial space and public improvements along the river.

But Snuneymuwx Chief Mike Wyse spoke up, saying the nation’s concerns had not been properly addressed and warned that development efforts could face delay and other challenges.

“By working together, we can accomplish outcomes for the betterment of all.”

The provincial government convinced Nanaimo council to delay a decision on what was known as the Millstone Riverfront project while a senior provincial official attempted to help resolve matters.

The area remains “rich in cultural, spiritual and archaeological value for our people,” Wyse said.

The nation said the village, occupied when the ­Snuneymuxw Treaty was signed in 1854, was supposed to be protected but the land was taken and given to ­private owners who developed it.

Krog said the matter was settled in negotiations between the province and the developer, who agreed to sell the land.

Returning the property to the First Nation “a long-awaited step toward rectifying past injustices,” Krog said.

Aside from revitalizing the derelict area, it will help to ensure that the “Snuneymuxw’s presence and heritage remain for generations to come,” he said.

The province and the Snuneymuxw bought about 2.67 hectares at 1 Terminal Ave. and adjoining properties for $28.5 million —nearly $26 million of that is from the government — for part of the Sxwayxum village site, also known as Millstone River Village.

The land next to Swy-A-Lana Lagoon and Maffeo Sutton Park had been eyed as a prime development site and applications had been submitted to the city. It was subsequently bought so it could be returned to the Snuneymuxw.

Wyse said the acquisition work with the province “reflects the solemn promises embedded in our treaty relationship.”

“This village is integral to our way of life and is fundamental to our traditional legal, economic and social systems.”

He said the First Nation appreciates the province’s collaboration, which is bringing “reconciliation and shared prosperity.”

The province is contributing $1 million to assist with security, demolition and remediation costs.

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