Delays in occupancy for a replacement health care facility in South Vancouver are jeopardizing for residents and increasing a risk of losing staff, Vancouver Coastal Health (VCH) says in a new lawsuit.
The health authority has been working with Onni Pearson Dogwood Development Limited Partnership and Onni Pearson Dogwood Holdings to replace the George Pearson Centre. Since 1952 the centre has provided residence and care for people with complex medical conditions, including brain injuries, spinal injuries and neuromuscular disorders.
The purpose of the redevelopment, said the notice of civil claim filed in B.C. Supreme Court Aug. 22, is to create individual and group apartments for residents and to de-institutionalize and de-medicalize the model of care for those people.
Onni was chosen as the developer in 2015 and the publicly owned lands were sold to the developer. The plan was for the developer to create mixed residential, commercial and residential units in the south Cambie area with the Pearson replacement units ultimately sold back to VCH, the claim said.
Reports said the rumoured sale price was close to $300 million.
The claim said that was to happen on the 10th day after the City of Vancouver issued occupation licences for the units — or the 10th day after the developer advised the units were ready for occupation.
The claim said the city provided the occupation permits for 44 units for people with disabilities June 3. The claim further said the developer has been in a position to register the units with the Land Title Office since July 13.
On Aug. 15, VCH demanded the developer allow occupation.
“On Aug. 17, 2022, the developer rejected the demand,” the claim said.
VCH claims the developer had said units would be available March 31.
The health authority said that led it to work to redeploy staff to the new facility and sign contracts for health services effective April 1 at a cost of $675,000 a month.
VCH claims the alleged breach of contract includes ongoing costs with no residents in the units, increased costs in nursing services, administrative costs and damage to reputation.
VCH claims there is a risk of losing staff to care for residents, suspension of new admissions and a loss of trust from patients and their families.
The health authority is seeking a declaration the developer is in breach of its agreement and damages. It also seeks an order that work being completed so residents and health-care staff can move in.
In 2015, VCH said under the partnership’s terms it would retain a 3.2-acre parcel of the 25.4-acre site, which will be developed for health care and community uses, including a new 150-bed residential care home, a community health centre, a YMCA and a new therapeutic pool.
The Pearson centre would be replaced by 114 housing units for people with disabilities distributed across the rest of the Pearson Dogwood Lands and integrated with other market and affordable housing.
VCH said at that time that Onni Group agreed to purchase two parcels of land on the site, totalling 22.18 acres: a nearly six-acre portion that runs parallel to Cambie Street and 16.37 acres located on the western portion of the site. These would be developed into a community of mixed residential, commercial and retail, with amenities such as a park and community gardens, VCH said.
Onni has not responded to Glacier Media's request for comment.
