Squamish Council Victorious as Court Upholds Paradise Trails Rejection

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A B.C. Supreme Court judge has affirmed the District of Squamish council's decision to reject the proposed Paradise Trails eco-village. The ruling found the council acted fairly and in good faith when it denied the rezoning application for the development near the Cheakamus River, a decision that had been challenged by the developer.

Key Takeaways

Legal Battle Over Paradise Trails

Tantalus at Paradise Valley Inc. and its parent company, Tri-City Properties at Squamish Ltd., had sought a judicial review of the District council's June 18, 2024, vote. They argued the decision was unreasonable and procedurally unfair. However, Justice Mark Underhill, in a written ruling on August 20, stated that the rezoning bylaw was reasonable and that no duty of fairness was breached.

History of the Paradise Trails Proposal

The developer initially applied in 2007 to rezone a 168-acre property for an equestrian center and 82 rural residential lots. The proposed lots were outside the District’s growth management boundary and lacked municipal water, sewer, or fire protection services. Despite initial staff concerns about geological hazards, a master development agreement was reached in 2012, allowing the project to proceed conditionally.

Evolving Flood Management and Council's Decision

In 2017, the District adopted an Integrated Flood Hazard Management Plan (IFHMP) that restricted densification in Cheakamus River flood hazard areas. The official community plan was subsequently repealed and updated, with the property lands designated for resource and recreation. When Tantalus re-engaged the District in 2021, claiming errors in the flood studies underpinning the IFHMP, staff noted that a formal application was still lacking necessary reports by June 2024.

Court's Reasoning on Fairness and Good Faith

Justice Underhill addressed the developer's claims of procedural unfairness, acknowledging a lengthy email submitted on the day of the council vote and prior meetings with councillors. However, he found no evidence that the developer would have presented different information in a formal meeting. The judge also noted that the council's decision was influenced by concerns over potential future diking responsibilities. Underhill concluded that it was not irrational for the council to favor rezoning that allowed for less development in an area outside the growth boundary with limited services and recognized flooding risks.

The Tantalus property's assessed value has reportedly decreased significantly, from $7.16 million to $3.4 million in the past year.