The City of Saskatoon has received documentation today from Victory Majors Investments Corporation indicating it has sufficient financing in place to complete construction of the development of Parcel “Y” at River Landing to grade level including excavation, shoring, footings, foundation, and all levels of the underground parking structure.  The deadline for receipt of the documentation of sufficient financing was 5:00 p.m. on Monday, November 1, 2010. 

The agreement the City of Saskatoon had with Lake Placid Developments was that either Lake Placid Developments or Victory Majors Investments Corporation could assign the project to the other and still continue on with the River Landing development agreement with the City.  Victory Majors Investments Corporation has today presented the City with documentation indicating it has obtained the River Landing Parcel “Y” project from Lake Placid Developments.

The City will now proceed to evaluate the documentation to determine whether it is satisfactory.  If the City does consider it satisfactory, then Victory Majors Investments Corporation will have 15 business days to pay the purchase price of the land of $5,240,494 (less the deposit of $250,000 that was submitted in June 2010).  Once payment is received, the City will transfer title of the land to Victory Majors Investments Corporation. If the City does not find the financing documentation to be satisfactory, then the agreement with Victory Majors Investments Corporation is null and void.

As background, City Council, at its meeting held on June 14, 2010, approved the sale of Parcel “Y” and the lane adjacent to Parcel “Y” be sold to Lake Placid Developments for the purchase price of $5,240,494 less the deposit.  The Memorandum of Sale between the City and Lake Placid Developments required Lake Placid to provide to the City a $250,000 deposit, which it did in June 2010. Lake Placid also needed to provide satisfactory documentation by November 1, 2010, that it had sufficient financing to complete construction of the development to grade level.