City To Review Policy After Public Complains About City Buying HAMC Hotel
- From: gregpcarr@xxxxxxxx
- Date: Sat, 23 Jun 2007 20:00:07 GMT
Mayor orders real estate review
Move follows controversial hotel purchase from Hells Angels member
Kim Bolan
Vancouver Sun
Saturday, June 23, 2007
CREDIT: Ian Lindsay, Vancouver Sun
The city of Vancouver paid almost three times the assessed value for the
Drake Hotel at 606 Powell St.
VANCOUVER - Vancouver Mayor Sam Sullivan has ordered a review of how real
estate deals are done after the controversial purchase by the city of the
Drake Hotel from a prominent Hells Angel member for $3.2 million.
Sullivan said Friday he's asked city manager Judy Rogers to look at
procurement practices after learning of the link between the hotel, which is
to converted to social housing, and John Bryce, the longtime president of
the East End chapter of the Hells Angels.
"I met with the city manager a little earlier today and have asked her to
ensure that we do review our procurement practices," Sullivan said in an
interview. "It is a very difficult issue when you are dealing with so many
conflicting values or competing values."
He said it may be deemed necessary in future to check with Vancouver police
before business deals are entered into by the city -- at least in some
cases.
Law enforcement agencies call the Hells Angels the biggest organized crime
group in B.C. and Bryce has been a prominent member of the club for years.
Sullivan confirmed city staff were aware Bryce is the only director of the
numbered company that owned the Drake. But he and other councillors said
politicians at city hall were unaware of the biker connection until it was
reported in The Vancouver Sun Friday.
Several councillors told The Sun they think the optics of the deal are
troubling.
Sullivan said he understands the concern, but he also feels conflicted about
the purchase.
"I am torn on this particular issue. My No. 1 priority is dealing with
homelessness and the purchase of the Drake will provide 24 people with
homes. We have also shut down a bar in the Downtown Eastside and
discontinued the exotic dancing part of that business," Sullivan said.
Vancouver Const. Howard Chow said the department's Outlaw Motorcycle Gang
unit is certainly aware of the Drake's links to the province's most
notorious biker club.
"We were aware of the Drake and the Hells Angels involvement with this place
-- in particular John Bryce as president of the East End chapter," Chow
said, adding police specialists are available to brief city staff whenever
they're called upon to do so.
Insp. Gary Shinkaruk, who heads the RCMP's biker unit, said his section
called Vancouver officials Friday to see if they need any background on the
Hells Angels, its East End chapter or Bryce.
"I don't think taxpayers want their tax dollars going into organized crime
groups," Shinkaruk said, adding police obviously support the creation of
low-income housing.
But he said the purchase of the Drake "is concerning to police."
"Our role is to provide city officials with information so they can make an
informed decision," Shinkaruk said.
Sullivan announced Thursday the city had paid almost three times the
assessed value for the hotel at 606 Powell St.
Assessment, land title and company records show the hotel was owned by a
numbered company, 634321 BC Ltd., whose president, secretary and sole
director is Bryce, who police say remains an influential figure in the
Angels.
In April, Bryce's son, Jonathan Bryce, was sentenced to six years in prison
for cocaine trafficking and extortion.
Company records for 634321 BC Ltd. list Bryce's registered address as 3270
Parker Ave. in Burnaby, which is the location of his Hi-Way Choppers
motorcycle shop.
Councillors from both Vision Vancouver and Sullivan's Non-Partisan
Association expressed concern after learning of the Hells Angels link.
"It does raise some interesting issues," Coun. Suzanne Anton said, adding
council needs to discuss the issue. "Certainly, the optics are not very
good."
Coun. David Cadman said he has concerns about the biker link, but also about
the fact the building was bought for much more than the assessed value of
$1.14 million.
Coun. Kim Capri said city staff never check to see who the directors are of
a numbered company when purchasing property because it is considered
irrelevant, but Tim Stevenson, also a city councillor, said it should be
relevant because the public is concerned about the issue.
"Obviously, we've been getting some calls," Stevenson said.
Coun. George Chow said anytime the city does business with someone "it gives
people the impression that we are legitimizing this person's property, his
behaviour and his connections."
kbolan@xxxxxxxxxxxxxxx
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http://www.canada.com/vancouversun/news/westcoastnews/story.html?id=e9ca0972-38f2-480e-bba7-1b9b197c95c8&k=53208-
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The fact the Mayor has been known to go to the DTES and has had ppl use
drugs in his van and has given money to ppl to use drugs in that
neighbourhood adds to the "bad optics" of this deal. It is great that there
is one less peeler bar in the city and maybe one day they will be all closed
down. Maybe in the future they will do a Google search of any ppl they are
doing business with. I find the, "we didn't know" explanation a bit lame but
then again this Mayor drinks at 9am so maybe things are a little lax at city
hall.
.
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