The Garibaldi Budget Inn's mortgage broker has denounced assertions that the business's new owners are knowingly denying Olympics-time reservations and thousands of dollars in deposits.
Last week a party of six Americans called The Chief after discovering Games-time reservations and deposits taken by the Garibaldi Inn on Third Avenue would not be honoured by the motel's new owners.
Former owner Ed Sylvan told The Chief he sold the business Dec. 8 because he couldn't afford the renovations, and a new "consortium" ownership, which renamed the business Squamish Budget Motor Inn, was made aware of the six reservations that were booked for the Olympics.
He said the new owners were just "looking to get more money than what was agreed upon" and he would do everything he could to ensure reservations were upheld.
Broker Crystal Foti of Northwest Mortgage this week balked at Sylvan's comments.
"The comments that Ed Sylvan made to you are completely false," she said.
Foti said a forced sale went through B.C. Supreme Court Dec. 8 after more than a year of foreclosure proceedings.
"The guy [Sylvan] hadn't made a payment on the mortgage on the hotel for a year and a half," she said.
The new owner is "shocked" to hear Sylvan was taking reservations while foreclosure proceedings were underway and with the deplorable state of the motel, which appraisers deemed uninhabitable, said Foti.
"I was to try and collect from Ed Sylvan and try and work out some sort of new financing. When the property was reappraised to try and get him new financing, it was so deteriorated the appraiser actually said 'This hotel needs $200, $300, $400,000 worth of work before you could actually even have it occupied.'"
Foti said there was no heat at the motel and the boiler hadn't been turned on "for a considerable amount of time years," and when the hot water was turned on, pipes burst.
"So that's when I advised the lender on what was going on and they applied for conduct of sale, which was granted, and marketed the property for sale," said Foti.
When Sylvan phoned her over the weekend, Foti said she took the opportunity to "rip a strip off him."
"I told him it was disgusting what he did and he should be refunding people's money. He was served. His lawyer was involved. It was no surprise. It wasn't anything that he wasn't aware of. I said 'You took all these deposits from these people? You should be ashamed of yourself.'"
When reached on his cell phone, Sylvan said he was not immediately available for comment.
Foti said she's now receiving calls from other concerned visitors who made reservations and handed over deposits to the Garibaldi Inn, and she's advising them to call their credit card company and have the charges reversed.
The good news, she said, is a $500,000 renovation is now benefiting the community by utilizing local trades, equipment and material, and by cleaning up a "crack hotel."
"The RCMP advised that that's been a crack hotel and the scene of many, many calls over the years," said Foti.
Meanwhile, the American party that initially sounded the alarm has been treated to Squamish hospitality just as they were prepared to bypass the community altogether.
"Let's move on to Whistler or Pemberton," stated Tom Lynum in an email last week to another party member that was copied to The Chief. "At this point, I'd be leery of stopping to refuel in Squamish."
But by Monday (Jan. 4), although questions over their $900 were still unresolved, the group had renewed hope for affordable accommodations.
"We have received numerous offers for accommodation. I think we will be staying with a local [Squamish] family," wrote Lynum.
"Thanks for your assistance and let the Games begin."
