A prime redevelopment site on Spall Road has just hit the market, listed for sale for $11.8 million.
"It could be a new six-storey hotel, or a three-story apartment building, or a three-story mixed-use building with commercial on the ground floor and offices and residential above," said listing agent Kris McLaughlin, a commercial realtor with ReMax Kelowna.
"Or, the new owner could go for a variance on zoning and go higher and denser. It's really about getting the highest and best use for this property."
The two acres parcel at 1873-1875 Spall Rd., a block south of Highway 97, currently has a nondescript, brown-brick, single-storey, commercial building on it that houses beauty school MC College, Spall Business Centre, Modern Paints & Floors and Bluetail Sushi restaurant.
"This is an excellent commercial investment property as the 24,882-square-foot building's multiple tenants will provide great holding income until the property is read for development," said McLaughlin.
"This is an outstanding development site in central Kelowna. The property's strategic location, only a block south of the Harvey Avenue/HIghway 97 corridor, makes it a prime opportunity for densification."
The plot is zoned C2 (vehicle-oriented commercial) in the City of Kelowna's official community plan.
That means it could be redevelopment for the aforementioned three-story apartment building or mixed-use building or six-storey hotel like the Hyatt Place that is located just a couple of blocks on the other side of the highway off Spall on Enterprise Way.
C2 also allows a myriad of other uses from a warehouse, church, story, recycling drop off, child care centre and animal clinic to a pub or restaurant, commercial storage or temporary shelter service.
Although the reality is, if someone pays $11.8 million for the property, they're going to want to redevelop it to the previously state highest and best commercial use.
McLaughlin said a potential buyer could start a dialogue with the City of Kelowna to see if a variance in zoning to go even higher and denser might be a possibility.
"It's really up to the purchaser if they want to apply for a variance," he said.
"There could be many different visions for this property."
