- What Iconic Pink Palace in Surrey, B.C., has sold for $18m
- Why The hotel was ordered to be sold in a foreclosure
- What next Unnamed buyer is open to operating the property with a partner
The British Columbia Supreme Court has approved the purchase of the iconic Pink Palace hotel in Surrey for $18m, Green Street News can reveal.
The 150-room property, formerly known as Pacific Inn Resort & Convention Centre, has been closed since 2018. It was slated to be converted to a DoubleTree by Hilton. The property was bright pink for many years, though it was painted white more recently to appear in a movie.
The buyer is a numbered company registered in British Columbia that owns several hotels in the Vancouver area. It will take possession of the property, near the U.S.-Canada border, on Aug. 26.
The sale was approved on May 27, according to court documents. A source familiar with the buyer said it is open to a joint venture to manage the property, which, after renovations, could reopen as a hotel or could be converted to senior housing.
A 2022 appraisal from International Hotel Appraisers valued the hotel at $40.7m, adding that with renovations, it has a prospective value of $73.2m.
Bank of Montreal filed to foreclose on the property in February 2023, stating that the borrowers owed over $10m from an initial $18.5m in mortgage debt that matured in September 2022. The petition named Fountana Hotel Investment and more than a dozen others as respondents.
A title search of the property showed several outstanding mortgages. A source told Green Street News the combined sum of those mortgages was more than $30m.
Royal Pacific Realty listed the property for $25.4m last October.
The roughly 136,000 sq ft building is on 4.8 acres at 1160 King George Boulevard. It’s known for a massive atrium housing a pool and a recreation area. There’s also a restaurant and bar.
