Where We Are Today
The current priority is to secure a marina operator prior to the marina lease expiration. The current marina lease is set to expire in December 2027.
As the current marina lease nears expiration (with no provision for extension), the District is looking to achieve a new lease that reflects the objectives of Council, Songhees and Xwsepsum First Nations, and the community, including providing tangible economic, social and environmental benefits.
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Early 2026, District discussions with Songhees and Xwsepsum leadership and with Oak Bay Marine Group identified potential interest from all three parties in operating the Marina. For this reason, Council has directed that the three parties be invited to submit Expressions of Interest (EOI) for operating a Marina.
The current EOI process is an initial step designed to gather information from interested parties, including those with historical and operational connections to the site.
The Request for Expressions of Interest is only looking for operators of moorage slips and associated marina services. The restaurant/coffee shop building and remainder of the site are not the subject of EOI process now underway.
On June 15, 2026, those having submitted a response to the Request for Expressions of Interest will present a summary of their proposals to Council. The public will have an opportunity to speak.
Why the Focus on Marina Operations?
By moving quickly to secure a marina operator, the District can reduce the time pressure created by the approaching lease deadline while keeping all future options for the rest of the site open.
The District is focusing on marine operations to avoid disruptions to marina services and reduce financial risks.
Here are some key facts that speak to the benefits of securing a long-term marina operator as soon as possible:
- If a new agreement is not secured soon, boat owners will lose their moorage spaces after December 2027.
- Under the terms of the District’s lease with Oak Bay Marine Group, the District can only purchase the docks at appraised value during a limited window from January to June 2027. Any third-party purchase would require the District to buy them first. To recover costs, the District must soon confirm a marina operator willing to buy the docks.
- The District’s water lot lease extends until 2052. If there is no marina operator in place after 2027, the District would be responsible for meeting the Province’s lease requirements.
- If the District were to 'buy time' by providing Oak Bay Marine Group with another short-term lease extension, the District would likely derive lower value from the lease (because of its short-term nature) than it would from a longer-term lease.
- Without a marina operator, the District would lose out on tax revenue and rental fees.
- The District is currently responsible for upkeep of the marina buildings. The buildings are ageing and in need of extensive and expensive repairs. Given the buildings' uncertain future, the District has been deferring repairs whenever possible. With a new lease, the District would have an opportunity to pass on responsibility for the buildings to an operator, thus reducing taxpayer burden.
- At the end of 2027, there will be 25 years left on the District’s water lot lease (leased from the Province). The District can only sublet the water lot to a marina operator for that time. Delays in finding a marina operator will mean that the District will have less to offer. That will directly impact financial returns.
- The District has heard very few concerns about having a marina on the site. In fact, there has been strong support for keeping a marina, both from boat owners and from community members who enjoy seeing the boats.
Expressions of Interest (EOI) Scope
Colliers Land Use Strategies has been engaged to oversee the EOI process.
The EOI process is not intended to serve as a request for detailed proposals or financial offers. Its purpose is to:
- Understand who is interested in operating the marina;
- Assess capacity and readiness to manage a complex, operating marine asset;
- Confirm alignment with the District’s required parameters and principles; and
- Help Council determine whether to proceed to more detailed discussions or negotiations with one or more parties.
The portion of the site on which Expressions of Interest are being sought is only the part occupied by the two Marina Sales/Service buildings and the water lot. The scope does not include the restaurant/coffee shop building, nor the parking lot area (other than providing enough parking spaces to meet Zoning Bylaw requirements associated with marina operations). The restaurant is currently under a use agreement with Songhees Events and Catering which expires August 31, 2026. The long-term future of the full site is still intended to be resolved following community engagement. Parties responding to the EOI are being invited to share high-level ideas or interests related to the full site, if and as desired, but these are outside the EOI scope (area contemplated for lease). The District has asked marina proponents for ideas for the full site so that these can eventually be discussed with the community as part of a future engagement process that the District is still intending to undertake.
As the EOI process in this case pertains to municipal land, it is governed by the provisions of the Community Charter (Section 26), rather than District procurement policy. A few years ago, the District ran an RFP process to see whether there might be broader interest/capacity in running the marina. There was not. Undertaking an RFP process again would require more time than is available to resolve the marina’s future and may not generate much different results than the previous go-around.
EOI Parameters
The District has established key requirements that must be understood and adhered to by future marina operators. EOI responses must clearly demonstrate understanding of and alignment with these parameters:
- The District must receive market value for the marina lease (Community Charter s.25(1));
- The District will retain ownership of the land (lease-based arrangement);
- The District will not provide financial assistance for buildings, operations, or capital works;
- There will be continuity of marina services after the expiry of the existing lease, with the exception of short-term disruptions related to potential dock replacement;
- The water lot is leased from the Province until 2052, with no guarantee of extension; and
- Provincial approvals are required for water lot sublease or assignment.
All EOI responses must acknowledge and accept these parameters to advance to the next stage of consideration for marina operations.
The request for Expressions of Interest document that sets out these parameters and other information sought from respondents can be found here.
Why More Information is Not Available Right Now
The District recognizes community interest in the marina site. In securing a new operator, the District must balance satisfying community desire for information with the need to safeguard the integrity of an important and complex negotiation process. At some points in the process, and regarding some types of information, to protect the District’s legal and financial positions, and to maintain fairness among potential proponents, some deliberations occur in Closed meetings as per the Community Charter S.90(1)(e), S. 90(1)(k) and/or S.90(2)(b)(iii) . Information and discussions shared in Closed meetings cannot be shared publicly. The District is committed to sharing what it can, when the time is appropriate.