UPDATED 10:40 A.M.
Deputy fire chief Ross Anderson with the Ellison Fire Department said that cause of the fire is believed to be electrical.
The property owners said the flames began around a power box in the building. By the time Ellison Fire Department was on scene, all the walls were down and the fire was fully involved.
Ellison had been contracted by Forestry to help stop the fire from igniting the surrounding forest.
Four trucks and 14 personnel responded and protected the perimeter of the blaze.
They helped fight the fire for more than three hours before handing it off to Forestry.
An early-morning blaze destroyed a building in the Ellison Estates area near Kelowna.
Details are limited, but it appears the fire broke out in the 6000 block of Sierra Drive around 1:30 a.m. Saturday morning and it was not long before the building was fully engulfed.
Kelowna RCMP confirmed that all occupants escaped the structure and there were no reported injuries.
Neighbours up the hill from the fire said the flames were licking high into the sky and turning nearby trees into candles.
Their son woke them up to see it and they said they were thankful that there was no wind, otherwise they would have been worried. The fire burned long into the morning and the properties are in the middle of the forest.
The family heard a couple of explosions which Kelowna RCMP said was likely from a 100-pound propane tank and an old pickup truck that was found in the smouldering remains.
Another neighbour who identified himself as Jim said "It's a real concern. We heard all the sirens at about 1:30 a.m. but we didn't see the fire. It always makes us think back to 2003, so it's a worry when a fire starts in your area."
The fire was out of Kelowna Fire Department's service area. The BC Forest Service responded with the aid of Ellison Fire Department.
More details to follow.
If you have pictures or video of the fire, send them to [email protected]