Parking lot to highrise apt.

Photo: Wayne Moore

The City of Kelowna has made a tidy profit on a piece of property it purchased five years ago.

The City announced late Friday it has finalized a deal to sell the vacant lot at the corner of Ellis Street and Lawrence Avenue to the Mission Group for more than $2.6 million.

The property went on the market in June. At the time, the city was asking $2.35 million.

It purchased the land in 2012 for $1.97 million. It has been used as a parking lot since.

Mission Group plans to build a mixed-use residential and commercial development on the property.

The minimum height will be 12 storeys, however, the Downtown Plan states properties can be up to 19 storeys.

“The successful strategic disposition of these properties to realize a significant return on investment over five years furthers the fiscal goals of the city and supports important planning objectives of seeing more people living downtown and sustainable development,” said Graham Hood, strategic land development manager.

“With more than $20 million in investment downtown in parking, public spaces and transportation infrastructure over the last five years, along with the addition of the Kelowna Community Health Services Centre, Okanagan Centre for Innovation and Kelowna Yacht Club, downtown is continuing to achieve the goals of attracting people, increasing vibrancy and building on the economy of our city."

Mission Group is expected to bring a development permit application before city council sometime this year.