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Province returns key village site in downtown Nanaimo to First Nation

The Terminal Avenue property, next to Maffeo Sutton Park, was purchased so it could be redeveloped by the Snuneymuxw First Nation.

A dilapidated piece of land in downtown Nanaimo that is part of a historic Snuneymuxw First Nation village is being returned to the nation under the terms of an 1854 treaty.

The province and the Snuneymuxw have bought about 2.67 hectares at 1 Terminal Ave. and adjoining properties for $28.5 million — close to $26 million of which is from the government — for a portion of the Sxwayxum village site, also known as Millstone River Village.

The land next to Swy-A-Lana Lagoon and Maffeo Sutton Park, which had been the subject of a development proposal, was purchased so it could be returned to the Snuneymuxw.

At an announcement at the site on Monday, Snuneymuxw First Nation Chief Mike Wyse called the land acquisition “a historic milestone” for the nation and the province “that reflects the solemn promises embedded in our treaty relationship.”

“Today we honour and uphold the commitments of the Sarlequun Snuneymuxw Treaty of 1854,” said Wyse, adding the land’s return carries “profound spiritual and cultural significance” for the Snuneymuxw.

“This village is integral to our way of life and is fundamental to our traditional legal, economic and social systems.”

He said the First Nation appreciates the province’s collaboration, which is bringing “reconciliation and shared prosperity.”

The Snuneymuxw publicly expressed concerns last year about plans by Oakwood Park Estates to build 760 homes on the village site as part of a development proposal that included a 134-room hotel and 10,000 square feet of commercial space.

Wyse warned then that the project could face delays if the nation’s concerns were not addressed.

The nation said the village, which was occupied when the ­Snuneymuxw Treaty was signed in 1854, was supposed to be protected but the land was taken and given to ­private owners who developed it.

Nanaimo Mayor Leonard Krog said the matter was settled in negotiations between the province and the developer, who agreed to sell the land.

Krog called returning the property to the First Nation “a long-awaited step toward rectifying past injustices.”

Aside from revitalizing a currently derelict area, it will help to ensure that the “Snuneymuxw’s presence and heritage remain for generations to come,” he said.

The province is also contributing $1 million to assist with security, demolition and remediation costs.

The property was formerly home to a Howard Johnson hotel, parking lot and other businesses, but has fallen into a state of decay over the past decade, the Ministry of Indigenous Relations and Reconciliation said.

Indigenous Relations Minister Murray Rankin said the return of the land to the Snuneymuxw will not only support its economic goals, but benefit the entire area.

Returning land in such a populated area to a First Nation is rare, he said.

Nanaimo MLA Sheila Malcolmson said it rights a historic wrong while repairing “a hole in our cityscape.”

The Snuneymuxw First Nation is located in Coast Salish territory on the eastern coast of 91原创 Island, and has villages in Nanaimo, on the Fraser River and on waterways in the Gulf Islands.

It has over 2,000 members, and the smallest land reserve per capita in the province.

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