Nova Scotia’s auditor general released a report on Tuesday that raises questions about the province’s $34.5 million purchase of an unfinished hotel. The hotel on Hogan Court in Bedford was purchased to convert into a health facility.
In the report, Kim Adair says the government didn’t do its due diligence to assess other properties that may have been a better fit.
Adair found that officials didn’t take the steps to minimize costs and “probably overpaid” for the property. “The province spent $34.5 million in an unusual purchasing arrangement with a developer that did not own the property and then quickly approved a $15-million renovation budget without detailed cost estimates,” Adair said during the news conference.
The hotel was purchased to be converted into a transitional care facility for people who no longer need a hospital bed or for people waiting for a long-term care bed who can’t live at home.