OWNERSHIP AT BILLIE BEAR!
Do You Want to Become a Part of the Billie Bear Community?
From time to time, cottage interests become available as owners sell their beneficial interests. The following information is intended to help you understand ownership at Billie Bear and help you decide whether ownership at Billie Bear is right for you. It should be recognized that owning at Billie Bear should not be thought of as just a financial investment, but a way to enjoy cottage life in Muskoka at an affordable cost. To that end the club operates a rental operation that helps defray the cost of resort operations. During high season, approximately July 1st to Labor Day, owners must have their cottage available for guests for a minimum period, currently set at 5 weeks. Other periods of time can be blocked off for owner’s exclusive use. Billie Bear is zoned as Waterfront Resort Commercial, and as a tourist commercial business it is subject to different rules than residential or cottage properties.
Resort Structure and Governance
Billie Bear is owned by members of the Billie Bear Lakeside Community Club (BBLCC) – a club limited to those who have purchased a beneficial interest in the resort and turned over that interest to a trustee corporation (1306477 Ontario Limited). The trustee corporation holds all the assets of the resort for the members of the club. The beneficial interest pertains to a specific cottage, and each cottage has a different percentage ownership of the resort. The trustee corporation is wholly owned by the BBLCC, which regulates relations among its members and all aspects of the operation of the resort. The regulations and operating parameters of the resort are contained in the BBLCC by-laws and member agreement documents, as well as any rules and regulations that have been passed by the members or the Board of Directors actin on behalf of the members. Beginning in 2020, a third company has been added to this structure, Billie Bear Resort Limited, which is also wholly owned by the BBLCC and operates the business of the resort as a for-profit corporation.
What you own
While at Billie Bear we tend to talk in terms of “owning” a cottage, in fact we own a beneficial interest in the resort based on the percentage of the resort that this interest represents. You do not own a cottage, but a share of the entire resort. This interest is held by a trustee corporation (1306477 Ontario Limited).
What you get
While you do not own a specific cottage, you receive a licence to use a cottage associated with the beneficial interest for 20 years. This licence is renewed each year for another 20 years at the annual general meeting of the members and is granted subject to the terms of the Members Agreement and the By-laws of the Billie Bear Lakeside Community Club.
No encumbering
Due to the nature of the ownership of the business, it is not possible to mortgage or in any way encumber your beneficial interest or any part thereof (e.g., for renovations).
Documentation
While you are encouraged to seek legal advice when purchasing an interest at Billie Bear, please note that it is not possible to alter or amend any of the documents you will be required to sign (except for any changes in the price that may be negotiated). All the documents are identical for all owners. Your lawyer, however, could perhaps advise you further on what you are buying (and what you are not buying), and assist you in making the right decision. Particular attention should be paid to the information in the Agreement of Purchase and Sale relating to the requirement to be an HST Registrant and regarding the payment by the purchaser of all taxes, such as land transfer taxes and HST on the purchase price.
What is required of owners
All members (“owners”) agree to abide by the terms of the Members Agreement and the By-laws of the Billie Bear Lakeside Community Club as amended from time to time, as well as any rules and procedures that have been passed by the Members or the Board of Directors acting on behalf of the members. You must maintain your cottage according to standards established from time to time under the terms of the Members Agreement.
Active contributions are required of all members, at the very least during the two official work weekends set aside to open and close the resort in the spring (Victoria Day weekend) and fall (generally the weekend after Thanksgiving). Since the work must be done whether you are present or not, fees may be levied to offset the absence of those who cannot take part. These fees help to offset the cost of absent labour.
All members are strongly encouraged to participate in the operation and management of Billie Bear by attending meetings (a general meeting in the spring and an annual general meeting in the fall, and occasionally other special meetings as required) and sitting on committees to provide input and guidance to the members and the Board of Directors. Almost all aspects of the operation are set out through discussing and passing resolutions at these meetings. Active participation ensures that you have a say in how things work and helps share the workload for everyone.
Cottage Interests Currently available
Nothing currently available.
For more information
contact the Board of Directors at board@billiebear.on.ca