Released May 7, 2012 by the Town of Wasaga Beach.

The Town of Wasaga Beach is pleased to confirm that effective April 27, 2012, 16 beachfront properties at Beach Area One under the control of the Court appointed Receiver have been sold. The purchaser of the properties is Belcub Management Inc. The properties sold for $11.5M and as part of the transaction, the Town received a certified cheque in the amount of $371,292.23 representing the outstanding tax and water arrears owing on the properties.

The 16 properties along Beach Drive between Spruce Street and 3rd Street were held by Beachfront
Developments Inc. until May 2010. In May 2010, one of the mortgage companies petitioned the Court to appoint a receiver to oversee the properties and directed that they be sold to pay outstanding accounts.

The formal name of the new company that now owns the properties is “Wasaga Beach Waterfront
Developments Inc.” a subsidiary of Belcub Management Inc. Gabriel Grossi is listed as the principal in the company.

Mr. Grossi briefly met with Town officials shortly after the closing to introduce himself and confirm the following:

Mr. Grossi will be attending a future Council meeting to formally introduce himself and outline his
plans for the area;

All bars, restaurants and retail shops along the main beach area are leased or will be leased;

Mr. Grossi will be meeting with his tenants at the various restaurants and retail shops to introduce
himself and confirm the process to transfer the leases;

Mr Grossi will be investing in some of the buildings to freshen them up for the coming season;

Mr. Grossi plans to continue with the current operation for the next two years. During this time, he
plans on developing his long range plans. Mr. Grossi is supportive of the Town’s vision for Beach
Area One and Two and plans to work with the Town to implement elements of the vision. Mr.
Grossi’s construction company, Belrock Design Build Inc. is a well established and experienced
organization that has built several hotels, including two new properties on the east side of Hwy 400,
just north of the Hwy 401;

Mr. Grossi expressed his commitment to work with the Town on activities in the Beach Area One and Two area, including attracting new events; and No members of the previous ownership group will be involved with Mr. Grossi’s new company, Wasaga Beach Waterfront Developments Inc.”
Mayor Patterson indicated that he is pleased that the properties have been sold and looks forward to working with the new owner, who through his brother Enzo Grossi, former operator of the  Dardenella Restaurant and Night Club, is very familiar with Wasaga Beach. “Council looks forward to meeting Mr. Grossi and hearing his plans for the area first hand.”

The Town is currently dealing with eight other properties held by the previous owner. Four are proceeding through tax sale and four have been repossessed by other mortgagees and are for sale.