Kanaka Bar’s Must Stop Rest Stop Feasibility Study and Business Plan Analysis June 18th, 2020 Study prepared for: Kanaka Bar Indian Band 2693 Siwash Road, PO Box 610, Kanaka Bar, British Columbia V0K 1Z0 With funding support from: Communities Opportunities Readiness Program Indigenous Services Canada 1138 Melville Street, Vancouver, British Columbia V6E 4S3 Prepared by: ZN Advisory Services Inc. 22 – 45 West Hastings Street, Vancouver, British Columbia V6B 1G4 Lead author: Zain Nayani, ACCA, MBA, CPA, CGA [email protected] 1 Table of Contents Message from Kanaka Bar ........................................................................................................................... 6 Acknowledgements ...................................................................................................................................... 7 Executive Summary ...................................................................................................................................... 8 Introduction ................................................................................................................................................ 15 About T’eqt’aqtn’mux ................................................................................................................................ 15 Fraser Canyon Region’s Importance for Kanaka Bar, BC, and Canada ..................................................... 16 Since Time Immemorial to the Gold Rush .............................................................................................. 16 Colonization, Globalization, and Industrialization .................................................................................. 17 Climate Change and Returning to Self-sufficiency .................................................................................. 19 The Must Stop Rest Stop ............................................................................................................................ 20 Background ............................................................................................................................................. 20 Site Profile ............................................................................................................................................... 21 Project Description.................................................................................................................................. 24 Goals and Objectives ............................................................................................................................... 28 Community Rationale and Justification .................................................................................................. 30 Feasibility Study and Business Plan Analysis............................................................................................. 32 Market Viability ....................................................................................................................................... 33 Regional Demographics ...................................................................................................................... 33 Key Customer Groups ......................................................................................................................... 36 Economic Trends ................................................................................................................................. 47 Similar Businesses and Facilities ......................................................................................................... 51 Operational Viability ............................................................................................................................... 58 Key Organizations Involved ................................................................................................................. 59 Overall Operational Analysis ............................................................................................................... 61 Resource Requirements ...................................................................................................................... 65 Communication, Engagement and Promotion Strategy ..................................................................... 67 Economic Viability ................................................................................................................................... 68 Start-up Costs ...................................................................................................................................... 68 Operating Revenues and Expenses ..................................................................................................... 70 Financial Projections ........................................................................................................................... 73 Intangible and Non-economic Benefits .............................................................................................. 75 Economic Benefits ............................................................................................................................... 77 Risk Mitigation Strategy ............................................................................................................................. 78 Recommendations ..................................................................................................................................... 79 2 Schedules .................................................................................................................................................... 81 A - Nlaka’pamux Nation Map .................................................................................................................. 81 B - Fraser Canyon Region ........................................................................................................................ 82 C - Hand-drawn Map of Public Right-of-Ways through Kanaka Bar’s Reserves ..................................... 83 D - G.M. Sproat’s Map of Old Roads and Trails through Kanaka Bar ...................................................... 84 E - Undevelopable Areas at Kanaka Bar .................................................................................................. 85 F - Land Use Plan for Kanaka Bar’s Reserve Lands .................................................................................. 86 G - Summary of Community Economic Development Plan .................................................................... 87 H - Land Use Plan for Highway-1 Properties ........................................................................................... 88 I - Highway-1 Redevelopment Concept Plan .......................................................................................... 89 J - Site Plan for Implementation of the Highway-1 Redevelopment Strategy ........................................ 90 K - Canada’s Mission-Matsqui-Fraser Canyon Electoral District ............................................................. 91 L - BC’s Fraser-Nicola Electoral District ................................................................................................... 92 M - Thompson-Nicola Regional District .................................................................................................. 93 N - Property Information Report for Parcel 1 ......................................................................................... 94 O - Property Information Report for Parcel 2 ......................................................................................... 95 P - Property Information Report for Parcel 3 .......................................................................................... 96 Appendices ................................................................................................................................................. 97 Documents and material provided by Kanaka Bar ................................................................................. 97 Documents and material gathered by members of the Study Team ..................................................... 97 Figure 1 - Kwoiek Creek Valley as remembered and drawn by Kanaka Bar’s youth 3 List of Figures Figure 1 - Kwoiek Creek Valley as remembered and drawn by Kanaka Bar’s youth .................................... 3 Figure 2 - People of Kanaka Bar at a Regular Community Meeting .............................................................. 6 Figure 3 - Visualization of the Must Stop Rest Stop as of June 2020 ............................................................ 9 Figure 4 - Profit and Loss Projections for Years 1 to 20 .............................................................................. 14 Figure 5 - Kanaka Bar's Traditional Territory and Reserve Lands ............................................................... 15 Figure 6 - Remains of the Kanaka Bar House on the Cariboo Wagon Road (c. 1920) ................................ 17 Figure 7 - Kanaka Bar Restaurant featured as ‘the Seven Best Highway Diners in Canda’ in May 1970 .... 18 Figure 8 - Kanaka Bar Restaurant in 1970 ................................................................................................... 20 Figure 9 - Highway-1 Properties during a blizzard in 2020 ......................................................................... 21 Figure 10 - Acquisition of Kanaka Bar Restaurant Properties in 2016 .......................................................