A B.C. Supreme Court judge has temporarily halted the City of Kelowna’s plans to expropriate a portion of the waterfront boardwalk in front of the Hotel Eldorado and Manteo Resort.

Justice Warren Milman granted Argus Properties an injunction Friday, preventing the city from advancing its expropriation process while a legal challenge brought by Argus moves through the courts.

The case is the latest development in a years-long dispute over public access to the waterfront walkway.

While the land is privately owned, a decades-old agreement gives the city a legal right of way for public access.

The hotel first closed the walkway during the COVID-19 pandemic. Although a subsequent court ruling upheld the public’s right to use the walkway, access has been restricted or closed at various points since then.

In July 2025, the city closed the boardwalk for repairs after identifying deterioration in portions of the structure.

The city has said it encountered difficulties accessing the area to carry out maintenance, while Argus has disputed the City’s handling of the issue.

In July 2026, Kelowna council authorized the city to begin the process of expropriating the section of the boardwalk.

The City said the goal was to secure long-term public access and restore an important connection along the waterfront.

In a statement Friday, the city said public access had been restricted for several years and that staff had worked extensively with hotel ownership to find a mutually agreeable solution.

“Unfortunately, those discussions did not result in a resolution,” the City said, adding that expropriation was the only remaining option to re-establish public access.

The city said it could not comment further because the matter is now before the courts.

Argus filed a petition in B.C. Supreme Court challenging the city’s expropriation efforts.

In a news release Friday, Argus said it had made repeated efforts to engage with city council and senior staff since the July 2025 closure.

The company accused senior city staff of pursuing costly litigation and what it described as an “abusive use of expropriation powers,” saying the process had taken place behind closed doors without meaningful input from the hotel.

Argus also disputes the City’s assertion that all other options have been exhausted.

The company says mediation or arbitration remain possible avenues for resolving the dispute and has offered to discuss issues including safety, security, public washroom access, liability and maintenance responsibilities.