A development permit was recently approved for a mixed-use development on Shenton Rd. on the shores of Nanaimo's Diver Lake, combining ground-floor commercial space with residential units above. (Image Credit: City of Nanaimo)

By Jordan Davidson

residential and commercial

Three-storey mixed-use building coming to Nanaimo’s Diver Lake

Aug 2, 2026 | 5:22 AM

NANAIMO — The vision of a three-storey building on Diver Lake mixing residential units with office space is starting to come together after the approval of a development permit.

Located at 3679 Shenton Rd., the proposal would have commercial office space in the first and second storeys, with 17 multiple-family units of studio, one, and two-bedroom apartments above it.

During the Monday, July 27 council meeting, coun. Hilary Eastmure commended the developer for adjusting the plan based on recommendations from an Oct. 23 Design Advisory Panel meeting.

“Including that reduced glazing (more bird-friendly), more bike parking, a ramp between Shenton Road and the main building entrances, replacing trees that couldn’t be retained, and switching out the indoor amenity space for a viewing pavilion, given it’s right on the lake.”

An aerial photo of 3679 Shenton Rd. showing its proximity to Diver Lake. (Image Credit: City of Nanaimo)

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The motion to approve the development permit was approved unanimously, including several minor variances.

A statutory right-of-way was also secured for the future development of a Diver Lake Loop Trail, which will remain until a trail is developed in the future.

The proposal would include underbuilding parking with 57 spaces, including two accessible spaces, and 12 long-term bicycle parking spaces.

A 2022 proposal called for a three-to four-storey, 70-room lakefront boutique hotel at the same location.

Renderings of the proposed development at 3679 Shenton Rd. (Image Credit: City of Nanaimo)

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by Jordan Davidson

Three-storey mixed-use building coming to Nanaimo’s Diver Lake

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