The former Talisman resort in the Canadian municipality of Grey Highlands in Ontario has been sold to investors who plan to restore the buildings and turn the property into an all-year destination.

With hopes to open by Q3 of 2015, the municipality originally took over Talisman – once a major local employer – in 2013 after failed efforts to dispose of the former resort. Two parts of the three properties were sold but the main buildings failed to draw a bid.

The purchase agreement, signed on 12 May, does not include all of the property – Grey Highlands will retain land by the municipal lagoon and some land at the top of the resort’s hill.

Mr Brian Ellis, one of the investors, has a 50 per cent stake in the resort venture which plans to eventually restore skiing facilities after carrying out renovations and fitting a spa.

“It’s really important that we make this into a destination resort again, we need to get this place up and running and make it the place it used to be and better,” Ellis told local press.

Plans for the resort’s spa include outdoor hot and cold pools, steamrooms, relaxation rooms, large saunas, yoga rooms and a number of treatment rooms. The spa and tea room will be located in what was the chalet building, with a restaurant planned for the main lodge.

“It’s something to compete with the Ste. Anne’s spa in Grafton and the Scandinave at The Blue Mountains Resort [both high-end spas in the state of Ontario],” Ellis added.

Ellis said the priority – once the deal is finalised on 28 May – will be to remove the mould from the buildings, which is expected to cost at least CA$300,000 (US$275,254, €200,715, £163,501). This must be done before renovations can take place.

While there are no plans to develop any of the property for housing or condos, Ellis plans to refurbish the golf course.

The sale of the Talisman resort – which was costing the municipality a minimum of CA$10,000 (US$9,175, €6,696, £5,447) per month – is expected to create economic growth for the area.

“I believe Grey Highlands future is going to lie in recreation and 50-plus active living,” said Russell Severnuk, vice chair of the Talisman task force. “This property is a diamond in the rough.”

Ellis, a specialist in real estate development with roughly 30 years of industry experience, predicts this will be an expensive project. “It’s going to take millions of dollars to bring this back to where it was. We are strong marketers and we’re going to bring in a lot of expertise,” he said.