The province has put a stop to a condominium development on the Marpole Midden site in Vancouver.
The land lies on an ancient burial ground used by the Musqueam Indian Band and the decision comes after months of negotiations and uncertainty.
Human remains were discovered on the site in January and since then the band has been trying to prevent condominiums from being constructed there.
But now the province has decided not to grant another permit extension for the building project.
Extensions had been granted since the initial permits expired as the situation was being examined.
Mary Point and others have been keeping a watchful eye over the site for 149 days and said the decision is a relief.
"We feel it's a positive step,” said Point.
“We've been hoping for it ever since the permits were expected to expire back on June 30th."
But now the developer wants to know who’s going to pay for the money already spent on the project.
“We hope that we can be compensated for the value of the property and the costs that went into it,” said Century Group spokesperson Bob Ransford.
"I think right now what this precedent says is that anytime the province decides there's some archaeological potential on a site, and it's discovered, that they can freeze your property and not compensate you."
But Jim Reynolds, a lawyer for the Musqueam, said the new ruling won’t have much impact on ordinary property owners.
"I don't think the average homeowner in BC has to be very concerned about this decision,” said Reynolds.
“I think it's only if you're planning to destroy a heritage site or desecrate a burial place that you need to really worry about this decision."
Century Group has been told the land has to be returned to its original condition by November.
The two sides said they are discussing the possibility of the Musqueam Indian Band buying the property from Century Group in order to preserve it, but haven't been able to agree on a price.
With a report from CTV British Columbia's Penny Daflos
