It appears the federal government is holding up the deal to sell Portage Place Shopping Centre.

Last month Winnipeg city council agreed to a plan that would see the mall, property and parkade sold to Starlight Investments for nearly $70 million.

The other levels of government had to sign off on the deal. Premier Brian Pallister confirmed Wednesday the province has agreed to the plan.

But The Forks tells CTV News that Ottawa has asked for a 30-day extension.

CTV News has been told the federal government is doing this to ensure it’s met treaty obligations.

In a statement to CTV News, Western Economic Diversification Canada said: “The Government of Canada has requested an extension to the consent date regarding the sale of Portage Place Shopping Centre and the land and parking structure associated with it. The Government of Canada is committed to conducting due diligence prior to providing consent for the sale to proceed.”

Clare MacKay from the Forks calls the delay “not unreasonable” and “somewhat anticipated.”

A city report suggests this had to be signed off on by the end of July or a $1.5 million penalty would kick in.

But MacKay says that penalty is only valid if all three parties agree to the plan and then someone backs out of the deal.

The Forks owns the parkade and the property, a private company owns the mall.