Future use of downtown cleared land

A Closer Look – Future Usage of Cleared Land.

A recent interview conducted by CBC Morning Host Markus Schwabe with Mayor Paul Lefebvre on the purchase of private property adjacent to the arena was puzzling as the Mayor’s response to questions by Markus seemed somewhat contradictory. Take a listen.

https://www.cbc.ca/listen/live-radio/1-41/clip/16033722

The Mayor stated that the money used to buy the properties (from that borrowed for the KED) was a public investment (as no private investor would do so he said). He gave no indication on how the return on this investment would be realized except to say that the cleared land could be used for a new arena (no return on investment) or a convention centre (no return on investment). He did allude to housing or a hotel which could provide tax benefits eventually but when and how much? He did state that whatever takes place would contribute to downtown revival? However, as most of us know the actual downtown, now largely vacant of retail activity, is some distance from the area being cleared.

The total cost of the land clearing “investment” will likely be around $20 million after all properties have been purchased and demolished, which incidentally contributed more than $100,000 a year yearly in tax revenue.
Of the $200 million originally borrowed, $90 million was earmarked for the KED, ($68 million was for the Junction and the rest for other purposes). Some of the $90 million has already been spent leaving around $84 million minus the $20 million land clearing “investment”. That leaves around $65 million. With today’s inflated construction costs the cost of a new arena, same seating capacity as our present facility, could be in the range of $100 million – how to make up that shortfall as the Federal Govt does not contribute to new arena builds?

There seemed to be a bias on the part of the Mayor during the interview to have a new arena built (likely on the land now cleared). However, the Feds might likely support renovation of the present arena as they did in Thunder Bay for a building the same age as ours – link below.

https://www.northernontariobusiness.com/industry-news/design-build/feds-city-to-spend-3m-on-gardens-upgrades-7839245

It will be interesting to see what takes place. We trust that the Mayor and Councillors will make the most responsible decisions in the best interest of all Sudbury taxpayers.