Winnipeg Free Press (Newspaper) - January 24, 2015, Winnipeg, Manitoba
C M Y K PAGE A4
A 4 WINNIPEG FREE PRESS, SATURDAY, JANUARY 24, 2015 TOP NEWS winnipegfreepress. com
E xperience the great outdoors in Manitoba's
provincial parks this summer.
Apply today for the seasonal camping program and
occupy the same campsite for an entire season -
including long weekends. Both serviced and un- serviced
sites are available in Manitoba campgrounds. All sites
are distributed through public draws.
Pick up your information package and application at
200 Saulteaux Crescent in Winnipeg, at Manitoba
Conservation and Water Stewardship District Offices,
or online by visiting manitobaparks. com.
The application deadline is February 6 for all
provincial park seasonal campgrounds.
For more information about the
seasonal camping program, please call
204- 945- 3934; toll free 1- 800- 214- 6497;
or email seasoncamp@ gov. mb. ca
Public Seasonal
Camping Draw
Apply today for the
Seasonal Camping Program
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JANUARY 27, 2015 AT 7: 00 P. M.
information evening
st. mary's academy
New student applications are due February 13, 2015
- Financial Assistance Available -
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Each student is challenged to reach her full potential as an individual created in God's image.
Call For Proposals
The City of Winnipeg, in partnership
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Deadline for Applications:
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Winnipeg Housing and Strategic
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400- 10 Fort Street
Winnipeg, Manitoba R3C 1C4
no later than February 13, 2015
at 4: 30 p. m.
For application packages or additional
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Terry Cormier at 204- 986- 3911
Or tcormier@ winnipeg. ca
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S INCE 1989, armchair planners
have been able to manipulate
imaginary cities by playing various
versions of
the video game
SimCity .
Build a power
plant next to
a residential
neighbourhood,
and those homes
won't rise in
value. Fail to
create parks
and you won't
attract wealthy
residents. Don't build churches and a
divine power may just smite your city
with an earthquake.
The worst thing that could happen,
if you screw up on a colossal basis, is
your imaginary city will go bankrupt,
and you'll have to start the game from
scratch.
Real cities don't have a restart option.
When real- life planners make
mistakes, cities pay the consequences,
which more often than not involve a
massive pile of cash.
This is what the City of Winnipeg
may be facing as a result of its downtown
development agency's efforts
to engineer an entire vicinity: The
SHED, or sports, hospitality and entertainment
district.
This 11- block area covers part of the
South Portage neighbourhood, made
up mostly of commercial buildings
and surface- parking lots, and spills
into Portage- Ellice, encompassing the
MTS Centre, RBC Convention Centre
and both the Metropolitan and Burton
Cummings theatres.
The SHED is also aided by a development
incentive known as taxincrement
financing, where additional
taxes from new or improved structures
is plowed back into infrastructure
in the same area or handed back
to developers.
Ideally, these incentives would be
made available to anything new in the
area. But only pre- approved projects
in the SHED get to qualify.
This is a mild perversion of city
planning. But the SHED is also odd
in that tax- increment financing is
more powerful when it covers blighted
areas. Downtown Winnipeg is underdeveloped,
but calling South Portage
blighted is a stretch.
All of this, however, is small potatoes
compared to the biggest problem
with the SHED: planning arrogance,
if not outright hubris. The SHED
represents an effort to create an
entertainment district from the top
down, with little consideration for the
organic way neighbourhoods develop
when zoning rules, tax incentives and
market forces are allowed to interact
anarchically.
In 2012, CentreVenture purchased
the Carlton Inn, a hotel considered a
scourge by some of its neighbours. The
land was worth less than $ 2 million,
but there was a functioning business
on the premises.
CentreVenture wound up spending
$ 6.6 million on the purchase plus
additional cash on demolition and accounting
for the curious deal that saw
the Canad Inns Corp. assume partial
ownership for tax- avoidance purposes.
Construction company Stuart Olson,
already obligated to build a hotel to
serve the expanded convention centre,
was required to build on the Carlton
site.
But CentreVenture spent too much,
hampering efforts to bring a hotel to
the table.
The development agency wound up
doubling down by working with True
North Sports & Entertainment on a
larger plan involving both the Carlton
Inn site and the surface- parking lot to
the east at 225 Carlton St.
There's nothing wrong with Centre-
Venture conducting land assembly.
North of Portage Avenue, the A& B
Sound purchase prevented another
dollar store from opening and made
way for the Centrepoint project, which
includes a hotel, condo tower, office
space and a parkade.
In comparison, the land assembly
south of Portage Avenue appears
haphazard. First, the occupied Carlton
Inn site was selected for a conventioncentre
hotel even though Lakeview,
a company that builds hotels, owned
a vacant lot west of the convention
centre.
When private efforts to buy the Carlton
failed, CentreVenture bought the
hotel. And when that site couldn't be
sold without incurring a loss, Centre-
Venture signed an option with True
North.
All of this would have gone unnoticed
if a Carlton development was
finalized before Winnipeg's new mayor
was elected and the convention centre
didn't come before a new council asking
to release Stuart Olson from its
obligations.
Brian Bowman is now in the unenviable
position of demanding to learn
details of a plan developed with True
North, whose chairman, Mark Chipman,
endorsed him.
More significantly, the mayor is
making noises about limiting Centre-
Venture's future ability to engage
in land transactions without council
oversight.
In SimCity , a game based on reallife
planning principles, players learn
their actions come with consequences.
CentreVenture's manipulation of
downtown's tax regime and real
estate market may actually serve to
dissuade development, especially if
prospective players believe the field
isn't level.
bartley. kives@ freepress. mb. ca
W INNIPEG Mayor Brian Bowman
and his executive policy
committee will decide Monday
which bad option is best for the
downtown convention centre.
A special meeting is set for 1 p. m.
to consider a formal request from the
board of the RBC Convention Centre to
cancel the $ 16- million holdback to contractor
Stuart Olson for its inability to
attract a hotel operator for the convention
centre expansion project.
In an unusually frank question- andanswer
exchange Wednesday, convention
centre chairman Bob Silver told
the board it had reached a deal with
Stuart Olson for a $ 3.75 million settlement
in exchange for cancelling the
$ 16- million holdback.
Silver said the settlement deal -
which he described as the " bad" option
- was in recognition that trying
to withhold a $ 16- million payment to
Stuart Olson would likely end up in
a lengthy and costly legal dispute -
which he described as the " worse" option.
Increased property- tax revenue from
the proposed hotel site at 220 Carlton
St., where the former Carlton Inn stood,
is to be used to repay a $ 33- million loan
from city hall to the convention centre
for its $ 180- million expansion.
Councillors are concerned that without
a hotel on the property, that loan
will never be repaid.
EPC members said Wednesday they
needed more time to deal with the convention
centre's request. Coun. Marty
Morantz, chairman of the finance committee,
said he couldn't support letting
Stuart Olson out of its commitment.
Coun. John Orlikow said city council
may have no other option than to comply
with the convention centre's request.
Complicating the convention- centre
situation is the role CentreVenture, the
city's downtown development agency,
did or did not play in undermining Stuart
Olson's attempt to lure a partner to
build and run a hotel on the site of the
former Carlton Inn.
CentreVenture officials confirmed to
EPC while the convention centre and
Stuart Olson were discussing the likelihood
of getting a hotel operator, Centre-
Venture signed an option on the hotel
site to another developer - suspected
to be True North - for a mystery project.
CentreVenture CEO Angela Mathieson
refused to divulge any details on
the option or confirm True North is the
developer but said it will be a fantastic
project for the city.
Bowman and EPC members criticized
CentreVenture for its handling
of the hotel property and now wants
CentreVenture to issue a public request
for proposals for the site.
aldo. santin@ freepress. mb. ca
Learning SimCity's lessons
CentreVenture's planning efforts
could do more harm than good
BARTLEY
KIVES
When real- life planners make mistakes, cities pay the consequences,
which more often than not involve a massive pile of cash
BORIS MINKEVICH / WINNIPEG FREE PRESS FILES
Mayor Brian Bowman was dumped in the middle of a plan developed with True North, whose chairman, Mark Chipman, endorsed him.
' Bad'
option
versus
' worse'
EPC to decide which
for convention centre
By Aldo Santin
A_ 04_ Jan- 24- 15_ FP_ 01. indd A4 1/ 23/ 15 8: 48: 31 PM
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