The location of the University of Lethbridge South Campus Lands. (Image: University of Lethbridge Business Corporation)

By David Opinko

Concept approved for new 1,000+ unit neighbourhood in west Lethbridge

Sep 17, 2025 | 10:12 AM

We will likely see a brand new neighbourhood being created on the west side over the next several years.

Lethbridge City Council has approved the land use concept for the University of Lethbridge South Campus Lands.

It is a 100-acre property next to the university’s Community Sports Stadium.

Michael Kelly, CEO of the University of Lethbridge Business Corporation (ULBC), says the land was in “surplus” of the U of L’s academic and student support needs, so they decided to turn it into a large residential and commercial neighbourhood instead.

The South Campus Lands are expected to have approximately 1,088 housing units, creating spaces for around 2,700 residents.

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“We’re focusing in on the multi-family [homes] for a big chunk of what we’re looking to develop,” says Kelly. “Most of the other developments in Lethbridge have focused on single-family, and seeing how the needs and our economy are changing with interest rates and higher cost of things, we just need those other products for people to get into.”

The City of Lethbridge revealed the results of its public consultations for the Land Use Bylaw Renewal Project this week. A common piece of feedback they received from residents was a desire to be able to access a diverse range of housing types to meet their needs, in part to help address the rising cost of accommodations.

READ MORE: City of Lethbridge receives ‘impressive’ level of feedback to Land Use Bylaw

The community will also feature single-family homes and businesses.

“Probably about 10-14 acres will be for commercial or retail use. That will include, hopefully, groceries, convenience stores and office settings – things of that nature,” Kelly adds.

Kelly says the South Campus Lands are expected to have a major economic impact for both the City of Lethbridge and the University.

The total value of investments is forecast to exceed $200 million, generating $2.5 million in annual property taxes and $9.5 million in off-site levy fees.

He explains that the ULBC will own the land and that units will be leased out to developers and property owners. This will create a strong stream of revenue to support programming and operations at the U of L in the long run.

Kelly says there is still quite a bit of work left to do for planning and zoning. He is hoping that crews will begin to prepare the land for home development in Spring 2026.

It should take around 15-20 years to fully build the neighbourhood out.

You can learn more about the University of Lethbridge South Campus Lands here.

The land use concept for the University of Lethbridge South Campus Lands. (Image: University of Lethbridge Business Corporation)