City of Lethbridge to buy nearly $15 million of land on west side
-
Share on Facebook
-
Share on Twitter
- Copy Link
LETHBRIDGE – At its final council meeting before the civic election Monday, October 16, Lethbridge City Council voted to buy two parcels of land from College Farms Ltd. on the west side, for $14.8 million.
The first parcel of 80 acres is located south of Whoop-Up Drive, between 25 St. W and 30 St. W. It will be purchased in one lump sum of $5.2 million ($65,000/ acre) November 15, 2017, which is also the closing and possession date. The seller will have the right to continue to farm the area at a lease rate of $1 per year, until the buyer gives written notice of intention to begin development.
The second parcel of 160 acres is located at the end of Whoop-Up Drive, along 30 St. W and 24 Ave. W. It will be purchased for $9.6 million dollars ($60,000/ acre), which will be paid in four installments of $2.4 million each January 31, beginning in 2018. Possession date of the land will be January 31, 2021 and the seller can also continue to farm the area for $1 per year until the buyer gives written notice of intention to begin development.
Environmental reports, according to city documents, were completed prior to August 31, 2017 with no concerns identified.
The purchases though, were not approved without some concern and opposition from Councillors Bridget Mearns and Joe Mauro. Mauro says the city should not be in ‘the development’ game because smaller companies that can’t afford to buy a large number of lots are left out.
“If you don’t build 20 or 30 or 40 houses a year, you don’t get to build in any of the city owned land. I just don’t like the process. I don’t like the fact that the city competes with private industry.
“A lot of times in my mind, the process just isn’t equal for everyone. And so when I feel that, or when I sense that, I’m there to make sure that everyone, no matter how big or small, everyone no matter how connected you are to the city or not, should be treated fairly and equally and the process should be equal for everyone.”
But Michael Kelly, General Manager of Real Estate and Land Development for the city says the process is fair, and other developers also have large holdings of land in the city.
“Other developers have large holdings of land in Lethbridge. Without naming names, they have other quarter sections that have been bought by developers from primarily Edmonton, and some other local developers that have large land holdings. Anyone can approach a privately held land owner and get into negotiations to hopefully purchase the land.”
Mauro also adds that much of the growth in the city has been on the west side, where previous land purchases have been made.
“Most of the growth that’s been in west Lethbridge is because the city owns the land. And the city can also, you know, if things don’t go as planned, the city’s got deep pockets cause the city can access the taxpayer. Private developers don’t have that choice. Private developer goes to the bank and has to borrow and takes on the risk themselves.”
To that, Kelly says there is development going on, on the north side in the Legacy Ridge area, and in south Lethbridge as well.
