downtown update al strang, city manager september 6, 2005
TRANSCRIPT
DOWNTOWNUPDATE
Al Strang, City ManagerSeptember 6, 2005
BACKGROUND City of Moncton sells three parcels of land (former Beaver Lumber property) to Ash-verd Holdings
Deal closed June 10, 2005
Three parcels of land involved: East side of Westmorland (Courthouse lands)
West side of Westmorland between Rogers building and Market (North property)
Corner of Westmorland and Assomption (Convention Centre property)
LANDINVOLVED
CURRENTSTATUS Deal in escrow until replacement parking deal finalized
Council must approve parking deal
45-day timeline does not begin until a parking deal is finalized
A GOOD PROBLEM A great development opportunity, we need to fit the pieces together on the available land
Committee struck to do due diligence and explore options (with Council’s blessing) Convention Centre property too small to hold a hotel, apartments
Something will have to be relocated, look at options for South side of Assomption
Convention centre should be a stand-alone facility, showpiece, built for expanded future use
CONGESTION: too much for too little space
CONGESTION: too much for too little space
OPTIONS Bernard Cyr looked at how he could develop hotel on the south side of Assomption
Minimal impact on trail system, integrated into Riverfront
This land is better suited for a hotel, less intrusive than a Convention Centre
Mr. Cyr is a local developer with a proven track record (Chateau Moncton well
integrated with Riverfront)
For your consideration,Mr. Bernard Cyr, PresidentCyr Holdingswill present his proposal
Presentation toMoncton City Council
September 6, 2005
Introduction
Approached to consider moving development to south side of Assumption Blvd
Agreed to consider option seriously
And we now agree that this is a viable solution to the need for space on the north side
Our Proposal 125-room high-end hotel suites and spa with a full-
scale restaurant, possible return of Cy’s brand
Will have full spa and pool facility
Will target business travelers during the week
Will target families for weekend business
Timing We would like to start this fall (2005) – no more
delays
We also agree to drop the condition – to only build with the Convention Centre – realize it will take time to finalize funding formula with 3 level of governments
And market conditions make it crucial for us to move immediately
Features Creation of 50-60 permanent jobs
Infusion of 200-225 new visitors daily to downtown Moncton
$10-$12 million project
150 Parking Spots
Part of the Riverfront…. Designed to bring life to the riverfront as
experienced with the Chateau Moncton
Will work cooperatively with city to ensure complete integration to the riverfront:– Bicycle paths– Walking trails– Flower gardens– Lamp posts, benches, etc.
Key Considerations
Cost of land must be consistent to north side
Hotel suites & spa connected to Convention Centre
via pedway
Next Steps Needs council approval for construction to begin this
Fall (2005)
Will need height variance
Understand that the zoning conforms with the proposed hotel suites and spa
Hotel suites and spa will open in June 2007
The project will be first class
PARKING Parking has been key to developing this proposal
We have a solution
I’d like to call uponMr. Patrick Gillespie, President
AshFord Investments Inc.
PARKING / CONVENTION CENTRE Best solution
Little disruption of current parking on property
Common foundation, synergies (links and connections within development and existing downtown)
Can relocate Rogers spaces at no cost
Lease the structure over a 20-25 years, at flat rate
PARKING / CONVENTION CENTRE CONTINUED
Parking spaces over and above those for Rogers will be leased at market rate to offset fixed cost of structure
Do not have to purchase land since we are leasing
Glass half full, not the solution to all parking in downtown but helps for next few years
CONVENTION CENTREFUNDING Contingent on funding
Support from all levels of government
Mr. Cyr very confident — he’s going ahead with his hotel
CONCLUSION Complex deal
Many players involved
Catalyst for future development
Lots of changes, lots of work and due diligence to get to where we are today
What we have is still true to Council desire for downtown development
Back for final approval in two weeks