Arena deal collapse raising concerns over future plans for Calgary’s Victoria Park
Global News
The Calgary Municipal Land Corporation said it will evaluate the impact of the loss of the Event Centre project on the Rivers District Plan.
With the deal between the City of Calgary and Flames ownership for the city’s new event centre falling through over increased costs, questions are being raised over the future of the city’s Rivers District and ongoing improvements to Stampede Park.
It was announced Tuesday that the agreement between the city and Calgary Sports and Entertainment Corporation (CSEC) had collapsed due to increased costs on top of the building’s expanded price-tag of $634 million — higher than the $608 million projected in July.
In back-to-back press conferences Wednesday, both Mayor Jyoti Gondek and CSEC’s president and CEO John Bean disagreed about which organization should be responsible for costs associated with infrastructure around the building and climate mitigation work on its roof.
Both were included in a list of more than 70 conditions attached to the approval of the development permit for the project by the city’s planning commission.
Under the restructured agreement for the Flames’ new home, CSEC had agreed to take on all “reasonable” additional cost overruns in exchange for contributing more money than the City of Calgary to fund the building, after it was revealed the city could not cover its half of the price tag due to the project going over budget.
The events centre, along with the expansion at the BMO Centre and the Stampede Trail project, were set to be centrepieces of the Rivers District Master Plan; a 50-year plan to revitalize the east end of the city’s downtown between MacLeod Trail, the CP Rail Line, the Stampede Grounds and the Elbow River.
The plan, currently an undertaking by the Calgary Municipal Land Corporation (CMLC), features a mix of residential and commercial buildings centred around a new entertainment district.
According to David Low, executive director of the Victoria Park Business Improvement Area, the loss of the event centre is a missed opportunity toward the long-term vision of the area.