Gondola developer would pay Edmonton $1.1 million annually for city land
Global News
A land agreement reached between Prairie Sky Gondola and the City of Edmonton would see the developer pay just over $1.1 million each year for building on public land.
City of Edmonton administration is recommending moving forward with a land agreement for the Prairie Sky Gondola project.
In a report going before councillors on Aug. 10, city administrators lays out the costs the developer would have to pay to lease public land.
The 2.5-kilometre line would run from Old Strathcona on the south side, across the river and to the edge of the downtown core.
There would be five stations with towers built on 19 plots of city land, primarily in the North Saskatchewan River valley.
In exchange for building on those lands, Prairie Sky would have to pay $350,301 per year in rent, with that increasing every five years.
The license fee would be $774,633.91 annually with the lease lasting 30 years. That could be extended for an additional 30 years twice, for a total 90 year agreement.
“It was important for us to pay our full measure of municipal taxes,” Prairie Sky Gondola’s chief strategy officer Bob Black told Global News.
The prices were determined by city assessors and based off market rent.