[Haliguy]

Premier wants to spur development
POLITICS
BRIAN FLINN
The Daily News

Premier Rodney MacDonald said he will ensure development in downtown Halifax is "streamlined" within the next few months.

It takes too long to win development approval for new buildings, MacDonald said. The appeals process is cumbersome and unpredictable, and he wants that to change.

"We're not going to sit back and wait for things to happen," MacDonald said. "That means working with the city to make sure the process is clearly defined and is not going to stop development from taking place."

He refused to say if he's preparing legislation. He said some avenue to appeal decisions is necessary to safeguard heritage, the environment and view planes from the Citadel.

The premier said he has spoken with Mayor Peter Kelly about the problem.

"We are going to fix the issue and we want to do it in partnership," he said.

MacDonald has been talking for months about the need for more downtown office space to accommodate financial services companies that have promised to expand operations in the city, with government payroll incentives.

bflinn@hfxnews.ca

[Halifax Hillbilly]

I really wish Rodney would just stay out of this. Yes the development approval process needs an overhaul, that's what HRMbyDesign is for. I don't see what expertise Rodney brings to the table, and I'm also unclear on what the provinces role would be outside of changing how appeals work, which is only part of the problem. HRM needs clearer guidelines and a larger planning department so that approval doesn't take so long. I don't see why the province is getting involved at this point.

Combined with his comments on the need for a distinct "Financial District" I get the idea that Rodney realizes he needs to do something in metro but really doesn't have the foggiest ideas about what the province could do that would really help the city. My vote is that transit funding for a fast ferry and MetroLink would be a much bigger help instead of interfering in a political process the premier doesn't appear to be familiar with.

The Conservatives can fight the perception all they want but this is a rural government and I really think selling their brand in HRM will be tough.

[someone123]

I tend to agree. It doesn't really make sense for the province to interfere right now given what is happening. Maybe it would have made sense a few years ago. Rodney's comments have also been very vague, which is kind of worrisome.

I wonder if the premier is planning to go ahead with some kind of government-subsidized office development?

[Halifax Hillbilly]

I tend to agree. It doesn't really make sense for the province to interfere right now given what is happening. Maybe it would have made sense a few years ago. Rodney's comments have also been very vague, which is kind of worrisome.

I wonder if the premier is planning to go ahead with some kind of government-subsidized office development?

The negotiations for the Birk's site and some other lands are still ongoing between the province and HRM. The province definetly wants to see office space on the Birk's site. Maybe Rodney is priming for some sort of announcment regarding the land swap and the future of the Birk's site?

I don't see the approval process as being the biggest barrier to new office space in the downtown (although the new proposal for Lower Water St. will test that idea). Apparently rents are too low to justify major new projects right now although with low vacancies that could change.

[someone123]

Well it is complicated because approvals and required rent levels are definitely not independent. Any time you increase the level of risk and/or guaranteed costs (in the form of behind the scenes back-and-forth with City Hall, public consultations, etc.) the level of rent required to make new development appealing goes up. Similarly, Halifax's land supply downtown is artificially restricted by a number of factors and land costs are a significant part of overall development costs. I think that the planning regime in the downtown has suppressed development in the area considerably.

Demand relative to supply was definitely the "bottleneck" preventing construction beginning around the 1990 period and going up until a few years ago, but these days rents are rising and vacancy rates are dropping so it's not so clear. The other thing to remember is the lag time between proposal/approval and actual tenants moving in and paying rent. Developers are not concerned with 2008 rents, they're looking at 2009, 2010, and beyond.

When I said office development from the province I meant more something that would be leased to private companies. I had always imagined that a Birks site redevelopment would just be office space for the province, although if it goes taller that could change.

I believe the province also owns a large site by the Bank of Canada around Hollis/Sackville/Bedford Row. That site is probably not zoned for any kind of highrise at this point but could accommodate a major building by Halifax standards (it's also a great place to put such a building.. Birks not so much).

[Haliguy]

I think it is a good thing that the Premier wants the province to pull some weight in improving the process for development in the the downtown. It means there is political will to make something happen.

[Halifax Hillbilly]

I believe the province also owns a large site by the Bank of Canada around Hollis/Sackville/Bedford Row. That site is probably not zoned for any kind of highrise at this point but could accommodate a major building by Halifax standards (it's also a great place to put such a building.. Birks not so much).

HRMbyDesign proposes the Hollis/Sackville site to be high-rise so if that is the case than the Province could actually play a fairly key role in what kind of building happens there.

It will be interesting to see how everything shakes out. As I said before I'd rather see the province interfer as little as possible as the process is already pretty messy and slowmoving.

[hfx_chris]

Hmm.. this will be one of Brian Flinn's last article with the Daily News...

[Wishblade]

Hmm.. this will be one of Brian Flinn's last article with the Daily News...

Actually, it would be his last sadly....