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Centretown News Online - October 12 Edition

Elgin Street concert hall still in limbo

By Claire Biddiscombe

A development at 150 Elgin St. that includes a 925-seat concert hall is no closer to being built now than when Ottawa city council first approved the project in October 2004. Before construction can begin, the developer and the major community group supporting the project must secure adequate funding from the federal government and from the private sector – something they have yet to accomplish.

“Without major sponsorship, the project is no longer viable,” said John Frecker, executive director of the Ottawa Chamber Music Society.

The society, which has an interest in the concert hall, was to raise $8.5 million towards the costs of the development.

The society is currently in discussion with several private companies over naming rights for the facility, Frecker said. He declined to name any participants in the talks.

“We’re hopeful that the discussions will be fruitful,” Frecker said.

He added that the federal government is “not committing” any funds towards the project until arrangements with the private sector are more settled.

“We’re hoping for something by the end of the year,” he said, when asked to put a timeline on the completion of the process.

The application for funding is on file with the federal government, said Charles Drouin, a spokesperson for the Department of Heritage.

However, he added, the request for $10 million in funds to help with the project cannot be considered until the society provides the government with more details about the status of their private fundraising.

“The department is certainly waiting for some missing information before it makes a decision on [the file],” Drouin said.

“It is important for the department to know that the society is well-positioned to carry on this project successfully,” he added.

Drouin added that this update was current as of the end of July, but at least one thing has not changed since then – a decision still has not been reached.

If the balance of the funding is not secured by Nov. 30, $5.5 million in municipal funding for the development will expire and will have to be renewed before the project can continue, Frecker said.

The funds were originally allotted to the development as part of the 20/20 initiative for Arts and Heritage in Ottawa.

In addition to the concert hall, the development is also slated to provide retail and office space and affordable housing units to the area.

But it’s not only the Chamber Music Society that needs to generate more private interest in the project.

Morguard, the developer overseeing the site, has placed a sign at the location to attract potential occupants.

Michael Grupp, Morguard’s director of development, said that this is necessary to secure sufficient bank financing for the project.

“We have to achieve a certain preleasing commitment before we can go ahead,” Grupp said.

Nonetheless, Grupp said that, with time he expects progress to continue on the development.

“It’s an excellent site and we’re very confident,” he said.

Somerset Ward Coun. Diane Holmes, was unavailable for comment.

Even if the funding issues are resolved by the end of this year, it will still be some time before the city can reap the benefits of the facility.

According to Alain Desmarais, a broker for Cushman & Wakefield Lepage, the company responsible for preleasing the site, the construction will take an estimated 20 months.