City buys rail lands near innovation park
Purchase clears way for Frid Street extension
December 24, 2009
Lisa Grace Marr
The Hamilton Spectator
http://www.thespec.com/News/Local/article/696104
The development of the West Hamilton Innovation District is back on track with the city's purchase of the Canadian Pacific Railway lands at the end of Frid Street.
The city announced yesterday it purchased 16.5 acres for $2.1 million under power of sale from the mortgagee, the Canadian Pacific Railway. The property was listed at $3.2 million.
It's a big buy. The land is critically placed at the south end of Frid Street, which the city plans to extend into the innovation district. McMaster has already opened its first innovation park building.
Several other projects are in the works, including the 156,000-square-foot CANMET building. The materials research laboratory is expected to open in 2010 with about 100 federal employees.
"This is a very strategic acquisition by city council that will contribute significantly to our efforts of diversifying the local economy," Mayor Fred Eisenberger said. "It is a very positive step in drawing more world-class companies to our city."
The site's future as employment lands for high-tech or research companies was thrown into question last year after a conditional purchase by Trinity Development Group from Hamilton Metal Trading Corp. and Aberdeen Holdings Inc.
Trinity planned to build a $65-million retail complex near the corner of Longwood and Aberdeen.
Before the conditional purchase in 2008, the two property owners filed an appeal with the Ontario Municipal Board about new restrictions the city had placed on development of the West Hamilton Innovation District.
Trinity took over the appeal when its bid for the property was successful.
Michael Foley at Trinity said in a recent written statement the company withdrew its interest in the purchase and the OMB appeal about three months ago.
"Given the city's position and the economy, we felt that our $65-million investment could be better utilized elsewhere."
Neil Everson, the city's director of economic development and planning, said the city will forge ahead with its infrastructure project, pegged at $4.3 million, including the CP rail lands purchase.
The project is expected to be completed by the spring of 2011.
That will "further (facilitate) the development of approximately 15 acres of employment lands resulting in new non-residential assessment and job creation -- one of city council's key focus areas," Everson said.
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