Council approves hotel development in Blairmore
By Luke Simcoe, TheStarPhoenix.com
Published: Monday, September 29, 2008
SASKATOON - After cancelling their plans to build a luxury hotel at River Landing, developers Ellen Remai and Curtis Zwack have set their sights on the west edge of the city.
Remai Zwack Ventures recently agreed to pay just over $1.7 million for 2.678 acres of city land in Blairmore suburban centre. The company is looking to build a Best Western hotel on the property.
"We feel that there's a real need for a new hotel on the west side of town," said Zwack. "There really isn't a lot of hotels west of where Circle Drive crosses 22nd (Street)."
City council approved the land sale tonight.
Zwack and Remai already own the Best Western Harvest Inn on Idylwyld Drive, and Zwack says he enjoys working with the brand.
"It's a good fit with our other hotel," he said.
The spirit of development that characterizes the city's west side was part of Blairmore's allure, says Zwack.
"The city is really looking at expanding in the west," he said.
The Blairmore development already boasts two adjoining secondary schools - Bethlehem Catholic High School and Tommy Douglas Collegiate - as well as the Shaw Centre, the first phase of which includes two gymnasiums and a fitness centre. Phase 2 of the centre is scheduled to open in the summer of 2009 and will include a competitive-length swimming pool.
"There'll be a lot of swimming competitions in that facility," said Zwack, who hopes the hotel will capitalize on visiting swim teams.
Zwack also notes there are a number of big-box retail developments planned for the area, including a rumoured Wal-Mart.
Coun. Maurice Neault shares Zwack's enthusiasm for the hotel.
"I think it's great for the area," Neault. "It's really going to complement the shopping centre."
Remai, Zwack's partner and the president of P.R. Developments, backed out of a plan in March 2007 to build a lavish hotel at River Landing, citing rising construction costs. Calgary's Lake Placid Group purchased the property and took over development of a hotel on the site.
This time, Remai and Zwack were able to acquire the Blairmore property after another company, Bayview Hospitality, withdrew its interest.
In contrast to the plan for River Landing, the Blairmore proposal - with its 104 rooms, swimming pool, small fitness room and breakfast area - seems modest, but Zwack believes it's a better business decision.
"This model of hotel is a lot more viable from a business standpoint," he said.
Zwack said his company is still dealing with preliminary drawings and it's too early to provide cost estimates for construction.
"The cost of construction changes so quickly that we're going to wait until we have a full set of blueprints before we start figuring out prices," he said.
Zwack is unsure when construction will begin, but he notes the company's agreement with the city includes a two-year window to begin building.
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© The StarPhoenix (Saskatoon) 2008
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Council approves sale of police parking lot for tower
By Rod Nickel, TheStarPhoenix.com
Published: Monday, September 29, 2008
SASKATOON - A proposal to build Saskatchewan's tallest building is a few penstrokes from approval after city council agreed to sell the police station parking lot for $1 and a promise of parking spots.
The new owner of the Fourth Avenue parking lot is Saskatchewan Housing, which is overseeing development of a mixed housing project to include condos, apartments, assisted living units, shelter beds, office and retail space.
The terraced building will rise 95 metres, or 28 storeys, making it the province's tallest. Stoneset still needs city approval for the tower to rise higher than the 76-metre downtown height limit.
Regina's Delta hotel - that city's tallest building according to a city planner - is 84 metres tall.
"It means our skyline is finally changing," said Mayor Don Atchison before the meeting. "They're looking for cranes in our downtown. It's just a really positive sign."
Sask. Housing has tentatively agreed to let Stoneset Equities of Calgary develop the project, pending council's decision on selling the land.
Securing the land is the last step necessary before Sask. Housing and Stoneset strike a final deal, said Tony Argento, CEO of Stoneset.
In exchange for selling the land cheap to Sask Housing, the city gets 100 enclosed parking spaces to be used by Saskatoon Police Service in the short term. The new spaces will be built underground as part of the tower.
The police parking lot's market value is estimated at $2.6 million.
The city comes out ahead by selling the land for $1 plus development charges, said Mayor Don Atchison. Stoneset has estimated the value of the parking spaces at $27,000 each, or $2.7 million for 100.
"This (project) accomplishes a lot of things," Atchison said, listing off commercial and office space, parking for the police and later city hall, and new housing units.
Once the police service moves to a new station on 25th Street in about five years, the city plans to convert the old station to offices. City workers in that building would use the new underground spaces, freeing up other surface parking lots for development, said city manager Phil Richards. He referred to the lot at Fifth and 25th in particular as ripe for development.
"There's a domino effect here that's very good for downtown," Richards said.
Sask. Housing Corp. has already committed an $11.5-million grant to Lighthouse Supported Living Inc., which will manage the assisted living units. The city is giving Lighthouse 10 per cent of the capital cost of those units plus a five-year tax abatement on its portion of the project for a total contribution of $1.458 million.
The project's biggest challenges are underground. Tests show the water table is higher than expected, making it difficult to dig four levels of underground parking as planned.
The site is contaminated with hydrocarbons from its past use as a gas station. The extent of contamination isn't yet known.
Now that Stoneset knows about the high water table, it will rework the design after further drilling next month, Argento said. It hopes to start marketing the condos early in the new year and begin construction in late spring or summer.
During construction, Saskatoon Police Service has received permission from the city to park vehicles on 23rd Street East, which will be closed between Fourth and Fifth avenues, and on the north side of 23rd Street between Third and Fourth avenues.
The tower will have 120 assisted living units run by the Lighthouse project and 116 market-rate housing units.
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© The StarPhoenix (Saskatoon) 2008
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The lord works in mysterious ways ((s)he obviously had nothing to do with the design of that buidling).
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