The City of Calgary announced an agreement to build a $550-million-dollar venue for the Calgary flames, other sports teams, concerts and events.
The city signed an agreement with Calgary Sports Entertainment Corporation (CSEC) and the Calgary Exhibition and Stampede Ltd. to develop and construct the centre. In addition to the new event centre, the plan for the area adjacent to the facility includes a purpose-built outdoor festival space and infrastructure enhancements to Stampede Park to spur more development in Calgary’s Culture and Entertainment District.
“It obviously creates a stimulus of construction activity that is much needed,” said Bill Black, president of the Calgary Construction Association. “There is activity and there is construction, but we haven’t had many anchor projects – large ones that run for several years and create a backlog of opportunity.”
Black explained that the past few years have been difficult for the Alberta and Calgary industry and major projects like the events centre go a long way to improve business and inspire confidence.
“You start feeling beaten up after a while when you have a prolonged period of disappointment, a change in the volume of opportunity you can’t control,” said Black. “Projects like an event centre and a project of this scale always have a halo effect of other development that come on its heels. That whole East Village portion of Calgary is really developing into this new Calgary community. When you have world-class facilities, it increases the profile of your city.”
Black added that the development also helps promote the city as a great place for workers, companies and investment.
“There has been so much polarizing stuff like the provincial government change, pipeline issues – all valid issues – but at the end of the day we are a community, and these are the kind of nucleus-of-the-community developments that begin to hopefully get the city and excited and give us a spring in our walk,” said Black.
The cost of the event centre will be split between the city and CSEC. With its 50 per cent investment, Calgary will own 100 per cent of the event centre while CSEC will bear 100 per cent of the operating, maintenance and repair costs for the period of the 35-year agreement. The City will also receive a facility fee for the lifetime of the agreement and a portion of the event centre naming rights.
“City Council and I had a set of principles that had to be part of any deal, including that any public money must result in public benefit. I’m very pleased that this deal achieves that. It’s a good deal for Calgary. This deal makes sense on its own merits and we believe it will help accelerate the redevelopment of East Victoria Park,” said Mayor Naheed Nenshi in a press release. “Thank you to CSEC, CMLC, the Calgary Stampede, my colleagues at the City and especially Barry Munro who epitomizes the best of service and community building for working so hard to craft a deal that works for everyone.”
Located adjacent to the downtown core in East Victoria Park, the project will add to Calgary’s cultural district, which includes the BMO Centre, Arts Commons, the Calgary Central Library, Studio Bell and the National Music Centre.
The agreement was crafted after 14 months of review, analysis and consultation by Calgary’s Event Centre Assessment Committee which decided that the agreement fits with the long-term goals of the city.
The Calgary Municipal Land Corporation (CMLC) will lead construction and development management, including public consultation on the project’s design, programming and integration into the Rivers District. CMLC is the City-owned agency responsible for the revitalization of the East Village.
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