Council has approved a development incentive for a project that will bring four townhouses to the city’s rental market.
Members voted July 23 in favour of the incentive, worth up to $500,000 over 10 years, for Jamie Milligan, who’s building the four-unit townhouse development at 1515 Dogwood St. in Porter Creek.
“I feel this is policy in action,” Coun. Rob Fendrick commented before the vote. This is exactly what the city wanted when the incentive policy was developed, he added.
In this case, it will mean more rental housing on the market.
The development incentive policy was put in place to encourage various types of development in the city such as rentals, mixed-use development and supportive housing.
Developments must meet certain criteria to receive the grant each year, with the amount based on the increase to property taxes as a result of the improvements on the land.
“The Development Agreement lists the total value and timeline of the major development incentive and specifies that the rental housing must be owned and operated by Mr. Milligan for a minimum of 10 years, or he will be required to repay the city for all grant money disbursed,” it was noted in a previous report to council.
“However, the agreement can be transferred in full to another owner with city approval, if the owner chooses to sell or transfer the property.”