The new building proposed for 100 Range Rd. by Chilkahit Holdings Inc. will be a positive development for the city, insist two city councillors.

On Monday evening, prior to voting unanimously on second reading of the bylaw to amend the city's Official Community Plan (OCP) to allow for the large development, both councillors Florence Roberts and Doug Graham voiced their support for the project.

"I have no qualms with a 7,500 square metre building with specified uses and I hope we can stipulate in the development agreement that the retail space will be curtailed," Roberts said.

Under the OCP, the maximum gross floor for development on the highway is 1,500 square metres.

Chilkahit is proposing to construct the building to include a 5,500 square metre office, minor retail and a warehouse to consolidate all its businesses.

At previous council meetings, the company has told council the move will mean a number of business spaces opening up downtown and taking its major truck traffic out of the city's core and keeping it around the Alaska Highway.

One speaker at a public hearing on the amendment argued that permitting the building could eventually lead to big box stores being erected on or near the highway. But Roberts said she's confident the amendment won't foster big box development in the area.

Her biggest concern was addressed with confirmation the new warehouse wouldn't interfere with the activities of nearby Trans North Helicopters.

The project will mean land being freed up downtown for future development, she said. Some of the specific issues can be dealt with through the development agreement when it comes forward after the zoning and such are dealt with.

Like Roberts, Graham noted the project will have a number of benefits for the city.

"Not only will it reduce the traffic in the downtown core, but it will give us some redevelopment options down there as well," he said.

With such a small percentage of the business being retail, Graham argued, this doesn't constitute big box development.

The proponents have also said they don't have a problem putting a restriction on the retail development, Graham said.

While Graham argued there are few land options for a development that big downtown at a reasonable price, Coun. Dave Stockdale said there are a few other locations it could go in, such as Burns Road and other sites.

He also commented though that he understands the proponent's reasons for locating to the Range Road site and doesn't object to the current proposal.

Prior to third reading and adoption of the OCP amendment, the city will have to get territorial government approval.

After that, there will be a number of other processes before the development can get started.

The issues of zoning, development permits and a full land use application will have to go to NAVCANADA and Transport Canada because the site is so close to the airport. That's proposed to be done after the OCP amendment.

Chilkahit told the city a preliminary review of NAVCANADA regulations was done and taken into account during the design of the project.

Coun. Dave Austin was absent from Monday's meeting.