A multi-level parkade at Third Avenue and Steele Street would feature a ground floor of commercial space and three upper levels of parking space, if a group of investors including long-time Whitehorse businessman Tippy Mah have their way.

At its meeting Monday evening, city council unanimously passed first reading of a bid to change the zoning of the property where one of two of the city's current parking lot sits.

Before council made its decision, Carel Alexander made a presentation with some details of the group's proposal.

"Our purpose for this investment is to address the issue of downtown parking,” said Alexander, who helps manage many of Mah's Whitehorse business interests.

The city has explored the possibility of building and operating a multi-level parkade in the past, but found it to be too expensive.

The investors approached the city in February with a proposal that it buy the land the city currently uses as a parking lot to build the multi-level parkade.

Under city policy, though, for the city to sell land, it must go out to public tender.

The proposed rezoning would see the site go from its current Core Commercial zone to an entirely new Commercial Parking Garage zone. The new zone designation would require certain standards of a parking lot development.

Among the regulations would be a minimum requirement of 80 parking spaces provided, design guidelines and others that would have to be met.

The zoning also allows developers to have commercial and residential space in the parkade, though Alexander said Mah and other investors have no interest in putting in residential space.

As Alexander, with Mah standing next to her, told reporters after the meeting, the investors don't want to become residential landlords or venture into condo corporation endeavours.

There is also no interest on the part of investors, she said, to put a restaurant into the commercial space proposed for the ground floor.

Talks are underway with potential commercial operators interested in setting up shop in the facility, though she would not say who those operators are.

"I can't say at this time,” she told reporters, taking her lead from Mah. She was also unwilling to divulge the identities of the other investors.

She stressed to council the vision the group has for the property is one which features the bottom level of commercial space with three levels of parking, estimated to provide 120 spaces for vehicles.

If the group is successful in being awarded the tender to buy the property, the project will be dependent on having commercial tenants, she said.

"We wouldn't go forward unless everything lined up on the first level (of the parkade),” she said.

Just how much is charged for the parking spaces at either an hourly or monthly rate is still unknown.

As Alexander explained when Coun. Ranj Pillai questioned how the rates would compare to what the city is currently charging, the investors will have to determine how many parking stalls would be available on a monthly basis and how many will be available on an hourly basis.

Both Councillors Florence Roberts and Dave Austin were quick to note their support for a multi-level parkade. Roberts said it would be good to have more than one level for parking available downtown, while Austin said it was positive to see something happening on the matter.

Each of the council members there (Coun. Doug Graham was absent last night) raised their hands to approve first reading of the rezoning.

That now pushes the rezoning to a public hearing set for the May 10 council meeting.

A report on the input from that will come forward to council on May 17, with second and third readings then set to come forward at the May 25 meeting.

In the meantime, city staff are continuing to work on consolidating the lots which make up the current parking lot and drafting the tender documents and potential sale agreements.

Those documents are proposed to include clauses that the land owner must get a building permit within two years of being awarded the tender and start construction within four years of the tender award or the land would revert back to the city.

As city officials explained last week when the issue arose, that clause is suggested to ensure the building is constructed in a timely manner with few delays.

The tender is expected to go out in late May, with it expected to be awarded in late June, a process that would allow construction to start this year.

Alexander acknowledged the possibility the investors proposing the project may not end up with it.

However, she noted they are continuing to pursue it, having been informed from the beginning that the city cannot sell such land directly to interested purchasers, as per city policy.

Mah has other vacant land available in the downtown area, such as the site of the former Pioneer Inn, demolished in 2009, as well as the property next to his 202 Motor Inn.

Investors opted not to pursue a parkade at either of these because neither is close enough to Main Street, Alexander explained.

If a parkade is to be built, she said, it's important it be next to Main Street, as the Steele Street property would be.