A new city hall report suggests that council hold off on deciding anything about the Coliseum until sometime next year. That way, the city can go to the real estate and development market with a fully worked-out plan after getting extensive public input.
Council has asked for ideas on what to do with the Coliseum and the 17 acres it sits on, north of 118 Avenue.
“Administration is recommending that an offer to the market is best positioned after council has approved a development concept in 2019,” says the report that was released to the public on Thursday. “Considerations and legal implications related to the existing agreements with the Oilers Entertainment Group and Edmonton Arena Corporation are also discussed.”
As part of a renegotiation, the city got out of a 10-year, $20-million sponsorship agreement with the Oilers on the downtown arena. By agreeing to tear down the Coliseum, the city will be able to keep $17 million.
The report offers two options for a Negotiated Request for Proposal (NRFP) and recommends a 2019 timeline as opposed to wrapping things up by this summer.
“This report provides an overview of the pros, cons and risks associated with various market-based approaches to redeveloping the Coliseum site within the broader Exhibition Lands planning area,” the report says.
Those pros and cons include demolition costs getting more expensive as time moves on, additional holding costs of $1.5 million a year on a vacant Coliseum and upsetting the neighbouring community by dragging out the length of time the city would take in going through its due diligence.
On the upside, getting the deal right would mean whoever takes over the site would have to absorb the demolition costs.
A parallel report from city staff proposes increased public consultation with the development community and other stakeholders. The expanded Communications and Engagement Plan would tie into a larger area redevelopment plan for the entire Northlands — 160 acres — that the report said “needs to be flexible and responsive” over the long term.
Council’s executive committee will debate the reports on Feb. 22.
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