Nearly nine years since the last airplane took off from Edmonton’s city centre airport grounds, the City said the timelines for the ensuing Blatchford development were “too aggressive” in hindsight.
But officials were still confident the City could meet its original timeline to grow the area to 30,000 residents by 2038.
According to a report released Wednesday, the original goal saw Blatchford having 250 residential units being built by 2015 and adding 500 annually by 2018.
Currently, less than 150 building permits have been issued. A City spokesperson said 45 houses in Blatchford are occupied.
Discussions at City Hall Wednesday revolved around expediting building processes, including potential involvement of the private sector, which has never wanted to be part of the project due to concerns over financial feasibility. Councillors at executive committee heard that the position of the private sector has not changed.
“The desire to be carbon neutral and net zero that adds a lot of cost,” said Kalen Anderson, executive director of Urban Development Institute Edmonton Metro. “And the fact that all of the homes are multi family — that kind of narrows the market.”
“The answer is no, right now there’s no interest in taking on this business model,” said Anderson.
According to last month’s housing report, the average townhome in Edmonton sold for $393,000. The asking price for townhomes in Blatchford currently start above half-a-million dollars.
All buildings in Blatchford are required to have net-zero emissions, mainly by connecting to the community’s direct energy sharing system, which builders say drives up the cost.
Anderson said private developers could get on board if the business plan became more feasible, which could mean compromising emissions goals or by allowing single-family units into the neighbourhood — something Edmonton’s mayor doesn’t want to do.
“Those things are not, in my view, the right approach to take,” said Amarjeet Sohi.
“What I hear from administration (is) that yes, they had a slow start but things are picking up now and we need to continue to advance on that.”
Councillors motioned to have city administration develop another report looking at market demand and affordability. It’s due in June 2023.