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City of Calgary expands incentive program to spur downtown revitalization project

A view of the Calgary Tower and the Calgary Stampede grounds seen from the Telus Sky building in Calgary, Wednesday, July 6, 2022. THE CANADIAN PRESS/Jeff McIntosh

The City of Calgary is expanding its Downtown Calgary Development Incentive in hopes of revitalizing its downtown core.

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According to a news release on Wednesday morning, the city’s new Downtown Calgary Development Incentive Program will provide grants to building owners who might want to convert their empty office spaces into schools, hotels and performing art spaces.

The grants, ranging from $10 million to $15 million, will help streamline the approval process for larger projects by removing the need for council approval.

“What happens downtown has a direct impact on our city’s livability and economic success in terms of revenue, tax base and ability to provide services,” Mayor Jyoti Gondek said in an emailed statement.

“As the demand for urban living remains high, the natural next step is to expand the program to develop both more residential units as well as projects that create amenities and services for residents close by.”

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The city also announced two new programs to help make downtown more attractive to live in and visit.

The Downtown Post-Secondary Institution Incentive Program will provide financial incentives for post-secondary institutions to establish campuses downtown. The program is a successor to last year’s pilot project to convert empty office space to house the University of Calgary’s architecture school.

The new post-secondary incentive program aims to increase downtown’s vibrancy by attracting students, which will support local businesses and encourage new businesses to be established. According to Wednesday’s release, there are specific program criteria for applicants, approvals and funding sources for future conversions.

The new Downtown Office Demolition Incentive Program will help fund the demolition of buildings that are deemed not suitable for conversion or reuse. It will support non-office redevelopment and create new public amenity spaces, the city said.

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Currently, the city has earmarked $3 million for this program and additional funding may be possible depending on grants and demand.

“The Downtown Calgary Development Incentive Program was created to remove excess office space from downtown, support downtown vibrancy and ultimately support the city’s fiscal sustainability by restoring downtown property values,” said Natalie Marchut, manager of development and strategy for the city’s Downtown Strategy.

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