An ultimatum by the developer of Rampart Avenir isn’t sitting well with at least one member of city council.
A proponent of the proposed development blasted city council and administration in the media earlier this week after a vote didn’t go his way. Rampart Avenir CEO Gerry de Klerk said the city will lose the project if council doesn’t approve its bid when it comes back to council July 11.
That didn’t impress Coun. Cam MacKay.
“I’m disappointed in their approach by going around the public hearing and going directly to the press because that’s unfair to somebody that lives in St. Albert that doesn’t have access to media that might want to have a say,” MacKay said.
Rampart Avenir wants to build a residential development in the city’s northwest corner. It is seeking an amendment to the municipal development plan, which assigns specific land uses to specific areas. If approved, the developer would then form a more detailed area structure plan, which would also need council approval.
The MDP amendment has received first reading and is in the middle of a public hearing that council voted to adjourn until July 11.
In the days since the council meeting, de Klerk has emailed council with news articles that highlight the virtues of suburban development and clean technology. In another instance, he highlighted his own company’s charitable work.
Rampart Avenir conducted a similar information campaign prior to an April 2010 council vote. That effort successfully convinced council that Carrot Creek is an environmentally sensitive area and should therefore have residential and not industrial development adjacent to it.
“I can understand the pressure,” MacKay said of de Klerk’s most recent campaign. “They’ve invested money and they’d like to do business and we’d like to do business with them but I don’t think business works well when it’s just constantly a pressure game.”
Coun. Cathy Heron is new to the tactics of developers but has already gained some exposure since taking her seat in October.
“I’ve seen it with other developers already. Some are very quiet and just sit back and wait and some are very aggressive,” she said.
“I would say that Rampart Avenir and [project director] David Bromley are aggressive but they believe in their project so I don’t fault them for that.”
Bromley first went public with the Avenir concept in May 2009. Since then, he’s repeatedly complained publicly about the length of time it’s taking to get the project through the city’s approval process.
Several factors have contributed to the process length. One is the fact the Avenir vision of a clean technology mixed development actually involves a joint submission of three developers and three adjacent properties.
One of the properties has a landfill that contains construction waste. The city, the developer and Alberta Environment are involved in forming a plan to remediate the site.
The latest delay is due to the fact that a required approval from the Capital Region Board hasn’t yet come. That one is out of the city’s hands, said Coun. Malcolm Parker.
“I can appreciate their frustration … that’s just the way the process works,” he said.
“I think we are moving forward. I would venture to say that decisions will be made sooner rather than later,” he added.
On July 4 council will discuss a recent report highlighting the need for industrial land in St. Albert. This could impact council’s decision on Avenir decision because that land had been viewed as desirable for industrial, Parker said.
Three Avenir-related motions are scheduled to come to council this coming Monday, which is another factor that has added time to the process, Parker said.
Rampart Group bought the land in 2006. de Klerk said his company has invested $17 million in the project, including the land purchase, and is burning through $75,000 a month keeping it going.
“I never use pressure tactics. I never issue ultimatums. I only issue simple facts,” he said. “The simple fact is that … it becomes almost impossible to earn a return on investment on that money because of the feet-dragging and obstacle-raising by the city.”
MacKay said he’s actually feeling good about the Avenir development even though it hasn’t been adequately explained to him why a decision is required so urgently.
“I think it’s a favourable development however I’m certainly not impressed with the latest tactics that are employed,” MacKay said.
“Real estate development is the most profitable business on the planet but it’s also the highest risk,” he added. “If you’re looking to triple or quadruple your money, you’ve got to be prepared to deal with that.”
