From the City of Kamloops' news release.
City Council has taken another bold step to create attainable housing on the North Shore and further revitalize the Tranquille Corridor through a collaboration with the Kamloops Community Land Trust Foundation (Land Trust) and the BC Builds Housing Development Opportunities Program (BC Builds) that could see a 90-unit, six-storey market housing development built at 377 Tranquille Road, the former site of the Northbridge Hotel.
This would mark the inaugural transaction between the City and the newly formed Land Trust—a foundation established to facilitate housing opportunities in the community—and would result in the addition of housing that middle-income households can afford in our community.
“We are excited to be part of realizing last Council’s vision for this property and providing attainable housing for middle-income residents,” said Deputy Mayor Stephen Karpuk. “We share their commitment to the redevelopment of the Tranquille Corridor, to improving the safety of this area, and to facilitating more attainable market housing for our residents, and this project does it all.”
The City has been working to identify redevelopment options that would include an affordability component, and in May of this year Council authorized use of the property as a BC Builds site opportunity, subject to the transfer of the property to the Land Trust.
BC Builds is a provincial program that matches landowners with developers and provides viable projects with below-market financing and grants to lower the cost of construction.
“Teachers, nurses, construction workers, and other middle-income people need more housing options in Kamloops, and that’s what BC Builds was designed to do,” said Ravi Kahlon, Minister of Housing. “With great partners like the City of Kamloops, we’re taking action to unlock land and ensure middle-income housing gets built, faster and more in line with what households earn."
Following the review of applications from developers through the BC Builds Housing Development Opportunities site, Arpa Investments has been selected as the successful proponent.
The selected proposal includes a blend of studio, 1-, 2-, and 3-bedroom units consistent with the City’s provincially mandated housing targets mix. The final unit mix will be determined as design work progresses. Under the BC Builds program, 20% of the units must be rented at 20% below the market rent for a minimum of 35 years; therefore 18 units will be below-market units.
The selected proposal’s design includes 7,600 square feet of ground floor commercial space and 23 off-site parking stalls at 320 Tranquille Road. The estimated time of occupancy of the building is fall 2026.
The project is still subject to final review and funding approval by the Province.
Background
The property at 377 Tranquille Road is centrally located along the Tranquille Market Corridor, which is the historic commercial heart of the North Shore and is identified as one of the key redevelopment areas in the North Shore Neighbourhood Plan.
The City purchased the property in 2021 with the intention of redeveloping it to create much-needed new affordable and market rental housing in Kamloops that supports the long-term redevelopment of the Tranquille Market Corridor, as outlined in the North Shore Neighbourhood Plan.
The latest version of the North Shore Neighbourhood Plan was adopted in 2022 following extensive, multi-year community consultation. In the plan, the area is envisioned as the primary pedestrian-oriented commercial, cultural, and economic mixed-use corridor that includes a diverse mix of retail, office, entertainment, residential, and community uses.
At the time of purchase in October 2021, the former Northbridge Hotel housed 54 tenants in 51 rooms. Given the poor condition of the building and furthering the intent to redevelop the property, the City worked with ASK Wellness and BC Housing to help find suitable alternative housing for the tenants.
The building was demolished in 2024 at a cost of $2.78 million. This action decreased liability associated with a vacant building, improved the safety and general aesthetic of the area, and made the property appeal to a broader development market.
BC Housing purchased the Campbell Avenue lot in partnership with ASK Wellness, and recently broke ground on The Confluence, an 80-unit affordable housing complex for families and seniors with low to moderate incomes, which is supported by the Building BC: Community Housing Fund.
Financial Outline
The City purchased 377 Tranquille Road and 346 Campbell Avenue in October of 2021 for $7.15 million. At the time of purchase, the City had an agreement with BC Housing to purchase 346 Campbell Road for $3.74 million plus interest, resulting in a total payment of $3.81 million when the transfer was finalized in June 2023.
The cost of the demolition was $2.78 million and the City will receive payment of $2.66 million back from the project as part of the redevelopment.
During the operation and then subsequent demolition of the building, expenses exceeded operating revenues by approximately $632,000. Applying the demolition cost repayment of $2.66 million, the City’s total investment in the property is approximately $4.04 million. The estimated market value of the property is $3.9 million.
As a condition of the project approval, the City will lease the property to the Land Trust for a nominal amount ($10.00) for 60 years. The City will retain ownership of the land.
Comentários