'We're at a critical point': City committee endorses updated action plan to incentivize industrial development
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Calgary's industrial growth has stagnated in the last 10 years. Rather than establish operations within city limits, many corporations have instead chosen to set up manufacturing plants or distribution centres in Rocky View County, where land is cheaper, taxes are lower and development levies are less cumbersome.
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Balzac, in particular, has become a logistics and transportation hub for many conglomerates in the last decade. The Rocky View County hamlet just north of Calgary city limits is now home to distribution centres for Amazon, Lowe's, Walmart and Sobey's, among others.
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A report from Avison Young determined the region outside of Calgary was responsible for 90 per cent of net new building in the Calgary region from 2018 to 2024.
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'Cost pressures felt on land development and business operations are currently making Calgary a less attractive option within the region and developers are not starting new industrial parks within the city,' said Lesley Kalmakoff, coordinator of the city's growth strategy.
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With the goal of addressing what's often dubbed the 'county advantage,' Calgary city council's infrastructure and planning committee on Wednesday unanimously endorsed a new industrial action plan, as part of a citywide growth strategy.
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The action plan — updated from a previous plan that council approved in 2021 — aims to leverage Calgary's strengths against its rural neighbours; convert land uses to enable more industrial or mixed-use development; and improve the city's overall attractiveness to industrial businesses.
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The plan proposes to assess conversion opportunities to achieve a mix of industrial, commercial and residential land uses; amend the Municipal Development Plan to enable residential and industrial development in targeted locations; and update the industrial land use districts in the new zoning bylaw, among other recommendations.
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The city's strengths, according to the report, include Calgary's location, labour pool, existing industrial networks and city services that include readily available fire and police response, as well as access to a public transportation network.
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