Once again a ‘hoary chestnut’ emerges from the depths of Vic Hall. Read the post in “Cobourg News” here

The former CDCI West Sports Field land, which was purchased from the KPR School Board is now on the agenda for consideration for redevelopment. The latest wrinkle in the Town’s efforts to get something done with the land. To sum up the Town purchased the land for $2M in 2022. In 2023 the Town decided to seek a developer to buy the land if they agreed to the Town’s conditions. In 2024 an RFP was issued seeking proposals on the land which included the condition of including “affordable housing (AH)”  – whatever that is considering there is no definition of AH in the Province that is workable.

Two proposals were received from developers, and one was received from a local business but deemed ‘out of scope’. The upshot is that the RFP has now been cancelled – apparently the developers did not like the conditions of the RFP. At a recent committee meeting it was decided to reissue the RFP to make the proposal amenable to more buyers.

The BIG question is “WHY”? What is the rush to get rid of an investment that can afford to sit there. After all land appreciates in value fast. and the lost interest of the cash spent of $74K p.a. is easily recouped by the increase in value of the land.

The RFP is supposed to reflect a relaxed and flexible atmosphere. But it is recommended that it be sold with the following conditions:

• The land be rezoned to be ready for development
• Sever off the portion required for the Boardwalk (which is anyway not suitable for building)
• That the requirement for affordable housing be changed from “required” to “encouraged” – perhaps include rentals? Staff note that “the local Service Manager (Northumberland County) had the opportunity to purchase the lands for affordable housing projects; however, the sale was not pursued.”
• Be specific about how much land should be used for parkland.
• Resolve how the land would be serviced for sewer and water.

Again another question “How can the RFP be issued before any of these conditions are satisfied?”  The resolution of these conditions will take time, the rezoning years at least and a sewage study, which will require a consultant, which will cost the Town. These conditions should be paid for by a purchaser not the Town.

So to make it easy we say that the land should be placed on the open market, as is (the buyers should not get any development subsidies), at a valuation based on being suitable for the maximum amount of units allowed in the Official Plan in the highest zoning available – R5 3.5 acres multiplied by the number of units allowed in that zone – 55 = 192 units. That valuation should be at least $7 – $9 million.

So the Town, if they want to recoup their investment – realising that they will only get 50% of the profit, should put the highest sticker price they can on the land and wait for buyers – There is no Rush