Agenda Item No.:__E.1.c.________
Edmonton’s Industrial Land Strategy: Responses to Councillors’ Questions
Recommendation:
That the following report be received for
information.
Report Summary

This information report responds to
Council members’ questions regarding
the Industrial Land Strategy.
Previous Council/Committee Action

At the Council meeting on July 2, 2002,
City Council passed the following
motion:
That Council members provide written
questions to the Office of the City Clerk
by 5:00 p.m. on July 12, 2002.
(Attachment 1 of the July 2, 2002 City
Council minutes).
That the Industrial Land Strategy and
responses to Councillors’ questions be
brought back to the August 27, 2002
City Council meeting.
Report



Members of City Council submitted a
total of 30 questions related to the
proposed Edmonton’s Industrial Land
Strategy, by July 12, 2002. Attachment
1 is a list of the questions.
Administration prepared answers to the
30 questions for review at the City
Council meeting of August 27, 2002.
Attachment 2 contains the answers.
The questions and responses have been
reviewed by stakeholders, including
representatives of the Urban
Development Institute, the Edmonton
Routing:
Delegation:
Written By:
August 09, 2002
File: 2002PDP077rev1
City Council
Larry Benowski
Gord Jackson/Angela Hingston
Planning and Development
(Page 1 of 1)
Real Estate Board and Economic
Development Edmonton.
Background Information Attached
1. City Council Minutes July 2, 2002, Item
E.1.h. “Edmonton’s Industrial Land
Strategy: Councillors’ Questions.”
2. Edmonton’s Industrial Land Strategy:
Responses to Councillors’ Questions.
E
1
c
Attachment 1
City Council Minutes, July 2, 2002, Item E.1.h. “Edmonton’s Industrial Land Strategy:
Councillors’ Questions.”
ATTACHMENT 1 TO CITY COUNCIL MINUTES, JULY 2, 2002, ITEM E.1.h.
EDMONTON’S INDUSTRIAL LAND STRATEGY:
COUNCILLORS’ QUESTIONS
Councillor S. Mandel
1.
Why do we need a 3 years supply of serviced industrial land? How much has turned over
in the past 3 years?
2.
What are some of the new financial methods the strategy plans to put in action?
3.
Cost of industrial land both to sell & to buy are extremely relevant. What is the current
estimate to service an industrial lot of 1 acre and what does it sell for?
4.
Is there a comparison for our ACRA neighbours on the same 1 acre lot?
5.
What do you mean by “equitable cost sharing”?
6.
How much consulting have you had with this industry? At what level? Do you expect to
do more?
7.
When you state that the City is going to be active in the Industrial Land market. Is that as
a service & supply of lands? Will you maintain a market view or a view to supply lands
to users as a means of promoting our City?
8.
At Executive Committee the President of UDI talked about servicing costs in the City vs
County. Ours were substantially higher. Will you address this issue? Would you look to
service a special market?
9.
Our biggest advantage is people & access to other services that might relate to the
industrial user. Should we focus on infrastructure i.e. 156 St. overpass from east to west
side of Anthony Henday on 111 Ave, improved truck routes to facilitate the movement of
goods & services rather than the sales function?
10.
If we look at playing a role through strategic land acquisitions. How will that factor into
our 5 year policy for buying land?
11.
It appears that this is part of EDE’s responsibility is that so? How do they do it? How
effective is their web site for industrial land or as well as our own?
12.
Do we have a strategy that is based on a competitive market? Will our Edmonton
industrial areas go after a certain specific segment of the market and will the kind of
Attachment 1 - Page 1 of 3
Attachment 1
City Council Minutes, July 2, 2002, Item E.1.h. “Edmonton’s Industrial Land Strategy:
Councillors’ Questions.”
servicing be done commensurate with those kind of users? As per 5E Building
Infrastructure in your presentation.
13.
What will you do to enhance marketing? For what purpose? From what budget?
14.
Will the industrial development approval process #3 be used both for land development
as well as building construction?
Councillor M. Phair
15.
Administration reported that it was useful to have available a 3 year supply of industrial
land. Is not the issue really the 'quality' of that supply--location, size of property and
proximity of servicing? If this is the case how would the city 'rate' the current supply
against such criteria?
16.
In developing and promoting industrial land and industrial land use/sale, what role(s) has
the city played in the past? What role does the city currently play? If this land strategy
were passed by Council, what would be the future role of the city?
17.
On behalf of the city, what role does EDE play in all of this?
18.
What kind of knowledge does the city have about industrial land availability and sales in
the region outside of Edmonton, including the 'quality' of the land? Who are the major
competitors of Edmonton? What advantages/disadvantages does Edmonton have in
comparison to its competitors?
19.
How does the city designate areas as suitable for industrial development?
20.
Has the city considered the desirability of the lands south of Heritage Valley to the city
boundary and bordered by Highway 2 for industrial lands? Are these lands not within 1015 minutes of the International Airport?
Councillor K. Leibovici
21.
UDI indicated that they were concerned about the City’s role. The question posed was “is
the City a land developer or is the City’s role to attract business and sell at market value?
22.
How are “targeted minimum levels” or “adequate supply of industrial land” determined?
Specifically, what are the determining factors, and what percentage of serviced industrial
land vs unserviced land is considered an “adequate supply”?
23.
As services such as public transit and emergency response are provided to support
business activities, has there been any consideration given to having businesses pay
specifically for these services?
24.
As developers generally pay for roads and other infrastructure, will purchasers of City
developed industrial lands be required to pay for these services?
Attachment 1 - Page 2 of 3
Attachment 1
City Council Minutes, July 2, 2002, Item E.1.h. “Edmonton’s Industrial Land Strategy:
Councillors’ Questions.”
25.
In the Forecast land requirements 2001 – 2010, are any of these lands serviced? If yes,
what percentage?
26.
Recognizing that industrial areas are employment centres, will future Capital Priorities
Plan include information on additional transit requirements and potential rapid transit
links to the industrial areas of the City?
27.
Has the report on goods and services movement in Edmonton and surrounding areas been
completed?
28.
Rather than working until 2006 to propose additional transportation infrastructure
projects, would the Transportation and Streets Department consider integration of rapid
transit along major arterial roadways and highways to industrial areas such as Northwest
Edmonton?
29.
Which projects would be fast tracked and which new projects would be undertaken as a
result of a new storm water drainage utility?
30.
How does the City “actively market” its industrial properties?
Attachment 1 - Page 3 of 3
Attachment 2
Edmonton’s Industrial Land Strategy: Responses to Councillors’ Questions.
EDMONTON’S INDUSTRIAL LAND STRATEGY
RESPONSES TO COUNCILLORS’ QUESTIONS
Question 1
Why do we need a 3 years supply of serviced industrial land? How much has turned over in
the past 3 years?
Part A
Through Plan Edmonton, Council directs Administration to “Ensure an adequate supply of
industrial land.” “Adequate supply” is interpreted as being a sufficient amount of land to offer a
choice of sites with suitable location, characteristics and cost, to businesses wanting to locate or
expand in Edmonton.
The policy to maintain an adequate supply of land leads naturally to the establishment of a
quantitative target. The target is based on three principal factors.

From an economic development perspective, the land supply should be sufficient to offer
businesses with an interest in an Edmonton location a selection of suitable industrial property
at a competitive price.

The advantage of a large inventory of “ready to go” industrial properties is counterbalanced
by the cost of maintaining the inventory to both land developers and infrastructure providers.
A more restricted land supply helps to maintain price levels and allow for quicker recovery of
investments. Urban Development Institute representatives have indicated a preference for
setting the target at two years or less.

The development process from raw land to construction of industrial buildings can take two
years or more, depending on the infrastructure (roads, drainage, telecommunications, gas and
electrical power) required. Obstacles, such as environmental contamination, can further delay
the process. In periods of robust economic growth, building activity can consume land faster
than it can be serviced, resulting in land shortages.
Setting the target for serviced industrial land is striking a balance between optimal conditions for
economic development and optimal business and investment conditions for land developers and
infrastructure providers.
The recommended target is a 3 year supply of industrial land. The supply should consist of an
approximate 2 year supply of fully serviced lots and enough immediately serviceable land to
meet or exceed the three year target.
Attachment 2 - Page 1 of 27
Attachment 2
Edmonton’s Industrial Land Strategy: Responses to Councillors’ Questions.
Part B
There is currently no complete and reliable database for industrial land absorption in Edmonton
or the Edmonton region. The following tables contain information on land sales and servicing
agreements.
Edmonton Industrial Land Sales – 1996 to mid-2002
Year
1996
1997
1998
1999
2000
2001
2002 (1/2 year)
Total
6.5 year average
Estimated Industrial
Acres Sold *
218
712
769
322
275
385
43
2,724
419
* Sales data are estimates for serviced and partially serviced industrial land in Edmonton
based on annual updates of in-house data banks.
Edmonton Industrial Land Servicing Agreements – 1996 to mid-2002
Year
Acres Subject to Land Servicing
Agreements in Industrial Areas #
1996
1997
1998
1999
2000
2001
2002 (1/2 year)
Total
6.5 year average
21
72
15
316
289
80
108
902
139
# Servicing data are from servicing agreements signed by the City of Edmonton and
industrial land developers including the City’s Real Estate Services Section.
Attachment 2 - Page 2 of 27
Attachment 2
Edmonton’s Industrial Land Strategy: Responses to Councillors’ Questions.
The Industrial Land Strategy Demand Study, prepared for the Industrial Land Strategy, forecasts
that Edmonton’s 8 major industrial sectors and industrial office parks will generate demand for
up to 320 net acres of land per year within Edmonton over the next ten years. This is consistent
with the rate of development over the past six years.
Question 2
What are some of the new financial methods the strategy plans to put in action?
Upon approval of the Industrial Land Strategy, Administration will work, in co-operation with
private sector developers, on new approaches to financing the development of public (i.e. offsite) infrastructure that are sensitive to the particular characteristics of industrial land
development. The objective will be to adjust policies and mechanisms in response to concerns
raised by industrial developers and in recognition of the diverse nature of industrial development,
to ensure that City processes support rather than hinder industrial land development.
Some of the topics open to discussion include, but are not limited to:

adoption of per-hectare charges to pay for new stormwater systems for all industrial
development;

development of a “one-window” approach to determining all developer costs payable to
the City;

use of a standardized over-sizing levy for sanitary sewer lines of 375mm. diameter or
larger in new industrial areas;

implementation of the arterial road assessment for industrial areas;

more extensive use of local improvement levies to finance infrastructure; and,

City financing of major infrastructure to facilitate industrial development.
Council has already approved the creation of a stormwater utility that will help to resolve
development constraints due to restricted stormwater management capacity in some industrial
areas. The Northwest Business Revitalization Zone created by Council in 2002 is the first case of
a BRZ being created with the primary objective of partially financing a municipal public work
(i.e. 184 Street / Yellowhead Trail overpass).
Attachment 2 - Page 3 of 27
Attachment 2
Edmonton’s Industrial Land Strategy: Responses to Councillors’ Questions.
City land development activities will also create opportunities to share costs through joint
ventures and co-operative development with private owners, to overcome obstacles to
development.
Question 3
Cost of industrial land both to sell & to buy are extremely relevant. What is the current
estimate to service an industrial lot of 1 acre and what does it sell for?
The cost of industrial land includes the cost of the raw land, the engineering and construction
costs of servicing the land, a number financing, legal, planning, business and marketing costs and
a profit for the developer. There can be large differences in the cost of servicing industrial land
based on: site characteristics; the nature of the planned development; special requirements of
industrial business clients; requirements for public and private infrastructure (i.e. roads, drainage,
gas, power, communications, rail); and, engineering and construction costs at the time the work
is done.
In Edmonton generally, industrial land servicing costs are in the $85,000 to $125,000 per acre
range, assuming paved roads with underground storm and sanitary sewer services. Proximity to
roadway and utility access are the primary cost factors, but in some areas soil quality can also
have a significant impact. The following table provides examples of estimated servicing costs
for two areas for “medium industrial” land uses, one in the Northwest Industrial area, the other in
the Southeast Industrial area.
Industrial Land Servicing Engineering and Construction Cost Estimates
Project A
Project B
First 25 acres
$ 96,000/acre
First 10 acres*
$160,000/acre*
Next 35 acres
$ 68,000/acre
Next 80 acres
$ 78,000/acre
Next 69 acres
$ 48,000/acre
Last 20 acres
$10,000/acre
Last 15 acres #
$150,000/acre#
Total cost: 144 acres
$10,342,000
Total cost: 110 acres
$8,040,000
Average cost – gross
$71,800/gross acre
Average cost – gross
$73,100/gross acre
Average cost – net
$95,800/net acre
Average cost – net
$97,500/net acre

* Stormwater pond construction required

# Road construction required
Attachment 2 - Page 4 of 27
Attachment 2
Edmonton’s Industrial Land Strategy: Responses to Councillors’ Questions.
The real estate market sets the price for industrial land. Estimated current prices for fully
serviced industrial land are in the range of $150,000 to $190,000 / acre. Premium or specialty
sites can exceed $200,000. Lower priced industrial land with incomplete servicing is available in
Winterburn Industrial Area with prices in the range of $65,000 to $90,000/acre.
Selling prices for industrial land reflect the servicing costs to some degree, but price is more
dependent upon supply and demand as determined through the market. Until the late 1990’s,
there was a large inventory of serviced industrial land for sale at prices less than the cost to
service new inventory.
The inventory was largely absorbed during the late 1990’s which, in turn, led to price increases to
a level where new development became feasible. Prices for individual sites will vary from parcel
to parcel depending upon zoning, size and location, but generally, industrial land development
today provides some modest profits.
It is worth noting that industrial land development is often carried out more as a necessity to
ensure inventory rather than as a profit centre, as many industrial developers are more active in
the building construction and/or leasing business than raw land development.
Question 4
Is there a comparison for our ACRA neighbours on the same 1 acre lot?
It is very difficult to compare industrial land prices between municipalities since many
qualitative considerations set the market price. The following table gives examples of listed
industrial land price in other municipalities.
Examples of Advertised Prices for Industrial Land in the Edmonton Region
Location
Advertised
Price
Description / Source
Strathcona County,
Near Sherwood Park
Fwy
$125,000/acre
Serviced 10 acre lot in established industrial area. Source:
JJ Barnicke web site
Strathcona County,
Sherwood Industrial
Estates
$126,000/acre
Serviced 2.2 acre lot in established industrial area
Leduc County, Nisku
Business Park
$35,000 to
$80,000/acre
Source: Strathcona County web site property locator
Serviced (rural standard) industrial and commercial 1 acre
to 30 acre lots. Source: Garstad & Whittingham Realty web
site.
Attachment 2 - Page 5 of 27
Attachment 2
Edmonton’s Industrial Land Strategy: Responses to Councillors’ Questions.
St. Albert, Campbell
Business Park
$95,000/acre
Initial six of twenty four lots listed by the City of St. Albert
in established light industrial area, approximately 1.4 acre
lots. Source: Economic Development and Tourism, St.
Albert newsletter and web site.
Parkland County,
Atcheson Industrial
Park
$45,000 to
$60,000/acre
Serviced (rural standard) properties in established business
park. Source: County of Parkland web site
Average price County
of Strathcona
$80,000 / acre
Generalized average for serviced land estimated by
Strathcona County staff responding to City of Edmonton
survey.
Some parcels in the Capital region have lower servicing costs because of lower standards (e.g.
gravelled roads and ditch storm drainage) but these savings are partially offset by higher in "onsite construction costs" due to the owners need to provide their own water, sanitary services and
storm settlement ponds.
Question 5
What do you mean by “equitable cost sharing”?
The reference to ‘equitable cost sharing” is derived from City Council’s equitable relationship
program that addresses the City’s relationship with other levels of government with respect to
providing and paying for infrastructure and services to people and businesses.
A number of items directly affecting industrial development and falling under Provincial or
Federal responsibility are suitable topics for discussion, including federal and provincial
assistance to upgrade the capacity of the Yellowhead Trail (Trans Canada Highway) within
Edmonton. The Administration will bring to the attention of the Provincial Government the
detrimental effect of the Province’s capital funding programs on the city’s competitiveness. The
City will request equitable participation by the Province and the Federal Government in
financing economic development.
Question 6
How much consulting have you had with this industry? At what level? Do you expect to do
more?
During preparation of the Industrial Land Strategy, members of the development industry were
involved in consultation that took a variety of forms as listed below.
Attachment 2 - Page 6 of 27
Attachment 2
Edmonton’s Industrial Land Strategy: Responses to Councillors’ Questions.
It is the City’s intention that implementation of the Industrial Land Strategy will involve ongoing
co-operation and consultation with industrial developers, realtors, industrial businesses and other
partners. One or more ongoing advisory committees will be established with stakeholder
representatives. The advantage of a Team Edmonton approach to industrial land development is
recognized by the City and its partners.
List of Consultation and Information Sharing Opportunities
1.
Industrial Land Strategy Workshop
Members of the industrial development industry and the civic administration participated
in a facilitated workshop to discuss industrial development issues, future prospects, key
strategy components, processes and roles. A summary of workshop proceedings was sent
to all participants.
2.
Industrial Land Strategy Demand Study
A study examining Edmonton’s economic strengths and the demand for industrial land
was completed by consultants. The work involved face to face interviews with 65 leaders
of industrial businesses and industrial development and real estate organizations. Copies
of the draft final report were sent to the participants of the initial workshop, the
Edmonton Construction Association and the Urban Development Institute.
3.
The Co-ordinating Committee
The strategy was developed under the direction of a co-ordinating committee of
Director/General Supervisor level representatives of City departments. The committee
members all have substantial experience with industrial land development and have had
extensive direct contact with land developers over an extended period of time. The
committee also included the Managing Director, Site Location, Economic Development
Edmonton.
4.
Greater Edmonton Competitiveness Strategy
City staff working on the Industrial Land Strategy were specifically selected to
participate as City representatives in the cluster groups and flagship committees of the
Greater Edmonton Competitiveness Strategy. The Competitiveness Strategy brought
together representatives of business, governments and institutions, including members of
the industrial land development industry, to work on economic development initiatives,
including approaches to building infrastructure and maintaining supplies of industrial
land. City staff members are still working with Competitiveness Strategy committees.
Attachment 2 - Page 7 of 27
Attachment 2
Edmonton’s Industrial Land Strategy: Responses to Councillors’ Questions.
5.
Terms of Reference
The Industrial Land Strategy Terms of Reference was sent to the Urban Development
Institute (UDI), the Edmonton Construction Association and participants of the earlier
workshop for their review and comments. The Edmonton Construction Association
responded with a letter of support for the objectives of the strategy and an active role for
the City in industrial land development. The terms of reference were noted at meetings
between the UDI executive and members of the City’s Senior Management Team.
6.
Study of Industrial Land Development Financing
In response to the concern most commonly expressed by industrial land developers,
financial consultants were hired to study and assess current approaches to financing
industrial land development and to propose alternatives. The study included one-on-one
interviews and focus groups with industrial land developers. Interviews with staff in
other municipalities, as well as City of Edmonton staff, were also conducted as part of the
study.
7.
Edmonton Real Estate Board
Discussions with representatives of the Edmonton Real Estate Board resulted in
agreement to evaluate opportunities to work together to expand the use of the City’s
internet, geographic information systems and e-business technology for marketing and
selling industrial land. In May 2002, the Industrial Land Strategy was reviewed by
members of the board of the Commercial Division. The City has received a letter of
support for the strategy from Mr. Jim Kulak, Director & Chairman, Edmonton Real
Estate Board Commercial Division.
8.
Industry Information
Information reports from the major Edmonton industrial real estate companies have been
used to track conditions in the industrial properties market. City staff attended the
Edmonton Real Estate Forums. Consultants were used to provide and obtain information
on the approaches to industrial land development in other cities from both land
development organizations and municipalities.
9.
Urban Development Institute (UDI)
The General Manager of Planning and Development and other City staff met with the
President of UDI (Edmonton), the Executive Director and members of UDI’s Planning
Attachment 2 - Page 8 of 27
Attachment 2
Edmonton’s Industrial Land Strategy: Responses to Councillors’ Questions.
Committee who are active in the industrial land development business to discuss the draft
strategy in May 2002. The UDI representatives have reviewed the strategy and indicated
general support based on the understanding that consultation with the land development
business will be an integral part of implementing the strategy.
10.
Urban Development Institute Presentation at Executive Committee
The President of UDI (Edmonton) and members of the UDI Planning Committee made a
presentation and answered questions with respect to the Industrial Land Strategy at the
June 26, 2002, Executive Committee Meeting. The UDI representatives made the
following points:



The development industry wants to work with the City to make the planning
and development approval process more responsive to the characteristic and
needs of the of the industrial land development business and the market it
serves.
The development industry wants to work with the City on reviewing
infrastructure standards that make industrial land in Edmonton more
expensive than in competing jurisdictions (e.g. underground power and
drainage standards).
The Development industry wants the City to be clear on the role it intends to
play as an industrial land developer. If the City acts as a private for-profit
development company, private developers can compete and will invest in
industrial development. If the City uses cheap land to attract business, the
private developers cannot compete and will need to make other business plans.
Question 7
When you state that the City is going to be active in the Industrial Land market. Is that as a
service & supply of lands? Will you maintain a market view or a view to supply lands to users
as a means of promoting our City?
Implementation of the Industrial Land Strategy will involve the City in the role of an industrial
land developer. That role will involve the acquisition of land and land development including
land servicing and sales.
It is the intention that the City will continue to service and supply industrial land in Edmonton
based on a financial cost-benefit model that is sensitive to supply/demand needs in the
marketplace. Generally, land will be purchased and/or developed where there is a reasonable
expectation of a profit (i.e. a return exceeding the costs of the raw land, servicing and marketing).
Attachment 2 - Page 9 of 27
Attachment 2
Edmonton’s Industrial Land Strategy: Responses to Councillors’ Questions.
It is not intended that the City adopt a subsidized land policy as a universal incentive to promote
industrial development.
The Industrial Land Strategy will direct the City to act quickly to bring serviced land to market
where there is a concern that supply will not be available in a particular location or configuration.
As well, the strategy will allow the City to purchase and/or develop land to overcome obstacles
that are interfering with the orderly and timely development of industrial areas.
The strategy also allows for instances where the City may provide land at less than market value
to achieve a specific economic development objective, but Council approval on a case by case
basis would be required. The Edmonton Research Park is an example of the use of a promotional
program using subsidized land that has been approved by City Council.
Question 8
At Executive Committee the President of UDI talked about servicing costs in the City vs
County. Ours were substantially higher. Will you address this issue? Would you look to
service a special market?
The Industrial Land Strategy acknowledges that servicing costs are dependent on servicing
standards. The implementation program includes investigation of modified standards for
infrastructure development in cooperation with the other participants in the development
industry. Reducing the cost of servicing will be a major objective.
The discussion will include consideration of how modified standards could be used in areas with
specific servicing constraints and requirements. Servicing the needs of industries requiring
specialty infrastructure will also be part of the discussion.
Question 9
Our biggest advantage is people & access to other services that might relate to the industrial
user. Should we focus on infrastructure i.e. 156 St. overpass from east to west side of Anthony
Henday on 111 Ave, improved truck routes to facilitate the movement of goods & services
rather than the sales function?
The Industrial Land Strategy consists of nine elements or action areas designed to be used
together as an integrated strategy to have a positive impact on all aspects of the industrial
development process. They direct an implementation program that works in an Edmonton
context and will be responsive to future events and circumstances.
Attachment 2 - Page 10 of 27
Attachment 2
Edmonton’s Industrial Land Strategy: Responses to Councillors’ Questions.
Taking effective and appropriate action across all nine elements of the strategy is important to the
integrity of the overall strategy and to achieving the City’s economic development objectives.
Expansion of the city’s land sales function makes full use of existing expertise and extends the
opportunity for earning a reasonable profit.
The Industrial Land Strategy will be implemented over an extended period of time. The intensity
with which the elements are pursued will be modified to respond to conditions as they develop.
Question 10
If we look at playing a role through strategic land acquisitions. How will that factor into our
5 year policy for buying land?
Current City policy does not permit the Administration to purchase land except for municipal
purposes such as roads or public buildings. The City’s inventory of unserviced industrial land
was acquired through tax default, surplus land previously used for municipal purposes, land
trades with private developers, and land purchased prior to 1982 for industrial development
purposes.
In approving the Industrial Land Strategy, Council will permit Administration to purchase land
for the purpose of developing it and selling it to builders, industrial businesses and/or small scale
developers. Land acquisition will be purposefully done to achieve strategic objectives such as
removing obstacles to development, ensuring that land supply is adequate, and supporting
Council’s economic development objectives.
There is a major benefit in the City being active in the industrial land development market so as
to enable partnering and cost sharing to help facilitate joint developments when servicing
constraints or bottlenecks occur. Strategic investment in infrastructure such as the 111 Avenue
extension to Anthony Henday Drive, the stormwater facility in Roper Industrial, and the planning
work for the Pylypow Neighbourhood all reflect examples of how the City’s involvement has
helped to facilitate development.
Rationalizing the size and locations of future industrial parcels is an ongoing exercise, and the
City continues to evaluate "opportunity purchases", or exchanges, or outright sale of its Industrial
lands. At this time, the City has an inventory of 690 acres of raw land located in the Northwest
(Rampart and CityWest), and the Southeast (Ellerslie, Pylypow and Maple Ridge). No additional
purchases have been identified in the 5 year Capital Priorities Plan at this time.
Land purchases will be considered where inventories become depleted, a supply shortage is
projected or the need for a strategic land purchase is identified. At that time, Administration will
Attachment 2 - Page 11 of 27
Attachment 2
Edmonton’s Industrial Land Strategy: Responses to Councillors’ Questions.
identify the cost/benefit of a land purchase. A recommendation for purchase will be brought to
City Council for approval if deemed appropriate.
Question 11
It appears that this is part of EDE’s responsibility is that so? How do they do it? How
effective is their web site for industrial land or as well as our own?
Part A
Economic Development Edmonton’s mandate includes two areas of responsibilities directly
related to industrial land: EDE is responsible for the administration of the Edmonton Research
Park; and, EDE provides a site location service that assists businesses looking for properties.
Principally, EDE’s mandate is to promote the Edmonton region, attract businesses and help
support business growth in the Edmonton region. These economic development programs which
have been consolidated under the umbrella of the Greater Edmonton Competitiveness Strategy
are generally aimed at increasing business activity resulting in an increase in demand for
industrial land.
One Greater Edmonton Competitiveness Strategy Committee initiatives was the creation of the
Northwest Industrial BRZ to help fund an enhancement to the 184 St. / Yellowhead Trail
overpass.
Part B
EDE’s web site provides information on contacting the EDE site location staff, but it has no
information on industrial land. EDE has no Geographic Information System (GIS) capability for
land based applications.
The City of Edmonton web site has information on industrial properties for sale by the City, but
provides no information on industrial properties available from other vendors.
The Industrial Land Strategy is proposing to make better use of the City’s leading edge GIS and
Internet technology to improve the marketing of City-owned industrial properties; and, evaluate
opportunities to use the City’s information technology to provide information on industrial
properties available from private sector realtors and developers. The Edmonton Real Estate
Board has existing data sharing agreements with the City and strongly supports this initiative.
Attachment 2 - Page 12 of 27
Attachment 2
Edmonton’s Industrial Land Strategy: Responses to Councillors’ Questions.
Question 12
Do we have a strategy that is based on a competitive market? Will our Edmonton industrial
areas go after a certain specific segment of the market and will the kind of servicing be done
commensurate with those kind of users? As per 5E Building Infrastructure in your
presentation.
It is desirable to maintain a land inventory to be in a position to accommodate any major
industrial business wishing to locate or expand in Edmonton. However, it is also recognized
(and emphasized through the Greater Edmonton Competitiveness Strategy) that there are certain
segments of the market that will be more attracted to the City of Edmonton and the forecasted
demand is based upon those sectors. Specific sectors will be recognized in preparing industrial
area plans and servicing requirements for these types of users and will be applied to new
developments.
City of Edmonton infrastructure standards required for new industrial developments are generally
higher than those required in adjacent municipalities. The higher standards result in higher
development costs, making Edmonton industrial properties more expensive than properties in
competing areas.
Approval of the strategy will initiate discussion among City staff and development industry
representatives regarding modifications to infrastructure standards in industrial areas. The
objective will be to reduce development costs where it is appropriate to do so, to allow
Edmonton to be more competitive and to bring land into more productive use. Other factors will
also be considered, including;

ensuring acceptable environmental standards will continue to be met;

reducing obstacles to development arising from requirements for full urban service
standards;

avoiding negative impacts on adjacent properties; and

establishing or maintaining the planned character of industrial business areas.
Where modified standards are found to be a suitable alternative to full urban service standards,
reductions in development costs and removal of obstacles to development will improve
Edmonton’s competitive position.
Attachment 2 - Page 13 of 27
Attachment 2
Edmonton’s Industrial Land Strategy: Responses to Councillors’ Questions.
Modified standards will be applied only within the framework of an industrial area plan, not
universally. Low priced land in industrial areas with basic servicing standards is in demand.
There is also demand for industrial areas with higher quality business environments, including,
prestige and specialty business properties with full or enhanced urban services.
Question 13
What will you do to enhance marketing? For what purpose? From what budget?
Marketing of industrial lands is carried out by the Land and Buildings Branch using resources
within the annual operating budget for branding and generic advertising. Funds from the Land
Enterprise Fund are used for specific site advertising.
Marketing of industrial land currently consists of: signage, catalogue distribution, MLS listings,
and the Web. The proposed enhancements include improvements to the Website and more print
advertising in regional and national publications.
The City’s marketing activity is intended to promote Edmonton as an industrial business centre
and City owned industrial properties for sale. Economic Development Edmonton promotes the
Edmonton Region as a business location. A number of marketing activities are developing out of
the Greater Edmonton Competitiveness Strategy. There remains a need for marketing of
industrial sites within the City of Edmonton in pursuit of the City’s economic development goals.
The EDE budget is approved by City Council. It includes City funds and funds obtained directly
from other levels of government and from EDE’s own business activities.
Question 14
Will the industrial development approval process #3 be used both for land development as well
as building construction?
Yes, land development approval processes are being progressively integrated. A recent example
is the IKEA project in South Edmonton Common for which a subdivision, a servicing agreement
and development and building permits were prepared together.
Administration and representatives of the development industry will continue to discuss ways to
streamline and improve the development approvals process.
Attachment 2 - Page 14 of 27
Attachment 2
Edmonton’s Industrial Land Strategy: Responses to Councillors’ Questions.
Question 15
Administration reported that it was useful to have available a 3 year supply of industrial land.
Is not the issue really the 'quality' of that supply--location, size of property and proximity of
servicing? If this is the case how would the city 'rate' the current supply against such
criteria?
The industrial land supply target is intended to be qualitative as well as quantitative to ensure that
available land meets the needs of industrial businesses. Property characteristics such as location,
size, access and visibility, zoning, etc. affect purchasing decisions. The ninth element of the
strategy, “Monitoring industrial land supply and demand,” will help to direct the implementation
of the strategy to achieve a land supply that meets the operating needs of industrial businesses.
There is no standard by which to “rate” the inventory of industrial properties in Edmonton other
than to report consensus observations about the real estate market. Monitoring and anecdotal
evidence have indicated increasing land prices, a steady decline in the inventory of serviced land,
and obstacles to new development restricting development over a three year period.
By the end of 2001, realtors were unanimous in reporting shortages of categories of industrial
properties in Edmonton, most notably medium industrial properties over 5 acres, principally in
the Southeast. Supply shortages are seen in other categories such as fully serviced sites with
visibility along arterial roads. Realtors also reported that the marketability of some properties was
being hampered by existing obsolete buildings. Most significantly, the realtors reported that
businesses unable to find suitable properties in Edmonton were locating in other municipalities.
As well, the industrial land and property market is not yet addressing the potential need for land
for knowledge based industries such as information technology and biotechnology. A lack of
suitable accommodation for these small but growing economic sectors would reduce Edmonton’s
success in attracting and/or keeping science and technology based companies and would restrict
Edmonton’s ability to capitalize on the economic advantages of being the home of the University
of Alberta.
The Administration does not have a current and comprehensive inventory of the available supply
of industrial land. The strategy identifies the need to monitor inventories more closely to help
ensure the supply is sufficient to meet demand. Estimates indicate that the overall supply of
serviced industrial land is one to two years in the Southeast industrial area and about two years in
the Northwest industrial area. The City will act to help restore and maintain inventories at a 3year supply of serviced industrial land with a servicing program in the CityWest joint-venture
development, in 2002, and the start of new development in Pylypow and Ellerslie planned for
2003.
Attachment 2 - Page 15 of 27
Attachment 2
Edmonton’s Industrial Land Strategy: Responses to Councillors’ Questions.
Question 16
In developing and promoting industrial land and industrial land use/sale, what role(s) has the
city played in the past? What role does the city currently play? If this land strategy were
passed by Council, what would be the future role of the city?
The City of Edmonton was last involved in industrial land development in 1982, with the Roper
industrial subdivision. With the economic downturn that occurred in the early 80’s, the City’s
role evolved into more of a land bank as almost 2,000 acres of industrial land was obtained by
the City through tax forfeiture. The tax forfeitures occurred largely due to high local
improvement levies associated with servicing that was done by the City for private land
developers through local improvement bylaws. With limited demand and a large supply, land
prices fell dramatically.
The turnaround began in 1996 with the sale of 218 acres by the City reflecting a 29% market
share. Since 1996, the City has sold some 2,700 acres, averaging a 16% market share.
The future role of the City will be to continue to monitor and plan for the orderly supply and sale
of serviced industrial land in geographic areas where industry wants to locate. In the future the
amount of land developed and sold by the City, and the City’s share of the market will depend on
overall demand for industrial land and the level of activity by private sector developers.
Industrial Land – All Sales Versus City of Edmonton Sales– 1996 to mid-2002
Year
1996
1997
1998
1999
2000
2001
2002 (1/2 year)
Total
6.5 year
average
Estimated ALL
Sales of Industrial
Industrial Land Sold
Land by the City
(Acres)
(Acres)
218
63
712
136
769
118
322
26
275
18
385
51
43
29
2,724
441
419
68
City % of ALL
Industrial Land
Sales
29%
19%
15%
8%
7%
13%
67%
16%
Through implementation of the Industrial Land Strategy, the Real Estate Services Section will be
an agent of economic development as well as a seller of surplus City land. City actions will be
Attachment 2 - Page 16 of 27
Attachment 2
Edmonton’s Industrial Land Strategy: Responses to Councillors’ Questions.
directed to: ensure an adequate supply of industrial land in terms of both quantity and quality;
remove obstacles to development that restrict land supply; lead in planning new areas; provide
land for economic development programs approved by City Council; promote Edmonton as a
leading industrial centre; and, facilitate the activities of private and public sector developers
through partnerships.
Question 17
On behalf of the city, what role does EDE play in all of this?
The Economic Development Edmonton mandate includes two specific areas of responsibility
directly related to industrial land: EDE is responsible for the administration of the Edmonton
Research Park; and, EDE provides a site location service that assists businesses looking for
business properties.
Principally, EDE’s mandate is to promote the Edmonton region, help to create conditions that
attract businesses and support the growth of businesses in the Edmonton region. EDE’s
economic development programs are under the umbrella of the Greater Edmonton
Competitiveness Strategy. The original 8 Competitiveness Strategy Flagship Initiatives are:
1. Regional ‘Deal’ Generator
2. Skills Pipeline Partnership
3. Transform Greater Edmonton into a World Class Life Sciences Centre
4. Investment in Regional Transportation Infrastructure
5. Branding the Edmonton Region
6. Leveraging the Supernet in Greater Edmonton
7. Regional Enterprize Attraction
8. Microsystems Development and Commercialization
To the original eight initiatives, EDE added a ninth, the Industrial Land Flagship that reflects its
role in implementing the Industrial Land Strategy and other activities involving regional land
supply.
Essentially, EDE’s mandate is to increase the demand for industrial land in the Edmonton region.
Administration’s mandate is to ensure that sufficient and suitable industrial land is available
within the City of Edmonton to attract and accommodate industrial businesses.
Attachment 2 - Page 17 of 27
Attachment 2
Edmonton’s Industrial Land Strategy: Responses to Councillors’ Questions.
These roles are complementary and their effective coordination is a major responsibility of EDE
and City staff that is addressed in the eighth element of the strategy: “Strategic economic
development partnerships and programs.”
Question 18
What kind of knowledge does the city have about industrial land availability and sales in the
region outside of Edmonton, including the 'quality' of the land? Who are the major
competitors of Edmonton? What advantages/disadvantages does Edmonton have in
comparison to its competitors?
Edmonton’s most formidable head-to-head competitor for industrial development is Calgary, and
to a lesser extent, other urban industrial areas in western Canada and the northwestern U.S.A.
For the high value-added industries – industries based on biotechnology and other sciences –
Edmonton is competing on a continental and world-wide scale.
There is no consolidated source of information on industrial land availability and sales within the
Edmonton region, but the City maintains a knowledge base of industrial land development
activity in the Edmonton Region. Information is obtained through direct participation in the
MEEDT group, (Metro Edmonton Economic Development Team), the Edmonton Real Estate
Board Industrial Commercial Committee, and through ongoing dialogue with agents, developers,
EDE, and industry representatives.
Information on industrial areas outside Edmonton is also available from web sites and
promotional material. In 2001 year-end reports, four major industrial real estate firms were
reporting shortages of some categories of industrial land within Edmonton, but an adequate
supply in the region. This information indicates that Edmonton is losing industrial development
to other municipalities in the region, principally Strathcona County, Leduc County and Parkland
County.
Within the Edmonton region there are two “branded” sub-regions: Alberta International Region
and Alberta’s Industrial Heartland. The objective of branding is to attract specific groups of
industries and related industries.
Alberta International Region consists of the area to the south of Edmonton including Edmonton
International Airport, Leduc County, City of Leduc, Town of Beaumont, Town of Calmar, Town
of Devon, Village of New Sarepta and Town of Millet. The Alberta International Region
competitive advantage is access to the Edmonton International Airport, Highway 2, a major
Attachment 2 - Page 18 of 27
Attachment 2
Edmonton’s Industrial Land Strategy: Responses to Councillors’ Questions.
concentration of existing businesses located in the Nisku Business Park, and proximity to
Edmonton
Alberta’s Industrial Heartland is a branding name for an area consisting of 194 sq. km (75 sq.
miles) of land allocated for industrial development in an area including portions of Strathcona
County, City of Fort Saskatchewan, Sturgeon County and County of Lamont. The Heartland
competitive advantage is a grouping of over 30 large and mid-sized petrochemical industries
supported by pipeline and petrochemical storage infrastructure. The industrial cluster attracts
similar businesses and creates opportunities for industries that benefit from business linkages
with the large firms. Some municipal land banking is done to ensure land is available for
prospective industries.
The major competitors in the region are the industrial parks evolving on the immediate borders
of the City.

The Nisku Business Park in Leduc County is described as Western Canada’s largest business
and industrial park. Nisku has over 450 businesses on 2,200 developed acres. An additional
1,800 acres is designated for expansion. Listed land prices are $35,000 to $80,000 per acre
for serviced land (rural standard).

The new AirLINKS Business Park at the Edmonton International Airport is described as
Alberta’s newest prestige industrial and commercial centre with more than 1,100 acres of
master planned and architecturally controlled business park. Land prices are not yet listed.

Strathcona County has the Northeast Industrial Area, in Alberta’s Industrial Heartland, and
the established Strathcona Industrial Area and Yellowhead East Industrial Area that
accommodate a range of heavy to light industries.

Strathcona County is currently preparing the Yellowhead North Area Structure Plan covering
2,700 acres, adjacent to Edmonton’s Clover Bar area. Light and medium industrial areas are
proposed for the west portion of the plan area. An eco-business zone for research, hightechnology and light industry is proposed for the east part.
 Acheson Industrial Area in Parkland County is described as a 10,240 acre industrial park
located 5 km west of the City of Edmonton. Currently (June 25, 2002), Acheson has 357
acres of serviced land (water and sewer) with an additional 500 acres of unserviced land
listed for sale by realtors or landowners. Acheson is well located to benefit from proximity to
the CN Intermodal Terminal and Yellowhead Trail.
Attachment 2 - Page 19 of 27
Attachment 2
Edmonton’s Industrial Land Strategy: Responses to Councillors’ Questions.

In Campbell Business Park, the City of St. Albert is selling the first 6 of a probable 24 full
serviced light industrial / commercial lots sized at about 1.4 acre, for approximately $95,000
per acre.
Edmonton’s Advantages and Disadvantages within the Region
Edmonton’s competitive advantages and disadvantages have been assessed in a number of
studies, most recently Blueprint for a Next Generation Economy, prepared for EDE’s
Competitiveness Strategy, and City of Edmonton Industrial Land Strategy Demand Study,
prepared for the Industrial Land Strategy. The topic is extensive. A sampling of information is
provided below.
Business site location decisions are based on a range of factors associated with the business’s
operational requirements as well as operating costs. Within the region, Edmonton has higher
land prices and property taxes than other municipalities, and is the only municipality to collect
business tax. Land prices and taxes are a competitive disadvantage.
Edmonton makes up for the higher cost of land and taxes by meeting other operational
requirements of business that locate in the city. The biggest factor may be the concentration of
people, activities and places in Edmonton’s urban environment. Proximity to labour force,
customers, suppliers and services can be major factors in business site location.
Edmonton’s urban setting also provides for public and private infrastructure that supports
business activity, including sewers, roads, rail, high speed telecommunications, high capacity
electrical power, and laboratory test facilities. Edmonton services such as public transit,
emergency response and over-strength sewage treatment also support industrial activities.
Edmonton attracts significant development in eight major sectors: Transportation and
Warehousing; Machinery and Equipment; Electronic Products; Refined Petroleum Products;
Plastics; Chemicals; Food and Beverage; and Biotechnology. Edmonton is also the most likely
place in the region for the development of industrial office parks. In contrast, Edmonton is not in
the running for a major petrochemical plant because none of its industrial areas is far enough
from residential areas to allow for the large separation distances preferred by petrochemical
companies.
The advantages vary for each of those sectors. For example, Edmonton’s transportation
infrastructure is the key advantage for Transportation and Warehousing businesses, the majority
of which will locate in the Northwest Industrial Area. The new CN intermodal terminal, the
anticipated completion of Anthony Henday Drive from Highway 2 to Yellowhead Trail, and the
Attachment 2 - Page 20 of 27
Attachment 2
Edmonton’s Industrial Land Strategy: Responses to Councillors’ Questions.
proposed 184 St and 156 St. overpasses on the Yellowhead Trail are considered beneficial
incentives to new development.
Businesses also see advantage in existing clusters of businesses that facilitate business to
business interaction (supply chain linkages). For example, Machinery and Equipment sector
industries tend to cluster in the Southeast while Food and Beverage industries cluster in the
Northeast. By the same token, businesses also locate in industry clusters in Nisku Business Park
and Strathcona County’s industrial areas.
Science and technology based industries benefit from proximity to Edmonton’s educational and
research institutions like the University of Alberta, the Alberta Research Council, N.A.I.T., etc.
Question 19
How does the city designate areas as suitable for industrial development?
Edmonton’s major industrial areas were designated in the 1980 General Municipal Plan. The
Northwest, Southeast and South Industrial Areas had outline plans prepared in 1973 and 1974.
Other areas were to be selected for the preparation of industrial area structure plans on the basis
of a contiguous pattern of development. Area structure plans may be prepared by the City and/or
the private sector. A major factor in the location of existing industrial areas is the location of
transportation infrastructure, including rail, truck routes and pipelines.
Additional industrial areas were annexed to Edmonton in 1982, but the subsequent decline in
demand for industrial land resulted in no further industrial plans being prepared. Edmonton’s
current industrial areas are designated as business and employment areas in Plan Edmonton.
Recently, with the approval of the Heritage Valley Servicing Concept Design Brief, the City has
identified a new area, Neighbourhood 7, as having potential to be a future industrial area. The
reasons are familiar: close to transportation infrastructure (road and air); separated from
residential development; and, a past history of rural type industrial land uses in the area.
The Industrial Land Strategy will initiate a new planning program to prepare integrated industrial
plans for land use, infrastructure and services, with associated funding provisions.
Question 20
Has the city considered the desirability of the lands south of Heritage Valley to the city
boundary and bordered by Highway 2 for industrial lands? Are these lands not within 10-15
minutes of the International Airport?
Attachment 2 - Page 21 of 27
Attachment 2
Edmonton’s Industrial Land Strategy: Responses to Councillors’ Questions.
In approving the Heritage Valley Servicing Concept Design Brief (SCDB) and the accompanying
amendment to Plan Edmonton, City Council designated a portion of the area within the SCDB as
a business and employment area. The area is identified in the SCDB as Neighbourhood 7. It is
located east of Blackmud Creek and west of Calgary Trail between Ellerslie Road and
Edmonton’s southern boundary.
Neighbourhood 7 shares with Ellerslie Industrial Area the advantage of being 10 to 15 minutes
from Edmonton International Airport, and adjacent to the Calgary Trail portion of Alberta’s
north-south trade highway, just south of the junction with Anthony Henday Drive. This
extraordinary access to transportation routes is a major locational advantage for industry.
Also, the Province has included a westward realignment of Gateway Boulevard as part of its
highway construction plan for the north-south trade highway. When this is done, additional land
suitable for industrial development should become available at Edmonton’s major southern
entryway.
Question 21
UDI indicated that they were concerned about the City’s role. The question posed was “is the
City a land developer or is the City’s role to attract business and sell at market value?
Industry representatives from the Urban Development Institute have asked the City to be clear on
how it intends to conduct itself as an industrial land developer. The question is whether the City
will behave as a private sector development company selling land at fair market value or use its
capacity to sell land at below market prices as an incentive to attract industry.
The strategy does not direct the City to adopt a general practice of providing land on a “less than
market value” basis to serve as an incentive to attract businesses to Edmonton. On the principal
question regarding the City’s business practices, the general approach will be to develop
industrial land and sell it at fair market value under conditions in which an “adequate supply” of
industrial land maintains a competitive land market.
If the City behaves as a for-profit private sector company in terms of developing and selling land
at fair market value, private sector companies can continue to compete in the industrial land
development business. If the City uses its capacity to develop land and sell at discounted prices,
private sector land developers will not be competitive and will not invest in industrial land
development.
The Industrial Land Strategy supports and encourages active participation and investment in
industrial land development and marketing by private sector companies, including action by the
City to undertake strategic development activities to facilitate private sector developments.
Attachment 2 - Page 22 of 27
Attachment 2
Edmonton’s Industrial Land Strategy: Responses to Councillors’ Questions.
The strategy also allows for the possibility of providing land priced below market value as part of
a specific economic development incentive or program initiated directly by City Council.
Question 22
How are “targeted minimum levels” or “adequate supply of industrial land” determined?
Specifically, what are the determining factors, and what percentage of serviced industrial land
vs unserviced land is considered an “adequate supply”?
The response to question #1 also applies to question #22.
Only serviced land is immediately available for new industrial development. At the end of the
year 2001, industrial/commercial realty companies were reporting that some categories of
serviced industrial land were not available in Edmonton. The supply of industrial land at the end
of 2001 was therefore “not adequate.”
Edmonton has a substantial supply of unserviced land designated for future industrial
development. The current inventory of vacant land in industrial areas is approximately 10,400
acres of gross developable land. Development of that amount of raw land would produce
approximately 7,900 acres of potential business properties.
The Industrial Land Strategy is required because unserviced industrial land is not being
converted to serviced industrial land at a rate that ensures that the supply of industrial land ready
for development is adequate to allow Edmonton to take advantage of available economic
opportunities. One of the key elements of the Industrial Land Strategy is to more directly monitor
actual supply in the marketplace in order to improve upon our abilities to assess trends.
Question 23
As services such as public transit and emergency response are provided to support business
activities, has there been any consideration given to having businesses pay specifically for
these services?
Attachment 2 - Page 23 of 27
Attachment 2
Edmonton’s Industrial Land Strategy: Responses to Councillors’ Questions.
Industrial businesses in Edmonton pay higher property and school taxes than similar businesses
in neighbouring municipalities. Edmonton also collects a municipal business tax that is not
levied in adjacent municipalities. Consequently, most business people would say that they
already pay for the enhanced services they and their employees receive.
Nevertheless, paying for enhanced services is an option in some cases. For example, businesses
already pay the City for wastewater treatment for high strength sewage. The over-strength
surcharge is based on the qualities of the sewage discharge.
As well, Administration has held discussions with some businesses regarding their willingness to
pay for transit service required to meet the needs of their employees. These would be services
that are unlikely to meet Edmonton Transit’s minimum ridership warrants. No agreements have
been finalized to date.
Question 24
As developers generally pay for roads and other infrastructure, will purchasers of City
developed industrial lands be required to pay for these services?
Yes. The City of Edmonton sells land at market value. Buyers who purchase land developed by
the City pay for infrastructure and other development costs through the price they pay for the
property, just as they would if they were purchasing from a private sector developer.
Question 25
In the Forecast land requirements 2001 – 2010, are any of these lands serviced? If yes, what
percentage?
The forecast ten year requirement for industrial land is up to 3,210 net acres of fully serviced
industrial land for Edmonton’s eight major industrial sectors and industrial/office parks.
Presently, the supply of serviced industrial land is considered to be “tight” for the first time since
the early 1980s. Maintaining a “tight” supply status will require the servicing of up to 310 net
acres of industrial land per year over the next ten years. Achieving a more generous supply would
require a higher rate of servicing.
At the present time the amount of industrial land being actively developed and/or marketed is
very roughly estimated at 500 acres of which only a portion is currently fully serviced.
Attachment 2 - Page 24 of 27
Attachment 2
Edmonton’s Industrial Land Strategy: Responses to Councillors’ Questions.
Question 26
Recognizing that industrial areas are employment centres, will future Capital Priorities Plan
include information on additional transit requirements and potential rapid transit links to the
industrial areas of the City?
There have been discussions regarding new public transit services to industrial areas. The
services are identified in operating budget service proposals (where significant development has
occurred) as well as longer range service needs projections. “Growth” buses required to serve
industrial areas are identified in the CPP process.
For further information please see the answer to Question # 28.
Question 27
Has the report on goods and services movement in Edmonton and surrounding areas been
completed?
The initial data collection component of the Edmonton Commodity Flow Survey has been
completed. Comprehensive information has been obtained from over 3,000 business
establishments in the city (and from over 1,000 establishments in the surrounding Region, in the
complementary survey undertaken by Alberta Transportation).
The consultant is currently undertaking data entry, editing, and scaling, including call-backs as
required to maintain data quality standards. The report summarizing goods and service
movements in Edmonton and the surrounding areas will be finished in the Fall.
Question 28
Rather than working until 2006 to propose additional transportation infrastructure projects,
would the Transportation and Streets Department consider integration of rapid transit along
major arterial roadways and highways to industrial areas such as Northwest Edmonton?

Initiative 5B) of the Industrial Land Strategy states:
“Provide regional transportation routes and access to industrial areas through the
development of major arterial roads and highways, in co-operation with the Province and
the Government of Canada.”
Attachment 2 - Page 25 of 27
Attachment 2
Edmonton’s Industrial Land Strategy: Responses to Councillors’ Questions.

Initiative 5B) also states:
“Additional regional transportation infrastructure projects will be proposed, primarily for
construction after 2006, as development progresses and new needs are identified.”
The approved Transportation Master Plan identifies the need for certain high standard arterial
roadways to facilitate the movement of goods across the city, particularly for cross-town noncentrally oriented trips. The Plan therefore specifies the Outer Ring Road (Anthony Henday
Drive), Highway Connectors, and the Inner Ring Loop as Major Arterial Roadways. These roads
meet the “regional transportation routes” definition.
Initiative 5B gives a list of funded and unfunded projects on these regional routes for
construction through 2006, in support of the Industrial Land Strategy. The statement “Additional
regional transportation infrastructure projects will be proposed, primarily for construction after
2006, as development progresses and new needs are identified” is made in the context that the
City and Province are funding around $300 million in projects on these routes through 2006, with
a further $90 million in unfunded projects identified. A realistic construction schedule for any
other projects would thus be beyond 2006.
The Transportation Master Plan also sets out the intended role for high speed transit, to be a
viable and competitive alternative to private automobile transportation during peak hours of
travel, in high demand corridors. Travel survey data shows that many industrial areas, such as
Northwest Edmonton, generate a relatively low and dispersed demand for transit service. Transit
needs to and from most industrial areas are most appropriately provided by regular bus services.
Question 29
Which projects would be fast tracked and which new projects would be undertaken as a result
of a new storm water drainage utility?
In the 2003 to 2007 CPP, the administration is proposing to bring forward the following
previously unfunded land drainage projects in support of the Industrial Land Strategy for
Council’s consideration:



MacKenzie Pond – Cost: $3.3 Million – Construction: 2004
Mill Creek Tunnel Liner – Cost: $2.5 Million – Construction: 2006
Mill Creek Flood Control – Cost: $1.0 Million – Construction: 2007
Included in this is an accelerated schedule for the Mill Creek Tunnel Liner project. Other projects
in support of the Industrial Land Strategy are being considered for inclusion in the Long Range
Financial Plan beyond 2007.
Attachment 2 - Page 26 of 27
Attachment 2
Edmonton’s Industrial Land Strategy: Responses to Councillors’ Questions.
Question 30
How does the City “actively market” its industrial properties?
The Real Estate Services Section within Asset Management and Public Works markets serviced
and partly serviced industrial land by:

Joint venture development activities;

Newspaper advertisements, brochures, catalogues, direct mail and signage;

MLS listings with and presentations to the Edmonton Real Estate Board;

Stories and ads in industry publications and trade magazines;

Presentations to industrial/commercial specialty Realtors and developers and attendance
at sales seminars and industry events;

Requests for proposals to in and out-of-town companies and servicing design and
tendering notices;

Web pages including Initial Public Offerings, the Province’s albertafirst.com and the
Edmonton Real Estate Board’s cls.ca web sites; and

Co-operation with Economic Development Edmonton and Alberta Economic
Development.
Attachment 2 - Page 27 of 27