The initial cost estimates for the ‘Imagine Chatham-Kent’ project have been released by Municipality of Chatham-Kent staff.
In a report to Council, administration says the projected cost estimates range from $115-million to $125-million for the three phase project, which would revitalize the Downtown Chatham Centre (DCC) and downtown core in Chatham.
“The Municipality would be responsible for all costs associated with the development, acquisition, and ongoing operation of all facilities and structures proposed to fall under municipal ownership at the conclusion of the project,” staff said in a report.
“The Proposal breaks down the development of DCC property into three phases of sequential development. Phase I includes the re-development of the former Sears portion of the DCC into a facility capable of hosting current operations from the Civic Centre, Chatham Library, and the Museum and Art Gallery portions of the Cultural Centre. This phase will also include construction of the adjacent promenade and transfer of a repaired parking garage to the Municipality.
Administration added: “Phase II includes construction of the entertainment complex along with a privately retained commercial segment along King Street. Phase III will be privately retained for future development, including possible housing or a hotel. All infrastructure and land not privately retained by the Community Partners will be owned by the Municipality.”
The estimated costs are broken down, as follows:
Council is set to discuss the project at their virtual Council meeting on Monday, August 8, 2022.
Administration is presenting a series of recommendations for Council’s consideration, including:
1. Imagine Chatham-Kent be designated as a priority project due to its alignment with Council’s strategic term priorities and various previously approved plans, policies and strategies outlined.
2. Further due diligence be undertaken to inform next steps on the Imagine Chatham-Kent proposal, including the following:
– A certified appraisal and engineering report, where relevant, for the portions of the Downtown Chatham Centre property proposed to be transferred to the Municipality be obtained.
– A qualified and independent firm be retained through a Request for Proposal to lead further public consultation, feasibility and business case assessment, and the engineering and financial review outlined in this report with recommendations on final scope, value, and next steps reported to Council.
– The cost weighting in the Council-approved matrix for consultants be reduced from 30% to 10% in the above Request for Proposal in order to prioritize technical expertise and project schedule.
– External legal counsel be retained to initiate the legal negotiation of the terms of a development agreement and related legal matters with the Community Partners and that the terms of an agreement be subject to final approval by Council.
3. Up to $2,000,000 for further due diligence and professional services including external legal counsel be funded from the Building Lifecycle Reserve.
4. The CAO be authorized to execute any operational agreements related to the due diligence process, subject to financial approval limits and satisfactory to the Director, Legal Services for the purposes of implementing the recommendations.
The full staff report can be read, here.
The Sydenham Current’s coverage on the ‘Imagine Chatham-Kent’ project can be seen, below:
– Public consultation launched for ‘Imagine Chatham-Kent’ development proposal (Video)
– Community Hub and Entertainment Complex proposed for downtown Chatham
