Saanich council will borrow $25 million to finance the acquisition of property as part of the district’s plan to redevelop its public works and parks operations centre.
The decision to borrow is one part of a larger puzzle that has to come together before the district can move forward with what is expected to be its largest ever capital project.
Last spring, when the previous council approved an early concept for the redevelopment, the price tag was estimated at between $183 million and $212 million.
Mayor Dean Murdock said given the high interest environment and cost of material and labour, that price has probably changed significantly.
Murdock said getting the approval to borrow $25 million is about giving the district security as the project advances.
The redevelopment is seen as a top priority. The current collection of buildings at McKenzie Avenue and Borden Street are 40 to 70 years old, don’t meet building code requirements and are past their useful life.
The parks division is housed in 40-year-old temporary trailers. An estimated 300 parks and public-works staff — responsible for transportation, parks, water, sewer and solid-waste services — work out of the location.
There is also a fleet centre on site that provides mechanical services for police and other municipal vehicles.
Murdock said what a redeveloped site might look like is still being determined.
“We’ve hired a project manager but there’s a number of details that have yet to come together, including sorting out some of the pieces that will require relocation,” he said.
A concept plan approved last year is “a little bit out of date given the cost environment and the potential opportunities for the use of that site that weren’t originally contemplated,” Murdock said, adding that the project will be redesigned.
Construction was initially expected to start in 2026 and take about three years.
A redesign might include commercial and residential developments that would better align with the council’s priorities.
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