City hall is considering another land swap — but this time, politicians want staff to ensure it doesn’t break any rules.
Council’s executive policy committee voted Tuesday to commission a report into a potential swap that would see the owner of the Pantages Playhouse Theatre take control of a strip of land along Main Street.
The land is next to the sculpture of a half-sunken streetcar that was installed in front of the Pantages in 2019 to mark the centennial of the Winnipeg General Strike.
Futuremark Development, the owners of the strip of land, would acquire 565 Watt St., with the expectation they build affordable housing units at the site.
“There’s always a concern about public perception out there, and that’s why we’re trying to be as transparent as possible,” said Coun. Evan Duncan, chair of the city’s property and development committee.
The City of Winnipeg has somewhat of a troubled history with land swaps. A pair of deals, one of which was aborted, embroiled city hall in controversy when Sam Katz was mayor.
The city swapped 59 acres of unserviced land in the Parker lands area of Fort Garry to developer Andrew Marquess for nine acres of serviced land in the Fort Rouge Yards in 2011. A subsequent audit of city real estate transactions called the deal a rush job completed without property assessments.
Mayor Scott Gillingham says this could be an opportunity to reinvest in a ‘transformative’ project to help revitalize downtown. (Kevin Nepitabo)
In 2012, city council put a halt to a proposed swap of three city-owned properties to Shindico Realty in exchange for land the company owned on Taylor Avenue. A new fire-paramedic station was built on that land even though the city didn’t own it.
“This is why we want to include an independent fairness commission report,” Mayor Scott Gillingham said.
Plans for Futuremark to acquire the Watt Street site in exchange for the plot of land adjacent to the theatre were revealed in a committee meeting Tuesday morning.
A spokesperson for the Performance Arts Consortium of Winnipeg, which owns the theatre, said they have “nothing to share at this time” in terms of any plans for the land.
Gillingham said he sees the potential to contribute to the ongoing revitalization of downtown.
“We have before us now an opportunity to, potentially, reinvest in a really important, transformative project in the downtown, and that is the redevelopment of the Pantages theatre,” he said.
Earlier this month, the province announced $15 million for the revitalization of the 112-year-old Exchange District landmark into a performing arts centre.
The city has also committed $750,000 to the consortium for the redevelopment of the theatre.
“I don’t know what the plans are for them, but if they’re looking to do a project, I’d be fully supportive of them to complete it there,” Duncan said. “A vibrant city is a city that is filled with vibrant arts.”
Futuremark bought the entire property, including the theatre, for $530,000 in 2020 with the intention of developing it. They then subdivided the land and sold the theatre to the consortium, the city says.
The city announced last summer that Futuremark would lead the development of a mixed-income apartment complex that would include about 74 affordable housing units.
That Watt Street property was part of a list of sites declared surplus by the city’s chief administrative officer. It was identified by the city’s land enhancement office, which was created to help with the development of affordable housing on city-owned land.
The developers responded to the expression of interest by offering the parcel of land, though details of the agreement weren’t shared until now, the city says.
Coun. Evan Duncan, third from left, says the plan has the potential to address a need for housing while also promoting the arts in Winnipeg. (Kevin Nepitabo)
“We haven’t made any decision,” Gillingham said.
“We’ve asked our staff to get us a report, report back on what is possible. Is this an opportunity for us? Is it possible?”
Duncan says the project could benefit both the arts community and address the need for housing simultaneously.
“We’re interested in making as many sides of this work as possible. We want housing. We also want to promote our arts groups,” he said.
“This isn’t giving it to a big developer to make money on the backs of taxpayers. This is, hopefully, to promote the arts in Winnipeg.”