Manitoba

CentreVenture's authority faces review after controversial hotel deal

The future of CentreVenture, Winnipeg's downtown development agency, is going under review.
Angela Mathieson, CEO of CentreVenture, meets with the executive policy committee members on Wednesday. (Sean Kavanagh/CBC)

The future of CentreVenture, Winnipeg's downtown development agency, is going under review.

Mayor Brian Bowman, who has been at odds with the agency over a controversial deal to develop some land near the convention centre, made the decision Wednesday during a meeting of the Executive Policy Committee.

A working group on the future of CentreVenture will be led by Coun. John Orlikow and report back to the city in 120 days.

"My preference would absolutely to be increase the openness and transparency of any organization that is connected in any way shape or form with the City of Winnipeg," Bowman said.

"I think the reason why we are having to deal with the after effects of some pretty, pretty terrible audits is a result of too much closed door meetings, too many things done in private.”

CentreVenture CEO Angela Mathieson, who met with the EPC — also known as the mayor's cabinet — said she has already started a review, looking at best practices, past performances, policies and mandate.

A rift has developed between Bowman and CentreVenture about the secrecy of the deal. He said neither he nor council have been able to see the details of an option agreement created between CentreVenture and True North Sports and Entertainment to build a hotel at 220 Carlton Street.

CentreVenture claims Bowman's chief of staff was sent an email in November, which contained some details about the proposed development and conditional offer. CentreVenture board chair Kurt Vossen has also said Bowman has not sought out more information about the deal.

However, Bowman and members of the EPC had numerous questions of Vossen at a special meeting last week and the mayor and his cabinet have repeatedly said they haven't received all the answers they want.

Jino Distasio, a professor of urban studies at the University of Winnipeg, has said a review of CentreVenture's mandate is probably overdue. 

Things have changed since the agency was ​created in 1999 to kickstart growth in the downtown, he said. There's more interest today in Winnipeg's downtown and more calls for developments to be open and transparent when tax money is involved.

"CentreVenture was born on desperation. It was born in a time when Winnipeg's downtown was floundering, where we had a glut of vacant buildings we couldn't market — the city's own real estate division couldn't market those buildings — so the idea was let's create an arms-length agency," Distasio said.

"We have to remember this is what we told them to do: get out there and get that deal done, make these vacant lots go away. Have they gone too far in some of these areas? That remains to be seen."

On Wednesday, Mathieson touted CentreVenture's successes, including revitalizing the Avenue Building, United Way Building, Bell Hotel, and Metropolitan Theatre.

She said the agency has just one derelict property left on its books, the James Avenue pumping station.