Saint John to roll out development incentives in city core

Saint John council has agreed to the roll out of an incentive program to guide future development in the city's core.

The program will provide financial help for upgrades like redeveloping upper floors, infilling empty lots and improving building facades.

Morgan Lanigan, a small-scale local developer and Uptown Saint John board member, says the urban development incentives program signals a shift in priorities to reel in urban sprawl.

"We're starting to get past that mental hurdle of understanding that good urban development is good for us and good for the city overall, so that in itself is a big victory," Lanigan said.

"It's long been known for the past 100 years that we've been in a pattern where we've been spreading out. We have to plow more streets, we have to send out more garbage trucks … and that becomes financially unsustainable for our community as well as environmentally unsustainable."

The city is now realizing that compact development projects can use existing infrastructure without additional cost, Lanigan said Wednesday in an interview on Information Morning Saint John.

He says the incentives will help offset the additional costs of developing in tight urban areas.

"It's difficult to be competitive with someone who is building in the suburbs, for example, on a flat vacant lot where there's lay down areas where you can bring in equipment," said Lanigan.

"Plus you don't have to deal with heritage housing stocks, which come with their own can of worms."

Lanigan said he expects to see more developers take an interest in reinvigorating the city's core once some of the major hurdles are addressed.

"As soon as someone starts saying 'free money,' that's sometimes enough to make people start thinking in a different mindset to start spurring ideas of what different demands on housing might look like," he said.

"It could be enough to change minds as well."

The pilot program is expected to launch in 2016, and then roll out to other parts of the city.

Funding for the existing Heritage Conservation Grant will be increased by $30,000 and funding for the existing Uptown Saint John Facade Program will be increased with a contribution of up to a maximum of $20,000 in 2015, subject to matching dollars being provided by Uptown Saint John and city participation in the application review process.

Remaining funding in the capital budget will be directed towards the implementation of new development incentives programs for 2016, which promote residential improvements including:

• Upper floor redevelopment incentive
• Housing rehabilitation incentive
• Housing infill incentive

City staff will also speak with a group of stakeholders and potential users in the fall to refine the program criteria, and requirements in preparation for the 2016 program launch.