Sudbury

Delays in building new Elliot Lake mall vexes community

More than two years after the Algo Centre Mall roof collapsed, frustration continues to grow among Elliot Lake residents over delays in the construction of a new shopping complex.

Mayor says developer has until June of 2015 to build shopping plaza

People in Elliot Lake are growing impatient that a new shopping complex for the city has not yet been built. (Yvon Theriault/CBC)

More than two years after the Algo Centre Mall roof collapsed, frustration continues to grow among Elliot Lake residents over delays in the construction of a new shopping complex.

A new, single level shopping plaza, tentatively named Pearson Plaza, was to be built by this fall, but construction on the building has yet to begin.

Linda Aelick of Elliot Lake told CBC News people are growing impatient.
Linda Aelick of Elliot Lake. (Yvon Theriault/CBC)

"Our biggest concern is are we going to have a mall?" she said. "If you want a pair of socks or underwear, you have to go out of town."

Aelick said people feel the new shopping plaza is critical to economic development in Elliot Lake, and delays in construction are a top issue in the municipal election.

'The economics aren't there'

The City of Elliot Lake was responsible for preparing the rocky outcrop that will be home to new shopping plaza for construction, said William Elliott with the Elliot Lake and North Shore Corporation for Business Development, a non-profit agency providing business loans and other assistance.

The site work is complete and construction is now in the hands of the developer, Barrie-based McCowan and Associates Ltd. But Elliott noted the developer ran into engineering issues that caused delays and cost overruns.

The size of the shopping plaza has been scaled back, and new plans had to be drawn up for placement of the building on the site.

"What they have had to do is basically re-design and re-engineer to stay away from the more expensive areas on the site to build on. Then those areas can be used for parking or green space or future development," Elliott said.

"I understand their frustration. I'm a citizen of the town as well. I'm equally frustrated. But at the same time, I also understand the economics aren't there."

Construction has not yet started on the building for a new shopping plaza in Elliot Lake. (Yvon Therialt/Radio-Canada)

Under the terms of the purchase of the land from the city, the developer has until June of 2015 to build on the site, said Mayor Rick Hamilton.

"We are going to work with the developer. He has shown good faith," Hamilton said. "He is spending in excess of $15 million which, in my view, is exceptional for our community. Obviously if he doesn't do it, we will have to go look at something else."

The provincial and federal governments are also providing $2 million in funding to help the city prepare the site for the developer.

The other three candidates running for mayor told CBC News that building the new shopping plaza is a key concern for the community.

Calls to the developer were not returned.