The City of North Battleford has stepped in to finish the partially-completed development in Killdeer subdivision.
At their meeting Monday, council passed a resolution to purchase the land for $2.3 million with a recovery to the City of $382,175, for an overall net cost of $1,917,825.
The sale came about when the original developers, ASSA Development Inc. of Calgary, had to abandon the project. ASSA had been spearheading development of more than 40 lots in North Killdeer.
A ribbon-cutting and sod-turning was held to launch the project in May 2015, which called for new single-family dwellings, townhouses and condominium duplexes in that location.
The fact that private interests were finally moving forward with developing the long-planned Killdeer subdivision was touted at the time as positive news for North Battleford’s economic growth.
However, what happened next was not so positive. According to City Manager Jim Puffalt Monday, ASSA Development Inc. ran into financing difficulties and was unable to finish the subdivision.
Lengthy legal proceedings ensued and ultimately an auction for the properties was held in court. The City of North Battleford put in a successful bid, and the court order for the sale of the properties to the City was issued Oct. 5 in Saskatoon.
The reason for the purchase, said Puffalt, was to acknowledge it was “more cost-efficient and expedient to finish off a partially completed subdivision rather than starting a new one that would not be completed until 2018.”
Among the benefits cited by Puffalt was the ability for the City to “manage future growth,” as well as the potential for a $1 million return to North Battleford from the sale of the lots once it is developed.
According to Puffalt, the plan is to finish the remaining work in the subdivision in 2017. Lots will be available for sale in Killdeer in summer 2017 before the inventory of lots becomes low in Fairview.
The almost $2 million investment by the City will be recovered by the sale of the lots. Funding comes from internal resources and from the sale of the lots.
The resolution to purchase the land in the Killdeer subdivision was approved by council unanimously.
