The City of Calgary has added nine new office-conversion projects to its Downtown Development Incentive Program (DIP.)

The municipal investment was announced earlier this year after the city approved 10 new conversions, including the Barclay Centre redevelopment. But the nine sites were not disclosed until now.

The city said the unveiled projects will bring 972 new multi-family rental units to the downtown core and remove 947,000 square feet of underutilized office space from the market. With the latest additions, DIP comprises 21 conversions projects and a municipal investment of $805 million, said the city.

“Just a few short years ago, downtown Calgary was in a tough spot,” said Mayor Jeromy Farkas. “Today we are on the path for a strong recovery, spurred on by new investment, innovation, and a sense of optimism and collaboration. Cities across the world are looking to Calgary’s example of how to inspire strategic investment and meaningful revitalization.

“Most importantly, downtown is welcoming Calgarians to live in the heart of the city with thousands of new homes coming to the market.”

The new conversion projects include:

• The HAT @ 5 Ave — 32 new homes; developer: Cidex Group of Companies
• 510 5th — 128 new homes; developer: Bluevale Capital Group
• 441 Fifth — 63 new homes; developer: Bluevale Capital Group
• Atrium I & II — 180 new homes; developer: Astra Group & Peoplefirst Developments
• Transalta — 153 new homes; developer: Crestpoint Real Estate Investments
• Epique House — 35 new homes; developer: Alston Properties
• Joffre Place — 119 new homes; developer: Alston Properties
• 640 Fifth — 262 new homes; developer: Kanas Corporation
• Wicked Hostel/Le Rocc — new homes number not provided; developer: Bryan Mar & Axis Projects

Under DIP, investors receive $75 per square foot to help convert underutilized office space to residential. (The city also funds conversions of office buildings into other properties, such as hotels, but those project receive less per square foot.)

“The transformation we’re seeing in downtown Calgary reflects what’s possible when the City, business community, and partners unite behind a shared vision,” said Mark Garner, executive vice-president at the Calgary Downtown Association.

“A continued commitment to our downtown is essential when building a vibrant, safe, and economically resilient city centre that Calgarians can be proud of.” 

City officials say the expanding lineup of conversions continues to support downtown revitalization by attracting private investment, reducing office vacancy, increasing tax revenue and adding much-needed housing options for Calgarians, while also improving safety and business opportunities in the core.

According to the city, every dollar invested in an office-conversion project generates $4 in private investment and $7 in overall economic impact.

Thus far, six of the 21 DIP projects have been completed, including 490 new homes with 170 units rented at below-market rates. In addition, 226 new hotel rooms have been constructed.

Based on the number of funded projects to date, about 2.7 million sf of space will be removed from the office market.

Pictured: The Hat @ 5 Ave. office-to-residential coversion project in downtown Calgary.

Photo: Showcase