Seven Downtown Redevelopment Projects Moving Ahead with Support from City's Community Improvement Plan

As part of ongoing efforts to foster development and investment in the Downtown, seven projects will benefit from financial incentives through the City of Greater Sudbury’s Downtown Community Improvement Plan. The applications were accepted at the Finance and Administration Committee Meeting on Tuesday, subject to ratification by City Council on November 23.

“Community Improvement Plans are a key tool to stimulate economic activity in our city and address the reuse and restoration of lands, buildings and infrastructure,” said Ward 7 Councillor Mike Jakubo, Chair of the Finance and Administration Committee. “Not only do they support and leverage private investment in key areas of our city, but they also support the goals of our Community Energy and Emissions Plan by encouraging the development of compact, complete communities.”

In addition to the Downtown CIP that specifically targets revitalization in this area, the City has three other CIPs that focus on redevelopment opportunities throughout other communities in Greater Sudbury.

The approved projects for 2021 are:

• Creation of residential suites on the top floors at 96 Larch Street
• Façade improvement at 124 Elm Street
• Façade improvement at 158 Elgin Street
• Conversion of a former school into residential units at 291 Lourdes Street
• Building of a new two-storey office building at 10 Beech Street
• Establishment of a restaurant and upgraded signage at 81 Larch Street
• Creation of an outdoor theatre at 131 Durham Street

A total of $1.9 million in grants and loans was approved. The majority of the requests were for loans, with repayment to the City to begin within six months of project completion.

When the City approves a project for a grant or loan through a CIP, the applicant enters into an agreement with specific conditions that must be fulfilled. No funds are provided to the applicant up front. Once the project is completed, the applicant submits receipts and documents to the City for review, and the City then provides the approved funds.

What is a Community Improvement Plan?

A Community Improvement Plan – or CIP – is a sustainable community planning and development tool that uses programs, grants and incentives to encourage investment and redevelopment in targeted areas throughout the city.

The City currently has four CIPs, with several financial incentive programs available under each. These programs can be used in conjunction with other incentive programs offered by the City or other levels of government.  

• Downtown CIP – six financial incentive programs available to reduce the cost of development and redevelopment in Downtown Sudbury.
• Town Centre CIP – six financial incentive programs available to help stimulate rehabilitation and redevelopment of certain properties within the town centres of Capreol, Chelmsford, Levack, Flour Mill, Lively, Copper Cliff and Kathleen Street.
• Brownfield Strategy and CIP – a total of six incentive programs available to help breathe new life into vacant commercial and industrial properties, both urban (for example old manufacturing sites or gas stations) and rural (for example properties with abandoned mine sites).
• Affordable Housing CIP – incentive-based programs to encourage the development of affordable housing units in locations where they benefit from proximity to a broad range of public and private facilities and services.

Changes to the CIP Program

Earlier this fall, City Council approved enhancements to the CIP process. 

“Improving how we implement CIPs not only makes it easier for applicants to keep key projects moving, but it also represents net savings for our residents,” said Greater Sudbury Mayor Brian Bigger. “These changes and improvements are part of the City’s ongoing work to continuously review and improve processes related to growth and development in all areas of our great city.”

The changes are as follows:

• Application Process

Until recently, all CIP applications were to be submitted by June 30 each year. A business case was then included for consideration as part of the annual Budget process. This process has been replaced with an ongoing application process, with eligible and complete applications brought forward to Council on a case-by-case basis. This change will streamline and expedite the process for applicants.

• Tax Increment Equivalent Grants (TIEG)

This program provides grants to property owners whose municipal property taxes increase due to property improvements. Council may approve grants equivalent to the amount of that increase.

In past years, approved TIEG applications were funded through the Budget process. The City immediately began to set funds aside when the grant was approved, even though the development and associated property assessment increase could take several years to be realized.

Moving forward, all approved TIEG applications will be funded post-development, after municipal property taxes have been levied based on the reassessed value of the property.

• Other CIP Programs

Similar to TIEG, applications for all other CIP programs were previously funded through the Budget process. Going forward, these programs will now be funded through a committed CIP reserve. The Budget will reflect an annual contribution of $250,000 to this reserve, rather than the previous annual grant of $460,000, representing net annual savings of $210,000. Staff will return to Council annually to provide an update on CIP applications and funding.

For more details on Community Improvement Plans and available incentives,  visit www.greatersudbury.ca/do-business/planning-and-development/community-improvement-plans-and-incentive-programs.