Changes could be in store for airport entranceway
Changes could be coming to the main entrance to the Medicine Hat Regional Airport as a new proposal would market commercial land as well as clean up the area near Gershaw Drive.
A city committee heard Wednesday the $2.5 million land department project would be a scaling back of existing plans, but would remake the main entrance of the city-owned site into a "western gateway" to the city and set the stage for future business development.
A 2011 city study into the airport’s future suggested land development on three sides of the huge site. The current council made new activity there a strategic priority, however, administrators have struggled to accomplish that while turning a profit.
“The challenge has been to find a development program (there) that results in positive cash flow and that’s held back development,” said Stan Schwartzenberger, the city’s commissioner of development.
“We’re confident that we’ve found that plan.”
A small first phase would see three parcels, those closest to Viscount Ave., brought to market over the next 18 months for use as highway commercial and not necessarily air-related businesses.
Those seven acres are the most attractive and cheapest to provide utilities, said Schwartzenberger, who called the phased approach “cautious and realistic” based on low current demand for commercial property.
Money would also be spent to remove concrete pads that have remained nearby since Second World War era hangers were demolished, cleaning up those contaminated sites for future offerings. The former terminal building would be demolished, parking added, and a power line moved.
The department would use about $2.5 million, from $6 million already budgeted. Estimated revenue would only be $2.8 million, but committee members said the break-even project might pay off in the future.
“For years and years, councils have discussed the value of developing and marketing the potential of the airport,” said Coun. Julie Friesen. “It’s a long time coming, the money is in the budget and eventually we’ll recover it.”
Committee chair, Coun. Robert Dumanowski called the small first phase makes a statement while avoiding major expansion costs.
If the initial phase is well-subscribed and increases property value, there are another 35 bare acres on the north side that could be developed later at higher margin, he said. In the meantime, the move would send signals to the business community.
Last year the city opened a newly renovated terminal and has since acquired a second air carrier.
Coun. Les Pearson said the improvements are noticeable, but the area needs work.
“(The terminal) is much more efficient but it looks like a junkyard out there,” he said. “This will cleanup the entire area.”
The city currently stores flood walls and some electrical equipment on two six-acre lots that butt up against Gershaw Drive. Those sites would be cleaned up but marketed for sale at future stage, and some landscaping at the intersection of Viscount and Gershaw would take place.
Pearson also asked officials about the possibility of widening Highway No. 3, which becomes Gershaw Drive, but was assured by city planners that the stretch nearest the airport would likely remain as is in future provincial highway planning.
Wednesday’s committee meeting heard that a recent review states that concentrating effort on the North end would also enhance the highway route entering the city’s southwest, and could spur future nodes and growth at the transportation hub.
Land officials now prefer focusing on the on the North node, as opposed to the south (30th Street) or east (Tenth Avenue).