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NEWS of the Red Deer Region - January 1-15, 2009

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News of the Red Deer Region
snippets and summaries of news from local resources including media, press releases and personal knowledge
January 2009 Part 1


Jan. 15, 2009
Construction on Sylvan Lake RCMP Building to Start in Spring
Assuming architectural plans for the new RCMP building in Sylvan Lake are approved by the RCMP in Regina by the end of January, construction could start by early April and be completed 16 months later. Town council passed two bylaws on Monday to facilitate the project, including borrowing funds and rezoning the Beacon Hill site from urban to public facility land. Plans for the 1,274-square-metre, 2-storey, $7.5 million building include an exercise room, a large meeting room and lockers on the top floor, with offices and prisoner cells on the main floor. Currently, Sylvan Lake RCMP have 25 officers and support staff.
International Clothing Retailer Coming to City
International clothing retailer, H&M, is preparing to open a 14,000 sq. ft. store in the Bower Place Shopping Centre this spring. Its size make it close to an anchor store in the mall. The Swedish-based chain carries clothing for women, men, teens and children as well as cosmetics, shoes and other accessories. The company has 1,600 stores in 33 countries, including 43 in Canada, two of which are in Edmonton and one in Calgary. The store will be in part of the area previously occupied by the Convergys call centre which closed last June. Other anchor stores in the mall include The Bay, Zellers, Sears, ToysRUs and Shoppers DrugMart.
Gull Lake Community Hall Being Planned
The newly formed Westlake Community Society is planning and fundraising to build a new community centre serving the northwest shores of Gull Lake on an 11-acre municipal reserve site owned by Ponoka County. The new Westlake Estates subdivision next to Parkland Beach is home to around 700 summer and permanent residents.


Jan. 14, 2009
Golden Circle Renovation Project Almost Complete
The $3 million major renovation project at the Golden Circle seniors centre near the downtown Red Deer museum and recreation centre is nearing completion with some staff moving back in next week and completely operational by February 1. The temporary location for staff has been at the Red Deer Curling Club building for the past several months. The renovations include a new entrance and lift, a circular drive-through, upgrades to washrooms, lighting and acoustics and basement remodelling. The centre has over 900 members and serves 250 people a week.
Historic Markerville Story Being Republished
Originally published as a series of articles called 'The Markerville Story', long out of print, the book is being republished by the Central Alberta Historical Society as 'Settlement Tales of West Central Alberta: The Markerville Story'. Carl Morkeberg, manager of the Markerville Creamery in the late 1960s, wrote the articles, the first of which appeared in the Innisfail Province in October 1967. His 131 articles expanded to include the histories of other communities in the area including Spruce View, Dickson and Caroline and the series was compiled and published in 1980. Born in Markerville in July 1903, Morkeberg was a Dane in the largely Icelandic community. He died in 1981. His father started Markerville's first creamery in 1899, now a museum restored to its 1932 appearance.


Jan. 13, 2009
City Centre Parkade Construction to Start This Summer
Red Deer city council yesterday approved the borrowing of $18.5 million towards a $21.3 million project to build a 3-storey parkade above the downtown transit terminal. The project will be tendered this spring and construction is expected to start this summer. Parkade foundations were build at the time the terminal was constructed in 2002. The new 420-stall parkade will take a year to build.
City Council Approves $150 Million of Borrowing
Red Deer city council has approved the borrowing of up to $150 million for several infrastructure projects including $87 million for water treatment upgrades, $34.2 million for wastewater treatment plant improvements, $6 million for recreation and parks projects, $3.9 million towards replacing or relining wastewater mains and $18.5 million for the downtown parkade.
Former Sylvan Lake Hotel Site Ordered Cleaned Up
Sylvan Lake town council has given the developers of a stalled project at the town's most prominent corner to June 30 to dig out the partially-built underground parkade, provided other conditions are met. Otherwise the town will proceed on its own to fill in the eyesore and use the site as a temporary park. One of the conditions is that the fence around the project be replaced with a more attractive and permanent one by Feb. 15. The site was once the location of a historic hotel. It was torn down in 2002 to make way for a 7-storey conference centre and hotel that stalled in 2003. In 2005, the town approved a revised plan for a 9-storey building with ground-floor commercial space and 94 condominium suites. The development permit for the last project expired last June.
Intermunicipal Annexation Compensation Approved
A compensation agreement between the city of Red Deer and Red Deer County has been approved by both municipalities as part of an Intermunicipal Development plan for the future annexation of 7,485 acres west and north of the current city boundaries. The total amount is $2.4 million which would be paid by the city to the county in installments between 2010 and 2014 to compensate for lost tax revenue and infrastructure assets.


Jan. 10, 2009
New City Housing Starts Lowest in 5 Years
Canada Mortgage and Housing Corp. reports that housing starts in Red Deer dropped by 63% in 2008 compared to the previous year. The 572 projects started during the year consisted of 367 single-detached homes and 205 units in multi-family buildings. In 2007, Red Deer recorded 1,558 housing starts of which 974 were single detached and 584 multi-family units. Although 2007 was a record year for residential construction in the city, the 2008 figures are also lower than for the previous five years. In 2006, the city had 1,429 housing starts; 2005 had 1,270 starts; 2004 had 1,343 starts; 2003 had 1,124 starts; and 2002 had 1,485 starts. During 2008 in other communities in Central Alberta, Sylvan Lake had 107 single-family and 216 multi-family starts; Lacombe had 77 single-family and 49 multi-family starts; Mountain View County had 117 single-family starts; Clearwater County had 85 single-family starts; Red Deer County had 76 single-family and 4 multi-family starts; and Lacombe County had 52 single-family starts.


Jan. 9, 2009
Optimism for City Housing Sales in 2009
In spite of a less than stellar final quarter of 2008, the past president of the Central Alberta Realtor Association expects an improvement in mid-2009. During the last three months of the year, 171 single-detached homes sold in Red Deer, compared to 400 in the previous quarter and 243 during the same period in 2007. Brisk sales activity in the city earlier in the year helped push the 12-month total to 1,312, second only to the record 1,399 sales during 2007. The median price for the final quarter was $310,000, compared to $324,000 during the previous quarter and average for the year and $319,000 during the same period in 2007. The median price for 2007 was $330,000. A further decline in average price is expected in the first quarter of 2009 and then rebound mid-year. It is anticipated that 4,700 residential properties in the region will be sold through the Multiple Listing Service in 2009, including 2,000 in Red Deer, compared to 4,646 sales in Central Alberta and 1,950 in Red Deer during 2008.
Regional Homes Generally Maintained Value in 2008
Although the median home price in some Central Alberta communities declined in 2008, there were other communities where the median home price increased. According to figures released by the Central Alberta Realtor Association, In Blackfalds, the median price of single-detached homes sold was $324,000 in 2008 compared to $296,000 in 2007. In Lacombe, the median price increased from $303,000 in 2007 to $314,000 in 2008. In Ponoka, the median price increased from $237,000 last year to $245,000 this year. The median price in Sylvan Lake increased slightly to $349,000 from $345,000. Prices remained fairly constant in Rocky Mountain House at $291,000 while the median price in 2008 for homes in Red Deer at $324,000, Innisfail at $270,000 and Stettler at $210,000 declined from the previous year.
Lacombe County Gives First Reading to RV Resort Plan
A proposed 423-unit recreational vehicle resort in the summer village of Sunbreaker Cove close to Sylvan Lake has been given first reading by Lacombe County. Developer Skyy Country has proposed building a boat launch and road upgrades to improve access to the area and a storm water runoff system that would keep a proposed golf course green in order to address some of the concerns expressed by local residents. A public water park larger than Discovery Park in Red Deer is also planned. A public hearing will be held in March.


Jan. 8, 2009
Two Thirds of New Subdivision to be Green Space
A proposed new subdivision called Garden Heights, on the escarpment along 67 Street east of the McKenzie Trails recreation area portion of Waskasoo Park, will preserve most of the green space, trees, ravine and wildlife corridor. The area structure plan covers 162 acres of which 110 acres will be remain as open space. Garden Heights is expected to have 460 units, including 174 single-family houses, townhouses, duplexes and an apartment complex. Several new trails will ring the development and a parking lot for about a dozen vehicles will be built for trail users. The city owns 126 acres, Melcor Developments 30 acres, of which 16 acres will be developed, and private landowners who hold 6 acres. The subdivision will take from three to five years to develop starting in 2010.
Rocky Mountain House Tax Increase 4.9%
Homeowners in the town of Rocky Mountain House will face an average 4.9% property tax increase this year. Town council approved a $13.3 million operating budget and $14.7 million capital budget. Major projects include $7.5 million for water treatment plant upgrades.
City Seeking Public Art for Building Projects
The City of Red Deer is asking artists to submit proposals for art works to add interest to four public building projects. The pieces will be for the downtown RCMP building currently under construction, the nearly completed 67th Street RCMP/Emergency Services building, the expanding Golden Circle seniors centre and the Emergency Services station in Johnstone Park.


Jan. 7, 2009
Aviation Museum Step Closer to Reality
Red Deer County council has given first reading to a bylaw to allow for the lease of up to 10 acres of municipal reserve land in the hamlet of Springbrook for a future aviation museum. The proposed Harvard Historical Aviation Centre is planned to preserve the heritage and memorabilia of the former Penhold military base next to the Red Deer Regional Airport. Although the museum will focus on the NATO training years when the Harvard trainer was the primary aircraft used for training, the society has acquired a 1941 Airspeed Oxford twin engine plane used at Penhold during the days of the British Commonwealth Air Training Plan. It is estimated that the building will be between 15,000 to 18,000 sq. ft. and be open by the fall of 2010.
Construction Associations Optimistic About 2009
Officials from both the Red Deer Construction Association and the Central Alberta branch of the Canadian Home Builders Association have expressed optimism for construction activity in 2009 in the Red Deer area. There is an expectation that building permits in the city will increase in part due to improved selection of residential lots, anticipated commercial building activity, availability of serviced industrial land and the continuation of multi-year projects.
Capri Hotel and Convention Centre Sale Finalized
The sale of the Capri Hotel and Convention Centre finalized last week with Temple Real Estate Investment Trust for $40 million. The hotel now falls under the management of Atlific Hotels and partner agency Starwood Hotels and Resorts which operates the Sheraton and Westin hotel chains. The hotel will undergo $8 million in renovations over the next eight months including the lobby and 218 guest room makeovers one floor at a time. An unspecified name change will include the word Sheraton. The Pasutto family had owned and operated the hotel since 1964. Most of the 300 employees will remain and the two adjoining bars will continue.


Jan. 6, 2009
Tourist Visitor Centre Sets Record
The Tourism Red Deer Visitor Information Centre located along Highway 2 reports a record number of tourists stopped by in 2008. There were 74,637 visitors tallied last year, topping the previous record of 73,027 set in 2006. In 2007, 68,714 visitors passed through. About 74% of visitors were from within the province as high gasoline prices kept Albertans closer to home than usual, although in the previous year, 80% of visitors were from within the province. Half of the international travellers were from the U.S. The record number reflects the record attendance at Westerner Days 5-day fair in 2008 and the huge success of the city's mid-summer CentreFest street performers festival.
River Watershed User Group Applauds New Land-Use Region
The Red Deer River Municipal Users Group is pleased that the province listened when it changed its Draft Land-Use Framework to include a seventh region in the province, the Red Deer Region, in its final report released in December. The group had been pushing the province for years for the Red Deer River watershed to be considered separate from the South Saskatchewan River basin. The province created the framework to better manage public and private lands and natural resources, including water, during recent times that have seen rapid population and economic growth. The plan strives to create a balance among economic, social and environmental interests. The other six regions include the Lower Peace, Upper Peace, Lower Athabasca, Upper Athabasca, North Saskatchewan and South Saskatchewan, all named for the major river watersheds. Since the Red Deer River flows into the South Saskatchewan, the river watershed had previously been included in the South Saskatchewan river basin region. Most of Central Alberta, including the counties of Red Deer, Lacombe, Ponoka, Mountain View, Stettler, Kneehill, Starland, Paintearth and Special Areas to the east, are part of the new provincial region although some portions of the region are in the Battle River sub-basin that flows into the North Saskatchewan River including portions of Ponoka, Lacombe and Stettler Counties. Clearwater County is in the North Saskatchewan river basin region.
Sylvan Lake Gets Vehicle Dealership
Sylvan Truck Ranch has opened in Sylvan Lake as a used vehicle dealership that carries late-model light trucks, cars and SUVs. The town has been the largest community in Central Alberta without some form of vehicle dealer, partly due to its proximity to Red Deer. The new premises consists of a 3,700 sq. ft. building with a showroom sitting on 1.2 acres of land along Highway 20 north of Highway 11A.

Jan. 3, 2009
Value of City Permits in 2008 Normalizes
After a couple of years of record-breaking construction in Red Deer reflecting a major growth spurt, the value of permits in 2008 were back to levels experienced prior to 2006. The cumulative value of building permits issued during the past year stood at $258.4 million, a 39% reduction from the previous record year in 2007 which stood at $421 million. However, it was still the third highest value in Red Deer's history. 2007 was a unique year in that three major multi-million dollar projects got underway including the massive relocation of the civic yards, the expansion of Red Deer College and the start of a 12-storey downtown office building. In 2006, permits totalled $282.2 million while in 2005, the permit value was $254.1 million. In 2004, the permit value was $141.1 million. The number of permits in 2008 was down from the previous year from 3,068 to 2,008. The residential category took the greatest hit in value with $99.2 million in 2008 compared to $189.7 million the previous year. The industrial category took the greatest percentage drop at $14.2 million compared to $103.6 million in 2007. Public projects increased in 2008 with 2 major projects, the $40 million Michener Hill Medican project and the $23 million RCMP building. The final month of the year did see an increase over the same month in 2007 at $8.5 million compared to $6.5 million in December of the previous year.


Jan. 2, 2009
Province to Co-ordinate Ambulance Service
Red Deer Emergency Services will not be dispatching its own ambulances by April although the city will continue to operate them as part of the city's existing integrated fire and medic service. The province has announced plans to set up its own emergency medical service communications centres in regional areas around the province. The move is expected to streamline the current 30 regional EMS centres by reducing the number of centres to 9.

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