March 5, 2021
WestVic Common Receives Manitoba Works Capital Incentive Rebate Up to $5.8 Million
– – –Retail and Professional Redevelopment Project will Stimulate Economic Growth in Brandon: Eichler
Through the Manitoba Works Capital Incentive (MWCI), the Manitoba government will provide a rebate of up to $5.8 million over a maximum of 20 years to support costs for the remediation, redevelopment and expansion of WestVic Common in the city of Brandon, Economic Development and Jobs Minister Ralph Eichler announced today.
“The Manitoba Works Capital Incentive encourages businesses to invest and expand in our province by creating a competitive tax environment to help diversify Manitoba’s economy,” said Eichler. “Manitoba is open for business and is recognized as an attractive destination for private investment by companies from across the country and around the world. This project will create jobs and encourage further economic development in the Westman region.”
A total of 12 acres at 3409 Victoria Ave. in Brandon will be redeveloped as WestVic Common. The project would add approximately 33,000 square feet of new retail space and redevelop 117,000 square feet of existing retail and professional service space.
“The Manitoba Works Capital Incentive is an incredible tool in helping properties like ours with a revenue neutral position for taxpayers,” said Mark Olson, president and chief executive officer of Landstar Development Corporation. “This helps us create new jobs and investments in our communities without harming the taxpayer.”
The WestVic Common project will support approximately 200 short-term construction jobs and will add more jobs at the redeveloped site once lease negotiations have concluded.
“The WestVic Common rebate is a critical tool in unlocking the potential of this long underperforming commercial site in Brandon’s west end,” said Sandy Trudel, director of economic development with the City of Brandon. “By providing the property owner and future tenants property tax stability for a defined period, we reduce the uncertainty and risk associated with investing in a site that has stagnated for well over a decade. The WestVic Common site was once a vibrant commercial hub and we believe this rebate will enable the site to not only return to its previous vibrancy but also exceed it.”
The province unveiled MWCI in May 2020 as a new approach to tax-increment financing that rebates the incremental education property taxes generated by a project for up to 20 years. Approved projects receive a tax rebate based on the difference between pre-development property tax revenue and the increased amount generated by the completed project. The program aims to encourage significant new business investment or existing business expansion, noted Eichler.
Other recent MWCI recipients include a rebate of up to $4.1 million over 20 years to the Best Western Dauphin Ltd., which supports costs associated with the construction of the new Best Western Hotel in the city of Dauphin. The new 82-room hotel offers additional lodging opportunities for travellers in the Parkland region and its construction supported 35 short-term construction jobs and added an additional 37 jobs in the community.
A new or existing business interested in establishing or expanding its operations in Manitoba may apply for the MWCI if:
• the business is prepared to make a minimum capital investment of $10 million to a specific property, which will be designated for tax-increment financing benefits;
• a minimum of 65 per cent of total project costs are from private sources; and
• there is demonstrable potential to create and/or maintain at least 10 new jobs in the province, or the new business activity will have a substantial and measurable net economic benefit to the province.
For more information on MWCI, visit www.gov.mb.ca/jec/busdev/financial/mwci/index.html.
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