Industrial Development Costs
Land and building – purchase and leasing
A wide range of industrial land is available for development in Edmonton.
Land prices vary based on size, zoning and location. In the second quarter of 2014 the average price of full municipally serviced industrial land per acre was estimated at $708,000.
When location factors are considered, land sales per acre (Avison Young) averaged the following:
- Northwest - $750,000/acre
- Southeast - $800,000/acre
- Northeast - $575,000/acre
Edmonton’s average owner/user industrial sales per square foot
(Colliers International) as of Q2 2014 were:
- Northwest - $197 - $388
- Southeast - $148 - $297
Edmonton’s average gross office rents Class A per square foot
(Cushman & Wakefield) as of Q2 2014 were:
- Downtown/Government - $48 - $33
- Suburban - $34
With the current absorption rate and new product coming on stream, there should be enough supply to meet the immediate demands for the next couple of years.
Offsite levies
Offsite fees and levies are calculated against cost of delivery of the services. Developers pay for the cost of municipal improvements, such as roads and utilities, within the lands they develop.
Development can trigger demands for municipal improvements that service a larger area such as arterial roads and sewer trunk mains. The costs of these major services are levied against a larger, "benefiting" area and a number of developers pay for them.
Off-site levy rates are set by City Council.
For More Information
Ken Mamczasz, P.Eng.
Economic and Environmental Sustainability
Sustainable Development
12th Floor, HSBC Bank Place
10250-101 Street NW
Edmonton, AB T5J 3P4
| Title | Senior Development Engineer, Industrial Services Team |
|---|---|
| Telephone | 780-496-6036 |
| ken.mamczasz@edmonton.ca |
