Kamloops, BC—The City of Kamloops has made a significant land acquisition of 9.77 ac. of flat, easily developed, industrial-zoned land at 965 McMaster Way for $16,625,000. This site, optimally located adjacent to the existing Civic Operations Yard, will accommodate 25 to 50 years of growth for Civic Operations.
“As our community grows, our operations expand to serve new residents and keep our city running. This means additional equipment and machinery to clear snow, collect solid waste, and maintain our beautiful parks. It also means more materials, such as lamp poles, pipes, and other raw materials, to build and maintain the utilities and roads we all use. All of these items will require space,” said Joe Luison, Acting Civic Operations Director. “The benefits of securing this type of land in this location cannot be overstated—it’s really a remarkable opportunity. This provides certainty for our operations and allows us to plan for growth on site rather than at satellite properties throughout the city, which will provide significant operational efficiencies as we expand.”
The entire parcel is not required for current operation levels; therefore, 7 ac. will continue to be leased to Westcan Transport Limited Partnership, providing revenue to reduce the cost of borrowing. Work has already started on the remaining 2.77 ac. to expand parking and laydown areas to support operations. Planning will now begin to determine how operations will expand into this parcel over the next two decades as the current yard and buildings reach capacity.
“This is an investment in the future of Kamloops and our residents,” said Deputy Mayor Bill Sarai. “The decisions we make now are always made through a long-term lens, ensuring we are purposeful and deliberate in planning for the growth of our community.”
The initial purchase was funded using short-term internal funding sources. However, this fall, the City will seek electoral approval to move this to long-term debt, as well as $125,000 for the initial site work, using the alternate approval process. The annual debt servicing cost for the long-term debt, estimated at $1,038,039, will be offset by annual lease payments ($277,172 per year) and has already been accounted for in the 2025 budget.
“We’re looking to finance a long-term investment with long-term borrowing, just like taking out a mortgage on a house,” said Sarai. “This means that residents today don’t need to fund the entire purchase through a big tax hike, and the cost can be amortized over the next 30 years.”
If the alternative approval process is not successful, staff will return to Council with alternative financing options.
On September 24, 2024, City Council authorized:
- the purchase of 965 McMaster Way for $16,625,000, which includes fencing to separate the property and relocation of the fuel bar, contingent on a satisfactory building condition assessment
- staff to prepare a borrowing bylaw in the amount of $16,625,000
- the assignment and amendment of the existing lease with four (4) five-year renewal periods with Westcan Transport Limited Partnership
- the Corporate Services Director to update the 2024–2028 Financial Plan accordingly
The motion was moved by Councillor Sarai, seconded by Councillor Bass, and unanimously carried. Mayor Hamer-Jackson and Councillor Middleton were absent, and Councillor O’Reilly declared a conflict of interest.
