Jack Danylchuk
Northern News Services

Yellowknife (Aug 24/05) - Nova Construction plans an eight-storey office building for the vacant land on 52nd Street.

Nova president Mike Mrdjenovich said the neighbour to the new federal building on Franklin Avenue will open next fall. He estimated the cost of the 100,000 square-foot office block at between $12 million and $15 million.

"It's not like a 24-unit home for old folks, that's going to cost $14 million," he scoffed at plans for a dementia facility at Aven Manor.

"I think someone is smoking something funny to spend taxpayers' money that way. They should be ashamed," he said.

"I'm steaming about this, I'm so mad," he said. "It shouldn't cost more than $6 million for 24 units."

Work on the office project is being delayed by a search for additional parking, "otherwise we would be in the ground already," Mrdjenovich said.

The immediate proximity of the new federal building makes the site of his latest project attractive to Mrdjenovich.

"The federal building is already full; a lot of people want to be close," he reasons.

"We don't have a lead tenant, but we figure there is a lot of choice for us," he said.

Mrdjenovich believes the market for office space is "very tight in Yellowknife.

"There is no grade-A space available. A few government tenders are coming up and they want to move out of low-grade space," he said.

"I think there is a need for a new office tower. I build then, look for tenants," he said.