Yellowknife (Feb 08/06) - City Hall can develop up to 450 more hectares after the territorial government announced a major transfer of land, Tuesday.

Michael McLeod, minister of Municipal and Community Affairs, has given the city title to 601 hectares in total, 148 hectares of which was previously under lease.

The total represents a little under half of the land the city had asked for to make room for residential, commercial and industrial development during the next five years.

"It was a five-year plan and this looks after two-and-a-half," said Mayor Gord Van Tighem.

Undeveloped land within the city has been at a premium for years, particularly after the Akaitcho First Nations signed an Interim Measures Agreement five years ago.

The agreement froze the sale of Commissioner's land so the Akaitcho could work out a land claim deal with the federal government, which has yet to be completed.

In an effort to relieve land shortages in the city, McLeod called on the city and the Akaitcho last year to identify the lands they desired, and gave them a deadline of Sept. 1.

Only the city offered a complete list - representing 1,285 hectares in total.

The city now takes possession of a huge swath of land southwest of the airport to make way for a new access road from Kam Lake, plus a portion of Tin Can Hill where the city wants to build a new residential subdivision.

Another large chunk of land south of Con Mine remains off-limits for now, as do the "Sand Pits" along Highway 3.

The Yellowknives Dene, who fall under the Akaitcho umbrella, have expressed interest in both locations in the past.

McLeod has ordered a two-year freeze on all remaining Commissioner's lands within the city.

Officials with the Yellowknives Dene could not be reached for comment.