Development proposal worth millions
Malcolm Gorrill
Northern News Services
Inuvik (Feb 02/01) - A new subdivision is in the works.
It would include 34 houses, as well as three six-plexes, one eight-plex and four tri-plexes. The subdivision would touch upon Carmichael Drive East and Carmichael Drive West.
Sam Kassem, president of Northern Management Development Ltd., outlined his company's proposal to to Inuvik Town Council last week.
Kassem explained that plans for this development began after the NWT Housing Corp. predicted increased demand, and a shortage of, residential housing in the community.
Kassem said Northern Management has decided that with the high cost of development here, the only way this project would be feasible is if both lots and homes are developed and sold together.
If approved, the project would consist of five stages and be constructed over five years. The first four phases would cost between $3-4 million each, with the last phase costing between $5-6 million.
Kassem told council taxpayers will not be asked to fund the venture, and that Northern Management has approached both the Inuvik Community Corporation and the Nihtat Development Corporation for funding.
Kassem said the price range for the homes will be between $170,000 to $250,000.
"That's not too far off from what's available on the market right now," Kassem said.
Mohamed Mokled, architect with Northern Engineers and Architects, also addressed council on the project.
"We're trying to create a nice looking, modern subdivision," Mokled said.
Mokled explained the subdivision is designed to limit cross traffic, and that there will be a park in the centre with no traffic allowed. He also said the homes will be built so as not to look exactly alike.
Kassem said the company is seeking three concessions from council. The first is that the town turn over the land to Northern Management at no cost.
After the meeting Kassem said the land is of no value to anyone unless it's put to use.
As well, Northern Management wants the town to waive royalties on fill needed for the development, and to extend a street alongside the project.
Kassem pointed out to council that the town would reap significant benefits from the subdivision in terms of property taxes and services. He said that when the subdivision is complete, that benefit would total around $300,000 annually.
Kassem said that the town would begin to benefit as lots were sold. He pointed out that lots and homes won't be developed unless sold.
"We have to coordinate our sales with the development of the property. We can't go and build and sit on it," Kassem said.
Wanting to start
Kassem said Northern Management would like approval as soon as possible from council so they can complete phase one by the end of this year, thus creating 14 single-family homes.
Kassem pointed out the development could be speeded up if demand warrants.
Meanwhile, Franklin Carpenter, manager of the NWT Housing Corporation in Inuvik, said oil and gas activity in the area is partly why increased growth is projected for the town.
Carpenter said oil and gas companies have taken up many of the rental units.
"Inuvik needs construction," Carpenter said. "We've got a lot of applicants from people who want to buy or build a new home."
Council was to hold a special meeting yesterday (Wednesday) to learn more about the proposal.
