YELLOWKNIFE - A large chunk of Yellowknife's downtown is likely to soon be sold.

Already one of the city's largest landlords, Northern Property Real Estate Investment Trust has announced its intentions to purchase the YK Centre, the TD Bank building, the courthouse, Igloo Plaza, and NWT Commerce Place. No price tag was announced.

Lydia Bardak is moving the John Howard Society offices out of the Igloo Plaza because she can't stand the uncertainty of when the building might be torn down. Northern Properties Real Estate Investment Trust is looking at purchasing WAM Development Group, which owns the building. Erika Sherk/NNSL photo

"Six key office and commercial buildings right in the heart of the capital city of the NWT," was how Northern Property president and chief executive officer Jim Britton described it.

The buildings will come as part of the package when Northern Property purchases WAM Development Group.

Not much will change with most of the buildings, other than some "sprucing up," according to Britton.

Igloo Plaza, however, will be demolished as will two downtown houses, in keeping with some of WAM's development plans.

A new building will be constructed in its place, he said. Work should begin on the new structure in late 2007 or early 2008, he added.

Though nothing official has been announced, it has been widely rumoured that Shopper's Drug Mart may be moving into the new spot.

"If I'm wearing my city councillor hat, I'm so pleased that a downtown business is staying downtown," said Lydia Bardak.

Bardak is the community justice committee co-ordinator for the John Howard Society, whose offices are located in the Igloo Plaza. She said that Yellowknife has seen too many big businesses moving out or setting up on Old Airport Road.

Everything used to be within walking distance for downtown dwellers, but now Wal-Mart, Co-op, and Canadian Tire, among others, require a car to get to, she said.

However, on the other side of the coin, Bardak said it is not easy for non-profit groups such as the John Howard Society to pick up and move.

"It's a lot of extra work that we don't need," she said.

She hasn't received official notice that the building is to be torn down, she said, but she and the other tenants have been hearing rumours for years.

"It's too stressful to wait for notice," she said. "We just made the decision to cut and run." Costly move for hair salon

Gina Mclean, owner of Babylon hair salon, said she couldn't bear the uncertainty of not knowing her business' future in the building.

"Every time I pay rent I say 'do you hear anything yet?'," she said.

She estimates the move will cost her $6,000 to $7,000, with several weeks lost income while she sets up a new salon.

Northern Property already owns the largest amount of residential properties in Yellowknife, with 926 rental units and 54 furnished suites.

The upcoming acquisition is part of the company's move into commercial spaces, said Britton.

Ken Pearman, president of the Yellowknife Real Estate Board as well as co-owner of Coldwell Banker realtors, said the transaction is good for the city.

"We have a company with Northern roots and a strong Northern presence in Yellowknife looking at it and I think it's a good thing," said Pearman. "They understand the North."

The deal between WAM Developments and Northern Property is expected to be finalized in about two weeks.