Developer Puts Plans On Hold To Construct Office Tower In Downtown Fredericton
FREDERICTON – Commercial Properties has decided not to proceed, at this time, with the construction of a 92,000 square foot mixed-use building on land it owns at the corner of Regent Street and King Street in downtown Fredericton.
The New Brunswick-based property developer had announced plans last April to construct a building that could include a mix of “Class A” office space, retail outlets and residential units. After a year of exploring the project, Paul Moore, executive vice-president of Commercial Properties, said the timing isn’t right.
“We held substantive pre-leasing conversations with a number of tenants who were interested in taking space in the building, but current market conditions do not support the large, high-quality office and retail building we considered constructing on our property on the corner of King and Regent streets in Fredericton,” said Moore in a release.
Moore is not ruling out the future development of this site, though, emphasizing the property’s strategic location and the continued growth in downtown Fredericton.
“This is a strategic location in the heart of the downtown near the Convention Centre, the Playhouse, offices, hotels and shops. It’s a location that holds tremendous potential and we look forward to working with the community to identify development opportunities that add to the vibrancy of Fredericton,” he said. “Fredericton is a city on the move and we plan to be part of its bright future. We will continue to actively assess new opportunities for this piece of property.”
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In the last couple of years, there has been renewed interest in constructing multi-use commercial and residential buildings in the downtown core.
Last fall, Ross Ventures began construction of an office tower with 90,000 square feet of “Class A” commercial space on Carleton Street. It will be up to seven storeys high depending on how many tenants it secures during the construction phase. The company has an anchor tenant but hasn’t formally announced who that is yet.
The company has also acquired the 390-space Brunswick Street Parking Garage, which will be attached to the new building.
In February of last year, Kileel Investments announced plans to construct a building with apartments and up to 75,000 square feet of office space at the corner of King Street and Westmorland Street.
At the time the company was negotiating with potential tenants and needed commitments to fill 75 per cent of the space to proceed with the development.
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