Fredericton Developer Mulls Future Of Downtown Apartment Project
FREDERICTON – The developer behind a proposed five-storey apartment building in downtown Fredericton is reconsidering his construction plans amid pressures from the coronavirus pandemic.
Gabriel El-Khoury decided to build an 18-unit building with a ground floor commercial space on King Street during a rise in projects to address a tight market. But uncertainty due to the province’s state of emergency under COVID-19 has halted in-person showings and prompted a dip in rentals.
“I know contractors are interested but are they going to be able to do it or not is a question,” he said. “I don’t want to start a project and not be able to finish it.”
The province’s state of emergency currently allows construction projects to continue, given that managers take “every reasonable step” to ensure the “social-distancing” of employees.
Permitting for buildings is also still underway as Fredericton’s planning advisory committee continues to hold meetings by phone. The project by El-Khoury Property Management Ltd. at 374 King Street passed first and second reading for a zoning bylaw amendment and several variances. The building can break ground if it passes the third reading on April 15.
The proposed variances allow for changes to lot area and street set back, while the amendment is for building height.
The structure designed by Fredericton architect Peter Fellows will use steel frames and fill an empty parcel, where a similar size building was demolished about four years ago after El-Khoury purchased the property. The facade will incorporate brick, glazing, aluminum and metal panels, and nine parking spots will be located behind the building.
The property just west of York Street will have nine one-bedroom apartments, six two-bedroom units, three studios and more than 1,250 square feet of ground-floor commercial space.
“It’s ideal for restaurants, particularly fast food or a franchise,” El-Khoury said.
That project comes as the capital city is experiencing low vacancy rates and officials are attempting to address a major lack of housing and apartments. The vacancy rate in Fredericton in 2019 was 1.4 percent, down from 2.1 percent in 2018.
El-Khoury told Huddle he originally hoped to break ground this year but is considering waiting until 2021 depending on how long the coronavirus pandemic continues to affect the province.
“Even people in the medical field can’t tell you when they see things start to turn around,” he said.