Calgary launches incentive program for office conversion

CALGARY — The City of Calgary is launching an incentive program that looks to support those wanting to convert their offices for alternate uses.

The Downtown Calgary Development Incentive Program will see an initial $45 million in funding provided for the conversions, which also includes office replacements and new residential development.

The first phase of the program will run from August to December and will prioritize the downtown core, which is suffering from a high level of office vacancy.

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“The City is excited to launch this program in order to begin to make an impact on downtown office vacancy and support vibrant downtown communities,” said Thom Mahler, the program lead for The City’s Downtown Strategy, in a release.

“This is an issue with wide-reaching impacts. High downtown office vacancy means low downtown property values which creates property tax burdens to residential and commercial properties outside the Downtown Core. This program is part of The City’s effort to stop that shift.”

Currently, downtown Calgary has an office vacancy of about 32.5 per cent with property values having declined by $16 billion since 2015.