City council will decide if it will give Calgary Municipal Land Corporation (CMLC) a $25-million loan on Tuesday.
CMLC says the money will help their goal of revitalizing the Rivers District, which encompasses a large chunk of downtown Calgary’s east end.
According to the presentation slated for council, the funds will be used for better wayfinding, infrastructure upgrades, park spaces, public art and new safety lighting on the reconciliation bridge.
CMLC says the projects will help forward their four-year strategic plan, which was passed by council back in December.
The city-owned subsidiary is self-sustaining through the community revitalization levy, which is like property taxes in the district. However, CMLC says it needs additional funding in the near term to complete the latest projects.
It’s not unusual for CMLC to get loans from the city for capital projects.
The loans are funded by the City of Calgary through debentures issued under borrowing bylaws.
Under the proposed bylaw for this new $25 million, the city will charge CMLC the standard administration fee of a quarter per cent every year on the outstanding loan balance.
City administration is recommending council approve the loan.
