Mountain Man
Senior Member
Wasn't the Olympics suggested by CSEC as a way to try and justify the public money for the arena? That's my recollection anyway...
- Thread starter Bokimon
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Duck Lightning
Active Member
Found the article I got this from:
Future of Convention Centers: Outside the box design continues
CRYSTAL BALL TIME: Greg O’Dell, left, president, venue management for Oak View Group, moderates a panel on “The Future of Convention Centers,” at the VenuesNow Conference 2023. Also pictured are Laura Alexander, assistant general manager at Central Bank Center, the new convention center in...
venuesnow.com
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Tothewest
Active Member
So true...it's why I pushed back on posters who reference master plans and concept designs when critiquing specific buildings upon design unveiling.....these are usually done by people who have no obligation to look at any of the functional purposes of those buildings....simply "here's how it fits in the neighborhood".Found the article I got this from:Future of Convention Centers: Outside the box design continues
CRYSTAL BALL TIME: Greg O’Dell, left, president, venue management for Oak View Group, moderates a panel on “The Future of Convention Centers,” at the VenuesNow Conference 2023. Also pictured are Laura Alexander, assistant general manager at Central Bank Center, the new convention center in...
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Going vertical with BMO was a great decision, it achieved everything it needed, but within the existing footprint of BMO
darwink
Senior Member
Instead of redoing the Big 4 right?
Tothewest
Active Member
The Big 4 is dated, but functional, unlike the Corral. Not to mention the issues building over and around the Big 4 would cause for Stampede
Chowda7
Active Member
Premier says she’s open to tax breaks to help hotels get built near BMO Centre
Premier Danielle Smith signalled Thursday that she's open to providing "broad-based programs" to developers.
calgaryherald.com
CBBarnett
Senior Member
From https://www.governing.com/archive/col-convention-center-promised-benefits-rarely-materialize.htmlPremier says she’s open to tax breaks to help hotels get built near BMO Centre
Premier Danielle Smith signalled Thursday that she's open to providing "broad-based programs" to developers.
“When projects fail and debt service mounts, consultants routinely conclude that the center needs a "headquarters hotel," which at the very least requires a large public subsidy. Sometimes the lack of developer interest results in the hotel being publicly owned. It's a classic example of finding yourself in a hole and continuing to dig.”
We should ask why this Herald article exists. Seems awfully convenient timing. Wasn’t the current $500M the subsidy sold as an investment to encourage private investment in hotels and such?
The place hasn’t been open a week and the province is already floating hotel tax breaks. Usually this entertainment district scheme waits a few years before trying to justify that further subsidy is needed.
darwink
Senior Member
What helps is certainty.
What is worse is promising tax breaks and then not doing it immediately.
The province may not realize but they just froze all hotel development.
Also I am sure the province will issue a report that calls on cities to put in tax incentives as the province has empowered cities to do so.
In a CRL the implementation of those types of incentives will destroy the tax differential needed to pay back the CRL funds.
Edit:
If hotels are not economic due to the current nightly average rate and occupancy, that tells me there is not a shortage. I do not think the government should be subsidizing hotel construction for many reasons but the most basic one is that it is effectively a transfer from existing hotels to their future competitors.
Now, perhaps something else could happen: a full air bnb ban accompanied by a hotel incentive, which would make the incentive a housing affordability measure.
What is worse is promising tax breaks and then not doing it immediately.
The province may not realize but they just froze all hotel development.
Also I am sure the province will issue a report that calls on cities to put in tax incentives as the province has empowered cities to do so.
In a CRL the implementation of those types of incentives will destroy the tax differential needed to pay back the CRL funds.
Edit:
If hotels are not economic due to the current nightly average rate and occupancy, that tells me there is not a shortage. I do not think the government should be subsidizing hotel construction for many reasons but the most basic one is that it is effectively a transfer from existing hotels to their future competitors.
Now, perhaps something else could happen: a full air bnb ban accompanied by a hotel incentive, which would make the incentive a housing affordability measure.
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DougB
Active Member
How about removing the 4% Provincial Government Tourism Levy, and 3% Destination Marketing Fees from all hotels and short term rentals?What helps is certainty.
What is worse is promising tax breaks and then not doing it immediately.
The province may not realize but they just froze all hotel development.
Also I am sure the province will issue a report that calls on cities to put in tax incentives as the province has empowered cities to do so.
In a CRL the implementation of those types of incentives will destroy the tax differential needed to pay back the CRL funds.
Edit:
If hotels are not economic due to the current nightly average rate and occupancy, that tells me there is not a shortage. I do not think the government should be subsidizing hotel construction for many reasons but the most basic one is that it is effectively a transfer from existing hotels to their future competitors.
Now, perhaps something else could happen: a full air bnb ban accompanied by a hotel incentive, which would make the incentive a housing affordability measure.
darwink
Senior Member
Those are more of a collective action problem for hotels: they recognize marketing is required, but if they were to market independently they would need to spend more not less, due to free riders dropping out.
If the hotel association wished, they could ask for the end of the fee.
Of course, they would very much wish for the fees to be dropped but the marketing to remain paid for with tax money.
If the problem is under supply, or too much demand, another way to solve it is to stop marketing while still collecting the money.
trtcttc
Active Member
I wonder if part of the issue is the location of recently opened business hotels. Dorian/Courtyard, Residence Inn, Westley are not walking distance. And a few opened at the airport with the international expansion. Prices would definitely suggest there's no citywide shortage but not enough close to the convention centre. On the other hand, there's not much by BMO currently that it'd struggle to hit the necessary occupancy during smaller conventions or when there's nothing going on.
darwink
Senior Member
Perhaps the province and city should have thought of that before going all in on the BMO.