The main floor plan of the two-storey apartment complex. (Town of La Ronge)
housing needs

New 20-unit apartment building planned for La Ronge

Aug 28, 2024 | 2:39 PM

Zak’s Building Group (ZBG), which has plans to build a new daycare facility in La Ronge, is also interested in constructing a 20-unit apartment complex.

The details were shared Tuesday at a regular town council meeting. The new two-storey apartment, which would include 12 two-bedroom and eight one-bedroom units, is being proposed at 132 Hastings Street and will consist of a private purchase of land.

The developer asked town council to approve the installation of sewer and water service extensions from their present terminus in Hastings Street to the property boundary at an estimated cost of $42,000 plus applicable taxes to be funded from municipal reserves.

In addition, ZBG requested a five-year municipal tax abatement.

“At present, the sewer and water services are available in Hastings Street, but not all the way to the property line of the proposed development,” a document prepared by town administration stated.

“ZBG has obtained the attached cost estimate of $72,400 plus taxes from JRT Excavating Ltd. to bring sewer and water from their current location to the proposed building. The town is being asked to assist with the portion of costs associated with extension of the services to the property line, with the remaining cost related to onsite works including a septic tank and grinder pump being ZBG’s responsibility.”

Town council had no issue with what was being asked of them and swiftly approved the project.

Thirty-unit apartment complex cancelled

A proposed 30-unit apartment complex at 1350 Bedford Drive was also discussed at the council meeting. It was revealed that Harvest Asset Management Inc. no longer wants to pursue the project as the company has more prosperous opportunities elsewhere.

In September 2023, council gave its approval to enter into an agreement for sale of land with Harvest Asset Management, which included a sale price of $1,000 plus a four-year tax abatement in return for development of a 30-unit, three building apartment complex.

The land where the 30-unit apartment complex could have been built. (Derek Cornet/larongeNOW Staff)

Harvest Asset Management completed an income analysis for the development and was not satisfied with an annual return of approximately $45,000.

Administration proposed two ways town council could move forward with the project. Those options were continuing to investigate and conduct further research into the steps needed to be taken for the town to proceed with its own housing construction project. The other option is to finalize the subdivision and market it as a fully serviced building lot. Town council chose to proceed with the latter.

derek.cornet@pattisonmedia.com

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