Deferred development charges — to later dates and with standard interest — are headed a large industrial developer’s way in Barrie.
Councillors approved a motion Wednesday night that the city enter into a five-year agreement with the Rinomato Group of Companies to defer payment of development charges until the time of building occupancy — instead of when building permits are issued, with standard interest charges being applied three years after building permits are issued — for its industrial/commercial property at 80 Big Bay Point Rd., called the Bayview Point Commercial Centre.
It still requires final approval from city council Oct. 2.
Councillors tightened up the deal’s wording Wednesday.
“We’re looking to add some additional language … in order to ensure the timelines were putting in,” said Coun. Ann-Marie Kungl.
Standard interest charges would be applied three years after building permits are issued, instead of building occupancy.
The agreement would be executed by the mayor and city clerk on such terms, and in a form acceptable, to Barrie’s chief financial officer and director of legal services.
Development charges (DCs) are designed to recover the capital costs, from developers, associated with residential and non-residential (commercial, industrial, institutional) growth within a municipality, so that existing residents don’t have to foot the bill.
Isabel Bercasio, speaking for Rinomato, says Bayview Point has 25 parcels of land ranging from just less than an acre to more than two acres. Buildings that can be constructed range in size from 10,000 square feet to larger than 100,000 sq. ft., if parcels are combined in the latter size.
She has said the break on development charges will help promote investment, help small business owners with some upfront costs related to developing these parcels and their businesses, and will save some operations costs.
Bercasio said Rinomato has four buildings needing building permits in the coming months, each at just more than 10,000 sq. ft.
Barrie’s chief administrative officer, Michael Prowse, has said money in the city’s DC reserve gets invested, as do the funds in all city reserves.
A city event in May 2023, at 80 Big Bay Point Rd., made much of this proposed development. It said as many as 500 jobs could be created by early 2024 at Bayview Point Commercial Centre, 39 acres of general industrial space and 25 industrial lots.
Jobs created could include light manufacturing, construction-related positions, specialty tech, and possibly automotive.
