Richmond Hill - June 25, 2009
BY ADAM MC LEAN , yorkregion.com

Development charges on the rise

Growth will pay for growth, says mayor

Digging shovels into Richmond Hill's soil just became a little more pricey for developers.

Property owners will have to reach deeper into their pockets due to higher town-wide development charges - in one case more than 200 per cent higher - which were adopted at town council Tuesday night.

Replacing existing bylaws which expire July 20, the new bylaws and the charges affected were formulated over the previous 13 months by town staff and consulting firm Watson and Associates.

Meetings with developers were also part of the background study that lead to the final charges.

Still, some developers were less than enthusiastic with the higher charges that went before council for approval.

Correspondence from Blair Wolk, director of development for real estate developers Orlando Corporation, illustrated concerns with the developments charges under both "non-residential" and "non-retail" projects, which under the new bylaw includes offices and any building designed for a business, occupation or non-profit organization.

Development charges deemed to be "non-retail" will be paying $40.90 per sq. metre, which is a 213 per cent increase over the existing "non-retail" charge of $13.03 per/sq. metre that expires next month and will bring town coffers additional revenue with proposed industrial expansion.

Development charges are also being increased for single-family dwellings, row dwellings or townhouses, apartments with two or more bedrooms and retail developments.

Bachelor and single-bedroom apartments charges are the only ones to drop in cost per unit. They are down 14 per cent, from $5,854 to $4,998 per unit.

"This is growth paying for growth," said Mayor Dave Barrow regarding the new development charges.

"In comparison to our neighbouring municipalities and in accordance to the town's future strategic plans, these charges fit," he added.

The new development charges will be re-visited by town staff and council next year.

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