Discover Kitchener's EDGE

Discover Kitchener’s EDGE Encouraging Development for Growth Efficiency

Discover Kitchener’s EDGE

As part of Canada’s Technology Triangle and part of Waterloo Region, Kitchener is a major contributor to one of the most diverse and dynamic economies in North America.

And, through a number of economic development initiatives, the City is taking a hands-on approach to ensuring its continued prosperity. In planning effectively for its future, Kitchener is a community that is increasingly strategic and innovative in its efforts to provide business with the tools they need to succeed.

To that end, the City of Kitchener has created a comprehensive package of incentives - the Kitchener EDGE (Encouraging Development for Growth Efficiency).

These programs - Kitchener’s answer to smart growth - are intended to facilitate the reurbanization of developed areas of the city, including the downtown and inner city areas, by stimulating private sector investment in the re-use of vacant and underutilized lands.

Key functional areas for investment and renewal include:

• Continued investment in Kitchener’s downtown

• The restoration and re-use of the city’s heritage resources

• Increased affordable, multiple unit housing

• Remediation and redevelopment of Kitchener’s brownfield lands

• More intensive use of underused inner city lands

Table of Contents Discover Kitchener’s EDGE ...... 1

Downtown Incentives Program ...... 2-5

Downtown Kitchener Community Improvement Plan Map ...... 3

Façade/Interior Loan Incentive Program ...... 4

Upper Storey Renovation Program ...... 5

City of Kitchener Tax Rebate ...... 6

Grants for Planning and Building Permit Fees ...... 6

Elimination of City and Regional Development Charges ...... 6

Elimination of Park Dedication Fees ...... 6

Application Procedures ...... 6

City-Wide Incentives ...... 7-14

Brownfield Remediation Program ...... 8-9

Heritage Tax Refund Program ...... 10

Adaptive Reuse Community Improvement Plan ...... 11-13

Adaptive Reuse Community Improvement Plan Map ...... 13

Property Class for New Multi-Residential Development ...... 14

1 Downtown Incentives Program The City of Kitchener’s Downtown Incentives Program offers • Elimination of City and Regional Development Charges several opportunities for grants, loans and other assistance to • Elimination of Park Dedication Fees downtown property owners, investors, developers and business owners including: Eligibility • Façade/Interior Loan Incentive Program Any owner of a property within the Downtown Community • Upper Storey Renovation Program Improvement Plan area may apply. Tax and utility accounts must be current and the applicant cannot be in debt to, or involved in • City of Kitchener Tax Rebate Program litigation with the City. Other eligibility criteria are specific to the • Grants for Planning and Building Permit fees individual incentive.

Discover Kitchener’sEncouraging Development for GrEDGEowth Efficiency 2 D e

S e T l o p m

M P

n A R

t K

y S & T o 1 u T S 5 o n e

, B

d r R c

2 A

a e M h s M

r J

n :

S y

0 T

P S i c E 4

o P

r a c H f

l S

l T C T S H F a I e b V

r I r C A

i c T R

v O T r

R H U i

T I A R

e S P

M T L j

r e

a I S C

n s K H c

I A

N t

t E

G ( L

u O

A p S

r K T t

W T a A C u g 1 o 9 9

8 L IN m ) D , E N B S A VE R t C

r E

a a

I m T t n e a H

g d A

i i U c a n P u S F T R N e A NC S r IS a T v E S

T S t n

i i

c J o O

e n S a s

i E l

- R P t

I H a

. V

T i y H I l

C w . S A

- a T T

L S O y G H

L E R I A

I I

S N T

I o E A

( W F L E A

1 R S L N

9 L A E

T w

9 L N

A N

8 C W N C

E I H S

- A V A

E n

c S S R

u T L r

E N

r e S t o

n S

o t T )

; W h v R

i K O e

I U

a R

D G T n y

A m

L V G d

s A A

I UK S W

N D :

E A W

L T T D S

S T ST ER W A u t

r S

V T K e a

E N

t A

E e H

g R

C E n

i N e

O i

c L S L S B

E T

S H G R

A E W

t L

e S E

L T c S r

v L Y A O

i N U A

c O C P E N

L Q NT G h

e E U W M E AR

s E I N E O S N ST S - L S

T e l AN S ' I E T .

S a T . n ( N B n

o E N e v T

. O

N D 2 U r P

0 S

T K 0 E 2

)

; S S T

t W r W

e S O

IE N T E

e G

N AR E I B j t O

R S L T E N A

N N e E R e

t w S

o K G

r W

N U

k D

: G I

S Q S

L U S

A E t H

N T E

A E A N a

E R S t T

L N

g E i S r

S FR S T E

D e e E E RI r C

v K a

i S c T e

- A

I M H R

E A

T W S

L S

. S E L E

- S

L L

G S E E

A CO N T R I T

S E ST

EB S (

Y T

S M

T A

u E

S R

r K

n A S

N P

t E

t Z

o S W T IL d TO Q N a PL t

e EB D

Y O

o S T T

T U

f N O S K

p E C

r S

n T

t i E n C

g M ED

) AR ST

M L

Façade/Interior Loan Incentive Program Interest rates will be Bank of Canada prime plus 0.5 percent, subject to staff review and Council approval. Since 1989, the Façade/Interior Loan Incentive Program has provided financial assistance to the owners of downtown The loan and grant portion of the funding will be advanced in three commercial properties who want to make improvements either to stages - 10 per cent on approval of the application, 80 per cent at the exterior or interior of their buildings. The incentives help to substantial completion, and the final 10 per cent after the 45-day stimulate redevelopment and renovation of downtown buildings, lien period has expired. creating pleasant surroundings. Copies of actual invoices and proof of payment must be submitted What Can I Do With the Money? by the applicant prior to final payment. The loan will have a maximum 5-year repayment period. Any owner of a property within the downtown's designated Community Improvement Plan can apply to the program for a loan Successful applicants will be required to enter into an agreement to cover the costs of materials, labour and equipment necessary to with the City and loans will be secured through the registration of complete improvements to the interior and exterior of their building. a lien on title for the total amount of the loan. To ensure repayment of the loan, the City reserves the right to evaluate the applicant's Professional fees are also eligible. The fees will not cover chattels, equity and ability to repay the loan. furniture, appliances or landscaping. Applicants must also address any outstanding work orders relating to fire safety, property The loan and grant portion of the funding can be paid off in full at standards or unsafe conditions. Loans are secured by a lien placed any time during the term of the loan. The forgivable loan will on the title of the property. continue to remain on the books and be written off during the first five years of the agreement. If the owner of the property were to Eligible improvements include: sell the property prior to this time, the portion of the forgivable Exterior: loan not yet written off, must be repaid to the City - due and payable in full upon closing. • Façade restoration of brickwork, masonry, wood etc.; replacement or repair of entablature, eaves, parapets and other As well, a “Feasibility Study Grant” is available to assist property architectural design elements; window and door repair or owners with identifying major structural issues, enabling them to replacement; signage in accordance with the City of Kitchener decide whether to proceed with renovations, to a maximum of sign bylaw; painting or cleaning of the façade exterior; exterior $5,000 or half of study costs. lighting; repair, replacement or addition of awnings, marquees Applications for the Façade/Interior Loan Incentive Program will and canopies; replacement of façade elements originally in place be reviewed for consistency with the City of Kitchener's Urban when the building was constructed; entrance way modification Design Guidelines and policies. including provisions to improve accessibility; redesigned shop fronts; roofing work where there is structural or flood damage; other improvements to the building exterior as may be approved For more information: by the Director of Building or his designate. Silvia Wright Interior: Manager, Downtown Community Development, • Fire safety related work; improvements to electrical, plumbing, City of Kitchener heating and ventilation systems; wheelchair access; finishes 200 King St. W., PO Box 1118 including painting, decorating, flooring and ceilings. Kitchener, Ontario N2G 4G7 How Much Money Can I Get? (519) 741-2392 Under the Façade/Interior Improvement Program, the maximum [email protected] loan is $15,000 for any individual municipal address - $7,500 for exterior and $7,500 for interior work. Larger buildings with more than one tenant are assessed on an individual basis. The maximum loan for any one owner is $45,000. The minimum loan is $2,000. Fifteen per cent of the loan is a grant.

Eligible costs will be cost of materials, equipment and contracted labour based on two quotations. Labour provided by the applicant will not be considered an eligible expense.

Discover Kitchener’sEncouraging Development for GrEDGEowth Efficiency 4 Upper Storey Renovation Program municipal address based on 50 per cent of project renovation cost. Fifty per cent of the financial assistance will be in the form of a The new $1 million Upper Storey Renovation Program assists grant given as a forgivable loan and 50 per cent will be a loan. downtown property owners, within the downtown’s designated Community Improvement Program with renovation costs in the Eligible costs will be cost of materials, equipment and contracted form of loan and grant funding. The program, part of the City's labour based on two quotations. Labour provided by the applicant five-year residential intensification initiative, is intended to increase will not be considered an eligible expense. the population living downtown, creating a ready market business Interest rates will be Bank of Canada prime plus 0.5 per cent, in the city centre. The program will be a catalyst for sustained subject to staff review and Council approval. economic growth over time, and will support the vital character of the existing buildings. The loan and grant portion of the funding will be advanced in three stages - 10 per cent on approval of the application, 80 per cent at Eligible projects have upper storey vacant or underused space that substantial completion, and the final 10 per cent after the 45-day is situated above commercial use space. lien period has expired.

Copies of actual invoices and proof of payment must be submitted by the applicant prior to final payment. The loan will have a maximum 10-year repayment period.

Successful applicants will be required to enter into an agreement with the City and loans will be secured through the registration of a lien on title for the total amount of the loan. To ensure repayment of the loan, the City reserves the right to evaluate the applicant's equity and ability to repay the loan.

The loan and grant portion of the funding can be paid off in full at any time during the term of the loan. The forgivable loan will What Can I Do With the Money? continue to remain on the books and be written off during the first five years of the agreement. If the owner of the property were to The proposed project consists of building renovation that results, sell the property prior to this time, the portion of the forgivable upon successful completion, in an increase in both the property loan not yet written off, must be repaid to the City - due and owner's assessment and taxes. payable in full upon closing.

The proposed project's total cost must be greater than $40,000 As well, a “Feasibility Study Grant” is available to assist property and create new residential units with a minimum of 650 square owners with identifying major structural issues, enabling them to feet in size. decide whether to proceed with renovations, to a maximum of $5,000 or half of study costs. All proposed improvements shall be made pursuant to an approved building permit and constructed in accordance with the Ontario Applications for the Upper Storey Renovation Program will be Building and Fire Codes, all applicable zoning requirements and reviewed for consistency with the City of Kitchener's Urban Design comply with all outstanding orders and any other applicable Guidelines and policies. requirements pursuant to the renting of the units in Ontario.

Upgrading existing substandard residential units may be considered where the proponent demonstrates a major upgrading of vacant For more information: space with high quality materials and design. Silvia Wright Application approval is required prior to commencement of work. Manager, Downtown Community Development, Does not include demolition, boarding or other temporary City of Kitchener preparation work. 200 King St. W., PO Box 1118 Kitchener, Ontario How Much Can I Get? N2G 4G7 (519) 741-2392 Under the Upper Storey Renovation Program, the City of Kitchener [email protected] will provide financial assistance for the building/renovation/upgrade/conversion up to $100,000 per

5 City of Kitchener Tax Rebate Applicants must apply for the incentives at the same time that they apply for a building permit. If the work proceeds beyond 25 per The City offers assistance in the form of a tax rebate, for a period of cent of completion and no application has been received or three years, beginning in the year following the completion of the approved, the applicant will no longer be eligible to apply for the work and occupancy. The rebate is equal to 50 per cent of the City's program. portion of the property tax increase attributed to the improvements. Applicants are encouraged to contact the Manager of Downtown Improvements to buildings must have a building permit and be constructed in accordance with the Ontario Building and Fire Code Community Development to discuss plans for their property. A site and all applicable zoning requirements and approvals. meeting can be arranged to review the proposed work. When all work, and the final building inspection, are complete, rebates or The increase is calculated as the difference between the taxes levied loan advances are sent to the property owner. in the year of receiving the building permit and the taxes levied during the first assessment following the completion of the project. Note: Applications for Upper Storey Renovation Program are available from November 1st until the deadline of February 28th - Grants for Planning and each year of the program Building Permit Fees

Owners who develop or renovate downtown properties will have Assistance From the Building Division demolition and building permit fees, in addition to all planning related fees, refunded upon satisfactory final inspection of the work. On request, staff of the City's building division will visit a potential redevelopment, renovation or conversion site in the downtown to assist with any questions applicants may have about Elimination of City and the Building Code requirements for their particular proposal. Call Regional Development Charges (519) 741-2428 or (519) 741-2669 for assistance.

The City will not collect municipal or regional development charges Limitations: for projects initiated within the Downtown Community Improvement Plan Area. The total value of all rebates under these incentives cannot exceed the value of the work completed. All applications for assistance are subject to the availability of funding. Elimination of Park Dedication Fees Note: All residential, commercial and industrial developments are exempt from Park Dedication Fees. All information provided is kept strictly confidential subject to the Municipal Freedom of Information Act and the City's financial reporting duties. Application Procedure for Downtown Incentives Program

Applications for the Downtown Financial Incentive Programs are available on the sixth floor of City Hall.

Discover Kitchener’sEncouraging Development for GrEDGEowth Efficiency 6 City-Wide Incentives Aside from its downtown specific incentive programs, the City of • Adaptive Reuse Community Improvement Plan Kitchener also offers several city-wide programs that provide grants, loans and other assistance to property owners, investors, • Property Class for New Multi-Residential developers and business owners including: Eligibility: • Brownfield Remediation Program Eligibility criteria varies for each program. Details are included in • Heritage Tax Refund Program each program description.

Brownfield Remediation Program Each year, the property owner initially pays the full tax owing. The City then issues a grant back to the property owner in accordance As a result of the surge in industry in the early 1900s, Kitchener is with the program and specific “Proponent/City Agreement.” now left with a number of brownfield sites that will require remediation. Rather than seeing these brownfields as blights, City In all situations, the total level of grant provided to an applicant Council sees the great potential they offer. Many are located on under this program shall not exceed the value of the environmental major streets that are fully serviced and they often come with remediation work done. architecturally and historically significant buildings. They allow the City to refocus growth in the core, and balance the demand for Program Eligibility expansion in the suburbs. To encourage growth and prosperity in areas where only vacant or under-utilized lands are available for This program is available to any registered owner, assessed owner, development or reurbanization - particularly in Kitchener's and/or assignees of owners within the limits of the City of downtown core - the City has developed the Brownfield Kitchener. Participation is contingent upon the proposed project Remediation Community Improvement Plan. satisfying all the following eligibility criteria:

The purpose of the program is to increase the level of development • The proposed project is on lands within the limits of the City of attractiveness of brownfield lands to a level equal with similar Kitchener and the proponent is the registered property owner of greenfield lands. This program also encourages the remediation of the project lands presently contaminated development sites. • The proposed project involves the remediation of historically Brownfield Incentives contaminated property, that is, contamination that is the result of a previous owner's non-residential use. This program is not The Brownfield Remediation Program offers Tax Incremental available for projects where the current owner has been found to Financing (also known as TIF). TIFs can help a municipality be responsible for the subject contamination. Further, this undertake a public project to stimulate beneficial development or program is not available for projects where contamination has redevelopment that may not occur otherwise. It's a mechanism for occurred after November 6, 2003. financing local economic development projects in underdeveloped and blighted areas. • The proposed project includes a comprehensive site remediation TIFs represent the difference between the current tax level of a plan, prepared by a qualified person, in full accordance with the property - before any remediation work - and the future tax level prescribed Ministry of Environment (MOE) remediation after clean up and redevelopment. A portion of this tax difference processes, and which will result in the filing of a bona fide can be used by the municipality as a future incentive to assist in all Record of Site Condition (RSC) with the Ontario Environmental or part of the site remediation cost. Bill of Rights Registry.

In exchange for a completed and filed Record of Site Condition or • The proposed project consists of building renovation and/or land approved Site Specific Risk Assessment, the City of Kitchener will redevelopment which results, upon successful completion, in an provide a grant in the form of an annual rebate on City taxes in an increase in both the assessment level and the taxes on the property amount equal to 100 per cent of the City tax increment. • The proposed project has completed Phases I and II of the ESA, The annual grant will commence in the first year following but not initiated Phase III. i.e. the actual site work. reassessment and continue for a maximum period of 10 years or Program Administration until the total eligible remediation cost has been realized, whichever comes first, where: To participate in Kitchener's incentives program for brownfields, eligible applicants are invited to make application for approval to • The City tax increment is defined as the difference between the City Council through the Economic Development Division at City portion of real property taxes of determined on the date of Kitchener City Hall. application to this program, and the new City portion of real property taxes levied as a result of a new assessment by the Application forms and advice are available from the Program Co- Municipal Property Assessment Corporation following project ordinator at the DTS offices at Kitchener City Hall. completion; and Applications are encouraged to consult with City staff prior to • Eligible remediation costs include the cost of conducting submitting the application. Phase I and II environmental studies, environmental Complete applications will include: remediation project costs of phases three and four and associated consultant fees. • Project, property and ownership information

Discover Kitchener’sEncouraging Development for GrEDGEowth Efficiency 8 • Phase II Environmental Site Audit assistance programs is required by the applicant during the initial application process. • Projected eligible remediation costs Submitted projected costs for improvements under the Brownfield • Project description and redevelopment plan Remediation Program may be subject to an independent audit, at • Current and projected post-project assessment and the expense of the applicant. municipal taxes All applications for assistance under the program will be considered A Brownfield Steering Committee, consisting of the City's subject to the availability of funding. Brownfield Co-ordinator and an appointed member each from the All improvements made to buildings or land shall have been made City's Finance and Legal departments will evaluate applications for pursuant to an approved building permit, and constructed in compliance to program requirement. The committee will also accordance with the Ontario Building Code, all applicable zoning prepare a recommendation for the consideration of the City's requirements, and any conditions of planning approvals. Incentive Finance and Corporate Services Committee and City Council. recipients must resolve satisfactorily any outstanding orders (such Program participants will be required to enter into a Remediation as building, fire, bylaw enforcement, or public health orders) as and Redevelopment Agreement with the City of Kitchener. The part of the intended development. agreement will specify terms of the grant, including the amount, timing and procedures. For more information: Incentives under the Brownfield Remediation Program may be Terry Boutilier, MCIP, RPP combined with the financial incentives offered under any of the Brownfield Co-ordinator other Kitchener EDGE programs. However, the City of Kitchener Economic Development Division reserves the right to limit the amount of assistance it will provide to 200 King St. W., any particular project. P.O. Box 1118 In addition, the total value of the grant provided under the Kitchener, Ontario, N2G 4G7 program, plus any other incentives under all Community Tel. (519) 741-2303 Improvement Initiatives, shall not exceed the full value of the work Fax (519) 741-2624 done. Full disclosure of application intentions under all Kitchener [email protected]

9 Heritage Tax Refund Program All applications for a Heritage Tax Refund will be considered subject to the availability of funding. Well-maintained heritage properties enrich our quality of life and give communities their unique character. Restoring heritage Program Eligibility properties has been a catalyst for revitalizing historic town centres To be eligible for this program, the property needs to be: and drawing residents, businesses and visitors to communities. While heritage properties provide benefit and enjoyment to the • Located in the City of Kitchener. whole community, most of these properties are in private ownership. • Designated under Part IV of the Ontario Heritage Act or located Normal maintenance and upkeep are the responsibility of every within a Heritage Conservation District designated under Part V property owner. However, it is widely recognized that heritage of the Ontario Heritage Act. properties may require more intensive care, custom work or • Subject to either a heritage conservation easement agreement restoration - at a somewhat higher cost - than one would encounter with the City under section 37 of the Ontario Heritage Act, a with new buildings. heritage conservation easement agreement with the Ontario To assist heritage property owners, by compensating for the Heritage Foundation under section 22 of the Ontario Heritage increased cost of converting and maintaining a heritage structure, Act, or an agreement with the City respecting the preservation the City of Kitchener offers a Heritage Tax Refund Program. and maintenance of a built heritage resource on the property. Program Administration

The owner of an eligible heritage property must make application on the prescribed form no earlier than the first business day of February and not later than the last day of February in the year following the year for which the owner is seeking to obtain the Heritage Tax Refund. Applications received outside of this time frame, whether earlier or later, will not be considered.

An application for a Heritage Tax Refund must be made for every year that an owner wishes a property to be considered for the refund.

Upon application, the owner must consent to the City conducting an inspection to ensure that the relevant heritage conservation easement agreement or maintenance and preservation agreement is being complied with.

No Heritage Tax Refund will be given where the City determines that the relevant heritage conservation easement agreement or maintenance and preservation agreement is not complied with to the satisfaction of the City.

Heritage Incentives For more information: The maximum amount of Heritage Tax Refund, unless otherwise specified, shall be 40 per cent of the taxes for municipal and school Leon Bensason, MCIP, RPP purposes levied on the eligible heritage property and the land used Heritage Planner in connection with the eligible heritage property. Development & Technical Services Department City of Kitchener Eligible properties assessed in the Multi-Residential, Commercial 200 King St. W. and Industrial property classes may obtain a maximum of 10 P.O. Box 1118 Heritage Tax Refunds per property for the life of the program. Kitchener, Ontario, N2G 4G7 If the assessment of a property for a year changes as a result under Tel: (519) 741-2306 the Assessment Act, the Heritage Tax Refund shall be determined Fax (519) 741-2624 using the new assessment. [email protected]

Discover Kitchener’sEncouraging Development for GrEDGEowth Efficiency 10 Adaptive Reuse Community Adaptive Reuse Program Incentives Improvement Plan The Adaptive Reuse Community Improvement Plan offers Tax In the late 19th and early 20th century, Kitchener was a major Increment-Based (TIF) grants. TIFs represent the difference manufacturing centre. As time wore on and industry shifted from between the current tax level of a property - before any restoration central, multi-storey factories to suburban, single-storey factories, or repair work - and the future tax level after clean up and many of the physical remnants of downtown Kitchener's days as an redevelopment. A portion of this tax difference can be used by the industrial Mecca were no longer suitable for factory purposes. municipality as a future incentive to assist in all or part of the site Likewise, former schools, churches and municipal buildings have remediation cost, by forgoing, for a specified period of time, the tax also been vacated over the years due to de-centralization. increment in future taxation years.

These properties have been labeled “adaptive reuse” opportunities • Upon issuance of an occupancy permit, the City of Kitchener will because the physical structures can be adapted for a brand new use. enter into an Adaptive Reuse Redevelopment Agreement with a Their built form remains the same, but land uses change. developer, to outline the provisions of a grant in the form of an annual rebate on City taxes in an amount equal to 100 per cent As the Region's only epicentre of loft living, Kitchener provides of the City tax increment. opportunities to convert former factories to trendy office, commercial and residential space. Soaring ceilings and exposed • The annual grant will continue for a maximum period of 10 beams, combined with modern design, foster an urban chic-ness years, or until $10,000 per residential unit has been achieved, sought by the creative urban dweller. and/or five per cent of the eligible project costs has been reached for office and commercial floor space, whichever comes first. The adaptive reuse of historic buildings is an important component in the revitalization of Kitchener's central neighbourhoods, The City Tax Increment is defined as the difference between the providing the city with an opportunity to preserve its historic City portion of real property taxes as determined on the date of community identity and celebrate its industrial roots. application to the program, and the new City portion of real property taxes levied as a result of a new assessment by the Through the adaptive reuse of buildings: Municipal Property Assessment Corporation following the • Innovative and unique housing can be created. occupancy of the new use.

• Properties that currently pose safety and environmental concerns • A residential unit will qualify for a grant if: (i) it is constructed are reinvigorated. within the existing building; (ii) it is constructed between exterior facades which have been preserved from the original structure; • Residential and employment opportunities in the city's central (iii) it is within the new building floor area constructed on the neighbourhoods are increased. same site, but does not exceed the total number of residential It is estimated that there are between 20-40 potential candidate units. For example, if the total number of adaptive residential properties for adaptive reuse within the Adaptive Reuse units in (i) and (ii) is 20, then a maximum of 20 additional Community Improvement Plan area, which is expected to increase residential units constructed on the same site, but not identified as existing uses relocate. in (i) or (ii), would be eligible for a grant. This could include the

construction of new additional floors, building additions or new include additional building construction, which results, upon free-standing buildings on the same lot. successful completion, in an increase in both the assessment level and taxes on the property • The eligible project costs for non-residential uses include: (i) the costs of any new office or commercial floor space within the • The proposed project has obtained, or will obtain, final building existing building; (ii) the costs of new office or commercial floor permits between January 1, 2005 and December 31, 2010. space constructed between exterior facades which have been • The proposed building project has obtained final site plan preserved from the original structure; (iii) the costs of equivalent approval, including the approval of building elevation drawings. new office or commercial floor space constructed on the same site, but not exceeding the total amount of floor space specified • The proposed project includes at least one of the following in (i) and (ii). For example, if the total adaptive reuse floor space aspects: publicly accessible artwork or a publicly accessible is 20,000 square metres, a maximum of 20,000 square metres of industrial artifact, to the satisfaction of the General Manager of additional floor space constructed on the same site, but not Community Services for the City of Kitchener; affordable rental identified in (i) or (ii) would be eligible for a grant. or purchase units which are 51 square metres or less in floor area, to the satisfaction of the Director of Planning for the City • The total grant will consist of repayment of 100 per cent of the of Kitchener; the conservation of historical or architecturally municipal tax increment annually for the maximum specified significant features of the building, to the satisfaction of the time period or period or maximum grant value, whichever is less. Director of Planning for the City of Kitchener. For each year, the property owner will initially pay for the full tax owing. The City will then issue a grant back to the property • The proposed project is on lands which are not subject to tax owner or developer, in accordance with the program and specific arrears. Proponent/City Agreement. • The Council for the City of Kitchener reserves the right to deny • The TIF would commence the first year following re-assessment or refuse any application. and would end at the time period specified in the above noted Program Administration agreement. To participate in any of the incentives offered through the City of • In all situations, the total level of grant provided to an applicant Kitchener Adaptive Reuse Community Improvement Plan, eligible under this program will not exceed the value of the work done, applicants are invited to make application for approval to City as verified by a professional architect who is a member in good Council through the Planning Division of the Development and standing with the Ontario Association of Architects or an Technical Services Department. equivalent association. Applicants are encouraged to provide a letter of intent to • The grant may be provided in addition to the TIF offered under participate in the Adaptive Reuse Incentive Plan prior to the the City's Heritage Tax Refund Program, but may not be submission of an application for site plan approval under section provided in addition or in conjunction with the TIF offered 41 of the Planning Act. through the City's Brownfield Remediation Program. Application forms and advice are available from the program co- Program Eligibility ordinator at the City's Development and Technical Services This program is available to any registered owner, assessed owner, Department, Kitchener City Hall. Applicants are encouraged to and/or the assignees of owners within the limits of the City of consult with City staff prior to submitting their application. Kitchener. Participation is contingent upon the proposed project Complete application forms will include: satisfying all of the following eligibility criteria: • Project, property and ownership information • The proposed project is on lands within the Adaptive Reuse Community Improvement boundary and the proponent is the • Approved site plan drawings, including approved building registered property owner or the assignee of the registered elevation drawings property owner of the project lands • Project description and redevelopment plan • The proposed project is on lands where an existing or vacant • Eligible and project costs building is proposed to be converted in any of the following ways: from a commercial, industrial or institutional use to a new • Current and projected post-project assessment and municipal residential use; from an industrial or institutional use to new taxes commercial or office use An Adaptive Reuse Steering Committee, consisting of the City's • The proposed project consists of building renovations, and may Adaptive Reuse Co-ordinator and an appointed member each from

Discover Kitchener’sEncouraging Development for GrEDGEowth Efficiency 12 Financial Services, Legal Services and Planning, will evaluate the total value of the grant provided under the Adaptive Reuse complete applications for compliance to program requirements and Community Improvement Plan, plus any other incentives under all prepare a recommendation for the consideration of the City's Community Improvement Initiatives, shall not exceed the value of Finance and Corporate Services Committee and City Council. the work done.

Program participants will be required to enter into an Adaptive For more information: Reuse Redevelopment Agreement with the City of Kitchener. The Brian Page agreement will specify the terms of the grant, including the amount, Supervisor, Site Development timing, procedures and beneficiaries. City of Kitchener The incentives of this plan may be combined with the incentives of 200 King St. W. other Kitchener Community Improvement Plans, as well as other P.O Box 1118 incentives that are available outside of the authority of Section 28, Kitchener, ON subject to approval by City Council, and the specified limitations of N2G 4G7 this plan, with the following exceptions: 519.741-2318 [email protected] • The Downtown Community Improvement Plan (as the boundaries of this plan do not overlap with the boundaries of the Adaptive Reuse Community Improvement Plan)

• The Brownfield Community Improvement Plan

In addition, the City of Kitchener reserves the right to limit the amount of assistance it will provide to any particular project. Also,

E A D A N L D U C

N N I R ON D

ADAPTIVE REUSE S E R T T S L Y PH E A L R EL V COMMUNITY U G G IN R S IMPROVEMENT P T M S R A B PLAN AREA R W T U E G S T N E S C A AIA T

T R R O N S E T D E S IC T V V E

A R MO W E A OR E T G E B S O V T E A A R S C E

K S N IN E N G ST T A O ST R L C TWE W N D AL L V W T B S F K D R N U E NIO P R N D E U A K E E V E E R A Y R N I S O W U C K T S TT K T N E N W Q P S W T S T D O S S O G T T UG A R N R I CH K E A AR E G JO LE D K L SE S U AS PH ST GO ST W ST W T E W E S EB S S T R E OR O C. H S T N S N. AV N T E R E T AG E S B G N E NG S KI E RA U W T IL Q E A E RI S TO ST T VIC A S E V E ST E V W S A E N W E T D M D R O R U B N N P O T A D LEAS S RD L A H N VE W IG T A S T H G S V IN A RL M I ILL A E ST ST W

D T T

13 Property Class for Program Eligibility New Multi-Residential Development The new multi-residential property class includes:

Many of Canada's urban regions are experiencing a severe shortage • Property which is within the City of Kitchener. of affordable rental housing, with construction at a near standstill. This shortfall, combined with significant population increases, has • New residential units that have been built or converted from a brought vacancy rates to all-time lows in many cities and pushed non-residential use pursuant to an approved building permit rental costs beyond the reach of many Canadians. after April 11, 2001.

In an effort to encourage the development of new multi-residential • New residential units which are ready for occupancy on or before housing stock, the Region of Waterloo - Kitchener is one of seven the day on which the land is classified for the taxation year. municipalities within the Region - has adopted an optional property class for new multi-residential development. Under the Multi-Residential Property Class, a lower tax rate is imposed on For more information: new buildings of this kind, as compared to older multi-residential properties. Angela Hinchberger Director of Treasury Services and Tax Policy Program Incentives Region of Waterloo For eligible properties, a lower tax ratio of 1.000 will be assigned 180 Frederick St., for a period of 35 years. For comparison purposes, the tax ratio for Kitchener, ON, N2G 4J3 existing multi-residential properties is 2.5250. This results in a Tel: (519) 575-4728 typical new Kitchener apartment building receiving tax savings in Fax: (519) 575-4547 the order of 54 per cent. [email protected]

Discover Kitchener’sEncouraging Development for GrEDGEowth Efficiency 14

Where We Are

Kitchener is centrally located in the Region of Waterloo in the heart of southwestern Ontario, one hour from Toronto, Canada's largest city, and a couple of hours from the American cities of Detroit and Buffalo, via Highway 401.

The city is approximately a two-hour flight from other major North American destinations and financial centres including: Montreal, Chicago and New York. Sixty per cent of Canada's population, and 40 per cent of the population of the United States, reside within a 500-mile radius of Kitchener.

Recognized around the world as a great community in which to live, grow and invest, Kitchener is the perfect headquarters for progressive business. The city has many exciting opportunities for new business to develop, many expansion opportunities and a range of financial incentives that encourage development.

The five coloured boxes that are the hallmark of materials produced for the City of Kitchener's Economic Development Division represent the world’s five continents and the value that we place on our community's cultural diversity. At least one color of the five can be found on the flag of every nation around the world.