New high-rise not in the cards – but it should be

The situation described in Murray McNeil's article on the lack of market demand related to building a new downtown office tower has further implications for the future of our city than just what it means for the bottom line.

It's true that lower land and construction costs, along with ample parking, makes building offices out in the suburbs attractive. The basic principle of market economics says the trend of building outside downtown will continue unless there is a reason not to.

The further reality occurring in the office market today is that more and more office tenants are moving into industrial-type space, which allows them brand new the space at office prices much less than downtown, plus the parking is free, and taxes are less. Downtown can not compete, yet City policy dictates that Downtown needs to be the primary employment centre of the City.

Once our city understands this, it must then realize that without a significant shift in city policy, creating a world-class downtown will be difficult. The future of a strong, thriving and growing downtown is threatened by this trend.

There are many examples of progressive downtown policies: For example, London, Ontario prohibits office development greater then 40,000 square feet outside downtown.

Over the last 50 years, study after study has shown that a sprawling city spends 25 to 30 per cent more in operating costs than a city that encourages development inwards. During this time of municipal fiscal restraint, perhaps better directing land use is a viable way not only to reduce the budget, but also create a vibrant and sustainable city for generations.

Encouraging office development in downtown--an area extensively connected to public transit--puts more money in the pockets of Winnipeg citizens while reducing carbon footprints. With the continued increase in transportation costs, the next generation of office workers see the benefits of living and working downtown. They can leave their cars behind altogether, walking, biking or using transit to get around.

Today's workforce spends the bulk of their lives at the office, so it's no surprise that a healthy, positive work environment is vital. Trends show young people are putting more and more value on a good office environment. If you're spending 40 hours a week at work--often logging more hours on the job than with your family--sitting in an isolated building in a far-flung industrial park , with no where to go for a walk or a bite to eat, does little to encourage a positive work life.

Downtown Winnipeg offers a dynamic, diverse and stimulating atmosphere that provides value-added benefits for employees that can't be found anywhere else in the city. Downtown's rich surroundings provide a venue to celebrate diversity and culture--ideal for broadening perspectives and providing a strong foundation to nurture the leaders of tomorrow.

Almost 90 per cent of downtown employers will tell you the same thing.

Letting the market dictate what our city will look like is far less advantageous to the future of Winnipeg than pointing the market in a direction that creates a vibrant and sustainable city to meet the needs of future generations and the market demands of tomorrow.