The small southwestern Ontario Municipality of Central Elgin is preparing for a rise in housing needs as Volkswagen’s first electric vehicle (EV) battery factory in nearby St. Thomas approaches completion.
The municipality shared in a news release on Wednesday that it’s looking for “experienced development partners” to create a full community featuring “a variety of homes, green spaces, a lively main street and an integrated transportation system.”
Mayor Andrew Sloan expressed enthusiasm for this moment, highlighting that this marks the first time Central Elgin will develop a space that truly fosters “community.”
“This is really a game changer for Central Elgin,” Sloan told CBC London on Thursday, adding that “housing is a crisis here.. just like in other areas of the province.”
He mentioned the project will offer “affordable and attainable” housing options, senior living facilities, along with retail spaces and a bustling main street.
“There’ll be everything from trails to parks to downtown areas, so it’s basically an entirely new community,” Sloan said.
This initiative will transform 370 acres of unused land at the old St. Thomas Psychiatric Hospital site into what could become the largest planned community expansion in the region’s history. It aims to accommodate over 3,500 new homes for around 9,000 residents alongside numerous local businesses.
The Ontario government announced earlier in 2023 that Volkswagen’s first EV battery manufacturing facility will be constructed in St. Thomas near Talbot Line and Yarmouth Centre Road close to the city’s airport.
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A forestry harvester clears trees from land recently annexed into St. Thomas from the Municipality of Central Elgin. The land is the future site of Volkswagen’s first North American EV battery plant. (Colin Butler/CBC News)
At that time, the German automotive company stated production would start in 2027, marking it as its first international “gigafactory” focused on battery cell manufacturing.
“Thank you to Central Elgin for seizing the opportunity to manage a Request for Proposal for potential redevelopment of surplus hospital lands on Sunset Road,” Rob Flack, MPP for Elgin-Middlesex-London and Minister of Municipal Affairs and Housing said in the release.
“Recent investments in St. Thomas through companies like Vianode and Volkswagen have highlighted how important it is to start building more homes in this growing area.”
Sloan noted that significant investment is flowing into the St. Thomas region due to the new battery plant along with other businesses which gives Central Elgin a chance to design a community that meets housing demands.
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Jared Zaifman, CEO of London Home Builder’s Association and former councillor described what was announced by municipality as ‘quite exciting.’ (Submitted by Jared Zaifman)<PMeanwhile,<Zaifman pointed out that many developers have been curious about what would happen withthe old St.<Thomas Psychiatric Hospitalsiteforyearsnow.
“<So nowthatit'sgone tothe municipality…[it'sjust amatterof] seeingwhat’sinthatrequestforproposal, andtryingtohitthemarkonit,” he added.
<Todd Mc Carthy, Ontario’s Acting Ministerof Infrastructure, saystheoldhospital'ssiteoffersanexcitingchance toputitunusedgovernmentlandbackintouse.
The requestforproposalsforinteresteddeveloperswillbeissuedon March2, and Sloan saidthe RFPprocesswilllast60days.
Central Elgincouncilwilldecideonthechosen developerand Sloansaid“wecouldseeshovelsinthegroundin2027.”
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‘A huge opportunity’ for builders
Jared Zaifman, CEO of the London Home Builder’s Association described what was announced by the municipality as “quite exciting.” He mentioned there are plenty of great local developers who “could do an excellent job” redeveloping this area.</P Zaifman’s association consists of about 300 members involved in building, renovating and servicing residential construction across London and nearby municipalities.</P He noted he’s heard excitement among members regarding this announcement with some considering collaborating on proposals together.</P “It’s a huge opportunity. Right now I’d say things have been pretty challenging and slow overall in our region lately; we might face tougher times ahead this year,” Zaifman remarked.</P “So having an opportunity like this which could keep developers busy for years ahead seems very promising.”</PSource link
