April 23, 2009 – Fredericton-based Knowledge Park is announcing a new development approach aimed at helping fast-track the high-tech Park’s growth. The approach will offer local, regional, and national developers new, almost shovel-ready, construction projects that could meet the needs of their own customers or those of Knowledge Park.
“It’s a natural evolution in terms of our growth and development. The model we’re adopting is one that very successful research and technology Parks have benefitted from,” says Dr. Greg Kealey, President of the Knowledge Park Board of Directors.
Given the potential economic impact of the Park’s long-term plan, forecasted to be close to 5,000 jobs, and $166 million in wages and salaries, Kealey says now is the time to accelerate the Park’s growth. The operational impact alone of the 17 planned buildings is estimated to be $414 million in provincial output, resulting in a contribution of $255 million to New Brunswick’s GDP and tax revenues of $75.4 million.
The new approach offers economic benefits for developers, says Noreen Barwise, long-time Fredericton-based commercial real estate veteran.
“They can save time and money on normal upfront costs given that long-term plans are in place, environmental assessment impact studies are completed, and some development barriers are removed – advantages that can eliminate a significant portion of professional costs,” Barwise says, “The approach has a new kind of appeal, one not often seen in this area. It can be a solid revenue generator for smart developers willing to find the right clients.”
Developers can take advantage of two options: submit a proposal to develop for their own client(s), or respeond to a Knowledge Park RFP seeking a developer for a client looking to move to the Knowledge Park.
Knowledge Park’s new development approach is modeled after one that helped grow the Waterloo Research and Technology Park from one to six buildings in just five years, with two more scheduled to be completed in 2010.
“Once we made the decision to transition to a multi-developer approach, we experienced steady growth,” says Carol Stewart, Vice President of Waterloo Research and Technology Park.
Waterloo Park’s private developer Adrian Conrad knows first-hand the benefits of the approach. “The private sector tends to do better than the public sector in terms of maximizing efficiencies and offering the flexibility multi-tenant buildings require,” Conrad says.
He notes that while some developers remain hesitant about land-lease agreements, it is very common in Europe and is, in reality, an asset just as owned land is, in terms of one’s ability to finance and/or sell.
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www.KnowledgePark.ca: Knowledge Park is an economic development initiative designed to support the knowledge industry in the Province of New Brunswick. Its principle objective is to provide cluster opportunities to organizations engaged in research and the application of technologies in such sectors as information technology, biotechnology, engineering, health care, forestry, environment, advanced learning and more. Knowledge Park was founded in 1997.
Media Contact:
Laura O’Blenis, General Manager
Direct: (506) 462-5021, Laura.oblenis@knowledgepark.ca
