Province-owned lot near downtown Edmonton deemed problem property by city

A full city-block downtown that is owned by the province and was up for sale and redevelopment a few years ago is now on the city's problem property list.

The City of Edmonton has deemed the site of a former hospital west of downtown as a problem property, and the province is on the hook for it.

Located at 9835 112 St. in the Wîhkwêntôwin neighbourhood sits a lot with three empty brick facades built in the 1930s and 40s originally for the Misericordia Community Hospital. It was turned into the Eric Cormack Centre in 1973 and provided long-term care to people with disabilities before closing in 2012.

For years the buildings have stood empty. At one point, a recycling drop-off was set up in what used to be a parking lot.

Recent fires and break-ins into the three buildings – the old hospital, a power house and an office building – have prompted the city to classify it as a problem property.

The owner, which happens to be the Government of Alberta, is under an order and is required to pay for 24/7 security as well as fencing securing the perimeter of the property.

“That’s a huge cost and just a missed opportunity for something that could be a real asset to the neighbourhood,” said Ward O-day’min Coun. Anne Stevenson.

In 2022 the province put the property up for sale.

“All bids received were well below market value, so the department decided to not proceed with the sale,” said a statement from the Ministry of Assisted Living and Social Services.

The ministry said the Alberta Social Housing Corporation is actively working with industry partners and developers to determine the next steps for the site.

The province did not confirm how much the monthly cost is to maintain and secure the site, but in 2022, a government official estimated the annual cost for taxpayers was sitting around $70.000.

David Shepherd, the Alberta New Democrat MLA for Edmonton-Centre, said that in 2017, when the NDP were in power, ownership had been transferred to the Ministry of Seniors Housing in an effort to see the site developed for public housing.

“We look at the potential here on this site, the opportunity this presents: a full city block in the middle of a vibrant neighbourhood next to the river valley,” Shepherd told CTV News Edmonton. “There are amazing things we could do with this.”

The MLA said he was able to speak with Jason Nixon in February, who, at the time, was the Minister of Seniors, Community and Social Services.

“They are looking at a mixed-model housing proposal, something that would incorporate some affordable housing – not anything that’s going to be providing social services – but accessible and affordable housing for folks,” explained Shepherd.

CTV News Edmonton asked the province what the status of the sale process for the land is but did not receive an answer.

With files from CTV News Edmonton’s Jeremy Thompson