Proposed 16-storey Market Lands tower out of step with Exchange area: city planners
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An affordable downtown housing project proposes a much taller building than allowed by city standards, while its developer warns a shorter structure would mean dozens of new homes wouldn’t be built.
City planners recommend councillors reject the request to build a 16-storey, 168-foot (51.12-metre) tower, as part of the second phase of the Market Lands project, a decision the developer has appealed.
The standard height limit for the area is 100 feet (30.48 metres).

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The standard height limit for the area is 100 feet (30.49 metres) but the developer has requested to build a 168-foot (48.17-metre) tower.
In a report, a senior city planner says allowing the extra height would create a precedent that would affect future development applications.
“(That) would mean pressure to support variances on buildings within the Historic Exchange District where the 100-foot height limit is very important to maintaining the historic character of the area,” writes Kurtis Kowalke, a senior city planner.
The project’s developer argues allowing a taller building at the James Avenue site is key to ensuring the project is financially viable and delivers all of the homes it’s slated to create.
“The effect of not getting that height variance is that we (would) have to cut 60 units of… housing out of the development. We would lose 24 affordable and 36 market rental units,” said Jeremy Read, chief executive officer of the University of Winnipeg Community Renewal Corp. 2.0.
Read said that would decrease the larger tower’s total housing units to 88 from the proposed 148 units.
The proposed plan calls for two key buildings, including: the 16-storey tower with 148 residential units, amenity and commercial space; and a building that varies from four- to six-storeys with 126 residential units, amenity space, a daycare, offices and a rooftop green space.
Read said reducing the height of the taller building and adding storeys to the shorter structure isn’t viable.
“If you go up to (even) eight storeys all around, there’s shadow impacts from the inner courtyard… that means you’re not going to have living plants,” he said.
Raising the second building to seven or more storeys would also boost the cost, since the building code would require additional structural, lightning protection and fire suppression work, said Read.
He stressed the affordable homes are greatly needed. The two buildings, which have an estimated combined cost of $145 million, were granted nearly $6.8 million in federal housing accelerator funding.
“We think this will be a transformational project… We think it does fit within the character (of that area). It meets a number of the City of Winnipeg’s objectives for increasing residential density in the downtown,” said Read.
He noted a few nearby buildings reach heights close to the one proposed, including the Union Bank Tower and Confederation Building.
The affordable units are expected to cost no more than 59 per cent of the area’s median market rate, though Read said provincial support will be sought to further reduce rents.
A heritage advocate said the project would be detrimental to surrounding buildings.

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There’s a concern allowing the extra height would set a precedent for future development applications.
“It absolutely erodes the historic character of the neighbourhood. How would councillors then justify (the standard height limit) to other developers that come forward? I know they want density, but not at (the) cost of our historic gem,” said Cindy Tugwell, executive director of Heritage Winnipeg.
Tugwell said the property is outside of the Exchange District’s protected national historic site but would greatly affect it.
“Certainly, we want the density… but it is so close to all the other historic buildings in the district that it really has a visual impact on design and massing,” she said.
Council’s property and development committee is expected to cast a final vote on the appeal on July 14.
The head of the committee said he’ll keep an open mind.
“If we’re potentially introducing more affordable (housing)… that needs to be a major consideration when we’re either approving or rejecting these variances. My mind is not made up at this point,” said Coun. Evan Duncan (Charleswood-Tuxedo-Westwood).
The councillor suggested buildings have increased in height over time, so the city shouldn’t immediately rule out larger ones.
“When downtown Winnipeg was first developed, it was one to three storeys, and now we have 40-storey skyscrapers (near) Portage and Main. So, we have to evolve with the times,” he said.
The city’s property and development director already approved several other variances for the two proposed Market Lands buildings, including reduced yard sizes, loading zones and parking stalls.
joyanne.pursaga@freepress.mb.ca
X: @joyanne_pursaga

Joyanne is city hall reporter for the Winnipeg Free Press. A reporter since 2004, she began covering politics exclusively in 2012, writing on city hall and the Manitoba Legislature for the Winnipeg Sun before joining the Free Press in early 2020. Read more about Joyanne.
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History
Updated on Tuesday, July 8, 2025 7:04 PM CDT: Corrects metric conversions related to height of tower.