Ottawa adds to existing investment in Bay building transformation for timber-panelled atrium

The federal government is investing another $1 million to aid in the redevelopment of the former downtown Hudson’s Bay building, which is slated to become a hub for Indigenous housing, retail services and community resources.

The money will support the engineering and construction of the atrium at the centre of the six-storey building. The design features Canadian timber, Northern Affairs Minister Rebecca Chartrand said Friday.

“This will serve as a model for architects, builders and developers across the country on how to incorporate wood… in large-scale, high-profile projects,” she told a small crowd of stakeholders gathered near ongoing construction inside the building.

“This is a great example of how we’re working together to build a stronger and more competitive forest sector while investing in local infrastructure.”

Southern Chiefs’ Organization, which represents 32 Manitoba First Nations, is redeveloping the building to include 373 housing units, restaurants and office and retail spaces for entrepreneurs.

Ottawa previously committed $96 million toward the project, with another $35 million coming from the province.

The City of Winnipeg said it would provide $10 million in tax incentives, while waiving $607,000 in various fees. It also directed $10 million in federal cash received through the Housing Accelerator Fund to the initiative.

In July, a Winnipeg council proposal called on the city to consider providing another $3.4 million.

SCO Grand Chief Jerry Daniels announced in March the project cost had more than doubled from $130 million to $310 million, owing to a variety of circumstances, including more accurate budgeting, tariff threats, inflation and structural reinforcements.

Daniels was not present during Friday’s news conference because he was called away on a family matter, Liberal MP Terry Duguid said. Ryan Bear, the organization’s acting CEO, appeared on his behalf.

Bear did not answer when asked whether his organization will seek further financial support from the various levels of government.

“We’ll take the next question,” said a political staffer who took the microphone from Bear’s hands after the Free Press posed the question. “I think it’s premature to talk about that, and that’s something that’s within the purview of the elected officials — the chiefs of the 32 First Nations as well as the grand chief.”

The price of the redevelopment has not increased since Daniel’s previous update, Bear said.

“We’re still at $310 million. That’s what our budget is, and we’re pretty much finalizing that.”

When Hudson’s Bay Co. transferred ownership of the building to SCO in April 2022, Daniels said he hoped it would take three years to complete the redevelopment. That timeline was later extended to the second quarter of 2028.

Bear said it has been pushed back again into the third quarter of that year.

The latest federal money is part of a larger $5.4 million investment in 28 forestry projects across the Prairies; $2.3 million will remain in Manitoba and support nine projects; SCO is receiving about half the money.

Pimicikamak Cree Nation (Cross Lake) will receive $465,000 to bolster forestry operations and supply the community’s housing and infrastructure programs.

Another $345,800 will go toward securing a forest development agreement with four First Nations near Pine Falls.

The Manitoba Métis Federation will use $200,000 to aid in the development of a tree nursery and forest management plans.

Just over $300,000 will go to other forestry-related projects in Manitoba.

Saskatchewan is receiving $1.8 million, and Alberta is getting the remaining $1.2 million.

tyler.searle@freepress.mb.ca