CentrePort on track

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This article was published 16/03/2023 (1112 days ago), so information in it may no longer be current.

ROSSER — The feds are laying tracks in Rosser, allocating up to $18 million for CentrePort Canada’s new rail park.

Federal Transport Minister Omar Alghabra announced Ottawa’s contribution to the park’s first phase on Wednesday.

“This city and this location is a critical hub in a strong supply chain,” Alghabra said.

Last year, CentrePort Canada unveiled plans for a 665-acre rail park connecting businesses to Canadian Pacific Railway’s main line northwest of Winnipeg.

Shovels will hit the ground this spring, according to Chris Reiter, development manager for Focus Equities, which is developing the park.

Phase 1 — the first of three phases — will cost around $100 million to develop, he said. Focus Equities is kicking in more than $55 million, and equities will cover the rest.

“Deals are going to happen with this (federal) money,” Reiter predicted.

The $18 million will cover a second mainline switch off the CP Carberry subdivision, around 2.1 kilometres of tracks, a lift station and connections to access roads.

“It’s not a lot of money, in the whole scheme of things, but… it can send a signal to non-domestic site selectors and investors about who we are,” said Chris Lorenc, a director on CentrePort Canada’s board.

“This is not just about an industrial park,” he added. “This is very much about re-engineering the footprint that Manitoba and Canada can play in global trade.”

When the entire rail park is done — in 10 to 15 years, by current timelines — the economic spin-off could be $1 billion, according to Reiter.

Phase 1 will consist of nine or 10 lots ranging from 10 to 50 acres, he said. He wouldn’t divulge which companies have bought in but said an announcement is coming soon.

Manufacturers and mining-adjacent companies are on the list.

“There’s so (many) minerals up north,” Reiter said. “It’s time for Manitoba to step up, to really see more of that property in the market.”

Not all lots are sold, he added. Construction on the first phase is expected to finish next year.

Reiter is looking outside Manitoba’s border for tenants.

“Especially with the Kansas City (and) CP merger — we believe in that line, that direct route from Mexico up,” Reiter said.

On Wednesday, the United States approved CP’s $31-billion acquisition of Kansas City Southern, creating a rail line linking Canada, the United States and Mexico.

Alghabra said the companies’ merger could bring more opportunities for Canadian businesses. Ottawa is working on a supply chain strategy to “help ensure we have a competitive and fair market when it comes to freight rail,” he added.

CentrePort’s rail park is connected to CP’s line, but there are interchange points at CN and BNSF tracks.

The feds expect the rail park will generate $79 million in provincial taxes and add $526 million to Manitoba’s gross domestic product. It expects the project will create more than 6,000 jobs.

It’s tough to say how many jobs the rail park will produce, according to Reiter. Some rail-driven companies might have a handful of workers; others could have hundreds.

Reeve Ken Mulligan expects Rosser will be “exploding” with growth as the rail park develops.

“We’re moving ahead very quickly… without this,” Mulligan said. “This (rail park) is a major, major step ahead.”

In 2006, Rosser’s land and property assessment was $230 million, according to Larry Wandowich, the rural municipality’s chief administrative office. This year, the assessment came in at $1.2 billion.

CentrePort’s development plays a large role, according to Rosser’s council.

They’re working on more infrastructure in the area, including sewage and water systems, Wandowich said.

The rail park will span from the south side of the CP Carberry Subdivision with CentrePort Canada Way to the east and Four Mile Road / Selkirk Avenue to the south.

CentrePort Canada, a 20,000-acre inland port, also covers part of northwest Winnipeg. The province is spending up to $40 million on development of CentrePort South, in Winnipeg, and the city has budgeted $20 million for water and wastewater servicing.

gabrielle.piche@winnipegfreepress.com