Quote:
Originally Posted by Rutuu
This is the thinking that makes Edmonton look like a bunch of rubes. There is a finite tax base in that city and a finite amount of money from the provincial government. I know the CRL is created by an increase in the property values around the arena, but the Oiler's aren't spurring economic activity past what they already do and the arena is the same, so in reality they're just trasfering the tax base from one area to another, then using the money to build an arena. It's another subsidy from City for the arena/Oilers and should be looked at that way. You can argue that it's a targeted subsidy that effects the people that will benefit most, but its not the same as Boeing building a factory in Leduc and creating 2000 jobs that weren't there before while using government money to subsidize the factory construction.
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Sure there's a finite amount (aside from tourism, which the Oilers no doubt help generate), but the city -- and all cities -- benefit from a strong core. Less sprawl means less infrastructure needed in the fringe areas, less traffic, etc.
One of Edmonton's biggest issues has been that since West Edmonton Mall was developed, that economic development was displaced at that time to the suburbs. They've been trying to reverse that for years and this looks to be the best catalyst to do so. There's at least 5 condo tower projects just waiting for this arena to get the green light so they can start building. The one that has started (Ultima, 30 stories) sold out in two days so it seems it's what the citizens want, too.
It moves economic development from other parts of the city to downtown but that is exactly what the city wants. It's what their vision is.