Councillor Bruce Phinney voted against tax incentives for two planned housing developments

At its meeting on February 10th, Tantramar Town Council voted to approve more than $3.3 million in tax rebates for two planned housing developments.

Council OK’d Artie Kenny’s application on behalf of Salem Properties Inc. for a rebate of $1.5 million. The company is planning to build a total of 87 residential units on its property at 112 Queens Road at an estimated value of $20 million.

Council also approved Eric Tusz-King’s application on behalf of Freshwinds Eco-Village Housing Co-operative for a rebate of more than $1.8 million. The co-op plans to build 68 residential units on its property at 64 Fairfield Road with an estimated value of $24 million.

Under the incentive program adopted by Sackville Town Council in 2020, developers pay half of the property tax they would otherwise owe over a 10-year period.

Phinney votes no

Councillor Bruce Phinney voted against the tax breaks explaining later that the program is far too generous.

“We need to review it and tone it down,” he said. “It’s much too extravagant. Do we need to give them that much?”

Phinney pointed to the $1.1 million rebate that developer John Lafford received for his six-storey, 72-unit apartment building at 131 Main Street and the $1.5 million Lafford and partner Mike Wilson received for a building currently under construction at York Street and Ford Lane with a total of 97 apartment units and about 10,000 square feet of commercial space.

“They’re going to develop anyway whether we give them an incentive or not,” Phinney said.

Stable rents

Freshwinds Eco-Village Co-op co-chair Sabine Dietz

Earlier, Sabine Dietz, co-chair of the Freshwinds Co-op, told council the tax breaks were justified for non-profit housing because they decrease operating costs.

“That means the rents for the co-operative can remain way more stable for 10 years,” she said.

“It’s not the same for a for-profit developer,” she added. “You will not know what this money is going to, you’re simply decreasing the tax income for the community.”

Dietz said the co-op is planning to start building this summer and hopes to complete the Freshwinds project by December 2027.

Co-op seeks changes

Meantime, Freshwinds is seeking council approval for an increase in the number of housing units it plans to build on its 21-acre site from 62 to a total of 68.

A planning report from the Southeast Regional Service Commission says that among other things, the co-op is proposing to add another apartment building while shifting from semi-detached to townhouse dwellings and changing the layout of the site.

Planner Sam Gerrand told council earlier this month that the co-op will provide more affordable housing including three-bedroom units suitable for families as well as some barrier-free or more accessible units.

Councillor Barry Hicks

“I’d like to say that I fully support this development, but I do not agree with adding any more units unless this has a proper street into it that is up to municipal standards and taken over by the municipality once the street is done,” said Councillor Barry Hicks.

He added he feels the roadway is too narrow for that number of units making access for fire trucks a safety issue.

Town Engineer John Eppell said he and the fire chief noted about a year ago that the site has an additional emergency exit.

He added that staff will examine the plans in more detail when the co-op applies for building permits.

In the meantime, town council will hold a public hearing on March 10th to hear any objections to the changes in the Freshwinds plans.

To read the background report on the tax incentives council approved for the two housing projects, click here.