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City to purchase land near airport Print E-mail
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TENILLE TELLMAN

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A community business will be closing next month and the City of Medicine Hat plans to purchase the land as inventory in preparation for expansions to the Medicine Hat Airport.

Council has approved land purchase and sale agreements involving Madanco Holdings and the owners of Wes's Super Service on Highway 3 for three lots at a total price just over $3 million – less a $50,000 remediation hold back. The recommendation for council to finance the acquisition of land near the airport will be addressed in October.

Airport manager Jeff Huntus says an extension to the runway was recommended as part of the airport master plan approved in 2007 and is considered a plan for the future.

"In order to achieve that goal, we have to start taking steps now to protect the future of the airport," he explained.

The recommendation was for an additional 2,000 feet of runway, resulting in a growth in air service.

"It allows us to undertake discussions with larger aircraft operators."

The runway will be a significant project and council has taken the first critical steps to make this happen, he continued. The land in question is the only property they are looking at right now.

"There's a number of different opportunities we could look at and I think we've only just scratched the surface so far."

The facility could potentially accommodate larger aircraft charters from Calgary.

Rumours there could be a partnership with Canadian Forces Base Suffield are "not something that I'm aware of, that we've discussed," Huntus said.

The purchase comes with a condition of sale that the business be closed and the land cleared. Matt Toews, owner Wes's Super Service says the intention is to be out of the location by Friday, Sept. 12 or sooner if they are unable to receive fuel as a result of the Petro- Canada refinery complications.

The sale of the location has been discussed for a number of years while Toews maintained the business which has been in his family since 1954.

"We're proud to be there for that many years and we hate to see it go but it's time. Economically it's time and now it's just perfect timing, so we'll just go with that," said Toews.

As an independent business, Toews has faced challenges in keeping up with larger competition over the last number of years.

Other initiatives are on the horizon for the airport, which has retained a consultant to do an air service market analysis to look at enhancing services. Once the data has been collected, the information will be shared with council as soon as October.

Strategic planning is necessary, considering the importance of the airport, says Economic Development Alliance executive director Harold Wilson.

"It is an asset that I don't think we have been valuing as much as we should be. These types of arrangements are important and beneficial, those are good returns on investment," said Wilson.

When the opportunities are there, they need to be properly considered, he added.

"Some things are expenditures and some things are investments. It's important that people know the difference."

Wes's Super Service has been a community staple in the Medicine Hat and Seven Persons areas since 1954. Watch the News for an upcoming profile on the history of this business.





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Wednesday, 13 August 2008
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