Tax breaks aimed at spurring new development in central Kelowna have had the desired effect, Coun. Luke Stack says.
Council on Monday formalized revitalization agreements with the developers of two downtown housing projects.
The two agreements will cost the city $360,000 in lost tax revenue over the next decade. They are similar to other tax breaks the city has handed out to spur new construction in the central core.
“We’ve seen such tremendous revitalization these last few years that people forget that it wasn’t too many years ago when the cry was, ‘You need to get downtown going again,’” Stack said.
“So council of the day put incentives in to try to encourage it, and now we see that it’s completed,” he said. “It’s worth taking just a moment to reflect that this has been a policy that has had the desired outcome.
“Although we’re giving a tax break, we may have been staring at empty field where nothing was built at all, so we wouldn’t be getting tax anyway,” Stack said.