RUSSELL TOWNSHIP CONSIDERS COWORKING SPACE "$56"-*5 4r/&84
CHRISTOPHER SMITH christopher.smith@eap.on.ca
Leaseco Brokerage presented several options for a coworking space that Russell Township council first consi- dered back in 2019. During the regular meeting on June 12, council received a draft proposal and options analysis for a coworking initiative based in Russell Township. Pending council approval, the administration would be responsible for generating a business plan and financing requirements by December for inclusion in the 2024 budget. The proposal came from a 2020 survey by the economic develop- ment department regarding the possibility of establishing a coworking center. A coworking space is a community faci- lity with a collection of workspaces, private offices, and meeting rooms that can be used as needed by professionals who need a workspace outside the home. Businesses can also rent space in a coworking facility full-time like traditional office spaces. By bringing together seve- ral users, coworking facilities can provide access to better equipment and software than individual people can afford on their own. Coworking centres also bring commu- nities together by encouraging interaction between people who might not otherwise be connected on a professional basis. *O -FBTFDP$PNNFSDJBM3FBM&TUBUF Services Inc. Brokerage submitted a pro- posal for consulting services with respect to the Coworking Centre project. The team consisted of Bob Perkins, formerly of Deloitte Consulting, and Greg O’Donnell, who has extensive commercial real estate experience. As a result of Leaseco’s viability report and options analysis, the administration recommended that the township proceed with preparation of a business plan for the development of a coworking centre. Leaseco identified 16 potential sites for the coworking space, which it evaluated based on proximity to amenities, ownership, costs, availability, accessibility, parking, and general vibe. Based on these criteria, it short- listed six potential sites for consideration. 5IFTFXFSF/PUSF%BNF4USFFU 4BJOU(VJMMBVNF3PBE /PUSF%BNF Street, 215 Industrial Street, the 50-acre development on Saint Guillaume, the Russell Library, and a parcel of vacant land. Some of
Le canton de Russell envisage d’ouvrir un espace de coworking communautaire pour les professionnels occupés. -photo fournie
these options were very unsuitable for the project, and some would only be appropriate for a pop-up, as in a space that is decons- tructed at the end of the day. As for funding, Leaseco listed three pos- sible options for funding. The first is grants and other funding available through the provincial and federal government. The next is private sector partnerships, which would mitigate potential risk for the township. The last is reusing existing township assets and staff to reduce costs, which would also allow for an easy exit strategy should the coworking space not prove viable. Councillor Lisa Deacon said that she thought the options presented were good, but that any business plan must consider the atmosphere and community of a coworking space. As someone who serves on an advi- sory board for a coworking space, and as a frequent user of coworking spaces, Deacon said that coworking “thrives on three things: partnerships, programming, and people.” “The space is often a catalyst for an ecosystem that already exists and is looking
to grow,” she said. “If we’re just thinking of space and of somebody just going for wi-fi and a printer, we’re thinking too small. It is excellent information on potential space, and I would like us to leverage this information, but I would like to propose that we go in a different area of focus than the consultants are suggesting.” Deacon said that keeping with Russell’s strategic commitment to collaboration, council should be focusing on partnerships in regards to any potential coworking space. Many local community organizations are looking for meeting space, there are many students in the area that live with parents and need quiet places to study, and there are local small businesses that are looking to grow but don’t have the office space for overflow staff. She said that Leaseco wouldn’t have the benefit of those local connections and knowledge, which is why it wasn’t included in its report, but that council does have that benefit. “It should not just be the township,” she said. “It should be the township and at
least five other names on the banner, in my opinion.” Councillor Jamie Laurin expressed concern about the financials outlined in the proposal. The examples there listed a $600,000 startup cost and a $175,000 operating cost, but the potential revenue generated would amount to less than the operating costs and would result in money lost for the township. Leaseco stated that the financials were estimated before the potential sites were identified and priced out, just to give council a good picture of what might result. Some of the potential options Leaseco identified would have a much lower startup and operating cost as those options rely on refurbishing existing township buildings and assets, rather than building completely new. Council decided that the information available was insufficient to proceed with a business plan. It directed the adminis- tration to investigate possible community and business partnerships relating to the establishment of a co-working centre. Le règlement n’engage pas la munici- palité à obtenir un financement de la part d’Infrastructure Ontario, mais il s’agit d’une étape nécessaire pour s’assurer que cette option reste à la disposition de la muni- cipalité. Une fois la demande approuvée, l’administration procédera à une analyse comparative afin de déterminer le meilleur plan d’action concernant les options de financement. Le conseil sera informé de la situation à l’automne. Le conseiller Jamie Laurin a demandé quel serait le taux d’intérêt actuel sur un éventuel prêt. Le directeur des finances, Richard Godin, a répondu que le taux d’inté- rêt actuel sur un prêt à la construction était de 5,03 %, bien que ce taux soit suscep- tible de changer d’ici à ce que le prêt soit approuvé et utilisé. La demande de prêt a été approuvée.
RUSSELL APPROUVE LA DEMANDE DE PRÊT POUR LE CENTRE DE LOISIRS CHRISTOPHER SMITH christopher.smith@eap.on.ca
La municipalité passe à l’étape suivante de la construction du centre de loisirs. Lors de la réunion ordinaire du 12 juin, le conseil du canton de Russell a autorisé une demande de prêt auprès d’Infrastruc- ture Ontario pour le complexe récréatif. La demande vise à assurer le financement pendant la phase de construction du projet, qui devrait commencer en juin 2024, et est conforme au plan financier du complexe récréatif. La demande de prêt s’élève à 100 mil- lions de dollars pour couvrir les besoins de financement pendant la période de construction, bien qu’il ne s’agisse que d’un montant provisoire.
A loan application by the township is necessary for now to secure funding later on for the proposed recreation and sports complex project. —archive photo
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