Attachment C. West Abbotsford Business Park Study Pacific Land Group

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1 Attachment C West Abbotsford Business Park Study Pacific Land Group

2 PROPOSED ALR EXCLUSION FOR: WEST ABBOTSFORD BUSINESS PARK PREPARED FOR: B.C. LTD. Pacific Land Resource Group Inc Street Surrey, British Columbia V3W 1H May 24, 2013 Project #:

3 TABLE OF CONTENTS EXECUTIVE SUMMARY... iv 1.0 INTRODUCTION PROPERTY LOCATION AND SITE DESCRIPTION NEIGHBOURING LAND USES Gloucester Bradner Relationship to Gloucester and Bradner PROPOSED LAND USE VISION Introduction of Development Proposal Proposed Design Elements POLICY ANALYSIS OF THE VISION Choices for Our Future: Regional Growth Strategy for the Fraser Valley Regional District Official Community Plan City in the Country Plan MARKET DEMAND Focus on Large Logistics Users Why Not The City in the Country Lands or Existing Industrial Lands Acute shortage of Industrial Logistics Lands in the City and Region Economic Activity Clusters for Existing City in the Country Lands ANALYSIS OF SUPPORTING REPORTS Land Economics Agrology Environmental Hydrogeology Archaeology Civil Engineering Traffic PUBLIC CONSULTATION Process/Public Engagement Public Input Project Response to Issues Raised During Public Engagement NET BENEFIT TO AGRICULTURE AND ABBOTSFORD Connection Between Industry and Agriculture CONCLUSION PACIFIC LAND RESOURCE GROUP INC. ii

4 LIST OF TABLIES 1. Subject Properties LIST OF FIGURES 1. Subject Properties Existing Land Uses 2. Brander Community Context 3. Concept Plan 4. Loblaws Campbell Heights Warehouse 5. Phasing Plan 6. Truck Movement 7. Major Intersection Truck Movement, at Townshipline Road 8. Major Intersection Truck Movement, at Myrtle Avenue 9. ALR Buffer 10. Design Guidelines Industrial Land Inventory Gloucester, Langley APPENDICES 1. FVRD RGS Map 3 Fraser Valley Regional District s Urban Growth Boundaries 2. City of Abbotsford s Agricultural Advisory Committee: Position Paper on Enhancing the Agricultural Economy 3. Industrial Lands Created Through the City in the Country Plan 4. West Abbotsford Industrial Park: Supply and Demand for Industrial Land and Economic Employment and Taxation Impacts Based on ALR Exclusion - Site Economics Ltd. 5. Agricultural Capability Assessment, Gloucester East Area, Abbotsford, BC - Pottinger Gaherty Environmental Consultants Ltd. 6. Agricultural Suitability Assessment, Gloucester East Area, Abbotsford, BC Pottinger Gaherty Environmental Consultants Ltd. 7. Preliminary Environmental Assessment Pacific Land Resource Group Inc. 8. Preliminary Hydrogeological Assessment Levelton Consultants Ltd. 9. Gloucester East Development: Summary of Infrastructure Works, Preliminary Report R.F. Binnie & Associates Ltd. 10. Memorandum RE: Gloucester East Development Highway Access, R.F. Binnie & Associates Ltd. 11. Gloucester East Industrial Development Preliminary Traffic Review EBA Engineering Consultants Ltd. 12. Traffic Impact of Gloucester Estates Development Ward Consulting Group 13. Public Information Meeting Summaries and Response Form Submissions PACIFIC LAND RESOURCE GROUP INC. iii

5 EXECUTIVE SUMMARY B.C. LTD. has applied to exclude ha ( ac) in West Abbotsford from the Agricultural Land Reserve (ALR). This report provides a comprehensive analysis of the site and conditions in place to support a change in land use from agricultural to industrial business park in the City of Abbotsford. The application is comprised of 22 parcels and is located on the western edge of the City of Abbotsford, bordering the Township of Langley. The application area lies within a rural and isolated area of the Bradner community. The land is immediately adjacent to the Gloucester Industrial Estates within the Township of Langley and is bordered by Highway 1 to the south and the Southern Railway of British Columbia to the north. Lefeuvre Road forms the eastern boundary which completes a natural and defensible boundary to the surrounding agricultural lands. The 22 parcels under application cover an area of 225 acres. An industrial park development plan has been prepared which would divide the area into large blocks to accommodate larger industrial users. The plan reduces the amount of land devoted to roads and offers large contiguous development parcels intended to suit the needs of logistics and multi-tenant warehouse users. A right in/right out connection from Highway 1 to Lefeuvre Road will form part of the development plan. Trucks will be restricted from accessing any local roads east of Lefeuvre Road to ensure the integrity of surrounding ALR lands. An advantage is provided to the proposed business park with the opportunity for a rail connection along its northern boundary. This offers the proposed development access to the regional and international rail network to transport goods in a more efficient and sustainable manner. The City of Abbotsford and the Fraser Valley Regional District have prepared documents to guide growth in the community. The Fraser Valley Regional District adopted a Regional Growth Strategy (RGS) as part of a regulatory requirement under British Columbia s Local Government Act. The RGS supports a strong employment base and appropriate industrial and business park lands that are located with access to infrastructure. The City of Abbotsford s Official Community Plan (OCP) has an objective to encourage the production of high quality local employment. The OCP states that the City must ensure an adequate supply of industrial and business park lands are available to supply projected employment needs of the City. Abbotsford s City in the Country Plan states that based on the existing supply of industrial land, typical industrial floor area requirements and the projected employment requirements, the City will require 1,300 acres to meet the industrial demand. The plan clarifies that 1,100 acres will have to come from the ALR to meet this employment demand. The Metro Vancouver area is facing a critical shortage of industrial land and it is estimated that the supply will be utilized within approximately 10 years. Over half of the demand for Metro Vancouver s industrial land is from logistics and port related businesses, which receive a significant portion of goods through rail. With the significant shortage of land located next to multiple forms of transportation infrastructure, including rail, land that meets this criteria experiences strong demand. The proposed business park location and size is ideally suited to attract logistics facilities, which typically require buildings of 100,000 sq.ft. to over 500,000 sq.ft. Larger logistics users typically require lots ranging from 30 to 40 acres in size. With the advent of e-commerce larger building sizes up to 800,000 sq.ft. are not uncommon in this global economic climate. These firms are large employers and typically utilize a greater amount of floor area than former industrial users. Industrial lots of this size are non-existent in the Lower Mainland. The process to assemble smaller lots into a zoned property of this size is time-consuming and costly. If zoned and assembled land is unavailable to users they look to locate in other regions bypassing Metro Vancouver and the Fraser Valley. Under single ownership the proposed business park will PACIFIC LAND RESOURCE GROUP INC. iv

6 be able to offer multiple users the large area required to operate efficiently. This contrasts the lands currently designated for industrial use within the City of Abbotsford. The proposed business park will also help grow demand for smaller, industrial designated parcels within the City as service sector firms will need to locate or expand to serve the larger industrial base. Specifically, firms focused on the needs of logistics users will be more inclined to locate in close proximity as the highly automated logistics centers will require increased levels of maintenance and service. Synergies with the Abbotsford International Airport and Gloucester Industrial Estates will support the West Abbotsford Business Park project in providing significant employment for the Abbotsford area. A multidisciplinary review of the proposed business park has been completed and includes recommendations provided by an independent land economist, agrologist, environmental specialist, hydrogeologist, civil engineer, traffic engineer, and land-use planner. The recommendations deal with the issues, their solutions and benefits of the proposed business park use to the community. It is anticipated that the cost of developing the project is set at about $400 million which translates to approximately 3,300 job years of employment during the development stage. When completed, 4,780 permanent, full-time jobs are expected on site with an average annual salary of $60,000 (including benefits). This would bring $248 million to the local economy. The finished value of the development is estimated to be $548 million for land and buildings. Based on current property mill rates, $11 million in annual taxes is estimated to be levied for all taxation authorities and up to $18 million in Development Cost Charges would be levied on a total industrial area of approximately 300 acres. Current agricultural capability of the subject property is impacted by varying soil conditions, complex sloping topography and limited drainage options as demonstrated by limited agricultural uses in the subject area. The agricultural suitability of the site is further impacted by smaller parcels and the majority of land being used for rural residential use and surrounding land uses such as Gloucester Industrial Estates. The subject area has a lower agricultural capability than the rest of ALR designated land in Abbotsford. An analysis of the roads and utilities required to facilitate the proposed development has been prepared and demonstrates that all roads and utilities can be installed at the developer s cost with no subsidy from the City of Abbotsford. Establishment of the right in/right out access onto Highway 1 will help with the overall flow of industrial traffic in the area and will also be completed at the developer s cost. The project will not proceed without the highway access. Public consultation for the proposal incorporated two public information meetings and one opportunity for public input to Abbotsford Council. Overall a total of 279 responses were received during and after the two public information meetings. 90% of these responses were in favor of the project primarily due to the potential employment opportunities and economic prosperity for the City of Abbotsford. At the November 19, 2012 meeting in the Council Chambers 65 people spoke to the project of which 32 people were in favor of the proposal and 24 were against. The project goal is to create a development proposal that reflects the employment generation intentions of the City in the Country Plan while continuing to improve agriculture within the City of Abbotsford. The project has received support from Abbotsford s Economic Development Advisory Committee (EDAC) and Agricultural Advisory Committee (AAC) as it is recognized that the exclusion of some lands from the ALR is necessary for long-term sustainability of the City. Agriculture in Abbotsford will also benefit from this development. One of the most important ways to increase agricultural productivity is by funding innovation within the agricultural sector PACIFIC LAND RESOURCE GROUP INC. v

7 through Abbotsford s Agricultural Enhancement Endowment fund. If approved, the project will contribute $20,000 per acre towards the fund up to a potential of $6 million. In addition to the financial contribution there is an opportunity to assist with reclamation of gravel pits in the area to re-establish the agricultural potential of the lands and to provide topsoil for nearby agricultural properties with limiting or uneven terrain to increase agricultural productivity. With the establishment of funding to encourage farm innovation and with the creation of additional processing and distribution facilities within industrial areas such as West Abbotsford Business Park, demand for local agricultural products will increase. This has the potential to encourage a new line of farmers to enter the profession and should result in growth in the local farm industry. With the added benefit of nearby distribution facilities and access to locally-based distributors, Abbotsford farmers will have an opportunity to expand their reach into global markets and expand their agricultural production. The West Abbotsford Business Park represents a significant opportunity for the City of Abbotsford to capitalize on the need for industrial land in a region where significant limitations to the creation of new business districts exists. It is anticipated that the subject property will be developed immediately due to the commitments in place by corporations eager to find larger parcels required to serve a global environment. With these employers in place, residents of Abbotsford will be given the opportunity to work and live in their own community, offering them economic prosperity while ensuring they have enough time to spend with their families, rather than commuting to outside employment. It is considered that this proposal provides a substantial net benefit to the City of Abbotsford and its agricultural base. PACIFIC LAND RESOURCE GROUP INC. vi

8 1.0 INTRODUCTION On behalf of our client, B.C. Ltd., Pacific Land Group (PLG) has prepared this planning report in support of an Application by Land Owner, under the Agricultural Land Commission Act, to exclude land from Agricultural Land Reserve (ALR) for hectares ( acres) in the City of Abbotsford. This report provides a comprehensive analysis of the site and conditions in place to support a change in land use from agricultural to industrial business park. A multi-disciplinary analysis of the site was conducted, providing an objective-based assessment of the project. Supporting information from the following areas are incorporated: archaeology, agrology, civil engineering, environmental, hydrogeology, land economics, planning, and traffic. The findings of this report should be considered in the context of delivering economic, environmental, and social sustainability to residents of the City of Abbotsford. This report is to be read in combination with the supporting reports summarized in Section PROPERTY LOCATION AND SITE DESCRIPTION Located on the western edge of the City of Abbotsford, bordering the Township of Langley, are 22 parcels ( subject properties ) that form the application, representing a total area of hectares (see table 1). Land uses across the subject lands range from agricultural, rural residential, to areas of natural vegetation (see figure 1). Hobby farms occupy a portion of the agricultural uses. Lot sizes range from 2 ha. to 15 ha. Context Aerial Photograph PACIFIC LAND RESOURCE GROUP INC. 1

9 Table 1 Subject Properties Civic Address Legal Description Avenue LOT 28 SECTION 5 TOWNSHIP 14 NEW WESTMINSTER DISTRICT PLAN Baynes Street LOT 27 SECTION 5 TOWNSHIP 14 NEW WESTMINSTER DISTRICT PLAN Baynes Street LOT 13 SECTION 5 TOWNSHIP 14 NEW WESTMINSTER DISTRICT PLAN Myrtle Avenue Myrtle Avenue 5379 Baynes Street Myrtle Avenue LOT 22 SECTION 5 TOWNSHIP 14 NEW WESTMINSTER DISTRICT PLAN 2514 LOT 21 SECTION 5 TOWNSHIP 14 NEW WESTMINSTER DISTRICT PLAN 2514 LOT 5 NORTH EAST QUARTER SECTION 5 TOWNSHIP 14 NEW WESTMINSTER DISTRICT PLAN 2514 LOT 10 SECTION 5 TOWNSHIP 14 NEW WESTMINSTER DISTRICT PLAN Baynes Street LOT 7 SECTION 5 TOWNSHIP 14 NEW WESTMINSTER DISTRICT PLAN Baynes Street LOT 8 SECTION 5 TOWNSHIP 14 NEW WESTMINSTER DISTRICT PLAN Myrtle Avenue Lefeuvre Road Lefeuvre Road Townshipline Road Lefeuvre Road Townshipline Road Townshipline Road Lefeuvre Road Avenue LOT 24 SECTION 5 TOWNSHIP 14 NEW WESTMINSTER DISTRICT PLAN 2514 LOT 26 SECTION 5 TOWNSHIP 14 NEW WESTMINSTER DISTRICT PLAN 2514 NORTH EAST QUARTER OF THE SOUTH EAST QUARTER SECTION 5 TOWNSHIP 14 NEW WESTMINSTER DISTRICT SOUTH HALF OF THE EAST HALF OF THE WEST HALF OF THE SOUTH EAST QUARTER SECTION 5 TOWNSHIP 14 NEW WESTMINSTER DISTRICT LOT 19 SECTION 5 TOWNSHIP 14 NEW WESTMINSTER DISTRICT PLAN LOT 22 SECTION 5 TOWNSHIP 14 NEW WESTMINSTER DISTRICT PLAN LOT 1 SECTION 32 TOWNSHIP 13 NEW WESTMINSTER DISTRICT PLAN EAST HALF OF THE EAST HALF OF THE NORTH EAST QUARTER SECTION 32 TOWNSHIP 13 EXCEPT: FIRSTLY: PART LYING SOUTH AND WEST OF PLAN 23336; SECONDLY: PART ON STATUTORY RIGHT OF WAY PLAN 23336; NEW WESTMINSTER DISTRICT PARCEL "ONE" (EXPLANATORY PLAN 6673) LOT "A" SECTION 5 TOWNSHIP 14 NEW WESTMINSTER DISTRICT PLAN Baynes Street LOT 12 SECTION 5 TOWNSHIP 14 NEW WESTMINSTER DISTRICT PLAN Baynes Street LOT 6 SECTION 5 TOWNSHIP 14 NEW WESTMINSTER DISTRICT PLAN Baynes Street LOT 9 SECTION 5 TOWNSHIP 14 NEW WESTMINSTER DISTRICT PLAN Baynes Street THE NORTH HALF OF THE EAST HALF OF THE WEST HALF OF THE SOUTH EAST QUARTER OF SECTION 5 TOWNSHIP 14 NEW WESTMINSTER DISTRICT PACIFIC LAND RESOURCE GROUP INC. 2

10 In 1940, the subject properties were largely covered by natural forest, interspaced by a few, small homesteads serviced by local roads. Rail access to the area was available at this time with a stop at Bradner Road; however, the major east-west transportation corridor was Townshipline Road. The proceeding decades saw expansion of the local road network, including Baynes Street and Myrtle Avenue, as well as the expansion of 56 th Avenue eastward past Lefeuvre Road. At the same time, more lots were cleared of their natural vegetation for rural acreages. This process of subdivision to permit smaller parcels and more rural acreages continued until the 1990s, at which point limited changes occurred up to the present day. 3.0 NEIGHBOURING LAND USES The Southern Railway of British Columbia signifies the border of the subject area with the properties to the north. In this adjacent area, agriculture uses are present within approximately half of the properties, with the remaining properties used as rural residences and areas of natural vegetation. Separated by Lefeuvre Road, the properties to the east of the subject area are predominately used as rural residences accompanied by natural vegetation and creeks. The remainder of the properties, particularly around Townshipline Road, are used for agriculture. The Trans-Canada Highway (HWY 1) separates the subject area from a rural area south of the highway in the City of Abbotsford. Approximately half of the area is used for non-intensive agriculture with the remaining properties used for rural residences and natural vegetation. An industrial park in the Township of Langley lies to the west of the subject area. 3.1 Gloucester Gloucester Industrial Estates (GIE), a 286 hectare (706 ac.) industrial park, is located directly west of the subject area. Development of GIE was first considered by Grosvenor-Laing Holdings during the late 1950s when the firm purchased a large portion of the area. Claudio Grubner/Chichester Properties purchased the 650-acre site in 1973 and helped to successfully develop the site in the late 1980s with uses ranging from logistics, manufacturing, to warehousing, and later partnered with the Co-operators as a joint owner in Finally, the Beedie Group purchased the remaining vacant lands in Gloucester during 1998 and initiated a phased approach to development, where land was built to suit the needs of owner/occupiers. As of the first quarter of 2013, GIE currently has 6.6 million square feet of existing building inventory, with 94,005 sq.ft. of existing buildings currently unoccupied. As further referenced in Section 6.3, it is expected that GIE will be fully built out by Bradner The Bradner community was established in 1910 with the introduction of the British Columbia Electric Railway and an associated station at Bradner Road and Myrtle Avenue. Following that, the natural landscape of the area gradually developed with rural residences, followed by use of agricultural production focused on nurseries and livestock farming. Currently, the majority of lots in the Bradner community are used as hobby farms. Bradner Elementary School and Bradner Park are two community facilities located along Bradner Road at Haverman Road. PACIFIC LAND RESOURCE GROUP INC. 3

11 3.2 Relationship to Gloucester and Bradner The subject properties connection to Gloucester is significant as there is no natural or physical barrier. If development were to proceed, no discernible difference in land use or appearance between the two developments would be evident. The relationship to the Bradner community is set apart by the presence of Nathan Creek on the east side of Lefeuvre Road from north of 56 Avenue to south of Townshipline Road (see figure 2). This creek separates the rural residential lots forming the Bradner community from the larger rural uses found within the subject properties. The centre of the community is expressed at the centre of Bradner Road, between Haverman Road and Myrtle Avenue. If the proposed development were to proceed, the Bradner Community would not observe a change to their local environment based on the presence of the natural barrier and vehicular (truck) access restrictions along Myrtle Avenue and Townshipline Road. 4.0 PROPOSED LAND USE VISION 4.1 Introduction of Development Proposal A land use vision was prepared to demonstrate the development of a business park. Collectively, this vision applies to 120 hectares, of which 91 hectares are under application. Within the proposed business park, logistics and multi-tenant warehouses are identified as the primary uses. The market identifies a need for large parcels of land connected to the regional transportation network. Figure 3 shows the proposed land use concept. Divided into large blocks, this plan provides maximum efficiency for industrial users by reducing the amount of land devoted to roads and offering large, contiguous development parcels. This layout is intended to suit the needs of logistics and multi-tenant warehouse users as they require large parcels to maximize the efficiency of their operations in a global market. For instance, figure 4 demonstrates a typical layout for a large logistics user. In this example, the user required a lot area of 37 acres and located in Surrey as a large, serviced lot was not available in Abbotsford. The development proposal is intended to proceed across three phases, as seen in figure 5. With the proposed phasing, rail access can be extended south to service logistics users in phases two and three. Vehicular access to and from the subject properties is planned to connect to the arterial road and highway network on the north and south (see figure 6). A right-in/right-out connection from Highway 1 to Lefeuvre Road will permit cars and trucks to access the development from a westbound direction. This connection will also permit westbound egress from the development to Highway 1. Bradner residents will also be served by easier access to the highway. Construction of the right-in/right-out access will commence along with initial servicing of the site. Trucks will be restricted from proceeding onto any local road east of Lefeuvre Road, including Townshipline Road (see figure 7) and Myrtle Road (see figure 8), as well as 56 th Avenue east of Baynes Street, with the establishment of traffic restrictions. At each of the above intersections, the road standard into ALR lands will remain rural to ensure that vehicular access is limited to one travel lane per direction. Traffic calming can be utilized to slow down traffic and discourage non-local resident access. For trucks requiring access west of the proposal, they will be directed to proceed via Townshipline Road or 56 th Avenue to the 264 th Street interchange, through the establishment of designated truck travel routes. These routes can be designated by the City prior to construction of WABP PACIFIC LAND RESOURCE GROUP INC. 4

12 With the Southern Railway of British Columbia (SRY) alignment along the north end of the property, an advantage is provided to the proposed business park by offering access to the regional and international rail network to transport goods in a more efficient and sustainable manner. Once property users requiring rail access are secured, installation of rail service to the subject properties will be provided by the developer in conjunction with SRY. The developer will work with the City of Abbotsford and SRY to find a solution to mitigate any increase in noise stemming from an increase in railway traffic. It is recommended that discussions take place with the City of Abbotsford and SRY concerning the installation of signalling equipment at the road crossing at 56 th Avenue, east of Baynes Street, and at the north end of Lefeuvre Road. According to the Railway Safety Act, with this equipment in place, the City will be able to apply for whistle cessation and avoid disturbing local residents. Three of the four boundaries of the development proposal are bordered by hard edges, including HWY 1, GIE, and SRY alignment. The remaining boundary is Lefeuvre Road with ALRdesignated land adjacent (ALR-designated land is present behind HWY 1 and the SRY alignment). To improve separation between the business park uses and the ALR-designated land, a landscaped buffer is proposed to be built along the south side of the SRY alignment, the west side of Lefeuvre Road, and the north side of HWY 1 (see figure 9). The physical presence of the buffer will define the natural edge of the business park uses and provide mitigation to the agricultural lands. The local environment can also be supported by using on-site bioswales and rain gardens to capture storm water run-off to mirror pre-development storm water flows. This could include working with the City of Abbotsford to create off-site bioswales within the road right-of-way, in order to treat storm water and recharge groundwater. These servicing details will be reviewed at the development approval stage. 4.2 Proposed Design Elements The character of development and use of colours and materials will be controlled through design guidelines that will guide development (see figure 10). Exteriors of each building can have architectural elements that vary colour and materials or articulate the height and façade alignment. Design elements will be expanded for buildings on arterial and collector roads, where greater exposure will occur. Development will reflect the local environment; landscaping will be added to each property that responds to, and reinforces the character of, adjacent streetscapes and open spaces. Landscape setbacks will be provided along arterial and collector roads to increase the setback of buildings from the road. Points of entry along roads will have a greater variety of landscape elements, specifically the use of distinctive trees, shrubs, perennials, and annuals. Incorporating different flora will provide visual interest to the area and complement the built environment. Sustainability will be a focus of development for the business park. Multiple measures will be put in place to ensure environmental efficiency is met. At the rezoning and development permit stage, site-appropriate Built Green and LEED equivalent standards will be incorporated to guide site planning and building design. 5.0 POLICY ANALYSIS OF THE VISION The City of Abbotsford prepared two documents to guide growth in the community: the Official Community Plan (OCP); and the City in the Country Plan (CICP). The objectives of both PACIFIC LAND RESOURCE GROUP INC. 5

13 documents fit within the Fraser Valley Regional District s (FVRD) Regional Growth Strategy (RGS); a document that provides direction for growth on a regional scale. Section 5.4 addresses the market response to the policies outlined below. 5.1 Fraser Valley Regional District s Regional Growth Strategy The FVRD adopted the RGS as part of a regulatory requirement under British Columbia s Local Government Act. The purpose of the RGS is to guide growth that is economically, environmentally, and socially healthy, as well as efficient, over a period of twenty to thirty years. The vision of the FVRD RGS is to be a network of vibrant, distinct, and sustainable communities that accept responsibly managed growth while being committed to protecting the land resource and the natural environment to ensure that a high quality of life is accessible to all. The growth management goals of the RGS include, but are not limited to: - Increase transportation choice and efficiency; - Support and enhance the agricultural sector; - Develop a network of sustainable communities; and - Achieve sustainable economic growth Increase Transportation Choice and Efficiency With respect to the transportation choice and efficiency, Section 1.6 of the RGS encourages existing railway infrastructure to be integrated within the regional and local transportation plans. Section 1.8 provides further support for transportation efficiency by stating future industrial and business park lands must have superior access protected and provided for Support and Enhance the Agricultural Sector While the importance of suitable agricultural lands are recognized, including the need for long term agricultural boundaries, the RGS understands and highlights the need for self-sufficiency, underscoring the requirement for the allocation of additional land for general employment use, as defined by Section Develop a Network of Sustainable Communities The FVRD highlights that in order for communities to become sustainable, and by definition, selfsufficient, they need to have: a strong, local economy containing commercial, industrial, and business park lands supporting job creation; and opportunities for the majority of residents to live and work in the same community. Section 4.2 further expands to say that the decision-making process is to recognize the significance of economic, social, and environmental factors in the overall goal of encouraging community sustainability. Further to this, Section 4.4 expands on the opportunity for creating community sustainability by stating that identification of land for employment and community growth is needed to improve the jobs to labour force ratio Achieve Sustainable Economic Growth The RGS suggests that sustainable economic growth will be achieved by: endorsing the creation of a strong investment climate that supports a strong employment base; and identifying appropriate industrial and business park lands that are appropriately located with access to infrastructure. Part of the process involved with the identification of industrial and business park PACIFIC LAND RESOURCE GROUP INC. 6

14 lands is the creation of initiatives that support the identification, along with protection and expansion of these lands, according to Section 7.5. The FVRD recognizes that employment growth must keep pace with residential growth. Providing appropriate amounts of land to supply employment growth is required to build sustainable communities. Further recognition is directed at the need to identify lands for longterm industrial and business park requirements, even where short-term land supplies are met. Appendix 1 shows the RGS Urban Growth Boundaries map, which designates the area proposed for WABP as an area for local government proposals for Urban Growth Boundaries extending into the Agricultural Land Reserve. This is the same designation applied to the lands removed through the CICP process. The Urban Growth Boundary is based on the land use intent of the municipality. 5.2 City of Abbotsford s Official Community Plan The City of Abbotsford adopted their OCP as a requirement of British Columbia s Local Government Act to provide plans and policies for the long-term planning and land use management within the City. Abbotsford s vision is for the City to be a liveable, sustainable and prosperous City in the Country. A liveable, sustainable and prosperous community is defined as a complete community, one that can provide job opportunities and housing to the wide range of Abbotsford residents. The achievement of a complete community is only possible by balancing the economic, environmental, and social objectives Encourage High Quality Local Employment Abbotsford identifies a strong city as one that has a diversified local economy, which provides a range of commercial, industrial, agricultural, and business park lands to supply locally-sourced, well-paying jobs. As the City s population grows, the demand for well-paying jobs will increase. It is estimated that a further 42,000 jobs will required to support the growing labour force. Objective 1.2 of the OCP states that to encourage the production of high-quality local employment, the City must ensure that an adequate supply of industrial and business park lands is available to supply projected needs. The recommended way to ensure this objective is met is by working with landowners in appropriate industrial areas to create lots that are optimized for the market. Implementing the City in the Country Plan is the foremost policy item behind encouraging high quality, local employment. This plan provides a comprehensive review of the opportunities and challenges of obtaining self-sufficient growth. Additional policy measures include liaising with the City of Abbotsford s Agricultural Advisory Committee to review the opportunities for working with the agricultural sector to stimulate economic growth, as well as the City s Economic Development Advisory Committee to discuss opportunities that affect economic development Pursue Economic Diversification Objective 1.3 of the OCP is focused on increasing the economic potential of the City by finding opportunities to increase the resilience of the employment market. The City intends to the increase its economic potential by focusing on the promotion of a business friendly environment. The path to economic diversification is supported by providing and supporting local employment to residential neighbourhoods. Locating employment closer to where people live is one way of maximizing the potential of existing human resources. Similarly, inter-modal PACIFIC LAND RESOURCE GROUP INC. 7

15 distribution can be achieved by utilizing the railway corridor and delivering cost-effective movement of goods. 5.3 City of Abbotsford s City in the Country Plan According to the City of Abbotsford, the City in the Country Plan is intended to address the shortage of industrial and business park lands presently facing the City, as well as to preserve, protect, and enhance our most important industry agriculture. Without a plan, the City is subjected to an increased financial risk by having an unbalanced tax base, which will undermine the ability to for the City of pay for necessary services. The Objectives of the Plan are to: - identify community need for future industrial lands; - identify lands suitable for industrial and business park uses, including lands within the Agricultural Land Reserve, that will meet the long-term employment needs of a diverse and growing population; and - identify a net benefit strategy for agriculture Sustainable Development The key to managed growth is to ensure that future generations are provided with the same opportunities that the current generation has. These opportunities can only be maintained by evaluating economic, environmental, and social requirements. Section 2.0 of the Plan states that sustainable communities are characterized by providing a majority of residents with the opportunity to live and work in the City and to consider the long-term consequences and benefits of economic, environmental, and social factors in the decision making process. The Plan is in place to ensure that the City remains an independent and self-sufficient community Providing Economic Opportunities To become sustainable, the City must provide employment opportunities to ensure that residents can work where they live, whereby allowing the community to become self-sustaining. Section of the CICP states that the City of Abbotsford s projected population requires the creation of substantial employment opportunities of approximately 42,035 jobs. Section 7.6 states that based on the existing supply of industrial land, typical industrial floor area requirements, and the projected employment requirements, the City will require 1,300 acres to meet the industrial demand. Section 9.0 clarifies that 1,100 acres will have to come from the ALR to meet this demand. Section 6.2 of the CICP recognizes that the City has enough lands to accommodate projected residential and commercial uses, but not enough lands to support projected industrial uses. At the same time, these industrial lands must be identified at strategic locations. Requirements for industrial land vary by user, but general criteria include: access to highway interchanges; railway spurs; access to regional markets; proximity to the Abbotsford International Airport; and proximity to US borders (Section 6.3). Aside from finding enough land to accommodate this use, the City must ensure that municipal finances are evenly balanced and not reliant on residential and farm class properties to fund basic services and civic infrastructure, according to Section 7.7. Having more industrial class properties would help adequately distribute the tax base pressure Industrial Land Supply PACIFIC LAND RESOURCE GROUP INC. 8

16 At the time of CICP s publication, the amount of non-contiguous, zoned and vacant industrial land was approximately 12 hectares (29 ac). While this amount is increased to 93 hectares (229 ac) when including OCP-designated industrial lands, these lands are not zoned for the use and each parcel s characteristics pose different obstacles for conversion including, small parcel size, varied ownership, and discontiguous parcels, as described in Section 8.2. The City recognizes that 1,100 acres of ALR-designated land will be required for meet the demand for industrial land (Section 9.0). Support for this solution is provided by the Agricultural Advisory Committee, which recognizes the essential need for long-term economic growth (Section 6.1), as referenced in their Position Paper on Enhancing the Agricultural Economy (see appendix 2). As Metro Vancouver s share of industrial land diminishes, the prices for vacant land and existing building space grows, pushing demand to outlying areas, including the Fraser Valley. As more industrial firms grow in size, they require larger plots of land for their business, further compounding the problem of limited space in the core. The only solution is to search for large, affordable sites south or east of the Fraser River, according to Section of the CICP. Once the CICP was publicized, the City of Abbotsford initiated an ALR exclusion application for 372 ha. (919 ac) of land. In turn 180 ha. (445 ac.) of land were conditionally excluded by the Agricultural Land Commission (see appendix 3). 6.0 MARKET DEMAND Metro Vancouver is facing a critical shortage of industrial land insofar that the existing supply will be utilized within approximately eight years. Due to the region s position as a gateway to Asia Pacific markets, demand is scheduled to increase, following growth in Asia Pacific markets. Over half of the demand for Metro Vancouver s industrial land is from logistics and port-related businesses, which receive a significant portion of goods through rail. With the significant shortage of land located next to multiple forms of transportation infrastructure, including rail, land that meets this criteria experiences strong demand. As land supply is reduced in Metro Vancouver, Abbotsford will be expected to help increase the supply. 6.1 Focus on Large Logistics Users The development proposal s location and size is ideally situated next to HWY 1 and the railway to attract logistics facilities, which typically require buildings of 100,000 sq.ft. to over 500,000 sq. ft. Larger logistics users typically require lots ranging from 30 to 40 acres, as seen in figure 4. With the advent of e-commerce, larger building sizes up to 400,000 to 500,000 sq. ft. are common and necessary in the global economic climate in order to achieve economies of scale. These firms are large employers that typically utilize a greater amount of floor area than of former industrial users; most e-commerce operations create mezzanine space for their operations. Industrial lots of this size are rare; further, the process to assemble smaller lots into a zoned property of this size is time-consuming and costly. If zoned and assembled land is unavailable to users they look at locating in Alberta or the United States. Industrial users do not engage in land consolidation and rezoning processes. Under single ownership, the proposed business park will be able to offer multiple users the large area required to operate efficiently. Lots can be adjusted for optimal building and yard area requirements. This ability is essential in order to solicit larger users to locate in the region, rather than have them locate to markets with fewer restrictions, such as Calgary. PACIFIC LAND RESOURCE GROUP INC. 9

17 The opportunity to create larger parcels is just as necessary to the market as the ability to create industrial land, as land availability has been shown to drive absorption. Locally, both Campbell Heights and Annacis Island industrial areas developed based on assumptions that land availability would drive demand. 6.2 Why Not The City in the Country Lands or Existing Industrial Lands The industrial lands created through The City in the Country Plan (CICP) are useful in meeting the industrial needs of a portion of the Abbotsford market; however, fragmented ownership (including existing, non-industrial uses), environmental restrictions, sloping terrain, and limited land area create conditions unsuitable for large users. Appendix 3 documents the four areas (Mount Lehman, Mount Lehman South, Cascade, and Clearbrook) obtained for industrial development through the CICP process. These site conditions target smaller users (5-20 acres) that are able to develop on a smaller, site-by-site basis. Existing, vacant industrial lands not created through the CICP process remain vacant as they are impacted by the above-noted conditions. It is anticipated that smaller users are the only users willing to consider developing lands impacted by the above-noted conditions. These users will, in some cases, provide services to WABP to maintain electronics, conveyors, and operation systems. One of the current key land use restrictions affecting the Mount Lehman CICP lands in Abbotsford is the absence of sanitary and storm sewers. If servicing is not pre-arranged to be installed before individual lot development can proceed, then there is a significant timing and financial restriction impacting industrial development. A simpler and more efficient process is established if one, experienced in industrial developer offers zoned and serviced industrial land rather than multiple, property owners. Out of 34 parcels that are currently available for industrial development (from the City in the Country Lands), representing 154 hectares (380 ac), there are 26 owners involved. Conversely, WABP will have one owner for 22 properties, representing 91 hectares. Notwithstanding the land use restrictions limiting large users from locating within the CICP lands or existing industrial lands, there are further restrictions that preclude large users. Specifically, these lands are offered limited access to highway and are not serviced by rail corridors, which reduce the efficiency of potential logistics users who need easy access to local, regional, and international markets. One ongoing concern many owner-occupiers experience when determining the appropriate property for their business needs is, whether a new business park will adequately control design standards and incoming users, in order to protect existing investments. More certainty is created when an experienced business park developer is controlling the development program of an industrial area. 6.3 Acute shortage of Industrial Logistics Lands in the City and Region Across Metro Vancouver, industrial land is increasingly in short supply. Currently, approximately 3,641 acres are known to be available for fee simple purchase and development by 2017; however, when factoring in land use restrictions, only 2,036 acres area available. Based on the average absorption rate data for Metro Vancouver between 2005 and 2010, nearly 250 acres per year are absorbed by the market. At this rate, the current supply of industrial land will be eliminated in eight years. Gloucester Industrial Estates experiences a similar level of limited supply, after accounting for land encumbered by land use restrictions, which include lands restricted by fragmented PACIFIC LAND RESOURCE GROUP INC. 10

18 ownership (including existing, non-industrial uses), non-industrial designations, and environmental restrictions. 111 acres remain available for development across 21 lots; however, the land is spread across 11 contiguous sections, resulting in small portions of land that are generally unsuitable for logistics users (see figure 11). A 56 acre parcel within the 111 acres remaining has already been subdivided and is in the process of development, further reducing the amount of land available to at least 55 acres. Of the 55 acres potentially available, almost all of the lot sizes are not suitable for the intended users of WABP. GIE remains an industrial area designed for build to suit owner/occupiers. Conversely, WABP is designed for large users requiring acre lots. Based on the current 250 acres per year absorption rate of industrial land in Metro Vancouver and the recent development trend of GIE, it is expected that GIE will be fully built out by 2017 (this is the most recent market data and should supersede any other assessment). Of the current developed land in GIE, approximately 150, , 000 square feet of the total 6.6 million square feet of building inventory is available; this represents a 3% vacancy rate. 6.4 Economic Activity Clusters for Existing CICP Lands WABP will help grow demand for smaller, industrial-designated parcels within the City as support and service sector firms locate or expand to serve the expanded industrial base. Specifically, firms focused on the needs of logistics users will be more inclined to locate in close proximity as users require increased levels of demand for their services. Logistics users cannot afford to be down as they are increasingly becoming part of the e- commerce industry, which relies on just-in-time operations to maximize efficiency and competitiveness. Sophisticated operation systems utilizing conveyors, electronics, and mechanical equipment require specialized personnel to ensure that facility downtime is avoided. Synergies with the Abbotsford International Airport and Gloucester Industrial Estates will support the WABP project in servicing significant employment for Abbotsford, which will translate in multiplier effects for CICP lands and the remainder of the City of Abbotsford. 7.0 ANALYSIS OF SUPPORTING REPORTS A multidisciplinary review of the subject properties has been prepared to determine the implications of the proposed business park. The comprehensive nature of input provided by independent land economist, agrologist, environmental specialist, hydrogeologist, civil engineer, traffic engineer, and planner provides a holistic overview of the issues, their solutions, and benefits of the proposed business park. 7.1 Land Economics Site Economics Ltd. submitted an assessment of the industrial land supply and demand situation in the Lower Mainland and the economic, employment, and taxation impacts of the proposed large scale industrial development in Western Abbotsford (see appendix 4). At the midpoint of 2010, Metro Vancouver had an industrial land inventory of 28,200 acres, an increase of 1,200 acres from In 2005 and 2010, the total amount of vacant industrial land remained at 6,509 acres. Of the 6,509 acres of vacant land, roughly 1,988 acres are not expected to be available for development by 2017, as described by Metro Vancouver s 2012 Industrial Land Inventory. Of the lands available, further research shows that only 2,443 acres are PACIFIC LAND RESOURCE GROUP INC. 11

19 available for development by 2017 (based on findings from NAIOP Vancouver Chapter). A conservative estimate is that approximately 250 acres per year were absorbed by the market. As Metro Vancouver is becoming a greater gateway to Asia Pacific markets, the market absorption could easily exceed 300 acres per year as long as the correct type of vacant, industrial land is available. The largest share of demand for industrial lands is for lands that are suited for container logistics, which is close to the port, intermodal rail yards, and highways. Unless new industrial lands are created, it is estimated that the current supply would be utilized in eight years. The Asia-Pacific Gateway and Corridor Initiative has contributed $1 billion to transportation infrastructure upgrades and along with $3 billion for the Highway 1 Gateway Program to improve the movement of goods and people, demand for industrial land is increasing container volume, which is expected to push the yearly absorption of industrial land to 325 acres by As demand increases, the size of buildings is also increasing to improve efficiency. On average 4.1 million sq.ft. of industrial floor space is created per year, of which 1 million sq.ft. is from buildings that are over 100,000 sq.ft. in size, typically container logistics users. With limited industrial land supply and increasing demand, it is expected that significant demand would exist for the industrial lands created within this project. With Abbotsford s limited amount of non-alr land, there are few opportunities to provide industrial land in the City. The potential supply of lands would likely attract large-scale logistics users who rely on rail and highway access that can facilitate access to the port. Also attracted to the potential supply would be some existing users who seek to expand or consolidate local operations. There is a significant shortage of land located next to multiple forms of transportation infrastructure, including rail. Over half of the demand for Metro Vancouver s industrial land is from logistics and port-related businesses. The subject site s location is ideally situated to attract logistics facilities as lands that are in strategic locations are required by users to improve efficiency and reduce costs. Only when lands of this type are created can the port s facilities expand, according to port users. Currently, of the containers that arrive at the deep-sea port, 70% are transferred to rail that are then routed through one of two intermodal yards (either the CN facility in Surrey or the CPR facility in Pitt Meadows). The anticipated cost of developing the project is set at $400 million over a four-year period, with $50 million of this amount spent on labour. Based on this value, 800 jobs per year would be directly created from the project, for a total of 3,300 job years during the development period. Based on standard multiplier ratios, a further 330 jobs per year would be indirectly created, or 1,300 job years during the development period. When completed, 4,780 permanent, full-time jobs are expected onsite with an average annual salary of $60,000(including benefits, based on hourly wage data from Statistics Canada, refined by Site Economics Ltd.), that would bring in $248 million to the local economy. Once fully built out, the finished value of the development is estimated to be $548 million for land and buildings. Based on current property mill rates and 3,800,000 sq.ft. in building area, $11 million in annual property taxes is estimated to be levied for all taxation authorities, of which $7.5 million would be directed to the City of Abbotsford. Development Cost Charges levied by the City at the time of building permit application is estimated to bring in $18 million based on a total of 300 acres after 10% road dedication and 5% environmental dedication is factored in. PACIFIC LAND RESOURCE GROUP INC. 12

20 7.2 Agrology Pottinger Gaherty Environmental Consultants Ltd. prepared an Agricultural Capability Assessment (see appendix 5) and Agricultural Suitability Assessment (see appendix 6), covering the composition of soils on site and the capability of the site for. The reports are intended to provide an indication of an appropriate use for the site based on onsite and neighbouring property characteristics. Soil samples obtained from the site revealed the presence of Whatcom, Scat, and Nicholson soils, with the majority of the site being of Whatcom and Nicholson soils. Whatcom soils are described as having a very dense, compact subsurface that are not conducive to cultivation. Nicolson soils are generally well-drained, but have portions that do not adequately drain. The soils on site are glaciomarine parent materials which are overlaid by dense, blocky clay near the surface. Overall, the findings are that the site s agricultural capability is limited by dense, sub-surface horizons, uneven topography, excess water, and undesirable soil structure. With a dry, extended summer climate, the Nicholson and Whatcom soils require irrigation to allow for the production of crops as well as drainage to improve the soil moisture levels. Across the site, agricultural capability classes from class 3 to class 5 are present with various subclasses including class A (soil moisture deficiency), T (topography), D (undesirable soil structure), and W (excess water). Agricultural Capability Classes are summarized below: Class 1 land is capable of producing the very widest range of crops. Soil and climate conditions are optimum, resulting in easy management. Class 2 land is capable of producing a wide range of crops. Minor restrictions of soil or climate may reduce capability but pose no major difficulties in management. Class 3 land is capable of producing a fairly wide range of crops under good management practices. Soil and/or climate limitations are somewhat restrictive. Class 4 land is capable of a restricted range of crops. Soil and climate conditions require special management considerations. Class 5 land is capable of production of cultivated perennial forage crops and specially adapted crops. Soil and/or climate conditions severely limit capability. Class 6 land is important in its natural state as grazing land. These lands cannot be cultivated due to soil and/or climate limitations. Class 7 land has no capability for soil bound agriculture. Based on the varying soil conditions, complex sloping topography, the lack of systemic water, and limited drainage options, agricultural uses onsite are limited. The agriculture suitability of the site is further impacted by the majority of land being used for rural residential use and surrounding land uses including Gloucester Industrial Estates, the Southern Railway of British Columbia, and Highway 1 as they affect and limit adjacent agricultural activities as they substantially increase the costs and complexity of agriculture, as well as reduce the suitability from a farmer s perspective. Given the existing, adjacent land uses and the limitations to agricultural, including the poorlystructured soils, uneven topography, and lack of water service, the subject site would be an appropriate area for use as industrial land. This area has a lower agricultural capability than the rest of ALR-designated land in Abbotsford and is the land most suitable for consideration of other uses. The subject properties have a moderate suitability for agriculture compared to the properties to the east. If the project was to proceed, the adjacent rural residences to the east would provide an opportunity to address boundary concerns between agricultural and urban PACIFIC LAND RESOURCE GROUP INC. 13

21 uses. With the two land uses in close proximity, there is an opportunity to enhance agriculture by providing agricultural processing uses within the industrial area. 7.3 Environmental Pacific Land Resource Group Inc. in conjunction with a registered professional wildlife biologist reviewed the site s environmental conditions to prepare a wildlife, watercourse, and vegetation assessment (see appendix 7). The western portion of the site is occupied by an unnamed creek running north-south, classified as a red-coded (Class A ) creek, indicating the presence of salmonids and/or rare or endangered species. Aside from the presence of this creek along the western edge, there are two other portions of the site used as headwaters for Nathan Creek. Ditches are found along perimeter roads that collect all water before discharging into Nathan Creek. Generally the ditches contain little, functional riparian vegetation. Three distinct types of vegetation are noted on the site, including mature forest, saturated areas, and grasslands. General species of vegetation noted includes common cattail in ditches, willow, sedges, and rat-tail. These vegetated areas are possibly used by a variety of red or bluelisted wildlife species including Great Blue Heron, Green Heron, Bam Swallow, Red-Legged Frog, Pacific Water Shrew, Band-tailed Pigeon, Bam Owl, and Western Screech Owl. Various habitat types such as mature forest and grassland habitat were observed which could provide refuge for a variety of listed species. A more detailed wildlife and species-at-risk survey will be a requirement at the rezoning stage. A developable area layout may include additional setback areas and mitigation measures to protect the more valuable habitat components. Possible negotiations to modify setbacks and to create more developable area while protecting stream systems may include the consideration for relocation of the southern portion of the unnamed watercourse in the western section of site due to limited fish habitat values. This portion of the watercourse is a straight, previously-excavated farm channel with limited riparian vegetation, and lack of gravel substrate. A newly-relocated, meandering channel with spawning grounds could be proposed to improve fish habitat thereby increasing the developable area footprint in that area of site. An integrated storm water management concept will be required for the final concept plan to deal with water drainage into Nathan Creek and its associated tributaries. The rezoning stage will require a Stage 1 Environmental Site Investigation be completed on the property prior to the selling or purchasing of land. This report would be performed by an independent environmental consultant, specializing in contaminated site investigation. 7.4 Hydrogeology Levelton Consultants Inc. conducted a review of the hydrogeological conditions to determine how groundwater is impacted by surficial geology (see appendix 8). Generally, groundwater is recharged through the infiltration of precipitation and the migration of groundwater from adjoining aquifers. Infiltration rates vary based on the season, with the highest levels of groundwater seen during later spring and early summer and lowest during late full and early winter. PACIFIC LAND RESOURCE GROUP INC. 14

22 An adequate amount of groundwater exists to support agriculture through the utilization of wells. If industrial development were to proceed, there would likely be no negative impact on groundwater levels provided that local infiltration is utilized as much as possible. Recharge of groundwater will be aided by using on-site bioswales and rain gardens, as well as off-site bioswales to capture storm water run-off to mirror pre-development storm water flows into Nathan Creek. 7.5 Archaeology A review of the archaeological significance of the subject sites was conducted to determine the potential impact of property development on cultural heritage resources. Based on the British Columbia Archaeological Impact Assessment Guidelines, a general overview assessment was performed. This overview examined the potential for the subject properties to contain archaeological resources and any conflicts that may arise between the resources and the proposed development. Multiple sources of information for this overview were reviewed including: an examination of the Provincial Heritage Register; obtaining a Stó:lō Nation archaeology permit; a review of the Stó:lō Research and Resource Management Centre database; an ethnographic and archaeological literature review; and a field inspection. After reviewing the BC Government s records, no archaeological sites were found amongst the subject properties. It will be a requirement that any subject properties with streams and/or minimal deforestation have an archaeological impact assessment conducted prior to the development. Any of the subject properties that have been significantly altered are considered to have low archaeological potential. 7.6 Civil Engineering R.F. Binnie & Associates, Ltd. (Binnie) prepared a report summarizing the drainage, sanitary, and water infrastructure upgrades required to facilitate the proposed development (see appendix 9). Currently, all surface flows originating from the subject properties flow into Nathan Creek tributaries by way of roadside ditches and culverts. In order to maintain the Creek s existing base flows, the proposed drainage system should include on-site storm water detention systems that direct flow into a piped storm system directing water into Nathan Creek tributaries. The goal is to retain the existing catchment area for each tributary, allow rainwater to recharge aquifers, and ensure that peak flows are reduced. Current sanitary infrastructure includes an underutilized sanitary trunk line running from Aldergrove in the Township of Langley to Abbotsford via Simpson Road. This piece of infrastructure can be tapped into by extending a forcemain from Lefeuvre Road at Swensson Avenue along Lefeuvre Road up to Myrtle Avenue. To accommodate topographic restrictions, two lift stations will be required along Lefeuvre Road at Townshipline Road and Myrtle Avenue. With recent improvements to water infrastructure in west Abbotsford during 2006 and 2008, adequate water supply exists to supply the subject properties with sufficient water. Proposed industrial uses are focused on logistics and warehousing and are not likely to be large consumers of water. Concerning off-site works, a water main can be extended from the existing water trunk at Fraser Highway at Bradner Road along Bradner Road to Townshipline Road, and along Townshipline Road to Lefeuvre Road. It is also recommended that a water main loop be constructed along Brander Road from Townshipline Road up to the existing Bradner Reservoir. PACIFIC LAND RESOURCE GROUP INC. 15

23 7.7 Traffic A memorandum (see appendix 10) reviewing short- and long-term considerations of potential interchange options for ingress and egress was prepared by R.F. Binnie & Associates Ltd. (Binnie). No access from Highway 1 to the subject properties exists at this time. As direct highway access is a requirement for this proposal, it is necessary to initially create a right-in/right-out access to Highway 1 at Lefeuvre Road. The preferred option is to realign Highway 1 eastbound lanes and provide right-in/right-out access in the short-term and a full interchange in the long-term. The applicant will cover the cost of constructing the right-in/right-out access. The establishment of a right-in/right-out access to Highway 1 will direct existing westbound traffic originating east of Lefeuvre Road along 56 th Avenue and Townshipline Road, destined for Gloucester Industrial Estates, to Highway 1 instead. It is expected that at the time of completion of the Highway 1 access, westbound trips originating east of Lefeuvre Road along 56 th Avenue and Townshipline Road will be lower as compared to before construction. Based on a Preliminary Traffic Review completed by EBA in 2010 (see appendix 11), Binnie has considered the long term interchange design to incorporate full movements including an overpass. Binnie recommends all ramps have one lane, except for the eastbound to northbound ramp, which should have two lanes. This arrangement will carry over to the future overpass structure, which will be three lanes in width: two northbound lanes and one southbound lane. This arrangement is based on the traffic analysis that estimates 50% of all eastbound to northbound traffic will be heavy vehicles (see attached long-term interchange concept). EBA s Preliminary Traffic Review prepared traffic generation characteristics based on traffic data modeled on Gloucester Industrial Estates. The proposed business park is expected to generate 1,260 vehicular tips in the AM peak hour and 1,630 vehicular trips in the PM peak hour. Up to 80% of these trips are expected to use eastbound or westbound Highway 1. As the closest interchange with Highway 1 at Highway 13 (264 th Street) is operating at close to capacity, short-term improvements to the interchange are recommended; however, this new access at Lefeuvre Road would also serve to reduce traffic pressure on the existing Highway 13 interchange, and the intersection of 264 th Street and 56 th Avenue. In conjunction with the installation of traffic calming to slow down traffic and discourage non-local resident access and the establishment of designated truck travel routes, traffic pressure on the road network will be reduced. Additional demands on the interchanges and the road network will be reduced in part due to the Township of Langley s plan to construct a 272 Street overpass. As discussed in the January 2010 EBA study of Gloucester Industrial Estates (see appendix 12), the intersection closest to the site (275 th Street and 56 th Avenue) is currently under the least amount of traffic pressure and has capacity to absorb further growth. Studied in 2009, in the a.m. peak hour, 340 vehicles travel westbound along 56 th Avenue at 275 th Street, whereas in the p.m. peak hour, 350 vehicles travel eastbound along 56 th Avenue at 275 th Street. As previously mentioned, it is expected that the vast majority of these westbound a.m. peak hour trips will utilize the Lefeuvre Road right-in/right-out Highway 1 access instead of travelling westbound, from the east, along 56 th Avenue. Once the full interchange is completed, the majority of the 350 vehicles travelling eastbound during p.m. peak hour are expected to utilize the Lefeuvre Road interchange rather than 56 th Avenue and Townshipline Road. Somewhat offsetting the need for new road infrastructure is the fact that the new measured traffic volumes for Gloucester, which were done in 2004 and 2009, are approximately 40% less PACIFIC LAND RESOURCE GROUP INC. 16

24 than Institute of Traffic Engineers (ITE) trip generation rates. It is likely that the WABP proposal would be similar to Gloucester Industrial Estates in traffic trips generated. Based on the aforementioned information, these reports help demonstrate that the minimal traffic generated by the proposed WABP, and existing Gloucester Industrial Estates, will be directed west along 56 th Avenue and Townshipline Road, to Highway 1 at 264 th Street, and to Highway 1 at Lefeuvre Road. The proposed improvements have been discussed with staff at the Ministry of Transportation and Infrastructure. They have stated that the interim and ultimate plans at Lefeuvre Road are acceptable in principle. 8.0 PUBLIC CONSULTATION 8.1 Process/Public Engagement As required by section 30(1) of the Agricultural Land Commission Act ( the Act ), notice of the application was provided to the public between May 2012 and July 2012 in the form of: advertising the application on two separate occasions in the Abbotsford Times; serving a signed copy of the application and the notice to all registered property owners in the ALR that share a common boundary with the property under application; posting a sign on the land with an enlarged copy of the notice and application; serving the Township of Langley with a signed copy of the application for land that shared a common boundary with the Township; and submitting proof that all notice requirements have been met to the City of Abbotsford. 8.2 Public Input To increase the amount of public engagement, the City of Abbotsford requested additional public consultation with nearby property owners and residents. The consultation incorporated two public information meetings and one opportunity for public input at a meeting of Abbotsford Council. The first public information meeting occurred on October 22, 2012 at Bradner Community Hall. At the event, approximately 150 people came to view the project displays and information panels. On October 30, 2012, the second public information meeting was held at the Matsqui Recreation Centre. Approximately 75 people attended this meeting and viewed the display boards. Overall, a total of 279 responses were obtained from 276 response forms received during, and after, the two public information meetings (see appendix 13) (including 5 response forms that were received after the preparation of the PIM summary reports included within appendix 13). 90% of these responses (252) were in favour of the project, primarily due to the potential employment opportunities and economic prosperity for the City of Abbotsford. At Abbotsford City Hall on November 19, 2012, the public was provided with an opportunity to speak to City Council concerning the proposal. Overall, of the 65 people who spoke, 32 people were in favour of the proposal, 24 were against the proposal, five had concerns regarding the proposal, and four provided unrelated comments. 8.3 Project Response to Issues Raised During Public Engagement Public feedback to the proposal was disbursed across many areas, with most concerns focused on: 1. increasing traffic; 2. removing land from the ALR; 3. destroying the rural environment; PACIFIC LAND RESOURCE GROUP INC. 17

25 4. creating excess industrial land; 5. negatively impacting the social fabric of Bradner; 6. increasing noise; 7. lower property values; and 8. unsubstantiated employment targets. In response to the feedback received during the public engagement process, the development proposal was modified and further explanation on key areas was developed to respond to the concerns raised. These changes have been incorporated into the report. For reference, the modifications and/or responses were: 1. To ensure that local residents are not impacted by the increase in truck traffic, it is recommended that signs prohibiting trucks will be installed on Townshipline Road and Myrtle Avenue, east of Lefeuvre Road, as well as on 56 th Avenue, east of Baynes Street. These roads will be maintained in their current form to further discourage vehicular traffic while directing new truck and commuter traffic to the new Highway 1 access to be constructed on Highway 1 at Lefeuvure Road; 2. While the land is in the ALR, there is a defined benefit to the community derived from using the land as a business park. More people overall will benefit from a business park than from the highest utilization of the low capability classified soils; 3. The rural environment surrounding the proposed business park will not deteriorate; rather, it will be sustained with the establishment of a firm boundary between urban and rural uses and opportunity for employment. Further, through the formal planning process, environmental features will be permanently protected; 4. There is very little industrial land available in the region as Gloucester Industrial Estates current available supply of 111 acres is expected to be absorbed by Industrial lands created through the CICP plan are impacted by significant environmental and servicing restrictions making large scale development financially unfeasible; 5. The centre of Bradner is 1.6 km away from the proposed business park and physically separated by the Nathan Creek ravine system. No part of the proposed business park will be visible from the centre of Bradner, nor will there be a change to the character of the area outside of the boundaries of the proposed business park area; 6. Through the use of building design, and a landscaped buffer and berm along Lefeuvre Road, along with a buffer on the north and south edge of the proposal, any noise created from land uses and/or vehicles will be absorbed and/or bounced back into the industrial area rather than transferred to the rural area; 7. The presence of the proposed business park will not impact the property values of neighbouring, ALR-designated properties. The values will continue to remain relative to a property that is primarily used for residential uses and is encumbered by the ALR. 9.0 NET BENEFIT TO AGRICULTURE AND ABBOTSFORD The project goal is to create a development proposal that reflects the intentions of the CICP plan to provide employment while continuing to improve agriculture in Abbotsford. The proposal also serves to create economic benefits to residents and the City of Abbotsford. The CICP plan determines an improvement to agriculture, or net benefit, is present if the community as a whole gains, rather than a specific site. Section 10.0 of the CICP plan outlines the following approach to determine if a net benefit is provided: PACIFIC LAND RESOURCE GROUP INC. 18

26 - Establishing defensible agricultural-urban boundaries; - Developing a strategy that creates a vision to enhance agricultural productivity; - Developing a strategy to fund agricultural productivity; and - Making exclusions conditional until the previous requirements are met. To defend against the interactions between urban and agricultural land uses, a suitable buffer is needed to enshrine a firm edge, according to section 10.1 of the CICP plan and Section 3.7 of the RGS. With a set boundary in place, speculation in the ALR will be reduced by creating a vision for where growth should occur. In turn, this helps create certainty for agricultural lands by insisting that no opportunity exists to change the land use. Agricultural lands will be separated from the proposed business park by the installation of a landscaped buffer along the west side of Lefeuvre Road, from the railway to Highway 1 (see figure 9). This buffer is consistent with the FVRD plan (see appendix 13) and will create a soft boundary between the two land uses. The south, west, and north sides of the proposed business park are already buffered by existing land uses, including Highway 1, GIE, and the railway, respectively. However, a landscaped buffer will be provided along the south and north side to enhance the separation of land uses. Enhancing agricultural productivity can occur in many ways, but the most important way is by ensuring that the agricultural resource base is protected, as seen in Section 10.2 of the CICP plan. It is recognized by the Agricultural Advisory Committee that exclusion of lands from the ALR is necessary for long-term sustainability of the city. An application to exclude lands must provide an overall benefit to agriculture. According to Section 10.3 of the CICP plan, at the same time, there must be an appropriate funding mechanism to allow the net benefit to occur. Ensuring that the net benefit is provided is facilitated by Section 10.4 of the CICP plan which makes all ALR exclusions conditional at the time of rezoning until the net benefit requirements are met. Agriculture in Abbotsford will benefit from this development. One of the most important ways to increase agricultural productivity is by funding a $20,000 per acre financial contribution to the Agricultural Enhancement Endowment Fund. With up to 300 acres of potential industrial development in this project, a potential contribution of $6,000,000 is available to the Fund, which is administered by the Abbotsford Community Foundation to help support local agriculture by awarding grants for local agricultural land improvement initiatives. Recent examples include providing $50,000 to the Bakerview EcoDairy to create new learning opportunities for understanding the importance of agriculture in the Abbotsford economy, $39,250 to the University of the Fraser Valley to study sustainable berry growing techniques, and $25,000 to the Abbotsford Farm & Country Market to reposition and rebrand the ACFM. In addition to the financial contribution, there is another opportunity available that can provide a benefit to agriculture. The reclamation of gravel pits presents a significant opportunity to reestablish the agricultural potential of lands currently faced with limited potential, according to Section 2.0 of the RGS. Abbotsford has a number of gravel pits that can be rehabilitated with the help of 40,400m³ of top soil from the development site. The arrival of additional soil will help reinstate these lands into useable lands for agriculture. Another option for the use of top soil is to provide soil for nearby agricultural properties with limiting or uneven terrain to increase the agricultural productivity. Expanding the industrial sector in the City of Abbotsford will have an immense benefit on the local economy during the construction period and beyond. It is expected that $50 million will be spent on labour and an additional $50 million on materials each year during the four-year PACIFIC LAND RESOURCE GROUP INC. 19

27 construction period. During this time 3,300 direct, construction-related jobs will be created. An additional 1,300 indirect jobs plus growth in the service is also expected. Once fully completed, 4,780 new, full-time permanent jobs will be created with an average annual salary of $60,000. Overall $284 million in annual salaries will be coming into the Abbotsford economy as a result of the project. A significant amount of taxes will be levied with this development. At full build out, $11 million in taxes is estimated to be collected annually, with $7.5 million going directly to the City (the remainder going to FVRD, GVRD, BCA, MFA, and School District). WABP is proposed to connect to City of Abbotsford utilities at the cost of the developer. Proposed works include: providing on-site sewage pump stations that will connect via a new forcemain along Lefeuvre Road, south to the existing forcemain at Lefeuvre Road and Swennson Avenue; construction of a water main from existing service at Fraser Highway and Bradner Road to Townshipline Road and Bradner Road; west along Townshipline Road to Lefeuvre Road; and utilization of on-site detention and retention of storm water to minimize impact to downstream watercourses and the Nathan Creek watershed. The following information demonstrates that no additional cost is expected to be placed on Abbotsford taxpayers: DCC contributions - current proposal of 22 properties with 81.9 ha (202.5 ac) after road dedication equals a $14,375,088 DCC contribution, and overall plan of 36 properties with ha ( ac) after road and environmental dedication equals a $18,052,232 DCC contribution; the developer will pay to construct all new roads, sewer and water lines to connect with existing infrastructure; with water supply capacity available for growth, the primarily logistics-related uses will have minimal impact on City resources as these users typically have very low water consumption; and the construction of a right in/right-out access at Highway 1 at Lefeuvre Road at the developer s cost. 9.1 Connection Between Industry and Agriculture Demand for agricultural products is driven by access to markets, both local and foreign. If there is a shortage of local food processors, cold storage transportation and distribution facilities, agricultural producers are not able to produce additional products as they cannot be sold and delivered to markets efficiently. The supply will always rise to address the market demand. North American consumers are demanding food that they know they can trust, which is free of harmful chemicals or contaminants. This type of food is produced in the Fraser Valley. There is a trend toward people seeking food grown within their region (100 mile diet, etc.). Through the development of local facilities, local farm products can be assembled and distributed to local communities. There are a growing number of farm markets and local restaurants featuring locally produced farm products. In addition, foreign interests are also seeking high quality food produced in the Fraser Valley. These markets can only be supplied by efficient distribution facilities that are close to food processors that can package or flash-freeze foods to ensure high nutrition and taste. Examples of these are Atlas Logistics, Cloverdale Cold Storage, Loblaws, Lucerne, VersaCold, Costco, etc. PACIFIC LAND RESOURCE GROUP INC. 20

28 With the creation of more processing and distribution facilities within industrial parks such as West Abbotsford Business Park ( WABP ), demand for local products will increase. This has the potential to encourage a new line of farmers to enter the profession and should result in growth in the local farm industry and provide a positive economic impact within the agricultural community. Existing data shows that Abbotsford agricultural producers are actively trying to find opportunities to expand their reach into global markets. For instance, Abbotsford Growers Cooperative ( AGC ) is a $10-$25 million (in sales) company employing 250 people that sells to national and regional dairy companies as well as bakery and jam manufacturers across 10 countries. AGC is seeking expansion in exporting their products to five more countries. Another example is Golden Valley Foods, an egg production company based in Abbotsford that has 250 employees with $10-25 million in sales per year. Currently they export their farm products to 14 countries and are pursuing 22 additional countries. With the benefit of nearby food processing and distribution facilities, including access to locallybased distributors, these Abbotsford companies have an opportunity to grow their business and in turn, grow the amount of high quality food produced in Abbotsford. In order for the expansion of these exports, modern and efficient distribution facilities are required. At this point in time they do not exist in Abbotsford to the extent required to deal with the growth in exports. WABP will provide the type of facilities to address the growth. Business parks also allow growth of distributors of fertilizers and agricultural processing products to locate near the farm community. For example, Terralink Horticulture is a 45-person firm based in Abbotsford with $25-$50 million in annual sales that provides fertilizers, chemicals, and seeds to local and American farmers. This type of business is essential for efficient farming and relies on warehouses and logistics facilities for distribution. Another example is Vitalus Nutrition, a 220- person firm based in Abbotsford with $10-$25 million in annual sales that provides food and nutritional ingredients to food processors. By having this firm located close to the production of farm products and food processors, companies can sell foods higher in nutrition and increase efficiency of their operations. In each example, agricultural businesses in Abbotsford require logistic facilities, such as those proposed for the WABP, in order to import goods from around the region, country, and globe to their properties and operate effectively. At the same time, logistic facilities near the farm community are necessary to export farm products around the region, country, and globe. As farming expands, the needs of the agricultural community for a wide range of manufactured products will increase. The scope of this need covers everything from building products, farming equipment, vehicles, fencing, irrigation equipment, etc., all of which are manufactured and distributed through logistics facilities. PACIFIC LAND RESOURCE GROUP INC. 21

29

30 FIGURE 1 SUBJECT PROPERTIES EXISTING LAND USES

31

32 FIGURE 2 BRADNER COMMUNITY CONTEXT

33

34 FIGURE 3 CONCEPT PLAN

35

36 FIGURE 4 LOBLAWS CAMPBELL HEIGHTS DISTRIBUTION FACILITY

37 Kilometers The data provided is compiled from various sources and is NOT warranted as to its accuracy or sufficiency by the City of Surrey. This information is provided for information and convenience purposes only. Lot sizes, legal descriptions and encumberances must be confirmed at the Land Title Office. Use and distribution of this map is subject to all copyright and disclaimer notices at cosmos.surrey.ca. Scale: 1: 3,000 Map created on:january-17-13

38 FIGURE 5 PHASING PLAN

39

40 FIGURE 6 TRUCK MOVEMENT

41

42 FIGURE 7 MAJOR INTERSECTION TRUCK MOVEMENT, AT TOWNSHIPLINE ROAD

43

44 FIGURE 8 MAJOR INTERSECTION TRUCK MOVEMENT, AT MYRTLE AVENUE

45

46 FIGURE 9 ALR BUFFER

47 WEST ABBOTSFORD BUSINESS PARK - BUFFER DESIGN Buffer interface design based on: City of Abbotsford s Landscape Buffering Strategy; and Agricultural Land Commission s Guide to Edge Planning. BUFFER WEST ABBOTSFORD BUSINESS PARK GUIDING PRINCIPLES Agricultural Land Commission Several principles provide context for planning along agriculture s interface: 1. The ALR boundary should form the focal point of edge planning; 2. Both sides of the interface must be considered simultaneously; 3. An edge plan must anticipate land use change; and 4. Edge planning techniques must be tailored to meet local conditions. City of Abbotsford Address and reduce conflict issues along the interface between agriculture and urban areas: 1. Trespass of people and pets; 2. Urban light/ noise/ dust/ runoff issues; 3. Urban nuisance complaint issues; and 4. Parking and traffic issues. Agricultural Land Commission Recommended Buffer Items: 1. A total minimum separation distance between the industrial building and ALR of 15 m; 2. The vegetative buffer must reach a finished height of at least 6 m; 3. A mixed deciduous/coniferous planting with foliage from base to crown; 4. The crown density must be 50-75%; and 5. A 2 metre separation distance between the vegetative buffer and ALR boundary. CITY OF ABBOTSFORD BUFFER TYPES Buffers are based on interface conditions between urban land use, agricultural land use, and edge condition. They are site-specific. The following three buffer examples will provide the base for designing the different interface solutions between the proposed industrial uses and the ALR. WEST ABBOTSFORD BUSINESS PARK COMMITMENT BUFFER EXAMPLES 1. Work with the Agricultural Land Commission to create a detailed buffer plan that defines a hard edge of the ALR boundary; 2. Engage with the City of Abbotsford to undertake an Agricultural Development Permit to regulate the design, form, installation, and maintenance of the buffer; and 3. Work with the City of Abbotsford to create building design elements that will promote compatibility (e.g. road layout, location of industrial activities, separation distances, rainwater management).

48 FIGURE 10 DESIGN GUIDELINES

49