More than $250,000 needed to knock down Penticton bus depot, put up a parking lot

PENTICTON – Penticton City Council will be asked to approve more than $250,000 to demolish the recently purchased Greyhound bus depot on Ellis Street.

City staff are recommending council approve a $280,000 to knock down the building at its meeting on Tuesday, Feb. 5.

The city purchased the property, located at 303, 307, 313, 317 and 319 Ellis Street, for $1,200,000 last December.

A recent hazardous building material assessment conducted on the approximately 50-year-old building revealed a number of hazardous substances in the building materials that will require removal prior to demolition taking place.

Estimated demolition costs are $150,000, with plans to demolish the building set for March or April of this year.

The city considers the property a long term investment, with an estimated 5 to 10 years before new development occurs on the property. In the meantime, a 55-stall parking lot will be established, which is estimated will generate $40,000 annually to the city.

The staff report before council noted other short-term options for the property were discussed, including such things as a transit exchange, but after assessing the cost to renovate the building the parking lot concept was deemed to have the best short-term benefit as well as providing future flexibility.

Staff will also be asking council in the coming weeks for a variance to the city’s zoning bylaw requiring enhanced standards for the construction of new parking lots, given the short term duration of the property as a parking area. Staff say the parking lot design will remain attractive, nonetheless.

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