Construction of the new Community Hub in downtown Chatham is now projected to cost less than initially expected.
Following a competitive procurement process, the Municipality of Chatham-Kent is recommending that Fortis Construction Group Inc. lead the construction of the Chatham-Kent Community Hub project, which would consolidate the current Civic Centre, the Chatham library and CK Museum into the former Sears building in downtown Chatham.
CK Administration is recommending that council approve the $39,280,323 tender bid submitted by the Tecumseh-based contractor, which includes an HST rebate. The tender comes in under the previously projected construction budget of $42,920,000, and also includes significant contingency funds to budget for the unexpected.
“We’re committed to ensuring this project proceeds in a financially responsible manner, so seeing the recommended bid come in under budget is extremely exciting,” said Mayor Darrin Canniff in a news release. “This project is one of the most significant investments in our community’s future, and it’s something we’ve [been] saving for for many years.”
The total budget for the project remains at $52.8 million, which includes the purchase of the former Sears building, construction costs, consulting services, furniture, and relocation costs. The budget also includes contingencies to account for potential tariff impacts.
Municipal administration has emphasized that the Community Hub project will have absolutely no impact on property taxes. The current budget plan shows that the Hub will be fully funded through existing municipal infrastructure reserves, which have been accumulating over the past 10 years, and a 20-year debenture. The sale of the current Civic Centre and library buildings for an assessed value of $9.356 million would also provide additional funding.
Should CK Council award the tender, construction is expected to begin in December with completion anticipated in early 2028. Administration’s recommendation will be presented to council on October 20.