May 28, 1997

Ville Marie dream scheme

by Sheila McGovern, The Gazette

The Caisse de Dépôt et Placements du Québec has a dream a $500-million dream.

The province's giant pension-fund manager wants the area around Montreal's Palais des Congrès now a mix of the bright and the bleak turned into one cohesive, people-friendly place.

It wants the convention centre expanded, green spaces added and the Ville Marie expressway enclosed and out of sight.

The Caisse had its real-estate division draw up a master plan for the area, and now will knock on the doors of city hall, other levels of government and private companies that own buildings or land in the area, trying to convince them all to participate in a revitalization scheme.

The area in question is supposed to be Montreal's international quarter. It's bounded, roughly, by St. Urbain St. to the east, University St. to the west, René Lévesque Blvd. to the north and St. Paul St. to the south. It is home to some classy buildings, such as the World Trade Centre, the International Civil Aviation Organization, the stock exchange and the Palais des Congrès.

But it also is home to parking lots, seedy buildings and vacant land. Jean-Claude Scraire, chairman of the Caisse, said the Ville Marie expressway cuts a swath through the whole area, creating a physical and psychological divide, along with noise and pollution.

As a whole, the area is forbidding, when it is supposed to be welcoming to international business, tourists and convention-goers, he said.

Scraire defended the Caisse's leading role in trying to kick-start a renovation program, saying that the fund is supposed to encourage economic development.

He said this proposal could lead to investments of $500 million initially and $1 billion in the medium term.

The Caisse also owns part of a number of buildings in the area. Clément Demers, head of the Caisse's real-estate division, said the fund owns a share of the World Trade Centre, Place Victoria, and the Raddison and Inter-Continental hotels.

The most expensive and likely most controversial item in the Caisse's dream scheme is a $130-million expansion of the Palais des Congrès, which is owned by the Quebec government.

There seems to be a consensus that the existing centre is too small to house large conventions, which are now accompanied by even larger trade shows. However, opinion is divided on the solution. Some favour expanding the existing centre, others argue the centre is in the wrong location and it would be wiser to expand the convention facilities at Place Bonaventure, which is closer to many of the hotels.

Scraire said the Caisse wants to build on what the area already has, not try to reinvent the wheel. It would see the centre expanded west to de Bleury St. and down to St. Antoine St., taking over the block that now houses, for example, the Bureau en Gros office-supplies store.

He said the cash-strapped provincial government could line up private financing for the project.

Louise Sansregret, a spokesman for the city of Montreal, said it hasn't taken sides in the convention-centre debate, and is willing to listen to anyone who wants to revitalize the city.

However, governments will be called upon to come up with cash, as well. The $53 million needed to add green spaces and enclose the Ville Marie likely would come from public coffers, Scraire said, but if all the players can get their act together quickly they might be able to get funds from the federal government's current infrastructure program, which expires at the end of 1998.

The green spaces are intended to make the area more walkable and provide natural links to Old Montreal, the Musée d'Art Contemporain and Place des Arts to the northeast and the commercial and financial district to the northwest. Improvements such as widening sidewalks and planting trees would be made to University, de Bleury, St. Antoine and the streets around Chinatown. Victoria Square would be returned to its original state as a green space.

Parking lots, vacant lots or old buildings would be replaced by new buildings averaging 12 floors, a conference centre and eventually another hotel. Demers insisted the area can absorb that much additional office space, if it's of good quality.

Renée Daoust, one of the architects who drew up the proposal, said the new buildings also would have parking facilities underneath and eliminate the need for street lots.

Scraire said the project would take four or five years, and he insisted it's not a pipe dream. He said he does not believe that Montreal's economy is stagnating. He insists it is recovering and such a project would help spur growth.

Richard Hylands, senior vice-president of Westcliff Inc., which recently build the ICAO building at the corner of University and St. Antoine and plans to develop the adjacent property, said his company has valuable assets in the area and he would be willing to take a look at a proposal to enhance the neighbourhood.

The Caisse also will be approaching companies such as Canadian National Railway Co. and Bell Canada.

Spokesmen for those companies were not available for comment.