Southgate eyes expansion east of Hwy. 10 and will follow up with Melancthon

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Southgate council agreed on Oct. 20 to talk to its neighbour about Dundalk growing to the east into Melancthon Township.

Flato Developments, the most prominent builder in the rapidly-growing town, owns 250 acres of land east of Hwy. 10, the staff report said.

The company wants to develop the land into both residential and commercial and industrial projects.

In addition, council authorized staff to talk to Flato about developing the Eco Park Phase II commercial and industrial lands. That was approved on Nov. 3 with a development agreement to be brought back.

The company has already been talking to representatives at Melancthon about the need to service the land and for an agreement with Southgate.

Melancthon Mayor Darren White said he was aware of the Flato land purchase and he and staff have reached out to Southgate for a discussion to find out more about its plans.

Southgate council heard that the next steps will be meetings with staff and Mayors along with Flato with advice from the Ministry of Municipal Affairs.

Annexations are carefully negotiated with terms that may flow over a period of 10 years to final transer, the CAO said.

At the same time, Flato is no longer interested in the 20 acres on which it had previously put in a now-lapsed offer in the Eco-Park. That land is not suited for residential development from the township planning perspective, CAO Dave Milliner explained.

He added that there are buyers “lined up” for the Eco-Park lands.

The expansion into Melancthon was also tied to the potential development of Eco-Park Phase II, the report said. Council heard a presentation from a commercial-industrial real estate brokerage about the township Hwy. 10 lands at its last council meeting.

Mr. Milliner and EDO Terri Milliner have been talking about that proposal in light of a desire for Southgate “having a say in who we are locating” especially on the Hwy. 10 commercial part of the property, the report said.

In fact, on Nov. 3 Flato will be making its own presentation to council on future development.

A staff report will follow that will recommend the best of the two options for Southgate.

And already the direction is mapped out for discussion with Flato on:

- the price of the Hwy. 10 lands,

- cost-sharing of services,

- finding of appropriate businesses,

- developing an industrial land development plan with Flato,

- an affordable housing project south of Flato East.

Southgate would also develop its own plan to keep some industrial land in Phase II and some additional abutting lands in Phase I to sell for development.

M.T. Fernandes, Local Journalism Initiative Reporter, Dundalk Herald

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