The Edmonton Oilers played their last game at Rexall Place. The night was a sombre and celebratory evening filled with guest appearances, nostalgia and, of course, a hockey game. But with the big move comes a ripple effect through the whole city.
Dubbed Ice District, the area around the new Rogers Centre in downtown Edmonton has been helping the city manage the economic impact. Plenty of new buildings and projects are happening and, according to experts, nearly every industry and sector of the economy is poised to benefit, including the Edmonton real estate market.
Last week, the Real Estate Investment Network (REIN) published The Impact of Stadium Construction on Real Estate Values, a report that looks at the impact the Oilers’ new home is set to have on Edmonton’s real estate. Filled with good news and bad news, it speculates on what the future of Edmonton will look like once Ice District is in full swing.
One of the first topics covered in the report is how the new stadium will affect the surrounding area’s housing prices. The researchers estimate the the impact will be felt most in a five kilometre radius around the stadium, with the expectation that property values will increase. The rest of the city, however, may experience in part a devaluation. The increase in property taxes required to help pay for the stadium may show up in listing prices, especially as housing prices remain stable or only increase in value slightly.
Homes in the area immediately around the stadium will likely see an increase in value, but those right next door could see a slight negative effect due to expected increases in noise and foot traffic on game days. However, depending on the services available with the property, including parking and expected congestion, prices could be expected to increase.
Since the Stadium remains slightly out of the way from key economic centres, like the downtown and its now-remote proximity to the LRT, the positive impact may not be as immediate or large as other stadiums in downtown cores. This may change, however, when the line next to the stadium features fewer problems.
Overall, researchers and experts at the Real Estate Investment Network are optimistic about the impact Rogers Centre and Ice District will have on the community, especially nearby. In a city that faces some problems in many sectors, the money and value brought in by the new stadium is poised to keep Edmonton in better shape than much of the province.