East Village groundbreaking puts Calgary closer to car-free living, says Nenshi

Car-free living in the downtown core is that much closer to becoming a realitywith thegroundbreaking of a major redevelopment inthe East Village, says Calgary's mayor.

Construction officially began Wednesday on a project that is slated to bringtworesidential towers and 188,000 square feet of retail space to the block located atFifth Avenue betweenThird and Fourth Street S.E.

• Calgary's East Village plan ahead of schedule
• Cecil Hotel site to become a parking lot

Calgary Mayor Naheed Nenshi said the mixed-use modelwhich will buildaLoblaws grocery store directly into a 500 unitcondo residential hub will finally make pedestrian living feasible in the downtown core.

"The fact that we are getting a grocery store and other big retailers to be announced here means that people can really start living without a car," he said.

"This is a really big deal."

'The perfect time' to invest

The neighbourhood redevelopment is expected to inject $500 million into the local economy.

It is ajoint effort betweencommercial real estate giantRioCanand residential developer EmbassyBOSA.

RioCan founder and CEO Edward Sonshine said many have questioned whether building a $200-million project in Calgary in the middle of a downturn is a wise business move.

But Sonshine expressed confidence that the city would rebound from its economic slump, and said the higher-than-normal availability of skilled tradespeople coupled with low interest rates makes this "the perfect time" to invest.

"The cure for low oil prices is low oil prices. They've been low for longer than anybody expected. They'll go up again," he said.

"In any event, Calgary will figure it out. They always do."