School board decision to leave Atlantic Place will save big bucks, says Darrin Pike

A decision by theNewfoundland and Labrador English School District to vacate office space at Atlantic Place in downtown St. John's will mean big savings, says CEO/director of education Darrin Pike.

Pike confirmed Wednesday thatroughly 115 board employees will be dispersed to three different locations in the city in the coming months, saving the provincial government nearly $1 million.

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The district conference centre on Strawberry Marsh Road and what's known as the district school on St. Clare's Avenue will become the new place-of-work for some employees as early as July 1.

Both sites are board-owned.

A third site is still being finalized for the remaining staff, including those who operate the board's information technology centre, Pike explained.

"Obviously it's about being fiscally responsible," Pike told CBC News.

The move is expected to be completed by the end of 2016, he added.

"We'll spread ourselvesout. Obviously the net benefit will be the savings," he said.

The district occupies nearly 23,000 square feet of space on the sixth and seventh floorsat Atlantic Place, paying $1.1 million annually in rent.

By moving into board-owned premises, Pike says most of that money will be saved.

The Atlantic Placelease expires at the end of May, and Pike said the board will rent space on a month-to-month basis after that.

The cost of rent has increasedsignificantly since school board offices wereestablished in Atlantic Place 20 years ago.

The move is not surprising, with the new Liberal government asking all departments, agencies, boards and Crowncorporations to identify 30 per cent in savings over the next three years.

Pike also confirmed that a regional office,currently located in rented space on Wellington Streetin Corner Brook,will alsomoved when itslease expires.

Regional offices in Gander and Happy Valley-Goose Bay are already operated out ofboard-owned facilities.