Sundre Renews Fire Hall Space Lease with Alberta Health Services

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The agreement between the City of Sundre and Alberta Health Services has been extended three times over the years since the first agreement was signed in 2010

SUNDRE — Alberta Health Services (AHS) will continue to have a home at the Sundre Fire Department Fire Hall following a council decision to support an extension to a lease agreement.

In July 2010, the municipality first entered into an agreement with AHS to lease 3,149 square feet of space at the Sundre Fire Hall, located at 112 – 1st Street NW, to enable the provision of fire service operations community emergency management.

Since then, the lease has been extended three times, with the latest expiration scheduled for July 31. AHS had submitted a request to the municipality to renew the lease agreement for an additional five years, reads some of the background information outlined in the council agenda for the June 13 meeting.

Chris Albert, director of corporate services, told the board that the arrangement provides AHS with a few bays, offices and training spaces as well as a rest or nap room for crews.

“They (AHS) recognize that we have no obligation to extend the lease, but they sent a request asking us to extend it,” Albert said.

“They were very good tenants. It’s a great working relationship they seem to have with the fire department – ​​it works pretty well having them there. Thus, the administration thinks it is worth extending the lease with them.

The lease stipulates that the municipality will charge market rates, he said, adding that the administration will determine this amount.

Com. Chris Vardas asked how the market value of rentals is determined.

The administration responded that the municipality’s economic development officer collects this kind of information for local real estate agents.

“And for the five-year term, we’ll fix it with kind of a gradual increase,” Albert said.

Mayor Richard Warnock asked more specifically what those increases might be.

“As we have done previously, we will incorporate a two or three percent increase – so, a cost-of-living increase into their rental rate,” Albert said.

The lease is all-inclusive, he said, adding that the tenant pays the rent while the municipality takes care of all other costs.

“Taxes, repairs, heating – we are responsible for the whole building,” he said.

Council proceeds to the adoption of a motion supporting the five-year extension of the lease from August 1, 2022 to July 31, 2027.

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