Ottawa Construction News staff writer
A major mixed-use development at the intersection of Gladstone and Loretta avenues in Ottawa is set to move forward after the City of Ottawa and CLV Group reached a settlement regarding a dispute over development fees and policy changes.
The agreement resolves a period of uncertainty for the project, which CLV Group had previously indicated could be in jeopardy following shifts in municipal policy. The settlement allows the developer to proceed with the high-rise project, which is positioned as a transit-oriented hub near the Trillium transit line and the new $2.4-billion Ottawa Hospital.
Central to the development is the preservation of the Standard Bread Building. Built in 1924, the heritage brick-clad concrete structure will be integrated into the new site and adapted for use as a “cultural hub,” featuring creative spaces for local artists.
The project site at 951 Gladstone Ave. and 145 Loretta Ave. N. is located near the boundaries of Hintonburg and Little Italy. The development plan includes high-rise residential towers and commercial space, designed to take advantage of the adjacent multi-use pathways and proximity to light rail transit.
City officials and representatives from CLV Group reached the agreement following discussions aimed at balancing growth-related infrastructure costs with the need for new housing inventory. While specific financial terms of the fee adjustment were not disclosed in the immediate settlement announcement, the deal ensures the project meets the city’s requirements for development charges while maintaining the developer’s economic viability for the site.
The Gladstone and Loretta development is part of a broader surge in construction activity in the area, including the nearby Gladstone Village subdivision by Ottawa Community Housing, which aims to add up to 1,100 residential units to the corridor.
CLV Group, led by chief executive Mike McGahan, has been active in the Ottawa market with several high-profile conversions and new builds. The company recently noted that policy refinements regarding the timing of development charge payments—which are now largely payable at the time of occupancy rather than building permit issuance for certain residential developments—have impacted the financial modeling of large-scale projects.
Construction timelines for the Gladstone and Loretta project are expected to be updated following the finalized agreement, with the site serving as a key piece of the city’s intensification strategy along major transit arteries.
