Plans for Golden Leisure Lodge expansion contingent on provincial support

PONOKA -- A possible expansion project at Golden Leisure Lodge in Ponoka will require provincial funding support in order to move forward, according to the Rimoka Housing Foundation.

This comes as plans to upgrade the seniors' lodge have been discussed for several years, with the foundation looking to add a total of 25 new self-contained units on the north end of the building. However, Chief Administrative Officer Lorne Fundytus says that whether or not the project goes ahead will be contingent on provincial funding.

"The grant funding is critical in making the numbers work," said Fundytus. "With CMHC, you get below prime rate lending -- but to go to private banking that has typical commercial lending rates, now you're paying higher rates which drives the per unit debt cost up quite a bit."

Discussions relating to Golden Leisure Lodge have been ongoing since 2018, when the Rimoka Housing Foundation leased land from Wolf Creek Public Schools to provide enough room for future development. The conversation to start down the path of investigating affordable seniors lodge development didn't start until 2023. This also included talks around a possible full replacement of the building, which was later determined to be too costly to pursue.

"We have a proposed addition on the building of 25 units and we're in a bit of a holding pattern, because it's all hinging on government grants and government funding," said Fundytus. "The cost to build is just so high, and to try to keep it affordable, it's very difficult to try to marry those two ideas together."

Plans for the proposed project are still in the very early stages as the Rimoka Housing Foundation is currently working with municipalities, government, and private industry, while waiting on a decision from the provincial government. Fundytus says he expected a decision to be made on whether the funding will come through later this year.

"They're suggesting that the priority list that they're creating will probably be publicly released in the fall," said Fundytus in conversation with 89.7 The One.

The 25-unit expansion at Golden Leisure Lodge is currently expected to cost $9.5 million. The final cost of the project could change as construction costs continue to escalate over time. Each unit is proposed to be 550 sq ft. If provincial support isn't received, the overall scope of the proposed project could be sent back to the drawing board.

Fundytus says the project would help the region meet the demand of its aging seniors' population by providing accessible housing options. A new sanitary line and water supply lines will also be required at the property if the expansion project moves forward as is.