Changes in zoning and market conditions led to the expiration of a Medicine Hat Arena deal between the City of Medicine Hat and NewRock Developments. (CHAT News File Photo)

By Brian Konrad

Deal was first made public in 2019

Sale of Medicine Hat Arena falls through

Jan 17, 2023 | 10:31 AM

MEDICINE HAT, AB — Nearly three and a half years after it was first announced, a deal to sell the former Medicine Hat Arena property to NewRock Developments has fallen through.

In a release, the City of Medicine Hat says the purchase contract expired and the parties agreed to discontinue further negotiations.

Several changes happened since the contract was signed in 2019, including an updated Municipal Development Plan in 2020 that changed the zoning for the property.

Ultimately, the rezoning and changes in market conditions, inflationary pressures, rising interest rates and unproven market demand, made the feasibility of the developed dubbed “Alto on Ash Avenue” uncertain.

“Today is a different day than when the contract was first signed. The passage of time, changing economic conditions, and evolving long-term city interests have created a scenario where a reset is prudent,” said Rochelle Pancoast, managing director of strategic management and analysis with the City of Medicine Hat, says in the release.

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City staff will work on a new proposal for the arena lands and the city says it would welcome NewRock and other interested parties to the table on any future marketing efforts related to the site.

A new proposal could be in front of city council by the second quarter of this year.