New Tiering and Securities Framework revisions for 2020
The City is making it easier for proven developers to further invest in Calgary.
Changes to The City’s Tiering and Securities (T&S) system ensures right-sized risk management approach, with adequate security for development while also reducing barriers to market entry for new developers. Money freed through lower security requirements, provides developers with more working capital to invest in projects.
Developed through discussions between City staff, BILD Calgary Region representatives and industry volunteers, the changes include the following:
•A revised tier system, with new criteria determining a developer’s tiering.
•Reduced security amounts for companies meeting criteria.
•Timing of the security reduction (at each CCC) and securing the off-site obligations.
•Change in former three-tier numbered system to a five-tier letter system that more precisely reflects a developer’s track record in meeting project requirements.
•Ability for upward movement in tier system based on performance.
The Tiering and Securities recommendations are included in their entirety in the 2020 Terms and Conditions – Development Agreement.
For the Industry Bulletin released by The City, click here.