For immediate release
Ottawa, Ontario, December 17, 2010 – The Honourable Rona Ambrose, Minister of Public Works and Government Services and Minister for Status of Women and the Honourable Peter MacKay, Minister of National Defence, today announced that the Government of Canada has acquired a new property in Ottawa that will accommodate a significant portion of the Department of National Defence (DND) operations in the National Capital Region.
The site at 3500 Carling Avenue will provide DND with 207,000 square metres of space with 12 buildings in great condition. Consolidating a significant portion of DND’s operations in one campus environment has been an important consideration under the Department of National Defence’s long-term strategic plan.
“The Government of Canada is committed to meeting the requirements of the Department of National Defence, and ensuring its facilities are the best possible to defend Canada and Canadian interests for generations to come,” said Minister Ambrose. “This one-campus environment will help achieve this objective, and is a fiscally prudent option as it will reduce operational and accommodation costs, and ultimately yield savings for Canadian taxpayers.”
“This Government is proud to provide the Department of National Defence and the Canadian Forces with a new, modern home here in Ottawa,” said the Honourable Peter MacKay, Minister of National Defence. “Our Government’s decision to house a large portion of the capital region’s defence community at one location is a major step forward in strengthening the entire defence team while reducing costs, strengthening departmental security and helping us to work more effectively and efficiently.”
The acquisition of the Carling Campus also demonstrates the Government’s commitment to sustainable development. Public Works and Government Services Canada and DND will be working together closely to adapt the existing facility to DND’s purposes with the minimal use of new resources, thereby reducing the government’s impact on the environment.
A third-party consulting firm completed a review of the contemplated purchase and confirmed that the acquisition represented considerable value for money for Canada.
The campus will allow consolidation from existing space in Ottawa, and therefore will not reduce Gatineau’s proportion of office space in the National Capital Area. The Government of Canada remains committed to maintaining the 75:25 office space distribution target, which it is achieving through three new office tower projects for the government in Gatineau, announced earlier this year.
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Rebecca Thompson
Office of the Honourable Rona Ambrose
819-956-9549
Media Relations
Public Works and Government Services Canada
819-956-2315
PWGSC news releases are also available on our Internet site at http://www.tpsgc-pwgsc.gc.ca/medias-media/index-eng.html.
Background
Finding a location in which to consolidate the majority of the Department of National Defence’s employees—currently working in 48 locations across the National Capital Area—has been a top priority for both PWGSC and DND. The Carling Campus not only meets DND’s requirements, PWGSC and private-sector analysis and studies have demonstrated that its purchase represents excellent value for money for Canadians. It will enable the government to realize significant savings compared to continuing to accommodate DND in numerous existing facilities.
Steps leading up to the acquisition
On December 15, 2008, PWGSC issued a Request for Information (RFI) to determine the availability of office space and/or development land to meet the needs of various departments. The RFI included a requirement for capacity up to 265,000 rentable square metres of office space for the Department of National Defence.
Eleven proposals were received for this specific requirement, including one involving Nortel Network Corporation’s Carling Campus. PWGSC and DND jointly reviewed the eight compliant proposals. Nortel's Carling Campus was the highest ranked proposal—no other site offered the immediate capacity, the full security capabilities or the existing municipal infrastructure that the Carling Campus offered which will ensure the safety of our men and women in uniform and Canadians alike.
In July 2010, Nortel Networks Corporation invited PWGSC to participate in a competitive process for the Carling Campus. Based on the excellent results of the RFI, PWGSC accepted the invitation to participate and was ultimately successful.
PWGSC has undertaken various analyses and studies as part of its due diligence process. For instance, the department engaged a third-party engineering firm to assess the condition of the buildings, systems, elevators and campus infrastructure. The firm reported that these elements have been very well maintained and are in above-average condition for their age and type. In addition, a third-party firm was engaged to assess the overall opportunity; they reported that it was in the best interest of PWGSC to pursue acquiring the Nortel Carling Campus. Overall, all studies and analyses undertaken to date confirm that this purchase represents considerable value for money for Canadians—it is a unique opportunity.
Next steps
Over the next five to seven years, PWGSC will be fitting up the property (e.g., converting labs to office space, installing security systems) and DND employees will be moving in in phases, as the work is completed. PWGSC and DND will finalize the project details and schedule in the coming months.
Information on the property and purchase
Address: 3500 Carling Avenue (at Moodie Drive)
Number of buildings: 12
Size: approximately 207,000 square metres
Land: approximately 28 hectares owned by Nortel and 120 hectares leased from the National Capital Commission
Purchase price: $208 million