The City of Langford is considering the potential purchase of the Westhills YW/YMCA Langford Aquatic Centre building and its parking lot, for the price of $35 million.
At a meeting on Monday (Nov. 4), councillors were told purchasing the building could save the city $10.2 million over the next 17 years, the remainder of the YW/YMCA’s service agreement, by eliminating annual subsidies paid by the council helping keep the business afloat.
According to Colliers Project Leaders, the savings could potentially grow to an estimated $121 million over the next 42 years – the expected lifespan of the building.
The offer of purchase by owners of the building, Westhills, has been made as the YW/YMCA is expected to be unable to cover an estimated $14.8 million for "lifecycle costs" over the next 17 years.
The organization has “not budgeted” for the ongoing costs to maintain the building, said Matthew Douglas, senior manager at Colliers Project Leaders, at the meeting.
As the YW/YMCA’s "financial guarantor”, the city would be liable for the $14.8 million, if the organization fails to pay.
This would be in addition to the city’s annual contribution of $1.9 million to the YW/YMCA, which was doubled in February 2023 from $950,000, after the service provider said it was weeks away from closing its doors, blaming a loss of over $10 million since the centre opened in 2016.
“The elimination of an annual subsidy, which I refer to as the $1.9 million, can potentially result in a significant long-term savings for the city,” said Douglas, speaking about some of the benefits to the city.
Interest on a $20 million loan from the Municipal Finance Authority of BC for the purchase, which has been approved in principle, would push the total cost to $37.5 million.
To cover the $37.5 million price tag, councillors were told an annual property tax increase of 1.75 per cent from 2025 to 2028 would be needed.
The offer to purchase the building expires on Dec. 17. If the city agrees to proceed, the purchase would be finalized on April 1, 2025.
The news received a mixed reaction from local residents, with some welcoming the transparency of the report, and others concerned Langford taxpayers would be footing the bill for a service accessed by people across the West Shore.
“I don't think as a taxpayer of Langford, we should have to be paying for all of it,” said Wendy Hobbs, who explained she had previously suggested the city partner with West Shore Parks and Recreation to run the centre. “To me, that's the most fiscally responsible thing.”
“There are some people that will never use that facility in their life, they're gonna be paying for it.”
Other locals questioned the feasibility of the YW/YMCA continuing to operate the centre, pointing to the city’s $1.9 million subsidy, which almost covers their annual rent.
“If they can't make that work when they've got their rent covered 100 per cent, then I think there's some questions there,” said Mike Wignall. “It really seems to me that there's no incentive for the ‘Y’ to make it work, there doesn't seem to be a huge penalty for the ‘Y’ to crash and burn.”
The public will have the opportunity to have their say about the potential purchase at a meeting on Nov. 18. Councillors will deliberate the proposal at a meeting on Dec. 2.
More information can be found on the city’s website: https://letschatlangford.ca/YMCA.
