February 11, 2022

City of Edmonton
Hangar 14
Investment Study
Table of Contents
1.0 Introduction.................................................................................. 01
1.1 Terms of Reference.........................................................................................01
Project Scope...................................................................................................02
Heritage Statement of Significance...........................................................03
Current Heritage Recognition and Terms of Reference.......................04
Heritage Standards & Guideline................................................................04
Character Defining Elements.......................................................................05
Energy and Emissions: Analysis..................................................................05
2.0 Executive Summary...................................................................... 07
1.1 Synopsis and Outcomes................................................................................07
Option Outcomes............................................................................................07
3.0 Findings Analysis, and Conclusions............................................ 11
3.1 Examination & Validation of 2017 Reports..............................................11
Methodology and Approach.......................................................................11
Heritage: Conserve and Sustain.................................................................11
Conservation Objectives...............................................................................11
Objectives of Conservation Include...........................................................12
Windows and Wall/Roof Assemblies........................................................12
Hangar Roof Assemblies..............................................................................12
Hangar Doors..................................................................................................12
Mechanical Systems.......................................................................................12
Energy and Emissions: Base Case.............................................................12
3.2 Option 1a: 20 Year Rehabilitation..............................................................13
Opportunities & Constraints.........................................................................13
Heritage: Conserve and Sustain.................................................................13
Building systems: Envelope & Interiors......................................................14
Building systems: Structural..........................................................................14
Building systems: Mechanical......................................................................15
Building systems: Electrical...........................................................................17
Energy & Emissions: Baseline Energy Performance..............................18
3.3 Option 1b: 20 Year Rehabilitation with 50% GHG Reductions...........19
Opportunities & Constraints.........................................................................19
Heritage: Conserve and Sustain.................................................................19
Building systems: Envelope & Interiors......................................................23
Building systems: Structural..........................................................................23
Building systems: Mechanical......................................................................24
Building systems: Electrical...........................................................................25
Energy and Emissions: 50% GHG Reduction...........................................26
3.4 Option 2a: 40 Year Rehabilitation..............................................................27
Opportunities & Constraints: Synthesis......................................................27
Heritage: Goals and Impacts......................................................................27
Building systems: Envelope & Interiors......................................................27
Building systems: Structural..........................................................................28
Building systems: Mechanical......................................................................29
Building systems: Electrical...........................................................................29
Energy & Emissions.........................................................................................30
3.5 Option 2b: 40 Year Rehabilitation with 50% GHG Reductions...........31
Opportunities & Constraints: Synthesis......................................................31
Heritage: Conserve and Sustain.................................................................31
Building systems: Envelope & Interiors......................................................32
Building systems: Structural..........................................................................32
Building systems: Mechanical......................................................................33
Building systems: Electrical...........................................................................33
Energy & Emissions: Path to Net Zero.......................................................34
3.6 Option 3: New Zero Emissions Warehouse.............................................35
Opportunities & Constraints.........................................................................33
Building systems: Outline Specification.....................................................38
Building systems: Structural..........................................................................39
Building systems: Mechanical......................................................................40
Building systems: Electrical...........................................................................40
Energy & Emissions: Net-Zero Ready.........................................................40
Table of Contents

4.0 Recommendations & Cost Estimates........................................... 43 Appendices........................................................................................ 61

4.1 Comparative Executive Summary...............................................................45 Energy Model..........................................................................................................62
4.2 Table 3 Option Summary..............................................................................46 Cost Report..............................................................................................................67
4.3 Option 3: Project Total...................................................................................48 Value Appraisal......................................................................................................138
4.4 Option 3: 2-Storey Office Component.......................................................49
4.5 Option 3: Warehouse.....................................................................................50
4.6 Option 3: Site Development.........................................................................51
4.7 Discounted Cashflow Summary...................................................................52
4.8 Maintenance and Operations Cost Summary........................................54

5.0 Value (Appraisal) Additions ....................................................... 57

5.1 Market Value Estimates.................................................................................57
5.2 Property Description.......................................................................................58
5.3 Economic Summary........................................................................................59
5.4 SWOT Analysis.................................................................................................60
1.0 Introduction

1.1 Terms of Reference

The following Investment Study was requested by the City of Edmonton
to provide them with four options for the rehabilitation of the existing
Hangar 14 building as well as a full replacement option utilizing
a building of similar size and program. Each option reviewed and
recommendations made are to encompass 20- and 40-year lifecycle
periods with two of the rehabilitation scenarios and the replacement
option configured to achieve 50 and 100 percent greenhouse gas
emissions reductions.

The objective of this investment study is to analyze various life cycle

alternatives to provide the best value to the City in both rehabilitation
and functionality, with the ultimate aim of providing an adaptable
roadmap for future investment. Comparative options have been
produced throughout the project in order to understand the total costs
of investment scenarios that would be required for rehabilitating,
operating and maintaining the existing and theoretical new replacement
facility. Greenhouse Gas (GHG) emissions reductions within two of the
rehabilitation and single replacement options are modeled, measured
and assessed over the same lifecycle periods for their impacts on
operating costs as well as their conformance with current City of
Edmonton Climate Resilient and Sustainable Buildings design and
construction policies and administrative procedures.

Hangar 14
1.0 Introduction

Project Scope
The consultant team has been tasked with combining in-person, visual
condition assessments of the main structural, mechanical, electrical,
interior finish and envelope systems with a comprehensive desktop
review and validation of the 2017 facility condition assessments and
engineering studies. Having performed these opening tasks, the
team’s attentions are to be concentrated on the further analysis of the
four rehabilitation scenarios and one facility replacement scenario to
develop and test rehabilitation strategies and replacement building
system configurations. Each of these explorations, energy model inputs
and outputs, recommended actions and predicted outcomes, are to
be guided by a shared and integrated alignment around key heritage
conservation and sustainable buildings and climate resiliency policies
and procedures. Lastly and perhaps most importantly, the team is to
“run the numbers” on each option to create a robust, Class 4 set of
estimates related to capital, maintenance, and operations costs over 20
and 40-year lifecycle phases. These are to be based on a consistent
data set of building system descriptions, service environments, regulatory
requirements, predicted service life estimates, maintenance and
operations inputs and outcomes. In addition to cost estimates, the team
is to perform valuations and appraisals of the existing facility and of the
impacts of each rehabilitation option and the replacement scenario. The
theoretical replacement building is to be based on buildings systems
calibrated to provide a useful comparative analog of the existing building
as well as to achieve a 20 percent improvement over the NECB 2017
and a TEDI measuring less than 50 kWhrs/sqm.

It should be noted that recent developments in the field of Heritage

Conservation have linked the preservation of historic structures with
environmental sustainability, which have not yet been fully considered
in the above evaluation systems including LEED. (https://archive. Land Titles Survey Plan of site
nationaltrustcanada.ca/issues-campaigns/sustainability) Source: Alberta Land Titles Plan No. 5328MC

City of Edmonton | Hangar 14 Investment Study | February 11, 2022 2

1.0 Introduction
Heritage Statement of Significance
The following Statement of Significance for the property is taken from the
Register of Municipal Historic Resources, City of Edmonton Planning and
Development, and is included here for reference:
Description of Historic Place
Hangar #14 is a tall, one-storey rectangular plan structure, with
lean-to additions on the east and west sides. The interior consists of
an exposed heavy timber truss system stayed with tension cables,
allowing for a clear span width of 34 metres. It is located on the
southwest side of Edmonton’s Municipal Airport on one large lot,
located north of Kingsway Avenue. It backs onto the airport on its
north and east, and faces a parking lot to the south.
Heritage Value
Hangar #14 has heritage value as a rare surviving Canadian
example of hangar design from the World War Two period and
as a symbol of Canada’s wartime experience. It has additional
significance for its association with Wilfred R. May, one of Edmonton’s
most significant aviation figures and the 418 City of Edmonton
Squadron. Built in 1942, Hangar #14 is significant as the only
remaining ‘double wide, double long’ hangar in Canada. The hangar
is a good example of standard British Commonwealth Air Training
Plan (BCATP) design, which could be doubled in width or depth
depending on the size of the school or facility required. Its most
notable architectural feature is the roof structure that spans a width
of 34 metres without intermediate supports, employing a modified
Warren truss system. First developed in 1848, a Warren truss consists
of parallel upper and lower chords with diagonal connecting
members forming a series of equilateral triangles.
3 City of Edmonton | Hangar 14 Investment Study | February 11, 2022
These trusses are built of Douglas Fir, as are the rigidly braced wood
columns on which they rest. Hangar #14 also used a Canadian
patented system of connection with steel bolted joints and split-ring
connectors, making the joints stronger than in traditional Warren
truss systems. The roof and superstructure were constructed of heavy
timbers, specified because of the shortage of steel during wartime.
Integral to the wide-span design is the operation of the steel section
doors on the end wall, which are top-hung and slide horizontally.
Furthermore, Hangar #14 symbolizes Canada’s wartime aviation
experiences and Edmonton’s important role in the BCATP during
World War Two..
Hangar #14 was one of a number of facilities built across the
country to house the BCATP, an agreement between Canada, Great
Britain, Australia and New Zealand to train aircrews for duty during
the war. This training took place in Canada due to ideal conditions
on the prairies and a low population density. Hangar #14 served
several different training schools, but was utilized primarily by the
Air Observers School. Hangar #14 is additionally valued for its
associations with Wilfred R. May (1896-1952), one of the most famous
figures in Edmonton aviation, who was best known for escaping the
‘Red Baron’ during World War One. In 1919, May and his brother
started May Airplanes Limited and built their first hangar in 1920.
As a result of his contributions to Canadian aviation, May was
appointed as an Officer of the British Empire in 1935. During World
War Two, Hangar #14 and other structures were built adjacent to
these original hangars, and May was instrumental in running the Air
Observers School from these hangars. May’s involvement with the
growth of this airfield entrenched the development of Edmonton’s
first municipal airport in this location. There is also historical value
associated with the use of Hangar #14 by the 418 City of Edmonton
Squadron between 1946 and 1957. The Squadron is remembered for
its triumphant performance in the battles at Dieppe and Normandy
during World War Two. (Source: City of Edmonton Planning and
Development (Bylaw: 12868)) Aerial view of Blatchford Field, Edmonton.
Source: CSCE Archives
1.0 Introduction
Current Heritage Recognition and Terms of Reference
The Hangar 14 building (Aviation Museum) is designated as a Provincial
Historic Resource under the Alberta Historical Resources Act (Historic
Resources Management Branch, File: Des. 1827), and is municipally
designated under City of Edmonton By-Law 12868. As such, the property
is legally protected from demolition or inappropriate alteration and
required to be maintained in a fair condition under the Alberta Historical
Resources Act, and under Policy C-450B of the Register of Municipal
Historic Resources.
The Standards and Guidelines for the Conservation of Historic Places in
Canada (“the Standards and Guidelines”) is produced by Parks Canada
and serves as the Canadian government’s guiding document on the
treatment of historic places across the country. It was adopted by the
Province of Alberta as a guiding heritage document in 2003, and the
City of Edmonton’s Historic Resource Management Plan’s Heritage Policy
#6 directs that the City’s “Historic Resource Management Program will
be aligned with the Standards and Guidelines for the Conservation of
Historic Places in Canada.”
Heritage Standards & Guidelines
The Standards and Guidelines prescribes a three-step conservation
decision-making process:
1 Determine the primary treatment;
2 Review the Standards; and,
3 Follow the Guidelines.
Hangar 14 will no longer be used as an airplane hangar building, as the
Edmonton City Centre Airport has been closed. Under the Standards and
Guidelines, Rehabilitation is considered the most appropriate intervention
in instances involving a change to a new use. Rehabilitation is defined
as follows: “the action or process of making possible a continuing or
compatible contemporary use of an historic place, or an individual
N
component, while protecting its heritage value” (pg. 17).
The Standards and Guidelines elaborate further:
Rehabilitation involves the sensitive adaptation of an historic place or
individual component for a continuing or compatible contemporary use,
while protecting its heritage value.
Consider Rehabilitation as the primary treatment when:
a Repair or replacement of deteriorated features is necessary;
b Alterations or additions to the historic place are planning for a
new or continued use; and,
c Depiction during a particular period in its history is not appropriate
(pg. 16).
All nine of the General Standards apply to Rehabilitation projects, as do
Standards 10, 11 and 12, which are specific to Rehabilitation projects.
The Standards that are most relevant to this study center around three
concepts:
• The conservation of character-defining elements, even throughout N
a conversion to a new use. Character-defining elements are to be
maintained wherever possible, repaired where necessary, and
replaced in kind (where evidence permits) only where they are so
lost or deteriorated that there is no ability to repair;
• An aim toward minimal intervention, i.e., only the intervention that
is necessary to accommodate contemporary safety, accessibility,
programmatic and other requirements; and,
• Contemporary interventions must be compatible with,
distinguishable from and subordinate to the original resource, and
they must be as reversible as possible. Aerial SLIM and Land Use Maps of Hangar 14 Site
Source: City of Edmonton
The relevant Guideline sections should be consulted with respect to the
specific elements of the proposed work.
City of Edmonton | Hangar 14 Investment Study | February 11, 2022 4
1.0 Introduction
Character Defining Elements:
Elements that convey the heritage character of Hangar 14 as a 1940s
hangar building include its:
• Landmark location adjacent to the runway of the City Group for the City of Edmonton. The model was calibrated using
Municipal Airport;
• Form, scale and massing expressing its functional industrial design;
• Rectangular plan with lean-to additions to the east and west;
• One-storey height with an internal clear span width of 34 metres;
• Four quadrant subdivided roof that slopes from the centre to the
outer walls;
• Exterior elements such as its:
• Cedar shingle siding;
• Top-hung, sliding steel section doors with glazing;
• Off-centre two-storey vehicle entrance with rolling door; and
• Central timber column with shingle siding on the end elevations;
• Lean-to additions on the east and west elevations, consisting of
wood frame construction with cedar shingle siding; four doors
on the east facade and five doors on the west facade; off-centre
two-storey entrance with rolling door on the east facade; central
one and one-half storey addition with smaller garage doors on the
west facade;
• Regular fenestration with large, industrial rectangular 36-pane
wooden windows on the east and west elevations; 6-over-6 double-
hung wooden windows and 12-pane wooden storm windows on
the lean-to addition, interior elements such as its exposed interior
framing and truss structure, with Douglas Fir vertical wood Option 1B/2B
posts supporting long Warren trusses; and reinforced concrete Option 3
slab floors.
• Source: City of Edmonton Planning and Development (Bylaw: 12868)
• (https://hermis.alberta.ca/ARHP/Detailsaspx?DeptID=1&ObjectID=4664-0131)
5 City of Edmonton | Hangar 14 Investment Study | February 11, 2022
In addition, the Municipal designation includes:
• Exposed framing including Douglas fir vertical wood posts
supporting long Warren trusses, reinforced with bays of double
diagonal frames; truss system of connection with steel bolts and
split ring connector;
• Exposed surface-rim conduit, wires and brackets;
• Open interior layout with spaces for administration, storage,
workshop and mechanical equipment;
• Remnants or artifacts from BCATP period.
• Source: Alberta Culture and Community Spirit, Historic Resources Management
Branch (File: Des. 1827)(https://hermis.alberta.ca/ARHP/Details
aspx?DeptID=1&ObjectID=4665-0774)
Energy and Emissions: Analysis
An energy model was built using RETScreen Expert whole-building energy
simulation software developed by Natural Resource Canada, which is
available in both free and paid-subscription versions. The software
calculates energy use on a daily basis for both the existing building and
the proposed lifecycle alternatives to allow comparison of the relative
impact of design elements on the overall building performance, including
interactive effects.
Energy Use Intensity,
Existing 184
Option 1A/2A 147
79
43
Typical AB Transportation and Warehousing Building* 486
Typical AB Office Building* 467
Typical AB Information and Cultural Industries Building* 656
* Natural Resources Canada National Energy Use Database (NEUD) 2018 values
Energy model analysis was based on review of the 2017 condition
assessment, 2017 conservation plan draft, 2019 structural evaluation,
existing drawings, and photos of the Hangar 14 facility, as well a 2020
technical study of emissions neutral buildings conducted by Integral
recent utility billing data and site visit observations to reflect the actual
performance of the existing facility. The modelling methodology followed
ASHRAE Standard 211 Standard for Commercial Building Energy Audits
and referenced the 2017 National Energy Code of Canada for Buildings
(NECB 2017) where applicable for the proposed investment alternatives.
It is helpful to compare the overall energy use intensity of the proposed
options against the existing building operations, to provide context for
the relative improvement in energy performance and carbon emissions.
Energy use intensity from sampled building types in NRCan’s National
Energy Use Database suggest that the existing building’s overall energy
consumption is relatively low. This may reflect the current occupancy
and space use rather than an evaluation of the base building energy
performance, and opportunities for substantial improvement are evident
in particular for space heating as shown in the detailed analysis.
Thermal Energy
GHG Emissions
EUI Demand Intensity, TEDI
Reduction
(kWh/m2) (kWh/m2)
165
135 20%
67 57%
31 76%
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2.0 Executive Summary

Project Team 2.1 Synopsis and Outcomes Energy model analysis was conducted to compare energy and GHG
performance of three design options, over two rehabilitation lifespans,
CITY OF EDMONTON against the existing building. Option 1a/2a results in the first round of
There are two different but interrelated frameworks for analyzing and
lifecycle measures showed in a 20% reduction in GHG emissions. Option
comparing the various building options covered by this study. The first
1b/2b included all of the measures from Option 1a/2a plus additional
CITY OF EDMONTON PROJECT MANAGER framework encompasses a set of stepwise improvements to the existing
building envelope improvements, resulting in a 57% reduction in GHG
building; the second, its complete replacement. The former is guided by an
PRIME CO N S U LTA NT emissions relative to the existing building (marginally exceeding the 50%
overarching heritage conservation strategy and an aligned set of policies
reduction target). Option 3 included new construction measures for an
GEC ARCHITECTURE and procedures. This framework applies urgent stabilizing and rehabilitative
Jason Pare Bob Stirling
equivalent building developed based on approximately 20% better than
measures to the building superstructure as well as character-respecting
Partner-in-Charge Project Architect NECB 2017 prescriptive requirements as per the City’s administrative
performance upgrades to other building systems. The second framework
procedure for climate resilient design, which demonstrated a 76%
SU B- CO N S U LTANT S provides a new building and therefore a new performance reference model
reduction in GHG emissions relative to the existing building.
for energy, emissions and materials use.
STRUCTURAL, ELECTRICAL, MECHANICAL
Williams Engineering Each framework—rehabilitation and replacement—represents an investment of Options Outcomes
Nathaniel Curtis Ben Rajewski Victor Lam energy, materials and other resources to achieve more sustainable outcomes
Structural Lead Mechanical Lead Electrical Lead Based on the outcomes of and comparisons between the cost estimates
for each of the different building scenarios, each operating for the next 20
and energy models created for the above options and the existing
HERITAGE CONSULTANT and 40 years. For each of the rehabilitation options, these added inputs
building, we offer the following general observations and conclusions:
ERA Architects conform and adapt to a set of existing opportunities and constraints. These
Scott Weir Ryan Love are, in turn, dictated as much by the building’s unique, historical, character- 1 With respect to the scope of immediate repairs, modest upgrades
Heritage Lead Heritage Architect
defining elements as by its basic form and function. The replacement option, and 20 and 40-year life-cycle maintenance and repairs associated
COST CONSULTANT by contrast, starts from zero in terms of material and energy investments, with Options 1a and 2a, it can be seen that that these will:
Atlus Group and from there is constrained only by the limits of size, form and program of • Result in modest gains in operational efficiency, compared to the
David Crane Curtis Cameron the original building and the current sustainable building goals, policies, and
Cost Lead Cost Consultant existing building, through lowered energy consumption along with
administrative procedures of the City of Edmonton. the associated utility costs and emissions.
SUSTAINABILITY/GHG TRACKING The rehabilitation framework begins with a new, performance baseline
Williams Engineering • Have only modest impacts on maintenance costs over the study
Lindsay Austrom
(Options 1a and 2a) for the existing building based on a limited but strategic life-cycle periods.
Sustainability Lead scope of structure stabilization, building envelope repairs and mechanical • Be significantly less-expensive, from a first cost standpoint,
system upgrades. From here, more ambitious benchmarks in energy compared to Options 1b, 2b and 3.
consumption and GHG emissions are pursued through further building
envelope and HVAC systems improvements. The replacement framework • Will not significantly enhance the value of the building relative to
goes immediately to a new, higher-performing but otherwise standard the current valuation.
replacement (Option 3). The energy consumption of the existing building • Cannot be deferred for more than 5 years when it is expected
performance upgrades and new building have also been modeled and the the rehabilitation scope will become critical for major envelope
associated maintenance and operations outcomes estimated through 20 and assemblies (e.g., roof, glazing assemblies and walls), building
40-year life-cycles (Options 1b and 2b, respectively). mechanical and electrical systems.

7
2.0 Executive Summary

2 The scope of immediate and ongoing building envelope and mechanical

system upgrades and 20 and 40-year life-cycle maintenance and repairs
associated with Options 1b and 2b will:
• Result in measurable and significant gains in operational efficiency, FRAMEWORK 1: REHABILITATE
in terms of energy consumption and associated emissions attributable
to lower energy use, when compared to the existing base case and
New Baseline: Option 1a New Baseline: Option 2a
Option 1a new baseline building.
Rehabilitation Rehabilitation
• Result in a >50% reduction in GHG emissions compared to the base Essential Structure Stabilization Essential Structure Stabilization
case. & Building System Performance & Building System Performance
• Have only modest impacts on maintenance costs (somewhat higher) Improvements (20-yr. time horizon) Improvements (40-yr. time horizon)
compared to Option 1a.
• Greatly extend the viability and enhance the heritage value of several
character-defining elements at the interior and exterior of the existing Option 1b Rehabilitation: 50% GHG Option 2b Rehabilitation: 50% GHG
building. Reduction Reduction
• Will not immediately or significantly enhance the valuation of the Essential Structure Stabilization & Essential Structure Stabilization &
building relative to the existing base case. Enhanced Building System Performance Enhanced Building System Performance
3 The scope of immediate replacement of the existing building with a new Improvements (20-yr. time horizon) Improvements (40-yr. time horizon)
zero-emissions warehouse of similar size and design in Option 3:
• Has significantly higher initial capital costs that the other rehabilitation
options.
• Has comparable life-cycle maintenance and operations costs to the
other rehabilitation options.
• Achieves >20% reduction in energy consumption compared to the FRAMEWORK 2: REPLACE
NECB 2017 and a TEDI <50kWhrs/sqm.
• Can be readily adapted to on-site renewable energy (e.g., BIPV and/
or rooftop solar) to close the energy and emissions gap. Existing Building Option 3: Immediate Replacement
• Provides greater long-term value in terms of climate-adaptive and Review, Validate and Update 2017 BCA, with Zero-Emissions Building
resilient design as well as the ability to support a broader range of Engineering and Heritage Conservation New Warehouse Facility of Similar Size &
potential programming, single and multi-tenant occupancy, industrial studies and Plans Design (40-yr. time horizon)
and non-industrial uses, etc.
• As configured, in terms of material inputs and embodied carbon,
represents a significant increase over the existing and rehabilitation
scenarios but this could be significantly reduced through the adoption
of an all-wood (mass-timber) design.

City of Edmonton | Hangar 14 Investment Study | February 11, 2022 8

2.0 Executive Summary

4 Some important things to note about the differences and similarities Comparative Capital Outlay Summary
between the various options related to initial capital costs, on-going
maintenance and operations costs, and life-cycle renewals costs: Investment Options
• All of the major building renewals occur in the first 20 years of GFA: 8593 m2
either Rehab scenario (1a/2a). Years 21-40 essentially allow for
Ref Description OPTION 1A/2A $/m2 OPTION 1B/2B $/m2 OPTION 3 $/m2
major life cycle renewals on renovations that already occurred in
Required Capital $16,070,380.23 $1,870.17 $22,158,244.00 $2,578.64 $31,534,825.00 $3,669.83
year 1-20. Years 21-40 do not introduce new scope to the project
- Assumes construction in year one
options, therefore they do not act as standalone options.
for each option
• The costing mirrors the scope renewal document, so some scope - Excludes renewals within the first
was repaired initially, while other items were deferred for a 20 years
few years before renovations occurred. To simplify and to align - Project capital project
better with likely project funding mechanisms and processes, an construction dollars
additional summary (see adjacent “Comparative Capital Outlay
Summary”) is provided here that shows the initial capital required
for all three options, assuming completion in year 1. It varies
slightly from the current 1-20 year summaries for each option
shown in Part 4 of the Study as completing everything in Year 1
eliminates some escalation dollars.
• For maintenance costs, the discounting shown in Part 4 of the
Study is summarized in Year 1 for both the 20yr and 40yr version of
each option.
Note that for Existing Building Rehab scenarios and New (Option 3)
scenario, General Facility Repair and Maintenance costs are very similar
owing to the similarity in size and basic function of each option. Major
renovations occurring in Option 1 and 2, or with the new build of Option
3, have similar starting points with similar assumptions about base
building systems and program areas. This translates into small variability
when it comes to maintenance costs. The energy consumption and
emissions data, on the other hand, paints a very different picture and
does vary significantly between options (See table below and in Part 3,
“Energy and Emissions: Path to Net Zero”.

9 City of Edmonton | Hangar 14 Investment Study | February 11, 2022

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3.0 Findings Analysis, and Conclusions
3.1 Examination & Validation of Heritage: Conserve and Sustain
2017 Reports
Methodology and Approach
The consultant team visited and conducted a visual assessment of
the existing site and building. Thereafter, a complete desktop review
of the assessment reports and engineering studies was undertaken.
To help document this review and to provide commentary related to
each of the principal areas, systems, components, and assemblies of
concern covered by the studies, the team used a re-formatted version
of the Maintenance Project Cost Summary spreadsheet found in the
City of Edmonton Infrastructure Assessment Group’s 2017 Facility
Condition Assessment Report. This revised and reformatted version of
the document captured the essential scope of the study and allowed
the team to review, validate or update the earlier study findings while
sharing and coordinating these findings through regular workshop-format
team meetings. This had the further advantage of providing a sound and
familiar base document on which the cost consulting team could build
their own cost analysis. This document is included in the Appendix of this
report for reference.
This section has been prepared for the purpose of evaluating potential
impacts on the heritage property by the proposed rehabilitation options
and lifecycle alternatives, and has been developed with reference
to Parks Canada’s Standards and Guidelines for the Conservation of
Historic Places and Alberta Culture’s ‘Creating a Future’ manual series; it
also incorporates information from previous studies, including:
• Building Conservation Plan, by NEXT Architecture Inc.,
September 2017
• Building Condition Assessment, by NEXT Architecture
Inc., July 2017
• Aviation Museum Structural Evaluation Report,
by BPTEC Engineers, January 2019
The following rehabilitation options have been reviewed for general
conformance with current heritage guidelines and best practices. The
proposed framework of intervention is aimed at providing a targeted
repair and maintenance program to ensure durability and improved
performance of the existing building envelope over 20-year and 40-year
timeframes, while supporting its ongoing long-term conservation.
Conservation Objectives
The conservation scope is intended to accurately restore the building’s
structure, envelope, and related components to ensure the property’s
long-term durability, and to return it to a sound and weather tight state
for continued occupancy over the longer term.
Construction methods and standardized materials should be chosen to
rehabilitate the existing assemblies based on the existing sizes, profiles,
materials, and details, while leaving intact as much of the original fabric
as possible.
Provincial and Municipal Historical Resource Designation
3.0 Findings Analysis, and Conclusions

Fuel consumption - base case

Objectives of conservation include: Hangar Roof Assembly Energy and Emissions: Base Case
• The extensive rehabilitation of the building envelope, with local Due to existing loading constraints on the main hangar roof, and
repairs to the existing sheathing, to restore weather tightness; the Character Defining nature of the exposed roof structure, no new Miscellaneous
insulation above or below the hangar roof is contemplated. An Lights
• Building envelope repairs and upgrades that are physically
and visually compatible with the building’s original fabric and additional layer of insulation will be provided on the flat roofs of the
lean-to additions, to improve energy efficiency. Existing roof lines will
Character Defining Elements; 7.1%
be maintained such that no visual impacts to exterior elevations are
• The full replacement of exterior windows through sensitive design
introduced.
and upgrading;
• The conservation of the property’s heritage value and Character
Defining Elements; Hangar Doors
• Minimal intervention solutions to preserve Character Defining Given the significant amount of air leakage and heat loss arising from
Elements to the greatest extent possible. the existing hangar doors, it is recommended that a secondary glazing
system be installed on the interior side of the doors to meet building
envelope performance targets while restoring and maintaining the
Windows and Wall/Roof Assemblies hangar doors in their original location. A minimum scope of repairs is
The scope of work is intended to restore and conserve the building’s proposed to conserve the hangar doors in their present shell condition, 89.8%
exterior envelope, including its Character Defining Elements, while as non-functioning heritage artifacts. Above the hangar doors, new
improving overall energy efficiency and meeting performance targets for insulation will be fitted into the existing wall space from the interior
Space
each rehabilitation option. Insulation will be fitted from the interior side side, such that existing exterior proportions and cladding finishes are
heating
of walls, such that the existing exterior proportions of walls and windows, maintained.
including window setback dimensions from the outer wall face, will be
maintained. While this strategy will entail a 4” reduction in floor space
Mechanical Systems
at the outer walls due to the added insulation, visual impacts to exterior
Character Defining Elements are minimized. The scope of work includes the salvaging of two gas furnaces from Fuel consumption - base case
BCATP era, to be removed from their current location and reinstated as Section kWh %
non-functioning heritage artifacts elsewhere in the building. A new high
Space heating 1,421,332 89.8%
efficiency gas furnace will be installed in the existing mechanical room.
For options 1b and 2b, a second high efficiency gas furnace is proposed Lights 112,749 7.1%
in the central mezzanine area, with above-ground ducting to meet Miscellaneous 48,208 3%
energy performance targets. Air intake and exhaust penetrations will be Mechanical equipment 47,908 3%
strategically located on roofs and minimized on walls, to minimize visual Hot water 300 0.02%
impacts on exterior Character Defining Elements.

City of Edmonton | Hangar 14 Investment Study | February 11, 2022 12

3.0 Findings Analysis, and Conclusions
3.2 Option 1a: 20 Year Rehabilitation
Opportunities and Constraints
The main opportunity for improvement for this option are based on a
host of immediate steps to:
• Stabilize the roof structure (trusses)
• Improve the overall aesthetics and appearance of the building
interior and exterior through targeted, strategic improvements
to the building envelope (window replacements, sealant
replacement) and interior finishes (painting)
• Improve the overall energy performance (consumption) of the
building mechanical system (furnace), electrical system (power
supply, controls, lighting) and building envelope (sealants, window
replacements) and therefore the thermal comfort of occupants,
protection of contents, lowering of operational costs related to
energy utilities.
Apart from the potentially significant impacts on the operations of the
facility related to the roof truss stabilization efforts, most of the above
measures are focused on exterior elements or more readily accessed
interior elements that require less in the way of partial demolition or
deconstruction to carry out. The majority are technically straightforward
and pose only minor technical or other conservation challenges in that
they involve like-with-like replacement of mostly non-original elements.
Option 1a also provides an opportunity to create (and model) a new
performance baseline for the building. The model will measure impacts
on energy use and emissions, and will assist with determining and
comparing the immediate performance gains and of the 1a and 1b
rehabilitation, relative to the up-front capital costs, as well as the 20- and
40-year operation and maintenance costs.
13 City of Edmonton | Hangar 14 Investment Study | February 11, 2022
Heritage: Conserve and Sustain
The following heritage-related items have been identified as requiring
immediate remedial work in order to maintain the existing Character
Defining Elements and supporting structure for another 20 years, in order
of priority:
• 100% replacement of joint sealants at exterior windows, doors,
walls and related flashings (assume once every 6 to 10 years);
• 100% replacement of weatherstripping at exterior doors, including
hangar doors (assume once every 6 to 10 years);
• 100% replacement of glazing putty and replacement of cracked
Georgian wired glass lites above hangar doors;
• 100% replacement of east canopy cement board soffit with new
wood deck soffit
• Perform repairs to roof structure as needed; salvage original
timber truss members where replacement is required (assume
14 top chords, 5 bottom chords, 18 verticals, 295 diagonals, 38
struts, 121 strut wedges, 2 columns, 2 truss turning points (per 2019
Structural Evaluation Report)
• Salvage 1 original wood sash window on west elevation; pack,
record and store in dry, secure location;
• Replace (67) existing non-original PVC operable windows with
new metal-clad double hung wood windows to match original
three-over-three sash configuration, using salvaged original wood
window as a template for replication;
• Replace (35) existing non-original PVC fixed windows with new
metal-clad fixed wood windows to match original six-over-six
configuration, using salvaged original wood window from the
second-floor interior office as a template for replication;
• 100% replacement of vinyl-clad operable sash and fixed factory
windows with new aluminium clad operable sash windows to
match original design;
• Salvage 2 original exterior doors, 1 original double door at west
elevation, to be later reinstated as potential non-functioning
heritage artifacts; pack, record and store in dry, secure location;
• Perform localized wood soffit and shingle siding repairs, where
damaged or missing (assume 5% repairs over 2 to 3-year, 6 to 10-
year and 11 to 20-year timeframes);
• Strip paint from hangar doors to bare steel, remove minor surface
corrosion and pitting, prime with rust-inhibiting primer and repaint
w/ 2 coats metal alkyd enamel paint to match original colour;
replace deformed or severely corroded steel sections with new
galvanized steel to match, using original fastener methods;
• Salvage and retain 2 decommissioned gas furnaces from BCATP
era, as non-functioning heritage artifacts;
• Salvage 19 decommissioned electrical panels/switch boxes from
BCATP era, to be later reinstated as potential non-functioning
heritage artifacts; pack, record and store in dry, secure location;
• Salvage 1 entrance canopy from Blatchford era at south elevation,
to be later reinstated as potential non-functioning heritage artifact;
pack, record and store in dry, secure location;
• Strip, prime and repaint interior wood roof structure and timber
wall framed elements (assume once every 11 to 20 years);
• Repaint exterior wood siding and soffits (assume once every 6-10
years)
3.0 Findings Analysis, and Conclusions
Building Systems: Envelope and Interiors
Apart from the items captured in the Heritage section above, the other
stabilizing and restorative measures are aimed at addressing building
life-safety and accessibility deficiencies. These include fire protection
of structural elements supporting the mezzanine and the provision of
barrier-free entry and egress amenities at the main entry. From a
building envelope standpoint, there are lifecycle renewals aimed at the
other non-heritage exterior doors at the east, west and north sides of the
building. These renewals involve replacing the mainly hollow-metal door
leaf and pressed steel frame assemblies with modern insulated versions
as well as completely replacing the associated door hardware such as
hinges, exit devices, locks, sweeps and seals.
Building Systems: Structural
The modifications to existing structural systems for the Hangar 14
Investment Study include the reinforcement of the roof trusses, further
analysis of roof trusses to determine maximum potential capacity with
reinforcements, and further investigation of the building foundations to
determine condition and capacity for future upgrades.
The following recommended modifications to the existing structural
systems of Hangar 14 consider the various Building Condition
Assessments and engineering studies undertaken in the past four years
as well as recent and proposed (elsewhere in this study) mechanical and
architectural changes to the existing building.
The structural design will conform to the local City of Edmonton standards
and will be based on the latest editions of the Alberta Building Code,
CSA A23.3 – Design of Concrete Structures, CSA S16 – Design of Steel
Structures, CSA S304 – Design of Masonry Structures, and CSA O86 –
Design of Wood Structures.
Option 1a Design Criteria: Mezzanine
The option 1a design criteria consist of a building rehabilitation to extend The existing steel mezzanine structure appears to be in good condition
the life by 20 years without any specified GHG reductions. The structural and satisfying the occupancy requirements.
impacts associated with this option include the recommendations made
Option 1a Recommendation: no structural remediation required.
in the previous BCA by BPTEC in 2019 and an allowance for increased
snow load due to future development of the Blatchford area. Roof
Wall Foundations The existing roof structure is designated as a heritage item and is
intended to remain in service if possible. The wood trusses underwent
The structural portions of the existing wall foundations could not be
a highly detailed evaluation study in 2019 by BPTEC engineering. The
visually assessed for their condition but there is evidence of cracking
report detailed multiple members and connections that are currently
and corrosion in the exterior parging. It has been recommended in the
failing or in poor condition and recommended the trusses are reinforced
architectural scope to repair the damaged areas.
and repaired immediately.
Option 1a Recommendation: when repairing the deteriorated portion
Option 1a Recommendation: Repair and remediate existing roof trusses
of the exterior wall, arrange to have a structural engineer review the
exposed portions to determine if there has been any structural damage
as per the recommendations made in the 2019 BPTEC report.
to the foundations.
Column Foundations
The column foundations could not be visually assessed but do not show
any immediate signs of failure. The original drawings for the column
foundations are not available and cannot be assessed for their current
capacity.
Option 1a Recommendation: investigate the existing column foundations
and analyze their capacity to withstand future load increases.
Slabs On Grade
The existing interior slab on grade appears to be in fair condition with
some cracking that appears to be typical with an old slab. The current
state appears to satisfy the current requirements for occupancy.
Option 1a Recommendation: seal cracks in the concrete as necessary
and continue to monitor for excessive movement in the future. Typical existing arrangement of roof truss, column, and
lateral bracing elements in main hangar spaces
City of Edmonton | Hangar 14 Investment Study | February 11, 2022 14
3.0 Findings Analysis, and Conclusions
Canopies
The existing canopy structure could not be visually assessed due to the
presence of wood soffit, but there were areas of water staining in the
soffit that could indicate damage to the roof joists.
Option 1a Recommendation: when replacing damaged wood soffit,
arrange for a structural engineer to review the condition and capacity
of the roof joists.
Option 1a Recommendation: when replacing damaged wood soffit,
arrange for a structural engineer to review the condition and capacity
of the roof joists.
Building Systems: Mechanical Heating and
Ventilation
Mechanical systems recommendations for the Hangar 14 Investment
Study to provide the City of Edmonton options for the building
rehabilitation and/or the possible replacement of the building. Based
on a site review, review of the 2017 building assessment and the
current building codes and the City of Edmonton requirements, it is our
opinion that mechanical rehab Option 1b (same as 2b) is the most
viable option for the building. This option provides for new gas-fired
furnaces, heat pump type hot water heaters, and supplemental fresh air
supply via a dedicated intake and exhaust equipment and openings in
the building envelope, to be determined through further analysis and
design (e.g. HRV’s). Furnaces (gas-fired) can be replaced as part of
normal life-cycle renewals over the 40-year (Option 2) period to all-
electric units as carbon pricing and utilities-based or on-site renewable
energy integration dictate.
15 City of Edmonton | Hangar 14 Investment Study | February 11, 2022
The following is a description of the mechanical systems recommended Recommendations: The recommendation for Option 1a is to
for the Hangar 14 Investment Study. The study was requested by replace both furnaces with similar performing units. This will allow
the City of Edmonton to provide them with options for the building for higher efficient gas burners and parts will be available for
rehabilitation and/or the possible replacement of the building. The future repairs. It is also recommended to provide 7,500 CFM of
recommendations look at 20- and 40-years rehabilitations, with or outdoor air, which assumes a building occupancy of 500 people
without 50% greenhouse gas reductions. at 15 CFM/person.
The mechanical design will be based on the latest editions of the Offices Ventilation
Canadian Building Code - Alberta Edition, the Canadian Plumbing Offices along the east side and in the centre core of the building
Code, the National Energy Code of Canada for Buildings, ASHRAE do not have a ventilation system.
standards and the City of Edmonton standards.
Recommendation: It is recommended that transfer fan be provide
The recommendations are based on a site review of the facility, the to the offices to provide transfer air to the spaces. Transfer air will
review of the 2017 building assessment and the criteria outlined in the be brought in from the hangar air space.
City of Edmonton’s RFP.
Domestic Hot Water Heaters
Option 1a Design Criteria: Mechanical Heating And
Four existing domestic hot water heaters provide hot water for the
Ventilation System
sinks and lavatories in the facility
The option 1a design criteria consist of a building rehabilitation to
Recommendation: It is recommended to replace the four hot
extend the life of the building by 20 years without any specified GHG
water heaters with heat pump style to help improve the efficiency
reductions. Two existing 55,000 CFM, gas-fired furnaces provide
of the heaters.
heating and ventilation air to the entire facility, through below slab
air distribution ductwork. One furnace is no longer operational and
is currently being used as spare parts for the remaining operational
unit, as spare parts are not available. This has resulted in uneven
air distribution throughout the facility, creating zones of in which
areas are heated and ventilated and zones that are unheated and
unventilated. Outdoor air appears to through infiltration through the
building envelope. Outdoor air appears to be supplied mainly through
infiltration and exchange through the building envelope.
3.0 Findings Analysis, and Conclusions

Specialized Exhaust Adaptations

City of Edmonton | Hangar 14 Investment Study | February 11, 2022 16

3.0 Findings Analysis, and Conclusions

Building Systems: Electrical

Option 1a Design Criteria: Power Distribution System
There are currently 3 separate EPCOR services brought into the facility at
3 different voltages. The service equipment is mounted on the wall in the
open event space. The equipment has all reached the end of its service
life. Distribution panels are fed from this location throughout the facility.
These panels have a variety of non-code compliant cable types such as
permanently installed cab-tire, running from them and the circuiting is not
labeled or up to date in many cases.

Recommendation: The recommendation for Option 1a is to replace

the three existing services with a single 600V service to the facility and
provide a suitably sized main distribution panel, as well as a 600V-208V
transformer and sub distribution panels throughout the facility. This
equipment should be located within a new fire rated electrical room. The
distribution wiring throughout most of the facility should also be replaced
with new code compliant wiring and devices.

A new ground grid is recommended to be installed as part of this

replacement.
Lighting System
Currently, illumination of the building interior spaces is achieved through
a variety of fixture and lamp types including high bay metal halide, T12
and T8 fluorescent, regular incandescent, MR16 track, and a few LED
replacement fixtures. The existing control system is manual switching only.

Exterior lighting is currently handled by LED wall-packs and 4 site lighting

poles.

Recommendation: It is recommended that the interior lighting be

completely replaced throughout with new LED fixtures better tailored
Existing original and subsequent added main electrical distribution to the general, scene-specific or task illumination requirements of the

17 City of Edmonton | Hangar 14 Investment Study | February 11, 2022

3.0 Findings Analysis, and Conclusions

Fuel consumption - proposed case

individual spaces within the facility. In the open museum, gathering, and Recommendation: It is recommended that new data cabling be run as Energy and Emissions: New Baseline
workshop areas this would include either upgrading and customizing necessary with conduit and dedicated LAN rooms/closets be provided
the existing original high-bay luminaires or replacing them with new for head end equipment. Miscellaneous
LED fixtures that closely match the character, scale, and materials of the
Fire Alarm System
original. Within the office area this would be new 1’x4’ LED troffers and
pot lights, and for specialty museum lighting this would be LED track The existing fire alarm system is a single stage conventional system with 8.1%
heads. minimal signalling throughout the facility and limited detection.

The exterior lighting can remain as is. A new low voltage lighting control
system is recommended to be added in concert with the LED lighting
upgrade. This would provide timeclock, and occupancy control to many
of the spaces as well as adding dimmability for many of the museum
exhibit lighting.
Emergency Lighting
A small scattering of battery packs currently exists within the facility to
act as emergency lighting. A few red EXIT type exit signs are located at
some egress paths.
Recommendation: Emergency lighting is required to be added to
illuminate the egress paths throughout the facility as per the Alberta
Building Code. As this is a life safety item all options should incorporate
this.
Recommendation: It is recommended that the fire alarm system be
replaced with a new addressable system. As this is a public facility it is
recommended that the fire alarm system be upgraded for all options as
it is currently not code compliant.
The system will have the following features:
• Automatic alarm initiating devices (smoke detectors, heat detectors).
• Manual alarm initiating devices (pull stations) throughout the facility.
• Signalling devices (horn/strobes) throughout the facility. 91.9%
• Connections to mechanical systems for an emergency shut-down.
Space
heating
Energy and Emissions: Baseline Energy Performance

Illuminated LED-type running man exit signs should be provided The Option 1a lifecycle investment scenario was limited by overall
constraints of the Heritage conservation objectives. The proposed
throughout the facility to conform to the requirements of the Alberta Fuel consumption - proposed case
Building Code. measures included minimal changes to the existing building systems
to avoid impact to Heritage elements for both the interior and exterior, Section kWh %
Telephone/Data Cabling System And Building Service using replacement technologies and equipment to improve performance Space heating 1,162,382 91.9%
The existing data and telephone system appears to have been modified (energy, GHG and operating cost) without introducing additional modern Miscellaneous 102,644 8.1%
many times over the years and is run free air and exposed throughout interventions to the facility.
Lights 61,936 4.9%
the facility.
Mechanical equipment 40,621 3.2%
Hot water 87 0.007%

City of Edmonton | Hangar 14 Investment Study | February 11, 2022 18

3.0 Findings Analysis, and Conclusions

3.3 Option 1b: 20 Year Rehabilitation infiltration/exfiltration at the existing hangar door openings as well as
conductive losses through the smaller roof assemblies and east and west
with 50% GHG Reductions walls of the single-storey lean-to elements. The upper exterior walls of
the main hangar were also targeted.
Opportunities and Constraints To tackle these losses in a manner that maintained the character-defining
• Provide an additional 3” rigid insulation on flat roofs of lean-to
additions;
• Remove interior drywall finish and batt insulation from north and
south elevations above hangar doors; provide new Rockwool batt
insulation and drywall finishes;

The main opportunities for improvement with this option are the same as
those outlined in Option 1a above plus those aimed at:
• Improving the overall energy performance as well as the thermal
comfort of occupants, protection of contents, lowering of operational
costs related to energy utilities.
• Lowering energy consumption and the associated GHG emissions to
a level 50% below that of the existing building
Option 1b applies a menu of strategic envelope upgrades, in addition to
those set out in Option 1a, that deliberately avoid increasing the thermal
performance of the existing roof. This is being done to avoid increases in
roofing assembly weights as well as predicted increases in snow loads
from a reduced rate of snow melt (due to reduced heat loss through the
roof). As mentioned below and as pointed out in previous engineering
analyses, the current roof structure capacity is likely inadequate to
provide the needed margins of safety to support these added loads, at
least not without significant modifications (e.g., applied reinforcements)
or even replacement. Alterations to or removal and replacement of the
trusses were reviewed and discussed extensively by the team’s heritage
architects and structural engineer. Ultimately, none were viewed as
completely acceptable from the viewpoint of heritage conservation,
especially on what is likely the most significant character-defining
element of the hangar interior. With feedback from an initial energy
model prepared by the team’s sustainability specialist, it was decided to
pursue other emissions-reducing strategies. The modeled energy use and
emissions outcomes, described below, pointed to the need to reduce
energy consumption caused by excessive heat losses through other wall
and roof assemblies. This included convective losses via, especially,
integrity of the existing hangar doors, it was decided to deploy full-height • Install new frameless curtain wall glazing system on interior side of
curtainwall assemblies, set inboard of the historic hangar doors, and north hangar doors, to be restored in-situ;
comprising high-performance glazing and frame components. The other • Replace existing non-original metal storefront on south elevation
remedies involved adding insulation and improved air and moisture w/ new high performance glazed storefront system.
barrier elements to the above-mentioned roof and wall assemblies. It is
anticipated that these measures, from a cost-benefit standpoint, will have
more durable impacts on lifecycle operations and maintenance costs,
which include emissions, and will also achieve better outcomes from a
heritage conservation standpoint when compared to the less compatible
roof truss remediation avenues.
Heritage: Conserve and Sustain
Further to the work described in Option 1a above, the following heritage-
related items have been identified as part of the overall building strategy
to reduce GHG by 50%:
• 100% replacement of existing wood shingle siding and soffits,
including related flashings, with new painted wood to match;
reinstall as new rainscreen assembly c/w new air barrier
membrane, battens and counter-battens; provide local repairs to
existing underlying sheathing as needed;
• Remove interior drywall finish and batt insulation from walls and
Existing south hangar doors.
ceilings of lean-to additions and replace with new Rockwool batt
insulation; build out walls studs in staggered arrangement, to
accommodate an additional 4” batt insulation; install new drywall
finishes throughout;

19 City of Edmonton | Hangar 14 Investment Study | February 11, 2022

3.0 Findings Analysis, and Conclusions
Option 1b Building Envelope Upgrades

2-Ply SBS Single-storey (Lean-to) Roofs (also applies to “bump-out” element roofs)
1/4” (6.4 mm) GWB
6 mil Poly VB
1/4” (6.4 mm) GWB
2x8 (38x184 mm) wood studs
R-28 (7.25” thk.) mineral fibre insulation (e.g. Rockwool “Comfortbatt”)
3/4” (19mm) plywood sheathing
2-ply 15# organic felt vapour retarder
2” Type 1 EPS insulation (e.g. Plastifab “Plastispan”)
1/2” coverboard (e.g. IKO “Protectshield”)
Base Sheet (e.g. IKO Torchflex - 180)
Cap Sheet (e.g. IKO Torchflex - 180 Cap)

stairs
UP 2-Ply SBS Main Hangar Roof Assembly-
38mm wood deck (existing)
2 x13mm fibre board
Vapour retarder (bitumen)
66mm polyiso insulation
13mm fibre board
SBS Base Sheet
SBS Cap Sheet

Non-insulated Canopy (Assumed)

2 x13mm fibre board
Vapour retarder (bitumen)
13mm fibre board
SBS Base Sheet
SBS Cap Sheet
Canopy soffit appears to be a kraft paper-faced panel product (core unknown)

NOTE: Existing Hangar roof is as described above. For the purposes of determining the existing
building’s thermal performance, roof and wall assemblies throughout the east and west lean-to
elements (and newer south east corner) were assumed to be as follows:
Roof:
• SBS membrane, fiber board and insulation layers similar to hangar
• 19 mm (3/4”) ply decking
• 38 x 184 (2” x 8”) joists,
• glass fiber batt insulation
• 6 mil AVB
• 13mm (1/2”) GWB
Walls:
• Wood shingles (prefinished metal cladding at opaque wall assemblies surrounding
aluminum storefront glazing assemblies at south elevation)
• 19 x 140 mm (1” x 6”) diagonal wall sheathing (19 mm plywood at south elevation walls)
• 38 x 89 mm (2” x 4”) studs
• Glass fiber insulation
• 13mm (1/2”) GWB

City of Edmonton | Hangar 14 Investment Study | February 11, 2022 20

3.0 Findings Analysis, and Conclusions
Option 1b Building Envelope Upgrades
Upper Hangar Exterior Walls 2-Ply SBS Single-storey (Lean-to) Roofs (also applies to “bump-out” element roofs) Curtainwall at South Main Entrance
1/4” (6.4 mm) GWB 1/4” (6.4 mm) GWB Kawneer 1600UT System 1 frame
6 mil poly VB 6 mil Poly VB High-performance IGU’s (dbl.-glazed incl. noble gas fills and Low-E coatings)
1/4” (6.4 mm) GWB 1/4” (6.4 mm) GWB Curtainwall at Hangar Doors (if necessary)

4.0 Assessment of Existing Condition - 4.1 Exterior Architectural Assessment

2x8 (38x184 mm) wood studs
R-28 (7.5” thk.) mineral fibre insulation (e.g. Rockwool “Comfortbatt”)
2x8 (38x184 mm) wood studs
R-28 (7.25” thk.) mineral fibre insulation (e.g. Rockwool “Comfortbatt”)
Kawneer 1600UT System 2 (SSG) frame
High-performance IGU’s (dbl.-glazed incl. noble gas fills and Low-E coatings)
1x6 (19x140 mm) sheathing 3/4” (19mm) plywood sheathing Alternative: GlasCurtain “ThermPH” system
Building paper (15# Asphalt Felt Paper) 2-ply 15# organic felt vapour retarder High-performance IGU’s (triple-glazed incl. noble gas fills and Low-E coatings)
SOUTH ELEVATION
Cedar shingle/shakes siding 2” Type 1 EPS insulation (e.g. Plastifab “Plastispan”) Roof Parapet
Not to Scale
Windows (see ERA descriptions) 1/2” coverboard (e.g. IKO “Protectshield”) Pre-finished metal cap flashing and fascia on plywood substrate and wood framing
Single-storey (Lean-to) Element Exterior Walls (also applies to “bump-out” element walls) Base Sheet (e.g. IKO Torchflex - 180)
1/4” (6.4 mm) GWB Cap Sheet (e.g. IKO Torchflex - 180 Cap)
6 mil poly VB Metal-clad Opaque wall elements at south Entrance
1/4” (6.4 mm) GWB 1/4” (6.4 mm) GWB

4.0 Assessment of Existing Condition - 4.1 Exterior Architectural Assessment

2x4 (38x89 mm) wood studs
R-14, 3.5” thk. mineral fibre insulation (e.g. Rockwool “Comfortbatt”)
6 mil Poly Vapour Barrier
1/4” (6.4 mm) GWB

2x4 (38x89 mm) wood studs (Second interior-furring/stud wall) 2x4 (38x89 mm) wood studs
R-14, 3.5” thk. mineral fibre insulation (e.g. Rockwool “Comfortbatt”) R-14, 3.5” thk. mineral fibre insulation (e.g. Rockwool “Comfortbatt”)
SOUTH ELEVATION
1x6 (19x140 mm) sheathing 2x4 (38x89 mm) wood studs (Second interior-furring/stud wall)
NotBuilding
to Scalepaper (15# Asphalt Felt Paper) R-14, 3.5” thk. mineral fibre insulation (e.g. Rockwool “Comfortbatt”)
Cedar shingle/shakes siding 3/4” (19 mm) sheathing
Windows (see ERA descriptions) Building paper (15# Asphalt Felt Paper)
Prefinished metal (22 Ga.) vertical batten siding to match original

  

  

  

21 City of Edmonton | Hangar 14 Investment Study | February 11, 2022

 3.0 Findings Analysis, and Conclusions
Option 1b Building Envelope Upgrades
Upper Hangar Exterior Walls Hollow Metal Insulated Doors in insulated Pressed-Steel Frames Curtainwall at South Main Entrance

4.0 Assessment of Existing Condition - 4.1 Exterior Architectural Assessment

1/4” (6.4 mm) GWB
6 mil poly VB
Kawneer 1600UT System 1 frame
High-performance IGU’s (dbl.-glazed incl. noble gas fills and Low-E coatings)
1/4” (6.4 mm) GWB Curtainwall at Hangar Doors (if necessary)
2x8 (38x184 mm) wood studs Metal-clad Opaque wall elements at south Entrance Kawneer 1600UT System 2 (SSG) frame
EAST ELEVATION R-28 (7.5” thk.) mineral fibre insulation (e.g. Rockwool “Comfortbatt”) 1/4” (6.4 mm) GWB High-performance IGU’s (dbl.-glazed incl. noble gas fills and Low-E coatings)
Not to Scale 1x6 (19x140 mm) sheathing 6 mil Poly Vapour Barrier Alternative: GlasCurtain “ThermPH” system
Building paper (15# Asphalt Felt Paper) 1/4” (6.4 mm) GWB High-performance IGU’s (triple-glazed incl. noble gas fills and Low-E coatings)
Cedar shingle/shakes siding 2x4 (38x89 mm) wood studs Roof Parapet
$ % &
Windows (see ERA descriptions)
' ( ) *
Single-storey (Lean-to) Element Exterior Walls (also applies to “bump-out” element walls)
+ -    
R-14, 3.5” thk. mineral fibre insulation (e.g. Rockwool “Comfortbatt”)    Pre-finished metal
 cap flashing
and fascia on and wood framing
plywood substrate 
2x4 (38x89 mm) wood studs (Second interior-furring/stud wall)
1/4” (6.4 mm) GWB R-14, 3.5” thk. mineral fibre insulation (e.g. Rockwool “Comfortbatt”)

4.0 Assessment of Existing Condition - 4.1 Exterior Architectural Assessment

6 mil poly VB
1/4” (6.4 mm) GWB
3/4” (19 mm) sheathing
Building paper (15# Asphalt Felt Paper)
2x4 (38x89 mm) wood studs Prefinished metal (22 Ga.) vertical batten siding to match original
R-14, 3.5” thk. mineral fibre insulation (e.g. Rockwool “Comfortbatt”)

4.0 Assessment of Existing Condition - 4.1 Exterior Architectural Assessment

EAST ELEVATION
Not to Scale
2x4 (38x89 mm) wood studs (Second interior-furring/stud wall)
R-14, 3.5” thk. mineral fibre insulation (e.g. Rockwool “Comfortbatt”)
1x6 (19x140 mm) sheathing
Building paper (15# Asphalt Felt Paper)
EAST ELEVATION
$ % &
Cedar shingle/shakes siding
' ( ) * + -            
Windows (see ERA descriptions)
Not to Scale

$ % & ' ( ) * + -            

            - + * ) ( ' & % $

            - + * ) ( ' & % $

            - + * ) ( ' & % $

WEST ELEVATION City of Edmonton | Hangar 14 Investment Study | February 11, 2022 22
Not to Scale
3.0 Findings Analysis, and Conclusions

Building Systems: Envelope and Interiors

Refer to the Option 1b Heritage and Opportunities and Constraints sections
above as well as to the Building Systems: Envelope and Interiors descriptions
in Option 1a above.

Building Systems: Structural

Design Criteria:
The option 1b design criteria consist of a building rehabilitation to extend
the life by 20 years with 50% GHG reductions. The structural impacts
associated with this option include the recommendations made in previous
BCAs, increased roof load due to extra insulation and potential PV panels,
an allowance for increased snow load due to future development of the
Blatchford area and snow drift from rooftop PV panels.
Wall Foundations
Option 1b Recommendation: Same recommendations as option 1a.
Column Foundations
Option 1b Recommendation: Same recommendations as option 1a.
Slabs On Grade
Option 1b Recommendation: Same recommendations as option 1a.
Mezzanine
Option 1b Recommendation: Same recommendations as option 1a.
Roof
Option 1b Recommendation: Repair and remediate existing roof trusses
as per the recommendations made in the 2019 BPTEC report., with extra
analysis required to determine the roofs capacity to potentially support PV
panels with associated drift loads.
Canopies
Option 1b Recommendation: Same recommendations as option 1a.
Existing hangar Warren roof truss assemblies and timber columns.

23 City of Edmonton | Hangar 14 Investment Study | February 11, 2022

3.0 Findings Analysis, and Conclusions

Building Systems: Mechanical

Option 1b Design Criteria: Mechanical Heating And
Ventilation System
The option 1b design criteria consist of a building rehabilitation to extend
the life by 20 years with 50% GHG reductions. Two existing 55,000 CFM,
gas-fired furnaces provide heating and ventilation air to the entire facility,
through below slab air distribution ductwork. One furnace is no longer
operational and is currently being used as spare parts for the remaining
operational unit, as spare parts are not available. This has resulted
in un-even air distribution throughout the facility, creating zones of in
which areas are heated and ventilated and zones that are unheated
and unventilated. Outdoor air appears to be supplied mainly through
infiltration and exchange through the building envelope.

Recommendations: The recommendation for Option 1b is to replace

both furnaces with similar performing units as noted in Option 1a. This
will allow for higher efficient gas burners and parts will be available for
future repairs and provide 7,500 CFM of outdoor air to the facility.

Secondly, for increased energy savings, include a heat recovery wheel to

transfer energy from the building exhaust air (for 500 people maximum)
to the incoming outdoor air.

Finally, instead of reusing the under-slab air distribution system, a new

above ground ductwork around the perimeter of the building would be
used. To increase comfort of the occupants, ducting will create an east
and west zone, using galvanized steel and duct sock ducting throughout
the building. The offices and workshops would then be tied into the
building furnace system.
Domestic Hot Water Heaters
Same as Option 1a.
Existing furnace room and original gas-fired furnaces.

City of Edmonton | Hangar 14 Investment Study | February 11, 2022 24

3.0 Findings Analysis, and Conclusions

Building Systems: Electrical

Option 1b Design Criteria: Power Distribution System
Option 1b Recommendation: The recommendation for Option 1b is the
same as 1a which includes a full system replacement.

Additional recommendations for increased energy savings would include

the addition of a PV system for solar energy harvesting to offset GHG
emissions and provide clean energy to the facility.
Lighting System
Option 1b Recommendation: In addition to what is recommended for
Option 1a, we recommend the implementation of daylight harvesting
where possible in the facility through the use of daylight sensors.
Emergency Lighting
Option 1b Recommendation: The recommendation is the same as for
Option 1a.
Telephone/Data Cabling System And Building Service
Option 1b Recommendation: The recommendation is the same as for
Option 1a.
Fire Alarm System
Option 1b Recommendation: The recommendation is the same as for
Option 1a.

Daylight harvesting in existing hangar museum exhibit space (L) Existing fluorescent troffer ceiling fixtures in wood
working shop (R)

25 City of Edmonton | Hangar 14 Investment Study | February 11, 2022

3.0 Findings Analysis, and Conclusions

Fuel consumption - proposed case

Energy and Emissions: > 50% Improved over Base Energy and Emissions: Improved Baseline

Case GHG Emissions Miscellaneous

Mechanical
The Option 1b lifecycle investment scenario introduced additional equipment
building envelope and other measures to bridge the gap between
Lights
the preliminary savings identified in Option 1a and the targeted 50%
GHG reduction relative to the existing facility. These measures were 6%
focused on the interior of the envelope to prioritize maintaining the 9.1%
Heritage elements of the building exterior. The measures were also
developed specifically to avoid intervention in the existing main hangar
roof structure that would likely be inadequate to support additional
insulation material.

84.8%

Space
heating

Fuel consumption - proposed case

Section kWh %

Space heating 575,045 84.8%

Lights 61,936 9.1%
Mechanical equipment 40,856 6%
Miscellaneous 87 0.01%
Hot water 87 0.01%

City of Edmonton | Hangar 14 Investment Study | February 11, 2022 26

3.0 Findings Analysis, and Conclusions

3.4 Option 2a: 40 Year Rehabilitation

Opportunities and Constraints
Refer to the Option 1a Heritage and Opportunities and Constraints
sections above as well as to the Building Systems: Envelope and Interiors
descriptions in Option 1a.

Heritage: Goals and Impacts

Further to the work described in Option 1a above, the following heritage-
related items have been identified as requiring remedial work in order
to maintain the existing Character Defining Elements and supporting
structure over a period of 40 years, in order of priority:

• 100% replacement of existing wood shingle siding and soffits,

including related flashings, with new painted wood to match;
reinstall as new rainscreen assembly c/w new air barrier
membrane, battens and counter-battens; provide local repairs to
existing underlying sheathing as needed;
• Perform localized repairs to roof structure as needed;
• Perform localized repairs to east canopy soffit as needed.

Building Systems: Envelope & Interiors

Refer to Option 1a.

Existing original hangar and man-door assemblies.

27 City of Edmonton | Hangar 14 Investment Study | February 11, 2022

3.0 Findings Analysis, and Conclusions

Building Systems: Structural

Design Criteria:
The option 2a design criteria consist of a building rehabilitation to extend
the life by 40 years without any specified GHG reductions.

The structural impacts associated with this option include the

recommendations made in previous BCAs, increased roof load due to
extra insulation, and an allowance for increased snow load due to future
development of the Blatchford area.
Wall Foundations
Option 2a Recommendation: Same recommendations as option 1a.
Column Foundations
Option 2a Recommendation: Same recommendations as option 1a.
Slabs On Grade
Option 2a Recommendation: Same recommendations as option 1a.
Mezzanine
Option 2a Recommendation: Same recommendations as option 1a.
Roof
Option 2a Recommendation: Same recommendations as option 1a.
Canopies
Option 2a Recommendation: Same recommendations as option 1a.

Existing wood truss roof structure above hangar museum exhibit space.

City of Edmonton | Hangar 14 Investment Study | February 11, 2022 28

3.0 Findings Analysis, and Conclusions

Building Systems: Mechanical

Option 2a Design Criteria: Mechanical Heating And
Ventilation System
The option 2A design criteria consists of a building rehabilitation to
extend the life of the building by 40 years with out any specified GHG
reductions.

This will be the same as 1A.

Building Systems: Electrical

Option 2a Design Criteria: Power Distribution System
Option 2a Recommendation: The recommendation for Option 2a is the
same as 1a which includes a full system replacement.
Lighting System
Option 2a Recommendation: The recommendation for 2a is the same as
for 1a.
Emergency Lighting
Option 2a Recommendation: The recommendation is the same as for
Option 1a.
Telephone/Data Cabling System And Building Service
Option 2a Recommendation: The recommendation is the same as for
Option 1a.
Fire Alarm System
Option 2a Recommendation: The recommendation is the same as for
Option 1a.

Existing cast-in furnace supply duct outlet (L) and existing building water services entry point (R).

29 City of Edmonton | Hangar 14 Investment Study | February 11, 2022

3.0 Findings Analysis, and Conclusions

Energy and Emissions: Energy Performance

• The Option 2a and 2b lifecycle investment scenarios followed their
Option 1 scopes but considered any anticipated performance
improvements from planned replacement of building components.
There are opportunities for improvements in building envelope
performance and durability, but a conservative approach was
taken rather than assuming available performance improvements
from future technological advancements for replacement
equipment. Refer to performance (energy model outputs pie chart)
for Option 1a

Typical ceiling/roof assembly of wood joists, insulation, vapour barrier and gypsum panel ceiling at existing east and
west lean-to elements

City of Edmonton | Hangar 14 Investment Study | February 11, 2022 30

3.0 Findings Analysis, and Conclusions

3.5 Option 2b: 40 Year Rehabilitation with

50% GHG Reductions
Opportunities and Constraints: Synthesis
The main opportunities for improvement within this option are the same
as those outlined in Option 1b above plus those lifecycle improvements
sustained through targeted repairs and replacements of roofing, glazing,
and mechanical system components and assemblies over the full 40-year
lifecycle parameters of the of the study

Heritage: Conserve and Sustain

Further to the work described in Option 1b above, the following
maintenance items have been identified in order to maintain the existing
Character Defining Elements and supporting structure over a period of
40 years, in order of priority:

• 100% replacement of joint sealants at exterior windows, doors,

walls and related flashings (assume once every 6-10 years);
• 100% replacement of weatherstripping at exterior doors, including
hangar doors (assume once every 6-10 years);
• Perform localized repairs to roof structure as needed;
• Perform localized repairs to east canopy soffit as needed;
• Perform localized wood soffit and shingle siding repairs, where
damaged or missing (assume 5% repairs over 2 to 3-year, 6 to 10-
year and 11 to 20-year timeframes);
• Strip, prime and repaint interior wood roof structure and timber
wall framed elements (assume once every 11 to 20 years);
• Repaint exterior wood siding and soffits (assume once every 6-10
years). Existing hangar roof structure.

31 City of Edmonton | Hangar 14 Investment Study | February 11, 2022

3.0 Findings Analysis, and Conclusions

Building Systems: Envelope and Interiors Building Systems: Structural

Refer to descriptions for Option 1b. Design Criteria:
The option 2b design criteria consists of a building rehabilitation to
extend the life by 40 years with 50% GHG reductions.

The structural impacts associated with this option include the

recommendations made in previous BCAs, increased roof load due to
extra insulation and potential PV panels, an allowance for increased
snow load due to future development of the Blatchford area and snow
drift from rooftop PV panels.

Wall Foundations
Option 2b Recommendation: Same recommendations as option 1a.

Column Foundations
Option 2b Recommendation: Same recommendations as option 1a.

Slabs On Grade
Option 2b Recommendation: Same recommendations as option 1a.

Mezzanine
Option 2b Recommendation: Same recommendations as option 1a.

Roof
Option 2b Recommendation: Same recommendations as option 1b.

Canopies
Option 2b Recommendation: Same recommendations as option 1a.

Existing office space at east side of Hangar (top) and ad Existing roof truss, side wall, and underside of roof
hoc insulation installation at hangar doors (bottom) deck elements.

City of Edmonton | Hangar 14 Investment Study | February 11, 2022 32

3.0 Findings Analysis, and Conclusions

Building Systems: Mechanical

Option 2b Design Criteria: Mechanical Heating And
Ventilation System
The Option 2b design criteria consist of a building rehabilitation to
extend the life of the building by 40 years with 50% GHG reductions.

This will be the same as 1b.

Building Systems: Electrical

Option 2b Design Criteria: Power Distribution System
Option 2b Recommendation: The recommendation for Option 2b is the
same as 1b which includes a full system replacement and a PV system.
Lighting System
Option 2b Recommendation: The recommendation for Option 2b is the
same as 1b.
Emergency Lighting
Option 2b Recommendation: The recommendation is the same as for
Option 1b.
Telephone/Data Cabling System And Building Service
Option 2b Recommendation: The recommendation is the same as for
Option 1b.
Fire Alarm System
Option 2b Recommendation: The recommendation is the same as for
Option 1b.

Existing woodworking shop interior with overhead door from hangar interior.

33 City of Edmonton | Hangar 14 Investment Study | February 11, 2022

 Energy (kWH) Existing Option 1a/2a Option 2a/2b Option
Hot Water3 0% 0% 0% 0%
8593 m2 70%
Space Heating 1,421,332 1,162,382 575,045 Space Heating 2,000,000
263,593 1,421,332$0.0211,162,382
$/kWh 575,045 263,593 2,000,000 0.187 kg/kWh = tonne/MWh
2021.12.07 Electricity $0.186 $/kWh Electricity 60% 0.239 kg/kWh = tonne/MWh
Lights 112,749 61,936 61,936 Lights
57,541 112,749 61,936 61,936 57,541
1,500,000 1,500,000
50%
Mechanical Equipment 47,908 40,621 40,856 Mechanical
48,143 Equipment 47,908 40,621 40,856 48,143 40%
Hot Water 300 87 Existing 87 Hot Water 87 1,000,000 Option
300 1a/2a 87 87 87 Option 1b/2b
1,000,000 Option 3

3.0 Findings Analysis, and Conclusions

30%
Energy End Uses: Energy (kWh) Energy (%) Cost ($) GHG (tonnes) Energy (kWh) Energy (%) Cost ($) GHG (tonnes) Energy (kWh) Energy (%) Cost ($) GHG (tonnes) Energy (kWh) Energy (%) Co
20%
Space heating 1,421,332 90% $ 30,527 500,000
266 1,162,382 92% $ 24,965 218 500,000
575,04510% 85% $ 12,350 108 263,593 71% $
Lights 112,749 7% $ 20,971 27
-
61,936 5% $ 11,520 15 61,936 0% -
9% $ 11,520 15 57,541 16% $
Mechanical equipment 47,908 3% $ 8,911 11 40,621
Existing 3%
Option 1a/2a $ 7,556
Option 1b/2b 10
Option 3 40,856 6%
Existing $
Existing 7,599
Option 1a/2a1a/2a
Option 10
Option 1b/2b
Option 48,143
1b/2b Option 3 3 13%
Option $
Hot water 300 0% $ 56 0 87 0% $ 16 0 87 0% $ 16 0 87 0% $
Space
SpaceHeating Lights Mechanical
MechanicalEquipment Hot
HotWater
TOTAL 1,582,289 100% $ 60,465 305 Space Heating
1,265,026 Lights Mechanical Equipment
100% $ 44,057 Hot Water 242 677,924 100% $Heating31,486Lights
132Equipment 369,364 Water
100% $
Energy Use Intensity, EUI (kWh/m2) 184 147 79 43
Energy (%) Thermal Energy Demand Intensity,
Existing OptionTEDI
165(kWh/m2)
1a/2a Option 2a/2b Energy
Option
Cost ($)3(%) 135
Existing
Existing Option1a/2a
Option 1a/2a Option
Option2a/2b
2a/2b Option33
Option 67 31
GHG Reduction Energy (%) 20% Energy
Cost ($)(%)
57%
Space Heating 90% 92% 85% SpaceHeating
Space Heating
71% $ 90% $
30,527 24,96592% $ 85% $
12,350 71%
5,661
Lights Energy and Emissions:7%Path to Net 5% Zero 9% Lights 16%
Lights 100% $ 20,9717% $ 11,5205% $ 11,5209% $ 16%
10,703 100%
$70,000
Mechanical Equipment 3% 3% 6% Mechanical 90%
Equipment
13%Equipment
Mechanical $ 8,9113% 7,5563% $
$ (kWh) 7,5996% $ 13%
8,955 90%
Energy $60,000
80%
Energy (kWH)
Hot Water Existing Option 1a/2a Option 2a/2b Option 3
HotWater
Water 80%
560% $ 160% $ 160% $ 160%
As mentioned in the Option 2a0%summary, The 0%Option 2b life-cycle
0% Hot 0%
70%
$
70%
$50,000
Space Heating 1,421,332 1,162,382 575,045 263,593 2,000,000
Lights investment scenario followed the Option
112,749 1b scope but61,936
61,936 considered any
57,541 60% 60%
$40,000
1,500,000
50% 50%
anticipated
Mechanical Equipment performance improvements
47,908 from
40,621 planned replacement
40,856 of
48,143
40% $30,000
40%
Hot Water 300
building components. The Hangar 87
14 Investment 87
Study includes energy 87 1,000,000
30% 30%
$20,000
model analysis to evaluate options for rehabilitation or replacement 20%
500,000 20%
10% $10,000
10%
of the building. Energy modeling was used to assess the energy and 0%
0% - $-
greenhouse gas (GHG) performance of the existing building as well as Existing
Existing Option
Option 1a/2a
1a/2a Option1b/2b
Option 1b/2b Option
Option33 Existing
Existing Option 1a/2a
Option 1a/2a Option1b/2b
Option 1b/2b Option
Option 33
the proposed life-cycle alternatives, to develop operating cost estimates Space
SpaceHeating
Heating Lights
Lights Mechanical
MechanicalEquipment
Equipment Hot
HotWater
Water Space
Space Heating
Heating Lights
Lights Mechanical
Mechanical Equipment
Equipment HotHot Water
Water
and estimate GHG reductions for each investment scenario. Each bundle
Energy (%) of rehabilitation measures
Existing for Options 1a through
Option 2b were identified
Cost ($) Existing Option1a/2a
1a/2a Option
Option2a/2b
2a/2b Option
Option
GHG 33
CostTonnes
($) Existing
Existing Option
Option
Energy 1a/2a Option
1a/2a
(%) Option2a/2b
2a/2b Option33
Option
Space Heating
Space Heating and analyzed$ in line with the City’s
90%
30,527 $ new C627
92% Climate
24,965 $ Resilient
85% Policy
Space
12,350 $ Space5,66171%
Heating $ 30,527 Cost
$ ($)24,965 $ 12,350 $ 5,661
Cost
GHG ($)
Tonnes
Heating 266 218 108 49
Lights
Lights and subsidiary
$ administrative 7%procedure
20,971 $ 5%
Climate
11,520 $ Resilient9%
Design and
Lights
11,520 $ Lights 16%
10,703 100%
$70,000 $ 20,971
27 $ 11,520
15 $ 11,520
15 $ 10,703
14 $70,000
350
Mechanical Equipment 3% 3% 6% 13% 90%
Mechanical Equipment
Construction$ of City Buildings.8,911
The$accompanying
7,556 $ table7,599
and bar Mechanical
$ Mechanical Equipment
8,955 Equipment
graphs $60,000 $ 8,911
11 $ 7,556
10 $ 7,599
10 $ 8,955
12 $60,000
300
80%
Hot
HotWater
Water 0% 0% 0% $ Hot 0%
HotWater
Water $ 56 $ 16 $ 16 $ 16
on this page$ capture a summary 56 $ 16 $
of energy end uses, cost,16emissions 16 70%
$50,000
0 0 0 0
$50,000
250
60%
and comparative percentage contributions, for all rehabilitation options, $40,000
50% $40,000
200
the existing building and new replacement. A complete tabulation of 40%
$30,000 $30,000
150
the energy units (inputs), utility rates (costs), and emissions intensities for 30%
$20,000 $20,000
100
20%
electricity and natural gas, can be found in the Appendix. $10,000
10% $10,000
50
0% $- $-
-
Existing Option 1a/2a Option 1b/2b Option
Option33 Existing Option 1a/2a Option 1b/2b Option
Existing Option 1a/2a Option 1b/2b Existing Option 1a/2a Option 1b/2b Option 33
Space
SpaceHeating
Heating Lights
Lights Mechanical
MechanicalEquipment
Equipment Hot
HotWater
Water SpaceHeating
Space Heating Lights
Lights MechanicalEquipment
Mechanical Equipment HotWater
Hot Water

Cost
GHG($) Existing Option
Option1a/2a
1a/2a Option
Option2a/2b Option 33
GHG Tonnes Existing Option
Space
Tonnes Existing 2a/2b Option Cost
GHG ($) 1a/2a
Tonnes
Option 2a/2b Option 3
GHG Tonnes
SpaceHeating
Heating $ 30,527
266 $ 24,965
218 $ 12,350
108 $ 5,661
Space Heating
49 266 218 108 49
Lights
Lights $ 20,971
27 $ 11,520
15 $ 11,520
15 $EXISTING
10,703
Lights 14 $70,000
350 27 15 15 14 OPTION
350
OPTION 1A/2A 1B/2B OPTION 3
Mechanical Equipment
Mechanical Equipment $ 8,911
11 $ 7,556
10 $ 7,599
10 $ 8,955
Mechanical
12 Equipment
$60,000 11 10 10 12
Energy End Uses: Energy (kWh) Energy (%) 300(tonnes)
Cost ($) GHG Energy (kWh) Energy (%) Cost ($) GHG (tonnes) Energy (kWh) 300 Cost ($) GHG (tonnes)
Energy (%) Energy (kWh) Energy (%) Cost ($) GHG (tonnes)
Hot
HotWater
Water $ 560 $ 16 0 $ 16 0 $ 160
Hot Water 0 0 0 0
Space heating 1,421,332 90% $30,527 $50,000
250 266 1,162,382 92% $24,965 218 575,045 250
85% $12,350 108 263,593 71% $5,661 49
Lights 112,749 7% $20,971 $40,000
200 27 61,936 5% $11,520 15 61,936 9%
200 $11,520 15 57,541 16% $10,703 14
Mechanical equipment 47,908 3% $8,911 $30,000
150 11 40,621 3% $7,556 10 40,856 6%
150 $7,599 10 48,143 13% $8,955 12
Hot water 300 0% $56 $20,000 0 87 0% $16 0 87 0% $16 0 87 0% $16 0
100 100
TOTAL 1,582,289 100% $60,465 305 1,265,026 100% $44,057 242 677,924 100% $31,486 132 369,364 100% $25,335 75
$10,000
50 50
Energy Use Intensity, EUI (kWh/m2) 184 147 79 43
Thermal Energy Demand Intensity, TEDI (kWh/m2) 165 - $- 135 67 -
31
Existing
Existing Option1a/2a
Option 1a/2a Option 1b/2b
Option 1b/2b Option
Option33 Existing Option 1a/2a Option 1b/2b Option 3
GHG Reduction 20% 57% 76%
Space
SpaceHeating
Heating Lights
Lights Mechanical
MechanicalEquipment
Equipment Hot
HotWater
Water Space Heating Lights Mechanical Equipment Hot Water

GHG Tonnes Existing Option 1a/2a Option 2a/2b Option 3 City of Edmonton | Hangar 14 Investment Study | February 11, 2022 34
GHG Tonnes
Space Heating 266 218 108 49
Lights 27 15 15 14 350
3.0 Findings Analysis, and Conclusions

3.6 Option 3: New Zero Emissions

Warehouse
Opportunities and Constraints
The rehabilitation options described above are based on in-person
visual assessments and a review and validation of past condition
assessments, structural analyses and conservation plans of the exiting
facility. The replacement facility, while based on the existing in terms of
overall size and scale, is an entirely theoretical model. To paraphrase
the famous statistical aphorism, “all models are wrong, some are useful”.
The intent of Option 3, therefore, is to create model that is useful to the
City of Edmonton for the purposes of comparing a range of known,
quantifiable or reliably predictable performance outcomes tied to either
a replacement or rehabilitation scenario. This new model is based on
an outline specification of mature, readily available building systems
technologies and the same amount and type of basic program area as
exists in the original building.

The new building is based on discrete but contiguous office and

warehouse zones, similar in gross floor area to those in the original,
arranged into a typical, contemporary office-warehouse format. The
office zone is consolidated into a 2-storey block or bar that in length is
matched to longest aspect of the new warehouse block and in width is
based on an aggregation of rooms and spaces arranged along a set
of double-loaded corridors along the same axis. This differs somewhat
from the existing building wherein these spaces are arranged as three
discrete, linear bands accessed directly from the main hangar space.
There is an internal, two-level (main and mezzanine) band, plus two
flanking or external “lean-to” bands.

The new facility also differs from the original with respect to the types,
locations, and extents of the mechanical, electrical, and building Example of light steel frame building office interior (Pure Technologies, GEC Architecture)
envelope systems. However, its primary structural system mimics the
original with respect to the relative extents and arrangement of long-
span, column-free spaces of the warehouse (main hangar) volume and

35 City of Edmonton | Hangar 14 Investment Study | February 11, 2022

3.0 Findings Analysis, and Conclusions

the shorter spans of the office (served) and other contiguous (services
and support) spaces.

The mechanical system of the new facility takes a de-coupled approach

to providing heat and fresh air and exhaust to and from building
occupants and other heating and cooling loads or processes within the
building. The main difference is in the working fluids, air, and water, and
how these are used to store, convey, and release thermal energy, fresh
and contaminated air. The theoretical design of the new facility also
takes an intentionally adaptive and resilient approach to the source and
type of energy used to heat and cool these working fluids. This contrasts
with the entirely airside provision of heat and mostly passive ventilation
air exchange of the original, delivered through cast-in slab-edge duct
works and outlet points at the perimeter of the main hangar and leaks in
the envelope, respectively.

The same approach is assumed for the provision of light throughout the
facility wherein abundant daylight and electric lighting are provided
and controlled, variously, through passive and active means using high-
performance glazing, occupancy and light-level sensors and automated
controls. Allowances have also been made in the replacement building
for accommodating the task or hazard-specific requirements of the
woodworking and spray-painting spaces of the original. It is assumed
that the mature technologies of these “state-of-the-shelf” mechanical,
electrical, and envelope systems will be optimized to achieve
performance levels that would be considered closer to “state-of-the art”
by contemporary standards for this building type. The intent is, through
greater levels of optimization, for any premium paid, up front in either or
both soft and capital costs, to be recouped or offset by lower operations
and maintenance costs over the 40-year lifecycle period set for the study.

Other than the obvious differences noted above, the most meaningful
changes from old to new have mainly to do with materials. The wood- Example of mass timber building office interior (GEC office; West Block, GEC Architecture)
based superstructure, secondary structural and non-structural wall and
partition framing, structural roof decking, and exterior cladding of the
original are here replaced by a typical, all-steel, office-warehouse

City of Edmonton | Hangar 14 Investment Study | February 11, 2022 36

3.0 Findings Analysis, and Conclusions

system of columns, trusses, joists, and metal deck wrapped by a high-

performance, super-insulated building envelope. The latter comprises
highly-insulated roofing assemblies and prefabricated, pressure-
equalized rainscreen wall panels and roof monitors with triple-glazed
window assemblies.

This approach has been taken to create a typical, comparative analog

building in terms of what is a standard offering in this building type in
the local market. However, it is worth noting that all-wood deigns, utilizing
mass-timber, or mass-timber/steel and concrete hybrids, are rapidly
approaching the same levels of technological maturity and market
penetration as comparably-scaled, all-steel and concrete versions.
While an all-wood or hybrid version of the same building might result
in only minor differences in life-cycle operational energy and emissions
performance compared to the typical steel-framed basis of design, there
are measurable differences in the net life-cycle embodied carbon of one
approach relative to the other.

Depending on local market conditions, as well as the state of regional

and even international supply-chains, it is possible that the current capital
cost premium for an all-wood version of this building type could be
significantly reduced or even eliminated. From a capital cost standpoint,
this near parity would warrant serious consideration given the other
well-documented virtues of mass-timber buildings with respect to off-site
fabrication, ease and speed of erection, finer construction tolerances,
occupant health and satisfaction, life-safety code compliance, and
insurability to name just a few.

A further study of the feasibility of utilizing, through partial or complete

deconstruction and repurposing, the original timber framing of the
existing facility in a new mass-timber or mass-timber hybrid building
could also be undertaken. This may offer ways to extend and conserve
the value of the embodied carbon of these materials while similarly Example of steel frame warehouse interior (Oxford Business Park Development, GEC Architecture)
reducing demand for new materials in the new one.

37 City of Edmonton | Hangar 14 Investment Study | February 11, 2022

3.0 Findings Analysis, and Conclusions
Building Systems: Outline Specification
1 Structural systems for the office-warehouse replacement facility
are based on standard, stick-built or post-and-beam steel systems
adopting a similar or even identical structural grid or comparable
analog with respect to the long-span and short-span primary
elements.
2 Building envelope for office and warehouse to be based on off-site,
modular fabrication (see ‘MOD Panel’ and ‘GlasCurtain’ custom
wall panel and fiberglass curtain wall systems, respectively, from
local manufacturers), Passive House-level effective R-values and air-
tightness
• Assume effective R-value of office exterior walls to be min. 22.
• Assume effective R-value of warehouse north opaque walls
(without high-bay doors) to be min. 38.
• Assume effective R-value of warehouse east and west walls (with
high-bay doors) to be min. 28.
• Assume effective R-values of warehouse roof (with roof monitor
glazed openings equal to approx. 35% of roof area) to be R25
overall and roof of office (with multiple roof monitors down central
corridor) to be min. R25 overall.
• Exterior wall cladding, warehouse: Standard prefinished metal;
office: FRC (e.g. Hardi-Panel, fibre-C or Swiss Pearl.
• Roofing systems to be 2-ply SBS with high-emissivity (cool roof,
Energy Star rated) finish for office and warehouse.
3 Interiors: Office block is configured as a 16.5 m deep bar down the
longest side of the warehouse, with a 2-hr FRR separation between
the two elements
• Arranged on two floors, with a double-loaded corridor; add/allow
for fire compartments and vertical circ. (incl. elevator), etc. as
needed to meet code.
• Total depth of office bar is 16.5 m (to keep it simple, imagine a
1.5m-wide corridor bisecting/serving two equal 7.5 m deep floor
plates).
• Interior Finish to basic but durable standard with minimal interior
applied finishes (e.g. polished concrete and carpet tile floors,
fixed and moveable interior partitions, exposed ceilings with
visible soffits plus targeted areas of suspended gypsum and LAT
ceilings for acoustic privacy, FRR continuity, etc.
4 Mechanical systems to be tailored/optimized for each space/zone:
• Office and warehouse to incorporate de-coupled heat/cool and
ventilation approach with heat recovery (desiccant wheel or
similar). Consider using heat pumps powered by BIPV or off-site
renewables as a further energy and emissions reduction strategy.
• Warehouse to incorporate ceiling fans, air curtains, and
mechanical rooftop mechanical AHU “doghouse” elements along
center column line as needed to maintain (pick set-point for
building type per latest ASHRAE reference standard).
5 Lighting to be based on high degree of daylight harvesting in both
components:
• Floor plate depth in office block is optimal for south half to be
side-lighted and rear half to be top-lighted (Assume WWR of .35
and glazing thermal performance optimized for min. 68% VLT).
• Warehouse to utilize roof monitors or saw-tooth elements that have
the vertical glazing facing north and the sloped roofs facing south
ready for PV mounting.
• On-site renewables: BIPV (roof and façade-mounted) to be
considered for application on saw-tooth roof monitors of
warehouse and as sloped window shading elements on south
office façade.
Pure Technologies, GEC Architecture
City of Edmonton | Hangar 14 Investment Study | February 11, 2022 38
3.0 Findings Analysis, and Conclusions

Building Systems: Structural Roof

Option 3 Design Criteria: Option 3 Recommendation: The new roof structure will be a metal deck
diaphragm supporting all anticipated design loads (snow, storm water,
The option 3 design criteria consists of a full building replacement with
roofing assemblies, light monitors, and photovoltaic systems). The existing
a zero-emissions warehouse facility utilizing standard steel framing,
structural wood decking of the original could be analyzed for potential
concrete foundations, and slab-on-grade construction in a typical office-
reuse in an all-wood version of the new building. Likewise, the existing
warehouse format.
roof trusses could be analyzed by a qualified professional to determine
Wall Foundations the most environmentally sustainable material selection for use in an all-
Option 3 Recommendation: Walls will be supported on either or both wood (mass-timber or stick-built hybrid) structure.
cast-in-place, grade beam-on-pile and strip footing foundations. As an
added option, within a broader sustainability strategy of re-using or
repurposing some or all the existing wall foundations in the new facility,
a further assessment could be performed to determine their suitability
and capacity more accurately.
Column Foundations
Option 3 Recommendation: Columns will be supported on cast-in
place concrete piles or piers. As above, the existing building’s column
foundations could be assessed to determine their suitability to be re-used
as part of the new building structure.
Slabs On Grade
Option 3 Recommendation: concrete slabs on grade will be used for the
main floor of the office block and warehouse. These will be designed
to accommodate in-slab hydronic heating lines where required in both
office and warehouse components. As above, options for re-use or re-
purposing (as opposed to re-cycling) of all or parts of the existing slab-
on-grade structure could be further assessed.
Second-Floor Composite Floor Slabs
Option 3 Recommendation: These slabs will be composite one-way
slabs utilizing metal deck and reinforced concrete. There may be limited Airdrie Transit Operations Centre: Steel frame Office- Mass timber office interior; West Block, GEC Architecture
scope for repurposing structural steel from the mezzanine structure of the Warehouse format (GEC Architecture)
existing building.

39 City of Edmonton | Hangar 14 Investment Study | February 11, 2022

3.0 Findings Analysis, and Conclusions

Fuel consumption - proposed case

Building Systems: Mechanical The lighting will be comprised of all new LED fixtures, controlled with a Energy and Emissions: ENBR and Beyond
new relay-based lighting control system. The fixtures and controls will
Option 3 Design Criteria: Mechanical Heating And Ventilation Miscellaneous
be designed to meet or exceed the controls requirements set out by the
System Mechanical
NECB 2017. This will ensure that the facility is highly efficient in terms of
The option 3 design consists of a full building replacement with a new equipment
energy used by lighting.
zero emissions warehouse facility of similar size and design. Heating
would be through in-slab hydronic system provide heat to the office and The life safety systems will be designed to meet modern code 13%
warehouse spaces from a central boiler. In-slab heating will provide heat requirements and will include a new addressable fire alarm safety,
where the people are at low level, instead of heat accumulating at high emergency lighting installed throughout the space, and new LED running
level. Initially the boiler would be a gas-fired unit that may be replaced man type exit signs. Lights
in the future by a new gas-fired or electrically heated boiler. 15.6%
The communications systems will be designed to suit a modern facility
Ventilation of the office and warehouse space would be by multiple heat with CAT6 cable run throughout and data racks located as necessary.
recovery ventilators (HRV). The quantity of HRVs depend on the layout of Wireless access points will be installed throughout the facility as well.
the spaces to better serve the occupants. A new facility will also allow an integrated design of a photovoltaic
Air movement would be provided by ceiling fans in the office space system on the roof or the site further reducing emissions and providing 71.4%
and giant fans in the warehouse. Fans would help move warm air a source of renewable energy to the facility. Infrastructure would also be Space
accumulating near the ceiling down during the winter and help circulate considered for future electric vehicle charging stations heating
air in the summer. Energy and Emissions: 50% GHG Reductions
Analysis
The option 2a or 2b rehabilitation will allow replacement or upgrades
Energy and Emissions: Net-Zero Ready
to the mechanical systems over a longer time frame that will allow The Option 3 lifecycle investment scenario modelled a replacement
for new technologies to be incorporated as they become available or building using similar geometry and occupancy inputs but with design
economical, while using the existing building. measures based on approximately 20% more stringent than NECB
Fuel consumption - proposed case
2017 prescriptive requirements, LEED Silver energy requirements, and
a Thermal Energy Demand Intensity (TEDI) value less than 80 kWh/m2 Section kWh %
Building Systems: Electrical
as per the City’s climate resilient design requirements. The resulting Space heating 263,593 71.4%
Option 3 Design Criteria design scope provides a highly efficient, solar-ready building. Using Lights 57,541 15.6%
A completely new facility will allow the electrical service to be sized to the emissions neutral pathway described in the 2020 Integral report,
Mechanical equipment 48,143 13%
suit the needs of the space and will allow for a single new electrical this would place Option 3 somewhere in the range of an “Efficient +
Electrified Building” (ENBR) and a net-zero-emissions-ready building. Miscellaneous 87 0.02%
service to be brought into the facility. Power distribution will be designed
to suit the needs of the spaces including museum and workshop power Hot water 87 0.02%
This would result in a building with the capacity to achieve zero emissions
requirements.
with the addition of on-site renewable energy (such as rooftop solar
photovoltaic panels) and off-site renewables for remaining offsets.

City of Edmonton | Hangar 14 Investment Study | February 11, 2022 40

3.0 Findings Analysis, and Conclusions
Option 3: Outline Specification
Element/Systems Quantity Size/Capacity Material(s) Component(s) Assembly(ies) Performance Metric(s)
New (proposed) per CoE Net-
Zero Policy/Reference Standard(s)
As %’age improvement?
Office Block 2-storey: 16.5m deep x 97.5 m Glulam timber frame or hybrid with steel/concrete. Superstructure Embodied carbon
long x 10 m high Steel frame Mass Timber or Base/foundations Operational carbon
1 Mass Timber Hybrid CLT floor (with concrete topping) and roof decks,
shear walls, with Concrete piles and SOG
Warehouse Embodied carbon
Single-storey: 68 m wide by 97.5 Superstructure
m long x 11 m high Steel trusses, OWSJ’s, purlins, etc.; concrete SOG Operational carbon
1 Steel and concrete Base/foundations
and piles Recycled content (steel); SCM’s
(concrete)
Structural Warehouse: Spans/spacing
based approximately on original
2 structural grid. As Above As Above As Above As Above
systems Office: based on efficient spans/
spacing for the material(s)
Mechanical Warehouse: mainly airside (ducted supply, ceiling Operational carbon: Gigajoules
Warehouse: RTU’s in doghouse or kWhrs (assumes nat. gas
2 Optimized for each zone/ fans, air curtains at high-bay doors)
N/A assemblies on rooftop primary energy for HE boilers and
systems building Office: de-coupled hydronic heat/airside ventilation, airside HRV’s; electricity for VFD
Office: core/rooftop Mech. Rm.
heat recovery & cooling fans and pumps
Electrical Based on factored typical LPD
(equipment and for each building element (i.e. Digital addressable, occupancy and Operational carbon: W/sqm,
2 LED office and high-bay lighting systems
lighting) accounts for contributions by daylight sensors and controls kWhrs
daylighting and controls/sensors)
Building Envelope Secondary steel girts, Structural wall studs,
(Office) Cold-formed steel, mineral fibre, Off-site fabricated Pressure-equalized
insulation, glass fibre-faced gypsum wall panels,
GFF gypsum, GFR conc., float Rainscreen Exterior wall panel modules
air-moisture barrier, mineral fibre insulation, glass Effective R-value, embodied
1 See above dimensions glass, fiberglass, thermoplastic with high-performance fiberglass
fibre low-conductivity panel support system, fibre- carbon
film, modified bitumen, float curtainwall system (e.g. GlasCurtain,
reinforced conc. wall panels, fiberglass-framed
glass Edmonton)
curtainwall with high-performance IGU’s
Building Envelope CLT or steel roof deck, Modified SBS Vapour retarder, base sheet and Energy-Star
(Office) Effective R-value, embodied
1 See above dimensions bitumen, thermoplastic film, high-emissivity, mineral-faced cap sheet (cool roof), 2-ply SBS Roof carbon
mineral fibre, GFF gypsum insulation, cover board
Building Envelope Cold-formed steel, mineral fibre, Secondary steel girts, Structural wall studs, glass
(Warehouse) GFF gypsum, factory-coated fibre-faced gypsum wall panels, fully-adhered Off-site fabricated, custom wall panel
1 See above dimensions steel, float glass, fiberglass, air-moisture barrier, mineral fibre batt insulation, As Above
modules (e.g. Mod Panel, Edmonton)
thermoplastic film, modified pre-finished architectural metal wall panels on low-
bitumen, float glass conductivity support system
Building Envelope Structural metal roof deck, GFF gypsum panels,
(Warehouse) vapour retarder, semi-rigid mineral fiber insulation,
cover board, fully-adhered, heavy gauge, single- Roof assemblies and skylight/roof
1 See above dimensions As Above
membrane thermoplastic (TPO) membrane (Energy- monitors
Star cool roof) fiberglass-framed curtainwall with
high-performance IGU’s

41 City of Edmonton | Hangar 14 Investment Study | February 11, 2022

[ THIS PAGE INTENTIONALLY LEFT BLANK ]
4.0 Recommendations & Cost Estimates
Based on the identified above options, the following capital cost
estimates, operation and maintenance costs, and appraised values can
be derived. In addition, a net present value has been calculated for
each of the options to provide a neutral comparison of the capital costs
and operation and maintenance costs for all options.
1 The scope of immediate repairs and modest upgrades and 20 and
40-year lifecycle maintenance and repairs associated with Options
1a and 2a have an estimated capital cost of:
2 The scope of immediate and ongoing building envelope and
• Option 1a (1-20 years) - $23,483,942.26
• These costs are based on the architectural, structural, heritage,
mechanical, electrical recommendations from the consultant team
over the next 20-year life of the building
• Estimates include the demolition and renovation costs
• Estimates are inclusive of general requirements, contractor fees,
design and pricing contingency (15%), as well as construction
contingency for change order (10%)
• Estimates have also been adjusted for escalation, renovations
considered immediate have 0% escalation, 2-3 year renovations
have 9% compounded escalation, 4-5 year renovations have
15% compounded escalation, 6-10 year renovations have 24%
compounded escalation and 11-20 year renovations have 42%
compounded escalation
• The escalations are calculated to the mid-point of each of the time
periods, as the renovation could occur any time within the defined
range
• Option 2a (21-40 years) - $10,888,169.32
• These costs are based on the architectural, structural, heritage,
mechanical, electrical recommendation from the consultant team
over the next 21-40 year life span of the building
• All the pricing assumptions for 1a apply to 2a except the time
sensitive escalation numbers
• Compounded escalation for the 21-40 year period is 67%
mechanical system upgrades and 20 and 40-year lifecycle
maintenance and repairs associated with Options 1b and 2b have
an estimated capital cost of:
• Option 1b (1-20 years) - $31,576,802.67
• These costs are based on the architectural, structural, heritage,
mechanical, electrical recommendations from the consultant team
to improve greenhouse gas emissions (GHG) over the next 20-year
life of the building
• All the pricing assumptions for 1a to 1b
• Option 2b (21-40 years) - $10,795,259.50
• These costs are based on the architectural, structural, heritage,
mechanical, electrical recommendations from the consultant team
to improve greenhouse gas emissions (GHG) over the next 21-40
year life span of the building
• All the pricing assumptions for 2a to 2b
3 The scope of immediate replacement of the existing building with a
new zero-emissions warehouse of similar size and design in Option 3
has an estimated capital cost of:
• Option 3 (1-20 years) - $33,197,408.11
• This is predominately the initial capital outlay for the new build
with minor life cycle upgrade assumptions.
• The new warehouse is a theorical model that is built immediate
for comparison purposes and does not incur a delay for design or
construction
• Estimate for the theoretically new construction excludes demolition
of the existing
• Estimate is inclusive of general requirements, contractor fees,
design and pricing contingency (10%), as well as construction
contingency for change order (5%)
• Future estimates for cyclical renewals have also been adjusted
for escalation, the first renewals occur in the 4-5 year period
having 15% compounded escalation, 6-10 year renewals have
24% compounded escalation and 11-20 year renewals have 42%
compounded escalation
• Similarly, to Option 1 and 2 the escalations are calculated to the
mid-point of each of the time periods, as the renovation could
occur any time within the defined range
• Option 3 (21-40 years) - $3,630,855.89
• These costs are based off the cyclical renewals for the theoretical
new build over the 21-40 year time period
• All the pricing assumptions for Option 3 (1-20 year) apply to year
21-40 except the time sensitive escalation numbers
• Compounded escalation for the 21-40 year period is 67%
4.0 Recommendations & Cost Estimates
4 Demolition and salvage of select existing historical components were
not specifically costed in the previous options, however below some
breakout pricing:
• Complete Demolition of Existing - $773,370
• These costs assume demolition, remove of debris from site
• Select Removal of Wood Trusses - $250,000 to $500,000
• There is nearly 3400 meters of wood trusses, so certainly the
number of historical trusses desired to be salvaged and the
required salvage location drive the potential cost of this item
• These costs are in addition to the complete demolition cost
• Select Removal of Electrical Distribution - $5,000 to $10,000
• The historical electrical components are not operational, this
cost is for the proper tagging, storage and transportation of the
equipment for potential reuse for display purposes
• These costs are in addition to the complete demolition cost
5 Operation and Maintenance costs were also considered for each 7 Separate to the estimate values noted above, the Altus Research,
of the options, these are the costs related to keeping the facility Valuation & Advisory (RVA) team also prepared appraised value for
operational outside of the major life cycle component replacement each of the options:
which were includes are part of the renovation: • As-Is Market Value - $2,900,000
• Option 1a (1-20 years) - $7,094,051 or $825 per m2 • Option 1a - $5,300,000
• Option 2a (21-40 years) - $17,221,472 or $2,004 per m2 • Option 2a - $6,400,000
• Option 1b (1-20 years) - $6,000,613 or $698 per m2 • Option 1b - $7,100,000
• Option 2b (21-40 years) - $14,106,512 or $1.641 per m2 • Option 2b - $8,200,000
• Option 3 (1-20 years) - $5,553,678 or $646 per m2 • Option 3 (1-20 year) - $16,400,000
• Option 3 (21-40 years) - $12,833,292 or $1,493 per m2 • Option 3 (21-40 year) - $17,900,000
6 A discounted cashflow was requested which combines the capital This only meant to be a brief summary of the findings, specific
costing and the operation maintenance costing to provide a current assumptions and calculations for the costing and appraised values can
dollar comparison of the options: be found within the appendices.
• Option 1a (1-20 years) - $22,833,740
• Option 2a (21-40 years) - $9,656,724
• Option 1b (1-20 years) - $30,742,103
• Option 2b (21-40 years) - $8,580,751
• Option 3 (1-20 years) - $36,468,512
• Option 3 (21-40 years) - $5,617,433
• Discount rate of 3.53% was provided by City of Edmonton for use in
these calculations
City of Edmonton | Hangar 14 Investment Study | February 11, 2022 44
4.0 Recommendations & Cost Estimates
Hanger 14 Investment Study February 5, 2022
Edmonton, Alberta

4.1 Comparative
COMPARATIVE Executive
EXECUTIVE Summary
SUMMARY

Investment Options
GFA: 8593 m2
Ref Description OPTION 1A/2A $/m2 OPTION 1B/2B $/m2 OPTION 3 $/m2

Rehabilitation Capital Costs (escalated)

Option 1A 20 year rehabilitation capital costs $23,483,942.26 $2,732.92
Option 2A 40 year rehabilitation capital costs $10,888,169.32 $1,267.10
Option 1B 20 year 50% GHG reduction capital costs $31,576,802.67 $3,674.71
Option 2B 40 year 50% GHG reduction capital costs $10,795,259.50 $1,256.29
Option 3 20 year New facility zero-emission warehouse $33,329,233.11 $3,878.65
Option 3 40 year New facility zero-emission warehouse $3,630,855.89 $422.54

Operating and Maintenance Costs

20 year maintenance and operating costs $7,094,051.06 $825.56 $6,000,613.84 $698.31 $5,553,678.56 $646.30
40 year maintenance and operating costs $17,221,472.22 $2,004.13 $14,106,512.36 $1,641.63 $12,833,292.99 $1,493.46

Net Present Values

20 year net present value $22,833,740.61 $2,657.25 $30,742,103.73 $3,577.58 $36,468,512.60 $4,243.98
40 year net present value $9,656,724.27 $1,123.79 $8,580,751.76 $998.57 $5,617,433.80 $653.72
Combined 1-40 Year NPV $32,490,464.88 $39,322,855.49 $42,085,946.40

City of Edmonton | Hangar 14 Investment Study | February 11, 2022

 4.0 Recommendations & Cost Estimates

4.2 Table 3: Option Summary

Hanger 14 Investment Study
Edmonton, Alberta

CAPTIAL COST SUMMARY

Immediate 2-3 years 4-5 years 6-10 Years 11-20 Years

Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 Year 11 Year 12 Year 13 Year 14 Year 15 Year 16 Year 17 Year 18 Year 19 Year 20 Year 21 20-YEAR TOTAL
2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 2039 2040 2041
A Rehabilitation Capital Costs (1A / 2A)
Rehabilitation capital costs $23,483,942.26
Architectural $855,158.86 $2,548,426.77 $1,172,220.21 $1,329,499.06 $6,781,249.92 $12,686,554.82
Structural $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
Heritage $209,338.99 $825,399.67 $1,301.69 $342,486.46 $2,878,327.29 $4,256,854.10
Mechanical $541,224.14 $1,658.50 $2,108.90 $0.00 $64,916.98 $609,908.52
Electrical $632,440.20 $4,170,881.46 $1,127,303.16 $0.00 $0.00 $5,930,624.82

B 50% GHG Rehabilitation Capital Costs (1B / 2B)

Rehabilitation capital costs $31,576,802.67
Architectural $4,499,661.78 $2,080,051.82 $660,317.75 $808,694.08 $6,343,222.43 $14,391,947.86
Structural $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
Heritage $4,480,486.46 $830,336.50 $1,301.69 $257,927.21 $2,009,029.78 $7,579,081.64
Mechanical $2,653,737.84 $1,658.50 $2,108.90 $0.00 $64,916.98 $2,722,422.22
Electrical $632,440.20 $4,855,663.34 $1,395,247.41 $0.00 $0.00 $6,883,350.95

C New facility zero-emission warehouse $31,534,825.00 $0.00 $4,516.28 $711,909.30 $1,077,982.53 $33,329,233.11

City of Edmonton | Hangar 14 Investment Study | February 11, 2022 46

4.0 Recommendations & Cost Estimates

4.2 Table 3: Option Summary

February 5, 2022

21-40 Years
Year 22 Year 23 Year 24 Year 25 Year 26 Year 27 Year 28 Year 29 Year 30 Year 31 Year 32 Year 33 Year 34 Year 35 Year 36 Year 37 Year 38 Year 39 Year 40 Year 41 40-YEAR TOTAL
2042 2043 2044 2045 2046 2047 2048 2049 2050 2051 2052 2053 2054 2055 2056 2057 2058 2059 2060 2061
Rehabilitation Capital Costs (1A / 2A)
Rehabilitation capital costs $10,888,169.32
Architectural $8,354,524.43 $8,354,524.43
Structural $0.00 $0.00
Heritage $2,532,875.18 $2,532,875.18
Mechanical $769.71 $769.71
Electrical $0.00 $0.00

50% GHG Rehabilitation Capital Costs (1B / 2B)

Rehabilitation capital costs $10,795,259.50
Architectural $7,791,851.12 $7,791,851.12
Structural $0.00 $0.00
Heritage $3,002,638.67 $3,002,638.67
Mechanical $769.71 $769.71
Electrical $0.00 $0.00

New facility zero-emission warehouse $3,630,855.89 $3,630,855.89

47 City of Edmonton | Hangar 14 Investment Study | February 11, 2022

4.0 Recommendations & Cost Estimates

4.3 Option 3: Project Total EXECUTIVE SUMMARY

$31,535,000 $3,670/m²
TOTAL /m²
8,593 m²

PROJECT TOTAL $341/sf 92,494 sf

PROJECT GCA
TOTAL /sf

Area (m²) Area (SF) Total/SF Total

Building Component

Hanger 14 - New Warehouse Facility - 2 storey Office 3,234 m² 34,810 sf 316 /sf $11,008,043

Hanger 14 - New Warehouse Facility - Warehouse (Open Space 5,359 m² 57,684 sf 277 /sf $15,957,437
only)

Site Development 1 m² 11 sf 42,374 /sf $456,107

Pre-contingency Subtotal (GCA) 8,593 m² 92,494 sf $296 /sf $27,421,587

Design and Pricing Contingency (10.0%) 8,593 m² 92,494 sf 30 /sf $2,742,159

Design Contingency Subtotal (GCA) 8,593 m² 92,494 sf $326 /sf $30,163,746

Escalation Contingency EXCLUDED

Construction Contingency (5.0%) 8,593 m² 92,494 sf 15 /sf $1,371,079

Total Construction Cost (GCA) 8,593 m² 92,494 sf $341 /sf $31,534,825

GST EXCLUDED

Total Construction Cost 8,593 m² 92,494 sf $341 /sf $31,535,000

City of Edmonton | Hangar 14 Investment Study | February 11, 2022 48

4.0 Recommendations & Cost Estimates

4.4 Option 3: 2-Storey Office Component ELEMENTAL SUMMARY ELEMENTAL SUMMARY

HANGER 14 - NEW WAREHOUSE FACILITY - HANGER 14 - NEW WAREHOUSE FACILITY -
2 STOREY OFFICE 2 STOREY OFFICE
$12,659,000 $3,914/m²
TOTAL /m²
3,234 m²
$12,659,000 $3,914/m²
TOTAL /m²
3,234 m²

HANGER 14 - NEW WAREHOUSE FACILITY - 2 HANGER 14 - NEW WAREHOUSE FACILITY - 2

STOREY OFFICE TOTAL
$364/sf 34,810 sf
COMP. GCA STOREY OFFICE TOTAL
$364/sf 34,810 sf
COMP. GCA
TOTAL /sf TOTAL /sf
GCA Element Element $ Total /m2 GCA Element Element $ Total /m2
Element Ratio Quantity Unit Rate
Cost Total GCA
% Element Ratio Quantity Unit Rate
Cost Total GCA
%
A SUBSTRUCTURE 467,729 145 /m2 3.7% Total Construction Estimate (Excluding Contingencies) $11,008,043 3,404 /m2 87.0%
A10 Foundations 467,729 145 /m2 3.7% Z2 Contingencies 1,651,206 511 /m2 13.0%
A1010 Standard Foundations 0.50 1,617 m2 103 /m2 165,789 51 /m2 1.3% Z21 Design and Pricing Contingency 10.0 % 1,100,804 340 m2 8.7%
A1020 Special Foundations 0.50 1,617 m2 95.41 /m2 154,300 48 /m2 1.2% Z22 Escalation Contingency EXCLUDED
A1030 Slab on Grade 0.50 1,628 m2 90.68 /m2 147,640 46 /m2 1.2% Z23 Construction Contingency 5.0 % 550,402 170 m2 4.3%
B SHELL 3,866,151 1,195 /m2 30.5% TOTAL CONSTRUCTION COST $12,659,249 3,914 /m2 100%
B10 Superstructure 1,704,399 527 /m2 13.5%
B1010 Floor Construction 0.50 1,617 m2 587 /m2 949,095 293 /m2 7.5%
B1020 Roof Construction 0.50 1,617 m2 467 /m2 755,304 234 /m2 6.0%
B20 Exterior Enclosure 1,788,308 553 /m2 14.1%
B2010 Exterior Walls 0.24 762 m2 949 /m2 723,253 224 /m2 5.7%
B2020 Exterior Windows 0.15 485 m2 2,152 /m2 1,044,382 323 /m2 8.2%
B2030 Exterior Doors 0.00 9 no. 2,297 /no. 20,672 6 /m2 0.2%
B30 Roofing 373,445 115 /m2 2.9%
B3010 Roof Covering 0.50 1,617 m2 230 /m2 371,945 115 /m2 2.9%
B3020 Roof Openings 0.00 2 ea 750 /ea 1,500 0 /m2 0.0%
C INTERIORS 1,258,993 389 /m2 9.9%
C10 Interior Construction 721,317 223 /m2 5.7%
C1010 Partitions 1.21 3,898 m2 153 /m2 597,561 185 /m2 4.7%
C1020 Interior Doors 0.01 46 no. 772 /no. 35,516 11 /m2 0.3%
C1030 Fittings 1.00 3,234 m2 27.28 /m2 88,240 27 /m2 0.7%
C20 Stairs 9,365 3 /m2 0.1%
C2010 Stair Construction 0.00 8 flt. 1,171 /flt. 9,365 3 /m2 0.1%
C30 Interior Finishes 528,311 163 /m2 4.2%
C3010 Wall Finishes 2.41 7,795 m2 14.33 /m2 111,690 35 /m2 0.9%
C3020 Floor Finishes 0.98 3,184 m2 53.74 /m2 171,121 53 /m2 1.4%
C3030 Ceiling Finishes 0.95 3,088 m2 79.50 /m2 245,500 76 /m2 1.9%
D SERVICES 4,029,542 1,246 /m2 31.8%
D10 Conveying 77,800 24 /m2 0.6%
D1010 Elevators and Lifts 0.00 2 stop 38,900 /stop 77,800 24 /m2 0.6%
D20 Plumbing 371,910 115 /m2 2.9%
D2010 Plumbing Office Allowance 1.00 3,234 m2 115 /m2 371,910 115 /m2 2.9%
D30 HVAC 2,391,399 739 /m2 18.9%
D3010 Energy Supply 1.00 3,234 m2 156 /m2 503,500 156 /m2 4.0%
D3040 Distribution Systems 1.00 3,234 m2 324 /m2 1,047,759 324 /m2 8.3%
D3050 Terminal and Package Units 1.00 3,234 m2 97.77 /m2 316,230 98 /m2 2.5%
D3060 Controls and Instrumentation 1.00 3,234 m2 115 /m2 371,910 115 /m2 2.9%
D3090 Other HVAC Systems & Equipment 1.00 3,234 m2 47.00 /m2 152,000 47 /m2 1.2%
D40 Fire Protection 182,073 56 /m2 1.4%
D4010 Sprinklers 1.00 3,234 m2 56.29 /m2 182,073 56 /m2 1.4%
D50 Electrical 1,006,360 311 /m2 7.9%
D5010 Electrical Service and Distribution 1.00 3,234 m2 82.17 /m2 265,768 82 /m2 2.1%
D5020 Lighting and Branch Wiring 1.00 3,234 m2 112 /m2 362,208 112 /m2 2.9%
D5030 Communications and Security 1.00 3,234 m2 90.38 /m2 292,308 90 /m2 2.3%
D5090 Other Electrical Services 1.00 3,234 m2 26.61 /m2 86,076 27 /m2 0.7%
Net Construction Estimate $9,622,415 2,975 /m2 76.0%
Z GENERAL REQUIREMENTS & ALLOWANCES 3,036,834 939 /m2 24.0%
Z1 General Requirements & Fee 1,385,628 428 /m2 10.9%
Z11 General Requirements 10.0 % 962,242 298 m2 7.6%
Z12 Fee (Head office overheads, and profit) 4.0 % 423,386 131 m2 3.3%

100463 - Hanger 14 - Option 3, Class D Estimate, R0 December 13, 2021 100463 - Hanger 14 - Option 3, Class D Estimate, R0 December 13, 2021
Unpublished Work Copyright © 2021 | Altus Group | altusgroup.com Unpublished Work Copyright © 2021 | Altus Group | altusgroup.com

49 City of Edmonton | Hangar 14 Investment Study | February 11, 2022

4.0 Recommendations & Cost Estimates

ELEMENTAL SUMMARY
HANGER 14 - NEW WAREHOUSE FACILITY -
WAREHOUSE (OPEN SPACE ONLY)
4.5 Option 3: Warehouse $18,351,000 $3,424/m² 5,359 m²
TOTAL /m²
HANGER 14 - NEW WAREHOUSE FACILITY -
WAREHOUSE (OPEN SPACE ONLY) TOTAL
$318/sf 57,684 sf
COMP. GCA
TOTAL /sf
GCA Element Element $ Total /m2
Element Ratio Quantity Unit Rate
Cost Total GCA
%
A SUBSTRUCTURE 1,224,008 228 /m2 6.7%
A10 Foundations 1,224,008 228 /m2 6.7%
A1010 Standard Foundations 1.00 5,359 m2 66.07 /m2 354,109 66 /m2 1.9%
A1020 Special Foundations 1.00 5,359 m2 64.45 /m2 345,400 64 /m2 1.9%
A1030 Slab on Grade 1.00 5,359 m2 97.87 /m2 524,499 98 /m2 2.9%
B SHELL 7,922,733 1,478 /m2 43.2%
B10 Superstructure 3,087,181 576 /m2 16.8%
B1020 Roof Construction 1.00 5,359 m2 576 /m2 3,087,181 576 /m2 16.8%
B20 Exterior Enclosure 3,599,933 672 /m2 19.6%
B2010 Exterior Walls 0.24 1,261 m2 786 /m2 991,762 185 /m2 5.4%
B2020 Exterior Windows 0.21 1,134 m2 2,152 /m2 2,439,187 455 /m2 13.3%
B2030 Exterior Doors 0.01 28 no. 6,035 /no. 168,984 32 /m2 0.9%
B30 Roofing 1,235,618 231 /m2 6.7%
B3010 Roof Covering 1.00 5,359 m2 230 /m2 1,232,618 230 /m2 6.7%
B3020 Roof Openings 0.00 2 ea 1,500 /ea 3,000 1 /m2 0.0%
C INTERIORS 318,337 59 /m2 1.7%
C30 Interior Finishes 318,337 59 /m2 1.7%
C3020 Floor Finishes 1.00 5,359 m2 48.00 /m2 257,242 48 /m2 1.4%
C3030 Ceiling Finishes 1.00 5,359 m2 11.40 /m2 61,095 11 /m2 0.3%
D SERVICES 4,483,730 837 /m2 24.4%
D20 Plumbing 396,360 74 /m2 2.2%
D2010 Plumbing Fixtures and Equipment 1.00 5,359 m2 19.14 /m2 102,600 19 /m2 0.6%
D2020 Warehouse Plumbing Piping 1.00 5,359 m2 51.56 /m2 276,310 52 /m2 1.5%
D2090 Other Plumbing Systems 1.00 5,359 m2 3.26 /m2 17,450 3 /m2 0.1%
D30 HVAC 2,216,441 414 /m2 12.1%
D3040 Distribution Systems 1.00 5,359 m2 230 /m2 1,231,751 230 /m2 6.7%
D3050 Terminal and Package Units 1.00 5,359 m2 95.28 /m2 510,605 95 /m2 2.8%
D3060 Controls and Instrumentation 1.00 5,359 m2 64.58 /m2 346,084 65 /m2 1.9%
D3090 Other HVAC Systems & Equipment 1.00 5,359 m2 23.88 /m2 128,000 24 /m2 0.7%
D40 Fire Protection 350,085 65 /m2 1.9%
D4010 Sprinklers 1.00 5,359 m2 65.32 /m2 350,085 65 /m2 1.9%
D50 Electrical 1,520,845 284 /m2 8.3%
D5010 Electrical Service and Distribution 1.00 5,359 m2 80.71 /m2 432,523 81 /m2 2.4%
D5020 Lighting and Branch Wiring 1.00 5,359 m2 102 /m2 546,618 102 /m2 3.0%
D5030 Communications and Security 1.00 5,359 m2 72.56 /m2 388,878 73 /m2 2.1%
D5090 Other Electrical Services 1.00 5,359 m2 28.52 /m2 152,826 29 /m2 0.8%
Net Construction Estimate $13,948,808 2,603 /m2 76.0%
Z GENERAL REQUIREMENTS & ALLOWANCES 4,402,245 821 /m2 24.0%
Z1 General Requirements & Fee 2,008,629 375 /m2 10.9%
Z11 General Requirements 10.0 % 1,394,881 260 m2 7.6%
Z12 Fee (Head office overheads, and profit) 4.0 % 613,748 115 m2 3.3%
Total Construction Estimate (Excluding Contingencies) $15,957,437 2,978 /m2 87.0%
Z2 Contingencies 2,393,616 447 /m2 13.0%
Z21 Design and Pricing Contingency 10.0 % 1,595,744 298 m2 8.7%
Z22 Escalation Contingency EXCLUDED
Z23 Construction Contingency 5.0 % 797,872 149 m2 4.3%
TOTAL CONSTRUCTION COST $18,351,053 3,424 /m2 100%

100463 - Hanger 14 - Option 3, Class D Estimate, R0 December 13, 2021

City of Edmonton | Hangar 14 Investment Study | February 11, 2022
Unpublished Work Copyright © 2021 | Altus Group | altusgroup.com
50
4.0 Recommendations & Cost Estimates

4.6 Option 3: Site Development

ELEMENTAL SUMMARY
SITE DEVELOPMENT

$525,000 $524,523/m²1 m²
TOTAL /m²
SITE DEVELOPMENT TOTAL
$48,730/sf 11 sf
COMP. SCA
TOTAL /sf
SCA Element Element $ Total /ls
Element Ratio Quantity Unit Rate
Cost Total SCA
%
G BUILDING SITEWORK 456,107 456,107 87.0%
G BUILDING SITEWORK 456,107 456,107 /ls
/ls 87.0%
G30 Site Civil/Mechanical Utilities 130,500 130,500 /ls 24.9%
G3010 Water Supply 1.00 1 ls 30,750 /ls 30,750 30,750 /ls 5.9%
G3020 Sanitary Sewer 1.00 1 ls 33,200 /ls 33,200 33,200 /ls 6.3%
G3030 Storm sewer 1.00 1 ls 66,550 /ls 66,550 66,550 /ls 12.7%
G40 Site Electrical Utilities 325,607 325,607 /ls 62.1%
G4010 Electrical Distribution 1.00 1 ls 325,607 /ls 325,607 325,607 /ls 62.1%
Net Construction Estimate $456,107 456,107 /ls 87.0%
Z11 General Requirements EXCLUDED
Z12 Fee (Head office overheads, and profit) EXCLUDED
Total Construction Estimate (Excluding Contingencies) $456,107 456,107 /ls 87.0%
Z2 Contingencies 68,416 68,416 /ls 13.0%
Z21 Design and Pricing Contingency 10.0 % 45,611 45,611 ls 8.7%
Z22 Escalation Contingency EXCLUDED
Z23 Construction Contingency 5.0 % 22,805 22,805 ls 4.3%
TOTAL CONSTRUCTION COST $524,523 524,523 /ls 100%

51 City of Edmonton | Hangar 14 Investment Study | February 11, 2022

4.0 Recommendations & Cost Estimates

4.7 Discounted Cashflow Summary

Hanger 14 Investment Study

Edmonton, Alberta

NET PRESENT VALUE OPTION SUMMARY

Immediate 2-3 years 4-5 years 6-10 Years 11-20 Years

Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 Year 11 Year 12 Year 13 Year 14 Year 15 Year 16 Year 17 Year 18 Year 19 Year 20 Year 21
2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 2039 2040 2041
A
Total each year $ 1,268,741.10 $ 1,282,797.70 $ 3,957,121.55 $ 3,977,232.18 $ 1,375,525.31 $ 1,395,684.08 $ 598,927.66 $ 619,401.27 $ 640,040.68 $ 660,851.74 $ 679,474.03 $ 1,332,533.07 $ 1,348,210.82 $ 1,364,590.33 $ 1,381,703.79 $ 1,399,584.91 $ 1,418,268.95 $ 1,437,792.84 $ 1,458,195.25 $ 1,479,516.65 $ 1,501,799.43
Discount Rate 3.53%
Year 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21
Present Value $ 1,268,741.10 $ 1,239,058.92 $ 3,691,874.78 $ 3,584,118.02 $ 1,197,302.06 $ 1,173,426.94 $ 486,381.54 $ 485,857.14 $ 484,928.67 $ 483,624.30 $ 480,297.94 $ 909,807.77 $ 889,125.86 $ 869,243.61 $ 850,135.11 $ 831,775.34 $ 814,140.14 $ 797,206.22 $ 780,951.07 $ 765,353.00 $ 750,391.07
NPV - Option 1A/2A $ 32,490,464.88
NPV - Option 1A/2A 20 Years $ 22,833,740.61
NPV - Option 1A/2A 40 Years $ 9,656,724.27

B
Total each year $ 6,270,265.14 $ 6,281,810.14 $ 4,048,202.95 $ 4,063,792.70 $ 1,224,913.96 $ 1,240,551.85 $ 440,180.81 $ 456,133.54 $ 472,252.07 $ 488,542.26 $ 503,321.79 $ 1,143,967.22 $ 1,156,753.30 $ 1,170,096.55 $ 1,184,021.95 $ 1,198,555.60 $ 1,213,724.80 $ 1,229,558.11 $ 1,246,085.41 $ 1,263,337.94 $ 1,281,348.41
Discount Rate 3.53%
Year 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21
Present Value $ 6,270,265.14 $ 6,067,623.05 $ 3,776,850.98 $ 3,662,122.80 $ 1,066,205.04 $ 1,042,998.90 $ 357,465.25 $ 357,790.26 $ 357,803.15 $ 357,524.83 $ 355,781.69 $ 781,061.49 $ 762,862.34 $ 745,351.14 $ 728,505.37 $ 712,303.33 $ 696,724.05 $ 681,747.29 $ 667,353.52 $ 653,523.90 $ 640,240.22
NPV - Option 1B/2B $ 39,322,855.49
NPV - Option 1B/2B 20 Years $ 30,742,103.73
NPV - Option 1B/2B 40 Years $ 8,580,751.76
C
Total each year $ 31,666,794.00 $ 142,487.40 $ 156,340.39 $ 170,082.26 $ 185,980.99 $ 199,771.00 $ 353,839.42 $ 367,944.26 $ 382,214.91 $ 396,657.22 $ 409,866.06 $ 386,409.55 $ 398,013.67 $ 410,115.89 $ 422,738.19 $ 435,903.58 $ 449,636.11 $ 463,960.92 $ 478,904.29 $ 494,493.70 $ 510,757.89
Discount Rate 3.53%
Year 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21
Present Value $ 31,666,794.00 $ 137,629.09 $ 145,860.86 $ 153,271.13 $ 161,883.91 $ 167,958.26 $ 287,348.49 $ 288,614.76 $ 289,586.24 $ 290,281.55 $ 289,720.89 $ 263,827.15 $ 262,484.36 $ 261,243.69 $ 260,102.47 $ 259,058.13 $ 258,108.17 $ 257,250.22 $ 256,481.99 $ 255,801.27 $ 255,205.96
NPV - Option 3 $ 42,085,946.40
NPV - Option 3 20 Years $ 36,468,512.60
NPV - Option 3 40 Years $ 5,617,433.80

City of Edmonton | Hangar 14 Investment Study | February 11, 2022 52

4.0 Recommendations & Cost Estimates

4.7 Discounted Cashflow Summary Cont.

February 5, 2022

21-40 Years
Year 22 Year 23 Year 24 Year 25 Year 26 Year 27 Year 28 Year 29 Year 30 Year 31 Year 32 Year 33 Year 34 Year 35 Year 36 Year 37 Year 38 Year 39 Year 40 Year 41
2042 2043 2044 2045 2046 2047 2048 2049 2050 2051 2052 2053 2054 2055 2056 2057 2058 2059 2060 2061

$ 1,097,047.00 $ 1,121,387.74 $ 1,146,829.33 $ 1,173,422.72 $ 1,201,221.25 $ 1,230,280.79 $ 1,260,659.84 $ 1,292,419.65 $ 1,325,624.39 $ 1,360,341.25 $ 1,396,640.62 $ 1,434,596.20 $ 1,474,285.20 $ 1,515,788.49 $ 1,559,190.78 $ 1,604,580.80 $ 1,652,051.50 $ 1,701,700.24 $ 1,753,629.04 $ 1,807,944.73

22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41
$ 529,461.93 $ 522,756.08 $ 516,387.68 $ 510,346.75 $ 504,623.72 $ 499,209.31 $ 494,094.64 $ 489,271.09 $ 484,730.42 $ 480,464.66 $ 476,466.13 $ 472,727.46 $ 469,241.53 $ 466,001.51 $ 463,000.83 $ 460,233.14 $ 457,692.36 $ 455,372.63 $ 453,268.34 $ 451,374.05

$ 998,197.07 $ 1,017,827.58 $ 1,038,323.44 $ 1,059,723.81 $ 1,082,069.67 $ 1,105,403.91 $ 1,129,771.38 $ 1,155,219.04 $ 1,181,796.02 $ 1,209,553.74 $ 1,238,546.01 $ 1,268,829.13 $ 1,300,462.06 $ 1,333,506.47 $ 1,368,026.93 $ 1,404,091.03 $ 1,441,769.52 $ 1,481,136.44 $ 1,522,269.32 $ 1,565,249.30

22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41
$ 481,754.52 $ 474,479.56 $ 467,530.27 $ 460,896.65 $ 454,569.06 $ 448,538.19 $ 442,795.08 $ 437,331.08 $ 432,137.86 $ 427,207.38 $ 422,531.91 $ 418,103.97 $ 413,916.39 $ 409,962.23 $ 406,234.83 $ 402,727.76 $ 399,434.82 $ 396,350.07 $ 393,467.75 $ 390,782.37

$ 601,471.44 $ 619,176.68 $ 637,651.00 $ 656,928.76 $ 677,045.88 $ 698,039.93 $ 719,950.21 $ 742,817.83 $ 766,685.76 $ 791,598.98 $ 817,604.51 $ 844,751.57 $ 873,091.62 $ 902,678.52 $ 933,568.60 $ 965,820.79 $ 999,496.77 $ 1,034,661.07 $ 1,071,381.18 $ 1,109,727.77

22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41
$ 290,284.95 $ 288,640.91 $ 287,117.80 $ 285,712.43 $ 284,421.71 $ 283,242.69 $ 282,172.50 $ 281,208.42 $ 280,347.82 $ 279,588.18 $ 278,927.06 $ 278,362.14 $ 277,891.18 $ 277,512.04 $ 277,222.67 $ 277,021.10 $ 276,905.43 $ 276,873.87 $ 276,924.68 $ 277,056.21

53 City of Edmonton | Hangar 14 Investment Study | February 11, 2022

4.0 Recommendations & Cost Estimates

4.8 Maintenance and Operations Cost Summary

Hanger 14 Investment Study
Edmonton, Alberta

MAINTENANCE AND OPERATIONS COST SUMMARY

Immediate 2-3 years 4-5 years 6-10 Years 11-20 Years

Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 Year 11 Year 12 Year 13 Year 14 Year 15 Year 16 Year 17 Year 18 Year 19 Year 20 Year 21 20-YEAR TOTAL
2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 2039 2040 2041

Option 1A / 2A Operating and Maintenance Costs $7,094,051.06

Operating Costs
Utilities $43,824.00 $52,588.80 $68,365.44 $84,142.08 $99,918.72 $115,695.36 $131,472.00 $147,248.64 $163,025.28 $178,801.92 $192,212.06 $201,822.67 $211,913.80 $222,509.49 $233,634.97 $245,316.71 $257,582.55 $270,461.68 $283,984.76 $298,184.00 $313,093.20 $3,815,798.12
Maintenance Costs
General facility repair and maintenance $105,836.00 $111,127.80 $115,572.91 $119,906.90 $124,139.61 $128,521.74 $133,058.56 $137,755.52 $142,618.29 $147,652.72 $152,864.86 $158,260.99 $163,847.60 $169,631.42 $175,619.41 $181,818.78 $188,236.98 $194,881.74 $201,761.07 $208,883.24 $216,256.81 $3,278,252.94

Option 1B / 2B Operating and Maintenance Costs $6,000,613.84

Operating Costs
Utilities $31,266.00 $37,519.20 $48,774.96 $60,030.72 $71,286.48 $82,542.24 $93,798.00 $105,053.76 $116,309.52 $127,565.28 $137,132.68 $143,989.31 $151,188.78 $158,748.21 $166,685.62 $175,019.91 $183,770.90 $192,959.45 $202,607.42 $212,737.79 $223,374.68 $2,722,360.90
Maintenance Costs
General facility repair and maintenance $105,836.00 $111,127.80 $115,572.91 $119,906.90 $124,139.61 $128,521.74 $133,058.56 $137,755.52 $142,618.29 $147,652.72 $152,864.86 $158,260.99 $163,847.60 $169,631.42 $175,619.41 $181,818.78 $188,236.98 $194,881.74 $201,761.07 $208,883.24 $216,256.81 $3,278,252.94

Option 3 Operating and Maintenance Costs $5,553,678.56

Operating Costs
Utilities $26,133.00 $31,359.60 $40,767.48 $50,175.36 $59,583.24 $68,991.12 $78,399.00 $87,806.88 $97,214.76 $106,622.64 $114,619.34 $120,350.30 $126,367.82 $132,686.21 $139,320.52 $146,286.55 $153,600.88 $161,280.92 $169,344.96 $177,812.21 $186,702.82 $2,275,425.62
Maintenance Costs
General facility repair and maintenance $105,836.00 $111,127.80 $115,572.91 $119,906.90 $124,139.61 $128,521.74 $133,058.56 $137,755.52 $142,618.29 $147,652.72 $152,864.86 $158,260.99 $163,847.60 $169,631.42 $175,619.41 $181,818.78 $188,236.98 $194,881.74 $201,761.07 $208,883.24 $216,256.81 $3,278,252.94

City of Edmonton | Hangar 14 Investment Study | February 11, 2022 54

4.0 Recommendations & Cost Estimates

4.8 Maintenance and Operations Cost Summary Cont.

February 5, 2022

21-40 Years
Year 22 Year 23 Year 24 Year 25 Year 26 Year 27 Year 28 Year 29 Year 30 Year 31 Year 32 Year 33 Year 34 Year 35 Year 36 Year 37 Year 38 Year 39 Year 40 Year 41 40-YEAR TOTAL
2042 2043 2044 2045 2046 2047 2048 2049 2050 2051 2052 2053 2054 2055 2056 2057 2058 2059 2060 2061

$17,221,472.22

$328,747.86 $345,185.25 $362,444.51 $380,566.74 $399,595.08 $419,574.83 $440,553.57 $462,581.25 $485,710.31 $509,995.83 $535,495.62 $562,270.40 $590,383.92 $619,903.12 $650,898.27 $683,443.19 $717,615.35 $753,496.11 $791,170.92 $830,729.46 $10,870,361.59

$223,890.68 $231,794.02 $239,976.35 $248,447.51 $257,217.71 $266,297.50 $275,697.80 $285,429.93 $295,505.61 $305,936.95 $316,736.53 $327,917.33 $339,492.81 $351,476.91 $363,884.04 $376,729.15 $390,027.69 $403,795.66 $418,049.65 $432,806.80 $6,351,110.63

$14,106,512.36

$234,543.41 $246,270.58 $258,584.11 $271,513.32 $285,088.98 $299,343.43 $314,310.61 $330,026.14 $346,527.44 $363,853.81 $382,046.51 $401,148.83 $421,206.27 $442,266.59 $464,379.91 $487,598.91 $511,978.86 $537,577.80 $564,456.69 $592,679.52 $7,755,401.73

$223,890.68 $231,794.02 $239,976.35 $248,447.51 $257,217.71 $266,297.50 $275,697.80 $285,429.93 $295,505.61 $305,936.95 $316,736.53 $327,917.33 $339,492.81 $351,476.91 $363,884.04 $376,729.15 $390,027.69 $403,795.66 $418,049.65 $432,806.80 $6,351,110.63

$12,833,292.99

$196,037.96 $205,839.86 $216,131.86 $226,938.45 $238,285.37 $250,199.64 $262,709.62 $275,845.10 $289,637.36 $304,119.23 $319,325.19 $335,291.45 $352,056.02 $369,658.82 $388,141.76 $407,548.85 $427,926.29 $449,322.61 $471,788.74 $495,378.17 $6,482,182.35

$223,890.68 $231,794.02 $239,976.35 $248,447.51 $257,217.71 $266,297.50 $275,697.80 $285,429.93 $295,505.61 $305,936.95 $316,736.53 $327,917.33 $339,492.81 $351,476.91 $363,884.04 $376,729.15 $390,027.69 $403,795.66 $418,049.65 $432,806.80 $6,351,110.63

55 City of Edmonton | Hangar 14 Investment Study | February 11, 2022

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5.0 Value (Appraisal) Additions
DRAFT v.1 - December 13, 2021

December 13, 2021 Project No.: 12130.100464.000

5.1 Market Value Estimates Yogi Subramonian

Project Architect, Facility Planning and Design Infrastructure Planning and Design
The City of Edmonton
10111 104 Avenue NW
Edmonton, AB, T5J 0J4

Dear Yogi Subramonian:

RE: Alberta Aviation Museum (Hangar 14)

T
11410 Kingsway NW, Edmonton, AB

In accordance with your request by way of a contract dated June 14, 2021 and as per the terms of
reference (TOR) provided herein, I have provided an opinion of the current market value on an all-cash
basis of the fee simple interest in the subject property as at the effective date of November 18, 2021. The

AF
intended user of this report is The City of Edmonton. The intended use is to provide information for
planning purposes and no other use. No additional intended users are identified or intended by the
author.

This Appraisal Report and Appendices must be read as a whole as sections taken alone may be
misleading and lead the reader to an incorrect conclusion. Information provided by the client and
collected through market research and analyses are stored in the working file. This assignment has been
completed in accordance with the Scope of Work as outlined in Section 1.2.

As per the Terms of Reference for this assignment, we have been asked to value the subject property

R
under several different scenarios, the first being the As Is market value. The other scenarios involve
redevelopment scenarios based on information as provided by the client.

Subject to the Ordinary Assumptions and Limiting Conditions in Appendix A, it is my opinion that the
current market value of the fee simple interest in the subject property, effective November 18, 2021, is:
D
As Is Market Value Estimate: $2,900,000
Redevelopment Scenario 1A: $5,300,000
Redevelopment Scenario 1B: $7,100,000
Redevelopment Scenario 2A: $6,400,000
Redevelopment Scenario 2B: $8,200,000
Redevelopment Scenario 3A: $16,400,000
DRAFT v.1 - December 13, 2021
Redevelopment Scenario 3B: $17,900,000

I estimate that an exposure time of 9 to 12 months would have been required prior to the effective date to
sell the subject property at its current market value. Should you have any questions, please contact
Angela Barron, AIC Candidate Member or Mike deJong, AACI at your convenience.

10180 101 Street NW Suite 780, Edmonton, AB T5J 3S4

Respectfully submitted, T: 780.424.4244 | E: info@altusgroup.com | altusgroup.com

DRAFT
Altus Group Limited
5.0 Value (Appraisal) Additions

DRAFT v.1 - December 13, 2021

5.2 Property Description

Property Description
DRAFT v.1 - December 13, 2021

Building and Site Information Redevelopment Scenario 1 Valuation Reconciliation

Address 11410 Kingsway NW Site Area 4.88 ac Effective Date November 18, 2021

Income Approach Capitalization Rate

City, Province Edmonton, AB Coverage Ratio 38.55%, which results in a tight
site coverage ratio as compared Scenario 1A $5,300,000 Scenario 1A 8.50%
to typical industrial
Scenario 1B $7,100,000 Scenario 1B 7.50%

Property Type Industrial Parking Ratio Parking ratio of 1.56%, based

Redevelopment Scenario 1A Market Value Estimate: $5,300,000

T
upon a total of 128 surface
Property Class Hangar / Warehouse parking stalls
Redevelopment Scenario 1B Market Value Estimate: $7,100,000

T
Net Leasable Area 81,913 sf (7,610 m²), as per Zoning DC1
information provided by the Redevelopment Scenario 2 Valuation Reconciliation
AF client
Municipal Historic Resource

Effective Date November 18, 2021

AF
Year Built 1941 Condition Dated and in poor physical
condition Income Approach Capitalization Rate

Scenario 2A $6,400,000 Scenario 2A 7.00%

Number of Storeys Single Storey, with some minor Highest and Future General Business or
mezzanine office and storage Best Use Industrial Business Use Scenario 2B $8,200,000 Scenario 2B 6.50%
space
R
Redevelopment Scenario 2A Market Value Estimate: $6,400,000
As Is Valuation Reconciliation
Redevelopment Scenario 2B Market Value Estimate: $8,200,000

R
Effective Date November 18, 2021

Redevelopment Scenario 3 Valuation Reconciliation

D

Income Approach $2,900,000 Capitalization Rate 10.00%

Effective Date November 18, 2021

D
Direct Comparison $2,900,000 Unit Value $35.00 per sf
Approach Income Approach Capitalization Rate

Scenario 3A $16,400,000 Scenario 3A 6.00%

Underlying Land $5,900,000 Land Unit Value $1,200,000 per ac
Value Scenario 3B $17,900,000 Scenario 3B 5.50%

As Is Market Value Estimate: $2,900,000 Redevelopment Scenario 3A Market Value Estimate: $16,400,000
Redevelopment Scenario 3B Market Value Estimate: $17,900,000

CONFIDENTIAL
11410 Kingsway NW, Edmonton, AB i City of Edmonton | Hangar 14 Investment Study | February 11, 2022 58
CONFIDENTIAL
11410 Kingsway NW, Edmonton, AB
5.0 Value (Appraisal) Additions
DRAFT v.1 - December 13, 2021

Economic Summary
5.3 Economic Summary

T
AF
R
D
Source: Altus Group Economic Consulting

59 City of Edmonton | Hangar 14 Investment Study | February 11, 2022

5.0 Value (Appraisal) Additions

DRAFT v.1 - December 13, 2021

SWOT 1 Analysis DRAFT v.1 - December 13, 2021

5.4 SWOT Analysis

► The subject occupies a prominent location along Kingsway NW, an
arterial roadway of north central Edmonton.
► The subject is afforded a significant amount of exposure and visibility,
with an AAWDT of 22,000 (Annual Average Weekday Traffic Count).
► Multi-directional access is available from Kingsway NW
► Surrounding land used in the immediate vicinity entailing general
business and industrial business use.
► The subject was designated as a Provincial Historic Resource in 2000,
and a Municipal Historic Recourse in 2004, through bylaw 12868. This
may be seen as an impediment to potential investors, as the
possibilities for renovations / expansion are restricted.
► The subject is bound by the Standards and Guidelines for the
Conservation of Historic Places in Canada and must comply with bylaw
12868. These designations “provide full legal protection to the building
from demolition or inappropriate alterations”.

► Future residential community of Blatchford abutting the subject parcel ► Overall, the subject involves a former airport hangar, with a total
along the subject’s north and east boundaries.

T
rentable area of 81,913 sf. Currently, the subject is owner-user
occupied and operates as an Airport Museum.
► Ceiling height of 29 ft and clear height of 19 ft
► The subject is in poor to fair physical condition and is nearing the end

► Physically, the subject is in fair to poor condition. The subject was built
in 1941 and is nearing the end of its useful life.
AF ► Multiple components of deferred maintenance exist, including the
heating system which has sub-par functionality. A significant amount of
T
of its useful life. It requires major renovations and repair; however, this
is complicated by its designation as a Historical Resource, which may
be regarded as a deterrent to potential investors, as renovations
and/or demolition is restricted by this designation.

AF
capital investment is required to bring the subject up to an average ► The subject improvements no longer support the highest and best use
state of condition and repair. of the site; whereby the highest and best use as vacant land would be
► The subject involves a former airport hangar and currently functions as for the development of a commercial project.
a large open warehouse facility. However, it is lacking typical industrial
user requirements such as overhead doors and dock loading doors.

► Inadequate truck turning space for industrial use.

R
► Tight site coverage ratio as compared to a more typical industrial use.

► Usage of yard space is limited for a potential industrial user. As a

R
Historical Resource, one of the site-specific bylaws, bylaw 19628,
imposes limitations on loading and storage areas.
D

► Limited interior office development. The subject essentially involves an

open warehouse space, with limited interior demising.

D
► As vacant land, the subject presents an opportunity for general
business or industrial business use.

► The subject is located within a transitional area as the former City

Centre Airport is being redeveloped to accommodate a mixture of
uses.

City of Edmonton | Hangar 14 Investment Study | February 11, 2022 60

1
Appendix
61 City of Edmonton | Hangar 14 Investment Study | February 11, 2022
Energy Model

Floor area: Utility rates: 2021 AB emissions intensities:

Hangar 14: Summary of Energy Model Results 92494 sq.ft. Natural gas $5.966 $/GJ Natural gas 52.049 kg/GJ
8593 m2 $0.021 $/kWh 0.187 kg/kWh = tonne/MWh
2021.12.07 Electricity $0.186 $/kWh Electricity 0.239 kg/kWh = tonne/MWh

Existing Option 1a/2a Option 1b/2b Option 3

Energy End Uses: Energy (kWh) Energy (%) Cost ($) GHG (tonnes) Energy (kWh) Energy (%) Cost ($) GHG (tonnes) Energy (kWh) Energy (%) Cost ($) GHG (tonnes) Energy (kWh) Energy (%) Cost ($) GHG (tonnes)
Space heating 1,421,332 90% $ 30,527 266 1,162,382 92% $ 24,965 218 575,045 85% $ 12,350 108 263,593 71% $ 5,661 49
Lights 112,749 7% $ 20,971 27 61,936 5% $ 11,520 15 61,936 9% $ 11,520 15 57,541 16% $ 10,703 14
Mechanical equipment 47,908 3% $ 8,911 11 40,621 3% $ 7,556 10 40,856 6% $ 7,599 10 48,143 13% $ 8,955 12
Hot water 300 0% $ 56 0 87 0% $ 16 0 87 0% $ 16 0 87 0% $ 16 0
TOTAL 1,582,289 100% $ 60,465 305 1,265,026 100% $ 44,057 242 677,924 100% $ 31,486 132 369,364 100% $ 25,335 75
Energy Use Intensity, EUI (kWh/m2) 184 147 79 43
Thermal Energy Demand Intensity, TEDI (kWh/m2) 165 135 67 31
GHG Reduction 20% 57% 76%

City of Edmonton | Hangar 14 Investment Study | December 13 2021t 62

Energy Model
Fuel consumption - base case Fuel consumption - proposed case

Miscellaneous Miscellaneous
Lights

7.1% 8.1%

89.8% 91.9%

Space Space
heating heating

Fuel consumption - base case Fuel consumption - proposed case

Section kWh % Section kWh %

Space heating 1,421,332 89.8% Space heating 1,162,382 91.9%

Lights 112,749 7.1% Miscellaneous 102,644 8.1%
Miscellaneous 48,208 3% Lights 61,936 4.9%
Mechanical equipment 47,908 3% Mechanical equipment 40,621 3.2%
Hot water 300 0.02% Hot water 87 0.007%

63 City of Edmonton | Hangar 14 Investment Study | December 13 2021

Energy Model
Fuel consumption - proposed case Fuel consumption - proposed case

Miscellaneous
Mechanical Miscellaneous
equipment Mechanical
equipment
Lights
6%
13%
9.1%

Lights
15.6%

71.4%

84.8% Space
heating

Space
heating

Fuel consumption - proposed case Fuel consumption - proposed case

Section kWh % Section kWh %

Space heating 575,045 84.8% Space heating 263,593 71.4%

Lights 61,936 9.1% Lights 57,541 15.6%
Mechanical equipment 40,856 6% Mechanical equipment 48,143 13%
Miscellaneous 87 0.01% Miscellaneous 87 0.02%
Hot water 87 0.01% Hot water 87 0.02%

City of Edmonton | Hangar 14 Investment Study | December 13 2021t 64

 $0.021 $/kWh 0.187 kg/kWh = tonne/MWh
Electricity $0.186 $/kWh Electricity 0.239 kg/kWh = tonne/MWh
nergy (kWH) Existing Option 1a/2a Option 2a/2b Option 3
Energy (kWh)
pace Heating Option 1a/2a
1,421,332 1,162,382 575,045 263,593 Option 1b/2b
2,000,000 Option 3
ghts GHG (tonnes) Energy (kWh) Energy (%)
112,749 Cost ($)
61,936 GHG61,936
(tonnes) Energy (kWh)
57,541 Energy (%) Cost ($) GHG (tonnes) Energy (kWh) Energy (%) Cost ($)
1,500,000
527
Mechanical 266
Equipment 1,162,382 47,90892% $ 40,621
24,965 40,856218 575,045
48,143 85% $ 12,350 108 263,593 71% $ 5,661
971
ot Water 27 61,936 300 5% $ 11,520
87 8715 61,936
87 1,000,000 9% $ 11,520 15 57,541 16% $ 10,703
911 11 40,621 3% $ 7,556 10 40,856 6% $ 7,599 10 48,143 13% $ 8,955
500,000
56 0 87 0% $ 16 0 87 0% $ 16 0 87 0% $ 16
465 305 1,265,026 100% $ 44,057 242 677,924 - 100% $ 31,486 132 369,364 100% $ 25,335
147 79 Existing Option 1a/2a Option 2a/2b43 Option 3
135 67 31
Space Heating Lights Mechanical Equipment Hot Water
20% 57%

nergy (%) Existing Option 1a/2a Option 2a/2b Option 3

3pace Heating
Energy (kWh) Energy (%)
90% 92% 85% 71%
593
ghts 2,000,000 7% 5% 9% 16% 100%
541
Mechanical Equipment 3% 3% 6% 13% 90%
1,500,000 80%
143
ot Water 0% 0% 0% 0%
70%
87 1,000,000
60%
500,000 50%
40%
- 30%
Existing Option 1a/2a Option 2a/2b Option 3 20%
10%
Space Heating Lights Mechanical Equipment Hot Water
0%
Existing Option 1a/2a Option 2a/2b Option 3
3
Energy (%) Space Heating Lights Mechanical Equipment Hot Water
71%
16% 100%
13%
ost ($) 90% Existing Option 1a/2a Option 2a/2b Option 3
pace
80%
0% Heating $ 30,527 $ 24,965 $ 12,350 $ 5,661
Cost ($)
70%
ghts $ 20,971 $ 11,520 $ 11,520 $ 10,703 $70,000
60%
Mechanical Equipment
50% $ 8,911 $ 7,556 $ 7,599 $ 8,955 $60,000
ot Water 40% $ 56 $ 16 $ 16 $ 16
$50,000
30%
20% $40,000
10% $30,000
0%
Existing Option 1a/2a Option 2a/2b Option 3 $20,000

$10,000
Space Heating Lights Mechanical Equipment Hot Water
65 City of Edmonton | Hangar 14 Investment Study | December 13 2021 $-
Existing Option 1a/2a Option 2a/2b Option 3
 16%
Lights 100% $ 20,971 $ 11,520 $ 11,520 $ 10,703 $70,000
13%
Mechanical 90%
Equipment $ 8,911 $ 7,556 $ 7,599 $ 8,955 $60,000
Hot Water 80%
0% $ 56 $ 16 $ 16 $ 16
70% $50,000
60%
$40,000
50%
40% $30,000
30% $20,000
20%
10% $10,000
0% $-
Existing Option 1a/2a Option 2a/2b Option 3 Existing Option 1a/2a Option 2a/2b Option 3

Space Heating Lights Mechanical Equipment Hot Water Space Heating Lights Mechanical Equipment Hot Water

ionGHG
3 Tonnes Existing Option 1a/2a Option 2a/2b Option 3
5,661
Space Heating
Cost
266
($) 218 108 49
GHG Tonnes
10,703
Lights $70,000 27 15 15 14 350
8,955
Mechanical$60,000
Equipment 11 10 10 12 300
16Water
Hot 0 0 0 0
$50,000 250

$40,000 200

$30,000 150

$20,000 100

$10,000 50

$- -
Existing Option 1a/2a Option 2a/2b Option 3 Existing Option 1a/2a Option 2a/2b Option 3

Space Heating Lights Mechanical Equipment Hot Water Space Heating Lights Mechanical Equipment Hot Water

ion 3
49
GHG Tonnes
14 350
12 300
0
250
200

150

100
50

- City of Edmonton | Hangar 14 Investment Study | December 13 2021t 66

Existing Option 1a/2a Option 2a/2b Option 3

Cost Report

Street Smart. World Wise.

February 5, 2022 Job No.12130.100.463.000

GEC Architecture
14055 West Block Dr NW, Unit 310
Aviation Museum Investment Study Edmonton AB T5N 1L8
Edmonton, Alberta
Attention: Mr. Bob Stirling

Cost Consulting Re: Aviation Museum Investment Study

Dear Bob,

We submit for your review the Cost Estimate for the Aviation Museum Investment Study, in accordance
with the terms of our engagement.

Please note that this estimate in general includes all direct and indirect construction costs, general
Prepared for:
conditions, as well as contractor’s overheads and profit. The estimate also addresses the following
GEC Architecture contingencies and allowance values, detailed within the body of this report.
14055 West Block Dr. NW, Unit310
Edmonton AB T5N 1L8 - Project contingency has been included.
- Escalation of construction costs has been included
- Phasing contingency has been excluded

Please note that this report is not intended for general circulation, publication or reproduction for any
other person or purpose without prior express written permission to each specific instance. Furthermore,
Prepared by:
this report was written for the exclusive use of GEC Architecture and the City of Edmonton and is not to
ALTUS GROUP LIMITED
be relied upon by any other party. Altus Group Limited does not hold any reporting responsibility to any
Suite 780, 10180-101st Street NW other party.
Edmonton, Alberta T5J 3S4
Phone: 780.424.4244 Should you have any questions related to this report please do not hesitate to contact Curtis Cameron at
Fax: 780.424.9423 the address listed below.
Yours truly,

ALTUS GROUP LIMITED

Issued: February 5, 2022
Job No. 12130.100.463.000

Per: Curtis Cameron, PQS, C.E.T.

Associate Director

Unpublished Work © 2022 Altus Group Limited

Research, Valuation & Advisory │ Cost Consulting │ Realty Tax Consulting │ Geomatics │ ARGUS Software
10180 - 101 Street NW, Suite 780, Edmonton, AB T5J 3S4 Canada T 780.424.4244 F 780.424.9423
www.altusgroup.com

67 City of Edmonton | Hangar 14 Investment Study | December 13 2021

Cost Report

Aviation Museum Investment Study Aviation Museum Investment Study Report Date: February 5, 2022
Edmonton, Alberta Report Date: February 5, 2022 Edmonton, Alberta

Contents Page No. 1 Introduction

1 Introduction………………………………………………..................................................... 1 1.1 Scope

2 Project Details.......................................................................................................................... 1 The scope of work for this Investment Study was the estimate for the following Options.

3 Contingencies…………………………..………………………………………………….... 3 Option 1a (20-year rehabilitation)

Option 1b (20-year rehabilitation + 50% GHG reductions)
4 Project Description and Scope Assumptions……………………………………….......... 4 Option 2a (40-year rehabilitation)
Option 2b (40-year rehabilitation + 50% GHG reductions)
5 Project Statistics……………………………………………………………………………... 5 Option 3 (Replacement with a new zero emission warehouse facility)

6 General Statement of Liability……………………………………………………….……. 6 Within the executive summary appendix, there are two summaries; 1) Summarizing the options noted
above and 2) Summarizing each of the options as an initial capital project.
Appendices
Appendix A – Executive Summary The Cost Estimate is intended to provide a realistic budget for the provided scope. The estimate reflects
Appendix B – Capital Cost Summary our opinion as to the fair market value for the construction of this proposed project and is not intended to
Appendix C – Operation and Maintenance Summary predict the lowest bid. Of note the City of Edmonton provided the discount rate utilized in this report,
Appendix D – Discounted Cashflow Summary 3.53%.
Appendix E – Option 1A and 2A
Appendix F – Option 1B and 2B The estimate includes all direct construction costs, which excludes soft costs and FF&E, consistent with
Appendix G – Option 3 our understanding of the requirements. Certain inclusions, exclusions and qualifications may apply;
Appendix H – Maintenance Model please refer to Section 4.1 & 4.2 and the details contained within the Appendices.
Appendix I – Documentation

2 Project Details
2.1 General Information

From the information provided, we have assumed quantities from information provided and applied unit
rates for the specific item of work based on historical and current cost data for this type of project. As
design information was limited, we made design assumptions based upon our experience on projects of a
similar type, size, and standard of quality.

We confirm that for the development of this report, we reviewed the documents provided by the owner
and inquired if necessary.

2.2 Location

The location cost base for this estimate is Edmonton, Alberta.

Street Smart. World Wise Street Smart. World Wise

City of Edmonton | Hangar 14 Investment Study | December 13 2021t 68

Cost Report

Aviation Museum Investment Study Report Date: February 5, 2022 Aviation Museum Investment Study Report Date: February 5, 2022
Edmonton, Alberta Edmonton, Alberta

2.3 Measurement and Pricing

3 Contingencies
The estimate has been derived using generally accepted principles on method of measurement as per the
Canadian Institute of Quantity Surveyors Elemental Cost Analysis. 3.1 General

The rates used and developed for this estimate where applicable include labour and material, equipment,
and subcontractor’s overheads and profit. Pricing developed for this project is based upon our firms and
indeed teams experience with similar projects, and/or quotes provided by subcontractors as noted within
the estimate.
2.4 Environmental Sustainability
The effective use of contingencies in construction cost planning requires a clear understanding of
estimating risks in both a project specific and general construction market sense. The appropriate level of
contingency is dependent on the amount of information available, knowledge of the design teams’
methods and philosophy, the timing of the estimate preparation relative to the project design and
construction schedule, and the anticipated complexity of the construction work. For this project,
contingencies for the present and future have both been included.

The sites will be remediated after demolition and all demolished materials will be disposed of in an 3.2 Project Contingency
environmental responsible manner. Each option carries a very detailed set of assumptions that can be
found within the prime consultant reporting. Project contingency has been included in this estimate for design and pricing changes prior any tender at
15% for options 1 and 2; and 10% for option 3.
2.5 Taxes
3.3 Escalation Allowance
The estimate excludes the Goods and Services Tax (GST).
Construction escalation to the anticipated tender date has been included from this report. This allowance
2.6 Fees and General Requirements addresses the anticipated changes in construction costs due to labour, equipment and material increases
between the date of this estimate and the anticipated tender date for the project. For immediate work we
The fee and general requirements included are included as a percentage of the hard construction cost. have include 0%; 2-3 years 9%; 4-5 years 15%; 6-10 years 24%; 11-20 years 42% and 21-40 years 67%.
The general requirements include the cost associated with bonding, insurance, and permit fees. These amounts are considered compounded values.

2.7 Procurement Methodology 3.4 Construction (Change Order) Contingency

We have assumed that the project would be completed with a standard City of Edmonton form of Construction contingency has been included within this report. The renovation options carry 10%, while
contract or similar. We have assumed a minimum of five bids for all sub-trade categories to establish the new build option is 5%. This allowance typically is retained outside of the hard construction cost for
competitive bidding and tender results. The estimate is a determination of fair market pricing and not a change orders that may occur during the construction phase of the project.
prediction of lowest bid in any trade category.
3.5 Phasing Allowance
2.8 Schedule / Phasing
No specific phasing allowance was contemplated for this estimate; however, the varied scope delivery
All the options take place over a 40-year time period. Options 1 and 2 are heavily phased, Option 3 was considered when compiling the estimate for each of the options.
assumed the initial new build is completed in a single phase, future renovations are phased as required. It
is understood that the works cannot be combined as varying scopes are being completed throughout the
40-year study period.

The unit rates in our estimate are based on construction activities occurring during normal working hours
and proceeding within a non-accelerated schedule. The estimate does not include for decanting of any
personnel or equipment before or after construction.

Street Smart. World Wise Street Smart. World Wise

69 City of Edmonton | Hangar 14 Investment Study | December 13 2021

Cost Report

Aviation Museum Investment Study Report Date: February 5, 2022 Aviation Museum Investment Study Report Date: February 5, 2022
Edmonton, Alberta Edmonton, Alberta

4 Project Description and Scope Assumptions
Inclusions, Allowances and Assumptions
4.1 Exclusions
The following are excluded from the estimate:
 Goods and Services Tax (GST)
 Acceleration Premium
 Legal fees
 Realty taxes and levies, if applicable
 Hazardous Materials
 Interest/finance charges
 Extensive winter construction
 Market (non-competitive) allowance
 Marketing/promotion
5 Project Statistics
Gross Floor Area / Project Statistics
Hanger 14 GFA – 8,593m2 for all 3 options
Option 1 and 2 – 5,866 m2 Warehouse and 2,727 m2 Office; Total GFA 8,593 m2
Option 3 – 5,329 m2 Warehouse and 3,234 m2 Office; Total GFA 8,593 m2
6 General Statement of Liability
Probable Costs and Ongoing Cost Control

The estimate is based on a building Gross Floor Area supplied and verified with the prime consultant. Altus Group Limited does not guarantee that tenders or actual construction costs will not vary from this
estimate. Acute market conditions, proprietary and/or sole source specifications, or reduced competition
4.2 Scope Review among contractors will cause tenders to vary from reasonable estimates based on normal and abnormal
competitive conditions. In particular the COVID-19 pandemic has the potential to materially impact the
Altus Group Limited recommends the owner and/or design team review the cost estimate report project construction budget beyond the estimate provided herein and outside of “standard“ project
including allowances, assumptions, exclusions, and contingencies to ensure the appropriate design intent contingencies. This estimate does not include any potential COVID-19 related impact costs. We
has been accurately captured within the report. recommend that the client assess each project individually and apply an appropriate contingency if
deemed necessary.
Assumptions included in the maintenance and operations model:
 Assumed assets and general allowances included in each of the line items
 Assumption that the identified assets in the capital plan have undergone
refurbishment/replacement works
 Reactive maintenance generally assumed at 30% of planned activity; there would be a premium
that would need to add related to reactive maintenance for assets that have a delayed
refurbishment schedule
 Materials allowance included at 10% of subcontract cost
 Overall contingency included at 10% and for the new construction Option 3, the assumptions
would still be relevant but could actually increase however we have maintained the same
assumptions throughout the options
 Operational activity has been excluded as they are heavily influenced by operational need and
strategy (for the likes of cleaning, snow removal, pest control, landscaping contractor etc.) and
the other operations and maintenance assume to be unchanged across options.
 Utility data was provided by the consultant team separately
 Utility escalation (short term) was provided by the consultant team, long term uses 5% per
annum
 Operations and Maintenance uses 5%, 4% and 3.75% and returns to an inflationary average of
3.53% for the remaining years

Street Smart. World Wise Street Smart. World Wise

City of Edmonton | Hangar 14 Investment Study | December 13 2021t 70

Cost Report

Aviation Museum Investment Study Report Date: February 5, 2022

Edmonton, Alberta

Appendix A
Executive Summary

Street Smart. World Wise

71 City of Edmonton | Hangar 14 Investment Study | December 13 2021

Cost Report

Hanger 14 Investment Study February 5, 2022

Edmonton, Alberta

COMPARATIVE EXECUTIVE SUMMARY

Investment Options
GFA: 8593 m2
Ref Description OPTION 1A/2A $/m2 OPTION 1B/2B $/m2 OPTION 3 $/m2

Rehabilitation Capital Costs (escalated)

Option 1A 20 year rehabilitation capital costs $23,483,942.26 $2,732.92
Option 2A 40 year rehabilitation capital costs $10,888,169.32 $1,267.10
Option 1B 20 year 50% GHG reduction capital costs $31,576,802.67 $3,674.71
Option 2B 40 year 50% GHG reduction capital costs $10,795,259.50 $1,256.29
Option 3 20 year New facility zero-emission warehouse $33,329,233.11 $3,878.65
Option 3 40 year New facility zero-emission warehouse $3,630,855.89 $422.54

Operating and Maintenance Costs

20 year maintenance and operating costs $7,094,051.06 $825.56 $6,000,613.84 $698.31 $5,553,678.56 $646.30
40 year maintenance and operating costs $17,221,472.22 $2,004.13 $14,106,512.36 $1,641.63 $12,833,292.99 $1,493.46

Net Present Values

20 year net present value $22,833,740.61 $2,657.25 $30,742,103.73 $3,577.58 $36,468,512.60 $4,243.98
40 year net present value $9,656,724.27 $1,123.79 $8,580,751.76 $998.57 $5,617,433.80 $653.72
Combined 1-40 Year NPV $32,490,464.88 $39,322,855.49 $42,085,946.40

City of Edmonton | Hangar 14 Investment Study | December 13 2021t 72

Cost Report

Hanger 14 Investment Study February 5, 2022

Edmonton, Alberta

COMPARATIVE CAPITAL OUTLAY SUMMARY

Investment Options
GFA: 8593 m2
Description OPTION 1A/2A $/m2 OPTION 1B/2B $/m2 OPTION 3 $/m2

Required Capital $16,070,380.23 $1,870.17 $22,158,244.00 $2,578.64 $31,534,825.00 $3,669.83

- Assumes construction in year
one for each option
- Excludes renewals within the
first 20 years
- Project capital project
construction dollars

73 City of Edmonton | Hangar 14 Investment Study | December 13 2021

Cost Report

Aviation Museum Investment Study Report Date: February 5, 2022

Edmonton, Alberta

Appendix B
Capital Cost Summary

Street Smart. World Wise

City of Edmonton | Hangar 14 Investment Study | December 13 2021t 74

Cost Report

Hanger 14 Investment Study

Edmonton, Alberta

CAPTIAL COST SUMMARY

Immediate 2-3 years 4-5 years 6-10 Years 11-20 Years

Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 Year 11 Year 12 Year 13 Year 14 Year 15 Year 16 Year 17 Year 18 Year 19 Year 20 Year 21 20-YEAR TOTAL
2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 2039 2040 2041
A Rehabilitation Capital Costs (1A / 2A)
Rehabilitation capital costs $23,483,942.26
Architectural $855,158.86 $2,548,426.77 $1,172,220.21 $1,329,499.06 $6,781,249.92 $12,686,554.82
Structural $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
Heritage $209,338.99 $825,399.67 $1,301.69 $342,486.46 $2,878,327.29 $4,256,854.10
Mechanical $541,224.14 $1,658.50 $2,108.90 $0.00 $64,916.98 $609,908.52
Electrical $632,440.20 $4,170,881.46 $1,127,303.16 $0.00 $0.00 $5,930,624.82

B 50% GHG Rehabilitation Capital Costs (1B / 2B)

Rehabilitation capital costs $31,576,802.67
Architectural $4,499,661.78 $2,080,051.82 $660,317.75 $808,694.08 $6,343,222.43 $14,391,947.86
Structural $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
Heritage $4,480,486.46 $830,336.50 $1,301.69 $257,927.21 $2,009,029.78 $7,579,081.64
Mechanical $2,653,737.84 $1,658.50 $2,108.90 $0.00 $64,916.98 $2,722,422.22
Electrical $632,440.20 $4,855,663.34 $1,395,247.41 $0.00 $0.00 $6,883,350.95

C New facility zero-emission warehouse $31,534,825.00 $0.00 $4,516.28 $711,909.30 $1,077,982.53 $33,329,233.11

75 City of Edmonton | Hangar 14 Investment Study | December 13 2021

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February 5, 2022

21-40 Years
Year 22 Year 23 Year 24 Year 25 Year 26 Year 27 Year 28 Year 29 Year 30 Year 31 Year 32 Year 33 Year 34 Year 35 Year 36 Year 37 Year 38 Year 39 Year 40 Year 41 40-YEAR TOTAL
2042 2043 2044 2045 2046 2047 2048 2049 2050 2051 2052 2053 2054 2055 2056 2057 2058 2059 2060 2061
Rehabilitation Capital Costs (1A / 2A)
Rehabilitation capital costs $10,888,169.32
Architectural $8,354,524.43 $8,354,524.43
Structural $0.00 $0.00
Heritage $2,532,875.18 $2,532,875.18
Mechanical $769.71 $769.71
Electrical $0.00 $0.00

50% GHG Rehabilitation Capital Costs (1B / 2B)

Rehabilitation capital costs $10,795,259.50
Architectural $7,791,851.12 $7,791,851.12
Structural $0.00 $0.00
Heritage $3,002,638.67 $3,002,638.67
Mechanical $769.71 $769.71
Electrical $0.00 $0.00

New facility zero-emission warehouse $3,630,855.89 $3,630,855.89

City of Edmonton | Hangar 14 Investment Study | December 13 2021t 76

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Aviation Museum Investment Study Report Date: February 5, 2022

Edmonton, Alberta

Appendix C
Maintenance and Operations Cost Summary

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77 City of Edmonton | Hangar 14 Investment Study | December 13 2021

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Hanger 14 Investment Study

Edmonton, Alberta

MAINTENANCE AND OPERATIONS COST SUMMARY

Immediate 2-3 years 4-5 years 6-10 Years 11-20 Years

Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 Year 11 Year 12 Year 13 Year 14 Year 15 Year 16 Year 17 Year 18 Year 19 Year 20 Year 21 20-YEAR TOTAL
2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 2039 2040 2041

Option 1A / 2A Operating and Maintenance Costs $7,094,051.06

Operating Costs
Utilities $43,824.00 $52,588.80 $68,365.44 $84,142.08 $99,918.72 $115,695.36 $131,472.00 $147,248.64 $163,025.28 $178,801.92 $192,212.06 $201,822.67 $211,913.80 $222,509.49 $233,634.97 $245,316.71 $257,582.55 $270,461.68 $283,984.76 $298,184.00 $313,093.20 $3,815,798.12
Maintenance Costs
General facility repair and maintenance $105,836.00 $111,127.80 $115,572.91 $119,906.90 $124,139.61 $128,521.74 $133,058.56 $137,755.52 $142,618.29 $147,652.72 $152,864.86 $158,260.99 $163,847.60 $169,631.42 $175,619.41 $181,818.78 $188,236.98 $194,881.74 $201,761.07 $208,883.24 $216,256.81 $3,278,252.94

Option 1B / 2B Operating and Maintenance Costs $6,000,613.84

Operating Costs
Utilities $31,266.00 $37,519.20 $48,774.96 $60,030.72 $71,286.48 $82,542.24 $93,798.00 $105,053.76 $116,309.52 $127,565.28 $137,132.68 $143,989.31 $151,188.78 $158,748.21 $166,685.62 $175,019.91 $183,770.90 $192,959.45 $202,607.42 $212,737.79 $223,374.68 $2,722,360.90
Maintenance Costs
General facility repair and maintenance $105,836.00 $111,127.80 $115,572.91 $119,906.90 $124,139.61 $128,521.74 $133,058.56 $137,755.52 $142,618.29 $147,652.72 $152,864.86 $158,260.99 $163,847.60 $169,631.42 $175,619.41 $181,818.78 $188,236.98 $194,881.74 $201,761.07 $208,883.24 $216,256.81 $3,278,252.94

Option 3 Operating and Maintenance Costs $5,553,678.56

Operating Costs
Utilities $26,133.00 $31,359.60 $40,767.48 $50,175.36 $59,583.24 $68,991.12 $78,399.00 $87,806.88 $97,214.76 $106,622.64 $114,619.34 $120,350.30 $126,367.82 $132,686.21 $139,320.52 $146,286.55 $153,600.88 $161,280.92 $169,344.96 $177,812.21 $186,702.82 $2,275,425.62
Maintenance Costs
General facility repair and maintenance $105,836.00 $111,127.80 $115,572.91 $119,906.90 $124,139.61 $128,521.74 $133,058.56 $137,755.52 $142,618.29 $147,652.72 $152,864.86 $158,260.99 $163,847.60 $169,631.42 $175,619.41 $181,818.78 $188,236.98 $194,881.74 $201,761.07 $208,883.24 $216,256.81 $3,278,252.94

City of Edmonton | Hangar 14 Investment Study | December 13 2021t 78

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February 5, 2022

21-40 Years
Year 22 Year 23 Year 24 Year 25 Year 26 Year 27 Year 28 Year 29 Year 30 Year 31 Year 32 Year 33 Year 34 Year 35 Year 36 Year 37 Year 38 Year 39 Year 40 Year 41 40-YEAR TOTAL
2042 2043 2044 2045 2046 2047 2048 2049 2050 2051 2052 2053 2054 2055 2056 2057 2058 2059 2060 2061

$17,221,472.22

$328,747.86 $345,185.25 $362,444.51 $380,566.74 $399,595.08 $419,574.83 $440,553.57 $462,581.25 $485,710.31 $509,995.83 $535,495.62 $562,270.40 $590,383.92 $619,903.12 $650,898.27 $683,443.19 $717,615.35 $753,496.11 $791,170.92 $830,729.46 $10,870,361.59

$223,890.68 $231,794.02 $239,976.35 $248,447.51 $257,217.71 $266,297.50 $275,697.80 $285,429.93 $295,505.61 $305,936.95 $316,736.53 $327,917.33 $339,492.81 $351,476.91 $363,884.04 $376,729.15 $390,027.69 $403,795.66 $418,049.65 $432,806.80 $6,351,110.63

$14,106,512.36

$234,543.41 $246,270.58 $258,584.11 $271,513.32 $285,088.98 $299,343.43 $314,310.61 $330,026.14 $346,527.44 $363,853.81 $382,046.51 $401,148.83 $421,206.27 $442,266.59 $464,379.91 $487,598.91 $511,978.86 $537,577.80 $564,456.69 $592,679.52 $7,755,401.73

$223,890.68 $231,794.02 $239,976.35 $248,447.51 $257,217.71 $266,297.50 $275,697.80 $285,429.93 $295,505.61 $305,936.95 $316,736.53 $327,917.33 $339,492.81 $351,476.91 $363,884.04 $376,729.15 $390,027.69 $403,795.66 $418,049.65 $432,806.80 $6,351,110.63

$12,833,292.99

$196,037.96 $205,839.86 $216,131.86 $226,938.45 $238,285.37 $250,199.64 $262,709.62 $275,845.10 $289,637.36 $304,119.23 $319,325.19 $335,291.45 $352,056.02 $369,658.82 $388,141.76 $407,548.85 $427,926.29 $449,322.61 $471,788.74 $495,378.17 $6,482,182.35

$223,890.68 $231,794.02 $239,976.35 $248,447.51 $257,217.71 $266,297.50 $275,697.80 $285,429.93 $295,505.61 $305,936.95 $316,736.53 $327,917.33 $339,492.81 $351,476.91 $363,884.04 $376,729.15 $390,027.69 $403,795.66 $418,049.65 $432,806.80 $6,351,110.63

79 City of Edmonton | Hangar 14 Investment Study | December 13 2021

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Aviation Museum Investment Study Report Date: February 5, 2022

Edmonton, Alberta

Appendix D
Discounted Cashflow Summary

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City of Edmonton | Hangar 14 Investment Study | December 13 2021t 80

Cost Report
Hanger 14 Investment Study
Edmonton, Alberta

NET PRESENT VALUE OPTION SUMMARY

Immediate 2-3 years 4-5 years 6-10 Years 11-20 Years

Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 Year 11 Year 12 Year 13 Year 14 Year 15 Year 16 Year 17 Year 18 Year 19 Year 20 Year 21
2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 2039 2040 2041
A
Total each year $ 1,268,741.10 $ 1,282,797.70 $ 3,957,121.55 $ 3,977,232.18 $ 1,375,525.31 $ 1,395,684.08 $ 598,927.66 $ 619,401.27 $ 640,040.68 $ 660,851.74 $ 679,474.03 $ 1,332,533.07 $ 1,348,210.82 $ 1,364,590.33 $ 1,381,703.79 $ 1,399,584.91 $ 1,418,268.95 $ 1,437,792.84 $ 1,458,195.25 $ 1,479,516.65 $ 1,501,799.43
Discount Rate 3.53%
Year 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21
Present Value $ 1,268,741.10 $ 1,239,058.92 $ 3,691,874.78 $ 3,584,118.02 $ 1,197,302.06 $ 1,173,426.94 $ 486,381.54 $ 485,857.14 $ 484,928.67 $ 483,624.30 $ 480,297.94 $ 909,807.77 $ 889,125.86 $ 869,243.61 $ 850,135.11 $ 831,775.34 $ 814,140.14 $ 797,206.22 $ 780,951.07 $ 765,353.00 $ 750,391.07
NPV - Option 1A/2A $ 32,490,464.88
NPV - Option 1A/2A 20 Years $ 22,833,740.61
NPV - Option 1A/2A 40 Years $ 9,656,724.27

B
Total each year $ 6,270,265.14 $ 6,281,810.14 $ 4,048,202.95 $ 4,063,792.70 $ 1,224,913.96 $ 1,240,551.85 $ 440,180.81 $ 456,133.54 $ 472,252.07 $ 488,542.26 $ 503,321.79 $ 1,143,967.22 $ 1,156,753.30 $ 1,170,096.55 $ 1,184,021.95 $ 1,198,555.60 $ 1,213,724.80 $ 1,229,558.11 $ 1,246,085.41 $ 1,263,337.94 $ 1,281,348.41
Discount Rate 3.53%
Year 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21
Present Value $ 6,270,265.14 $ 6,067,623.05 $ 3,776,850.98 $ 3,662,122.80 $ 1,066,205.04 $ 1,042,998.90 $ 357,465.25 $ 357,790.26 $ 357,803.15 $ 357,524.83 $ 355,781.69 $ 781,061.49 $ 762,862.34 $ 745,351.14 $ 728,505.37 $ 712,303.33 $ 696,724.05 $ 681,747.29 $ 667,353.52 $ 653,523.90 $ 640,240.22
NPV - Option 1B/2B $ 39,322,855.49
NPV - Option 1B/2B 20 Years $ 30,742,103.73
NPV - Option 1B/2B 40 Years $ 8,580,751.76
C
Total each year $ 31,666,794.00 $ 142,487.40 $ 156,340.39 $ 170,082.26 $ 185,980.99 $ 199,771.00 $ 353,839.42 $ 367,944.26 $ 382,214.91 $ 396,657.22 $ 409,866.06 $ 386,409.55 $ 398,013.67 $ 410,115.89 $ 422,738.19 $ 435,903.58 $ 449,636.11 $ 463,960.92 $ 478,904.29 $ 494,493.70 $ 510,757.89
Discount Rate 3.53%
Year 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21
Present Value $ 31,666,794.00 $ 137,629.09 $ 145,860.86 $ 153,271.13 $ 161,883.91 $ 167,958.26 $ 287,348.49 $ 288,614.76 $ 289,586.24 $ 290,281.55 $ 289,720.89 $ 263,827.15 $ 262,484.36 $ 261,243.69 $ 260,102.47 $ 259,058.13 $ 258,108.17 $ 257,250.22 $ 256,481.99 $ 255,801.27 $ 255,205.96
NPV - Option 3 $ 42,085,946.40
NPV - Option 3 20 Years $ 36,468,512.60
NPV - Option 3 40 Years $ 5,617,433.80

81 City of Edmonton | Hangar 14 Investment Study | December 13 2021

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February 5, 2022

21-40 Years
Year 22 Year 23 Year 24 Year 25 Year 26 Year 27 Year 28 Year 29 Year 30 Year 31 Year 32 Year 33 Year 34 Year 35 Year 36 Year 37 Year 38 Year 39 Year 40 Year 41
2042 2043 2044 2045 2046 2047 2048 2049 2050 2051 2052 2053 2054 2055 2056 2057 2058 2059 2060 2061

$ 1,097,047.00 $ 1,121,387.74 $ 1,146,829.33 $ 1,173,422.72 $ 1,201,221.25 $ 1,230,280.79 $ 1,260,659.84 $ 1,292,419.65 $ 1,325,624.39 $ 1,360,341.25 $ 1,396,640.62 $ 1,434,596.20 $ 1,474,285.20 $ 1,515,788.49 $ 1,559,190.78 $ 1,604,580.80 $ 1,652,051.50 $ 1,701,700.24 $ 1,753,629.04 $ 1,807,944.73

22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41
$ 529,461.93 $ 522,756.08 $ 516,387.68 $ 510,346.75 $ 504,623.72 $ 499,209.31 $ 494,094.64 $ 489,271.09 $ 484,730.42 $ 480,464.66 $ 476,466.13 $ 472,727.46 $ 469,241.53 $ 466,001.51 $ 463,000.83 $ 460,233.14 $ 457,692.36 $ 455,372.63 $ 453,268.34 $ 451,374.05

$ 998,197.07 $ 1,017,827.58 $ 1,038,323.44 $ 1,059,723.81 $ 1,082,069.67 $ 1,105,403.91 $ 1,129,771.38 $ 1,155,219.04 $ 1,181,796.02 $ 1,209,553.74 $ 1,238,546.01 $ 1,268,829.13 $ 1,300,462.06 $ 1,333,506.47 $ 1,368,026.93 $ 1,404,091.03 $ 1,441,769.52 $ 1,481,136.44 $ 1,522,269.32 $ 1,565,249.30

22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41
$ 481,754.52 $ 474,479.56 $ 467,530.27 $ 460,896.65 $ 454,569.06 $ 448,538.19 $ 442,795.08 $ 437,331.08 $ 432,137.86 $ 427,207.38 $ 422,531.91 $ 418,103.97 $ 413,916.39 $ 409,962.23 $ 406,234.83 $ 402,727.76 $ 399,434.82 $ 396,350.07 $ 393,467.75 $ 390,782.37

$ 601,471.44 $ 619,176.68 $ 637,651.00 $ 656,928.76 $ 677,045.88 $ 698,039.93 $ 719,950.21 $ 742,817.83 $ 766,685.76 $ 791,598.98 $ 817,604.51 $ 844,751.57 $ 873,091.62 $ 902,678.52 $ 933,568.60 $ 965,820.79 $ 999,496.77 $ 1,034,661.07 $ 1,071,381.18 $ 1,109,727.77

22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41
$ 290,284.95 $ 288,640.91 $ 287,117.80 $ 285,712.43 $ 284,421.71 $ 283,242.69 $ 282,172.50 $ 281,208.42 $ 280,347.82 $ 279,588.18 $ 278,927.06 $ 278,362.14 $ 277,891.18 $ 277,512.04 $ 277,222.67 $ 277,021.10 $ 276,905.43 $ 276,873.87 $ 276,924.68 $ 277,056.21

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Aviation Museum Investment Study Report Date: February 5, 2022

Edmonton, Alberta

Appendix E
Option 1A and 2A

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83 City of Edmonton | Hangar 14 Investment Study | December 13 2021

Cost Report
IR= Immed. Repair/Replcmt
RSL = Remaining
INSPECTION YEAR 2017 PM= Preventative Maint. PERIOD
Service Life
CB= Capital Budget

RSL 2021-2022 2023-2024 2025-2026 2027-2031 2032-2041 2042-2061 Altus Comments

BUILDING SYSTEM Action 2017 Action 2021 Rationale (2021) Architectural
Immediate 2-3 Years 4-5 Years 6-10 Years 11-20 Years 21-40 Years

A10 Foundations
A1010.01 Wall Foundations
A1010.02 Column Foundations
A1030.02 Structural Slabs on Grade IR
A1030.04 Slab on Grade Trenches
A10 Foundations SUBTOTAL: $0 $0 $0 $0 $0 $0
B10 Superstructure
B1010.05 Mezzanine Construction
B1020.01 Roof Structural Frame PM

Main entrance front canopy is clad in prefinished metal (fascia and low parapet
cap flashing) with flat membrane roofing and prefinished metal interlocking
B1020.04 Canopies PM 10 Cost in heritage
soffit slats. Underside of canopy at joint with aluminum door frame shows signs
of water ingress (rust staining on metal angeltrim/closure)

B10 Superstructure SUBTOTAL: $0 $0 $0 $0 $0 $0

B20 Exterior Enclosures

Prefin. Standard Vert. Batten Metal cladding with green PVDF or similar coating
on framed and sheathed infill (with curtain wall/aluminum strip window) of
B2010.01.06.03 Metal Siding PM PM hangar doors between GL 2 & 3 on S. Elevation. Coating system is badly faded 10 Cost in heritage
from UV exposure but metal substrate shows no obvious signs of corrosion or
misalignment.

Shingle/shake siding mostly intact, aligned, and free of major defects other than
B2010.01.06.04 Wood Siding PM PM coatings failures. Old asbestos cement shakes applied to parachute tower 10 Cost in heritage
appear to be intact but should be investigated further.

B2010.01.11 Joint Sealers IR IR Deteriorated throughout in virtually all locations and applications 0
On wood siding (peeling and blistering observed) and several other substrates
B2010.01.13 Paints IR IR on building exterior (metal on hangar doors and other exterior doors, frames, 0-5 Cost in heritage
and windows)
B2010.02.05 Wood Framing No exterior wood framing was observed
Where observed, insulation was of poor to fair quality , discontinuous, and
showing signs of moisture damage and soiling via air and moisture
B2010.03.03.01 Batt Insulation IR IR 0-10 Cost in heritage
ingress/exfiltration through poor quality AVB. Further investigation
recommended.
Framed interior GWB walls: varied in quality, condition (surface and coating
B2010.04.02 Gypsum Board CB integrity), age and extents depending on location in building.
0-20 Cost in heritage

B2010.07.04 Awnings IR IR Frame may be salvageable but fabric covering is marginal 0-3 Cost in heritage

Refers to wood soffits and possibly wood door trim, frames, fascia and corner
battens. Where observed on each elevation appeared to be in mostly fair
B2010.09.01 Finish Carpentry PM condition but further investigation recommended where coatings failures have
0-10 $ 46,488.75 $ 46,488.75 $ 46,488.75 $ 46,488.75
occurred and bare wood is showing.
U/S of exterior canopy at SE corner of building: soffit is clad in sagging, stained,
B2010.09.05 Gypsum Board IR IR 0
moisture-affected interior-grade GWB
B20 Exterior Enclosures SUBTOTAL: $0 $46,489 $46,489 $46,489 $0 $46,489
B2020 Exterior Windows

Lower windows: Condensation and other moisture-related damage observed

B2020.01.01 Windows - PVC IR IR on interior finishes (sills) and to the degradation of the materials on the exterior 7 Cost in heritage
finish on the more sun-affected east and west elevations.
Hangar door glazing unit frames are corroded with glazing putty failing and
B2020.01.01 Windows - Aluminum PM 7 Cost in heritage
some georgian wire glass panes are cracked.
Upper 4-lite units with decorative (false) muntins: thermoset powdercoat
B2020.02.01 Aluminum-Framed Storefronts CB colour coatings are mostly intact. Original dry seals at glass/frame are nearing 10 Cost in heritage
the end of their service life and edge and flashings joint sealants are failing.

B2020 Exterior Windows SUBTOTAL: $0 $0 $0 $0 $0 $0

B2030 Exterior Doors
Cost for door
Coloured (thermoset powdercoat) and clear anodized swing door frames at
operator included as
B2030.01.01 Aluminum-Framed Storefronts PM south and east elevation. Lower glass lite on SE corner door is broken. Glazing 10 $ 5,000.00 $ 1,449.00 $ 6,449.00
seals and frme sealants are failing.
per email from Nov
30, 2021

City of Edmonton | Hangar 14 Investment Study | December 13 2021t 84

Cost Report
Coloured (thermoset powdercoat) door and window frames at south elevation.
Thermoset powdercoat finishes are chalking and fading; seals and sealants are
B2030.01.05 All Glass Entrances and Storefronts IR CB 5 $ 6,218.63 $ 6,218.63
UV-affected and deteriorating, Recommend further investigation into feasibility
of selective replacement of seals and IGU's as well as recoating of frames.

S. Elevation: Unpainted HM door with painted steel frame set into hangar door
at Youth and Cultural Center entrance has inset georgian wire lite and thumb
latch lever and pull handle hardware. Function not observed. Sprinkler Rm.
door is painted HM in PSF set into original wood dooor frame. Coating is badly
B2030.02.01 Metal Doors and Frames IR IR marred and faded/chalked and steel door skin is damaged with a riveted patch. 0-5 $ 17,629.50 $ 17,629.50
Hardware is old round nob type with latch protector.
W. elevation: two HM doors with PSF's btw. GL's 7 & 9 are missing hardware
(auto closer, sweeps and seals/weather stripping. exit devices and outside
hardware are not to current standards

There are 2 steel egress doors and frames at the west elevation that appear to
be original. Condition of doos and frames vary somewhat but both require
B2030.02.01.01 Steel Doors and Frame IR CB significant work to upgrade to current exit function and energy performance 5 Cost in heritage
while retaining important heritage characteristics. Further investigation and
study required.
E. Elevation: 2 wood doors and frames with oudated hardware and failing
B2030.02.02.01 Wood Doors IR IR weatherstripping. Refer to ERA comments on other doors and locations. 0-5 Cost in heritage
Replace with HMD in PSF
B2030.03.05 Hangar Doors IR CB Refer to ERA comments 5
B2030 Exterior Doors SUBTOTAL: $5,000 $17,630 $6,219 $1,449 $17,630 $12,668
C10 Interior Construction

1. Painted, ribbed terracotta hollow units (structural clay block wall) observed at
N & S interior walls of Paint Storage Room (R9). Possibly original? Need to
confirm continuity and FRR of surrounding wall, floor, and ceiling joints and of
ceramic block material.
C1010.01.03 Unit Masonry Assemblies PM 2. Painted CMU partitions/demising walls observed at select portions of east
25 $ 40,753.13
wall of Paint Storage Rm. and Woodworking Shop (R4) along GL's 1 & 2
respectively. Complete extents TBC as some may be behind furring and GWB
assemblies. FRR and other code-related function TBC.

C1010.01.07 Framed Partitions PM CB Per description in FCAR 2017 7 $ 47,213.25 $ 47,213.25

C1010.04 Interior Balustrades and Screens, Interior Railings IR CB Per description in FCAR 2017 7 $ 30,791.25 $ 30,791.25
C1010.05 Interior Windows CB Refer to ERA Comments 7 Cost in heritage
Per description in FCAR 2017. Further code impacts on door types, FRR's,
C1020.01 Interior Swinging Doors PM CB 7 $ 139,345.50 $ 139,345.50
accessibility and hardware is recommended
C1030.01 Visual Display Boards PM Per description in FCAR 2017. No change. 5 Cost in heritage
C1030.02 Fabricated Compartment and Cubicles PM PM Per description in FCAR 2017. 5 $ 1,207.50 $ 1,207.50 $ 1,207.50
Per description in FCAR 2017. Note: Conisder line item for OH fire shutter btw.
C1020.05 Interior Large Doors PM PM 7 $ 18,716.25 $ 18,716.25
N & S (Restoration and Cadet Hall) sections of the west side of hangar at GL 10

C1020.06 Interior Gates None observed

C1030.14 Toilet, Bath, and Laundry Accessories PM PM Per description in FCAR 2017. 7 $ 1,458.66 $ 1,458.66 $ 1,458.66
Added as per email on
C1030.20 Conveying Equipments PM PM Chairlift for stage and small duty elevator 7 $145,000.00 $75,000.00 Nov 30, 2021
C10 Interior Construction SUBTOTAL: $145,000 $0 $1,208 $237,525 $2,666 $ 354,485.54
C20 Stairs
C2010.03 Metal Stair Construction PM Per description in FCAR 2017. 20 Cost in heritage
Per description in FCAR 2017. (See also code write-up in 4.2.1 - 4.2.4 of NEXT
C2010.04 Wood Stair Construction PM CB 5 $ 5,796.00
Architecture Inc. July 2017 BCA). If not CDE, replace with steel/conc.pan

C2020.08 Stair Railings and Balustrades PM CB Per description in FCAR 2017. 5 $ 2,898.00
C20 Stairs SUBTOTAL: $0 $0 $8,694 $0 $0 $0
C30 Interior Finishes
C3010.02 Wall Paneling PM CB Per description in FCAR 2017. Further code review recommended. 5 $ 85,491.00 $ 85,491.00 $ 85,491.00
C3010.06 Tile Wall Finishes PM PM Per description in FCAR 2017. 10 Cost in heritage
C3010.11 Interior Wall Painting PM PM Per description in FCAR 2017. 10 Cost in heritage
Per description in FCAR 2017. Note deficiencies/damaged floor coatings in west
C3020.01 Concrete Floor Finishes IR IR 0 $ 172,672.50 $ 172,672.50 $ 172,672.50 $ 172,672.50
side of facility.
C3020.07 Resilient Flooring PM PM Per description in FCAR 2017 WRT locations and condition of VCT 0-5 $ 4,516.05
Per description in FCAR 2017 WRT locations and condition of carpet except at
C3020.08 Carpet Flooring PM R3 where immediate replacement is recommended
5 $ 56,511.00 $ 56,511.00 $ 56,511.00 $ 56,511.00

C3020.11 Floor Painting PM Per description in FCAR 2017. 5 Cost in 3020.01

Per description in FCAR 2017. Where observed (not all rooms). Further
C3030.02 Ceiling Paneling PM 7 $ 5,071.50 $ 5,071.50
investigation may be required.
Per description in FCAR 2017. Where observed (not all rooms). Further
C3030.06 Acoustical Ceiling Treatment CB 10 $ 5,071.50 $ 5,071.50
investigation may be required.
Per description in FCAR 2017. Where observed (not all rooms). Further
C3030.09 Other Ceiling Finishes CB CB 5 $ 177,894.94 $ 177,894.94 $ 177,894.94
investigation may be required.

85 City of Edmonton | Hangar 14 Investment Study | December 13 2021

Cost Report
C30 Interior Finishes SUBTOTAL: $172,673 $4,516 $319,897 $239,327 $492,569 $502,712
G10 Site Preparation
G1030.01.01 Rough Grading PM IR Per description in FCAR 2017.
G1030.01.02 Finish Grading PM IR Per description in FCAR 2017.
G10 Site Preparation SUBTOTAL: $0 $0 $0 $0 $0 $0
G20 Site Improvement
G2010.02.02 Flexible Pavement PM PM Per description in FCAR 2017. $ 39,243.75
G2010.05 Roadway Curbs and Gutters PM PM Per description in FCAR 2017. $ 10,143.00
G2020.02.02 Flexible Pavement CB CB Per description in FCAR 2017. $ 627,900.00
G2020.02.04 Pavement Markings PM PM Per description in FCAR 2017. $ 3,211.95
G2020.05 Parking Lot Curbs and Gutters PM PM Per description in FCAR 2017. $ 43,953.00
G2030.02 Flexible Pedestrian Pavement PM PM Per description in FCAR 2017. $ 379,094.63
G2030.02.04 Pavement Markings PM PM Per description in FCAR 2017. $ 2,415.00
G2030.03.02 Brick Pavers Not observed $ 1,449.00
See drone photos and site photos from GEC. Pavement is severely
G2030.04.01 Rigid Pavement CB IR $ 465,129.00
compromised.
G2030.04.02 Pavement Markings PM PM Per description in FCAR 2017. $ 2,415.00
G2040.02.01 Chain Link Fences and Gates Per description in FCAR 2017.
G2040.05.01 Seating Not observed
G2040.08 Flagpoles Not observed
G2040.09 Covers and Shelters Not observed
G2040.10 Site Equipment Not observed
G2040.12.03 Picnic Tables Not observed
G2040.12.15 Signs and Displays Not observed
G2050.03 Soil Preparation Not observed
G2050.04 Lawns and Grasses Not observed
G2050.05.02 Plants and Bulbs Not observed
G2050.05.03 Shrubs Not observed
G20 Site Improvement SUBTOTAL: $0 $1,481,615 $93,340 $0 $0 $0
B30 Roofing

Not observed (except for drone aerial photos). Ponding observed at multiple
B3010.04.04 Modified Bituminous Membrane Roofing CB locations in photos but time to latest rain event is unknown as is avg. depth of $ 349,533.55 $ 349,533.55 $ 349,533.55 $ 349,533.55 $ 3,434,960.46 $ 3,434,960.46
ponds

B3010.08.01 Sheet Metal Flashing and Trim CB CB Per description in FCAR 2017. 7 $ 9,892.44 $ 9,892.44 $ 95,513.25

B3010.08.02 Metal Gutters and Downspouts PM PM Per description in FCAR 2017. Should consider alternates to discharge to grade. 5 $ 2,028.60 $ 2,028.60 $ 2,028.60 $ 2,028.60 $ 17,289.89

B3010.08.03 Joint Sealers
B30 Roofing SUBTOTAL:
TOTAL CONSTRUCTION COST
DESIGN AND PRICING CONTINGENCY
CONSTRUCTION CONTINGENCY
ESCALATION CONTINGENCY
TOTAL COST
Included in Included in
PM Not observed $ 15,929.94
B3010.04.04 above B3010.04.04 above
$ 361,454.59 $351,562 $361,455 $367,492 $3,547,764 $3,434,960
$ 684,127.09 $ 1,901,811.02 $ 837,300.15 $ 892,281.25 $ 4,060,628.70 $ 4,351,314.81
$ 102,619.06 $ 285,271.65 $ 125,595.02 $ 133,842.19 $ 609,094.30 $ 652,697.22
$ 68,412.71 $ 190,181.10 $ 83,730.02 $ 89,228.12 $ 406,062.87 $ 435,131.48
$ - $ 171,162.99 $ 125,595.02 $ 214,147.50 $ 1,705,464.05 $ 2,915,380.92
$ 855,158.86 $ 2,548,426.77 $ 1,172,220.21 $ 1,329,499.06 $ 6,781,249.92 $ 8,354,524.43

City of Edmonton | Hangar 14 Investment Study | December 13 2021t 86

Cost Report
INSPECTION RSL= Remaining
PERIOD
YEAR 2017 Service Life WEC STRUCTURAL COMMENTS
RSL 2021-2022 2023-2024 2025-2026 2027-2031 2032-2041 2042-2061
BUILDING SYSTEM Observations/Comments (2021)
Years Immediate 2-3 Years 4-5 Years 6-10 Years 11-20 Years 21-40 Years

A10 Foundations

Some cracking and exposure of corroded steel wire mesh was observed
at east end of north elevation; gravel fill has been added at the east end No change from 20 Expose deteriorated portions of wall to inspect
A1010.01 Wall Foundations TBD See heritage See heritage See heritage See heritage See heritage
of the south elevation as a temporary means of covering and concealing year scope condition of structural elements.
deteriorated wall plates/footing

Foundation will need to be exposed and

A1010.02 Column Foundations Not observed N/A Investigation excluded investigated to determine suitability to support
increased roof loads
No replacement or
Existing concrete floor slabs are original and remain in good to fair other upgrades
No action required if service conditions remain
A1030.02 Structural Slabs on Grade condition overall. There is cracking in various locations throughout the 20 See heritage recommended due to
impact to character
the same.
slab, but these are minor and do not suggest ongoing movement.
defining element
Integral cast-in-place concrete floor ducts formed part of the original heat
distribution system of the building. Furture interventions should consider No action required if service conditions remain
A1030.04 Slab on Grade Trenches 20 Maintenance excluded Maintenance excluded
their preservation as salvaged artifacts for potential reuse in a heritage the same.
interpretation strategy.
A10 Foundations SUBTOTAL: $ - $ - $ - $ - $ - $ -
B10 Superstructure
Mezzanine appears to be in good shape. No
B1010.05 Mezzanine Construction 20 action required if service conditions remain the
same.

Structural engineer
to advise
WEC: One of the
first steps could be to
Existing Douglas fir Warren trusses, steel bolt and split ring connectors, re-engage BPTEC
roof deck, built-up braced wood columns, are character defining elements and consult them
and should be conserved as part of any future repair programme. There about additional
are numerous occasions of severe splitting and cracking of truss dead loads and drift
B1020.01 Roof Structural Frame members and diagonal wall bracing members. Numerous wood straps 0 associated with solar
have been added to the underside of roof deck to cover gaps and cracks. panels. This will
Steel fasteners have generally corroded. There has been apparent determine the
movement at numerous splice connections, where horizontal bracing maximum limit the
members between trusses are sagging. trusses can take,
even with
reinforcing. This will
give a clearer picture
for costing moving
forward.
The current trusses require extensive repair
and rehabilitation. The extent of which are
carefully documented in the BPTEC report.
Not only will individual connections (546) and
members (332+) need to be replaced or
reinforced, but all of the post-tensioned wires
will need replacement which will require all
Cost included in
trusses to be shored. Rigid insulation on the
B3010.04.04 Modified
See heritage See heritage roof will likely increase the snow load on the
Bituminous Membrane
Roofing roof and could contribute to higher humidity in
the building which would deteriorate the
trusses. Additionally, future development of
the surrounding area could increase the snow
load on the roof. If solar panels are considered
to be added to the roof, this would also
increase the snow load by adding area of snow
drift.

87 City of Edmonton | Hangar 14 Investment Study | December 13 2021

Cost Report

East canopy cement board soffit has significant water damage, leading to
widespread staining and deformation of panels; south canopy is metal
siding and in fair condition; several wood soffit boards above the hangar Existing joists need to be exposed and
B1020.04 Canopies TBD See heritage See heritage See heritage See heritage
doors were noted to have loosened or formed small gaps and should be reviewed for water damage.
replaced. A non-original metal clad barrel vaulted canopy on the south
elevation was heavily corroded and in poor condition.

B10 Superstructure SUBTOTAL: $0 $0 $0 $0 $0 $0

B20 Exterior Enclosures
A = Excellent, B = Good, C = Fair , D = Poor, F =
Fail/Critical
*Action: PM = Preventative Maintenance, IR =
Immediate Repair/Replacement, CB = Capital
Budget, NA = Not Applicable, TBD = To be

Note: The total costs shown in this

summary are only for components where
the scope of work could be determined.
There are some components where the
scope of work could not be determined
(These are assigned as TBD). Thus, the
actual total cost is expected to be
considerably higher than stated total cost.

TOTAL CONSTRUCTION COST $ - $ - $ - $ - $ - $ -

DESIGN AND PRICING CONTINGENCY $ - $ - $ - $ - $ - $ -
CONSTRUCTION CONTINGENCY $ - $ - $ - $ - $ - $ -
ESCALATION CONTINGENCY $ - $ - $ - $ - $ - $ -
TOTAL COST $ - $ - $ - $ - $ - $ -

City of Edmonton | Hangar 14 Investment Study | December 13 2021t 88

Cost Report
IR= Immed. Repair/Replcmt RSL= Remaining
INSPECTION YEAR 2017 PERIOD
PM= Preventative Maint. Service Life
Character RSL= Remaining
2021-2022 2023-2024 2025-2026 2027-2031 2032-2041 2042-2061 Altus Comments
BUILDING SYSTEM Action 2017 Action 2021 Defining Observations/Comments (2021) Service Life
Element Immediate 2-3 Years 4-5 Years 6-10 Years 11-20 Years 21-40 Years
A10 Foundations

Some cracking and exposure of corroded steel wire mesh was observed
at east end of north elevation; gravel fill has been added at the east end of
A1010.01 Wall Foundations PM $ 929.78 $ 929.78 $ 929.78 $ 929.78 $ 93,484.65
the south elevation as a temporary means of covering and concealing
deteriorated wall plates/footing

A1010.02 Column Foundations Not observed Investigation excluded

No replacement or other
Existing concrete floor slabs are original and remain in good to fair upgrades
A1030.02 Structural Slabs on Grade IR PM ● condition overall. There is cracking in various locations throughout the $ 47,092.50 recommended due to
slab, but these are minor and do not suggest ongoing movement. impact to character
defining element
Integral cast-in-place concrete floor ducts formed part of the original heat
distribution system of the building. Furture interventions should consider
A1030.04 Slab on Grade Trenches CB ● Maintenance excluded Maintenance excluded
their preservation as salvaged artifacts for potential reuse in a heritage
interpretation strategy.
A10 Foundations SUBTOTAL: $ 929.78 $ 929.78 $ 929.78 $ 929.78 $ 140,577.15 $ -
B10 Superstructure
Added as per email on
B1010.05 Mezzanine Construction $48,583.76 Nov 30, 2021

Existing Douglas fir Warren trusses, steel bolt and split ring connectors,
roof deck, built-up braced wood columns, are character defining elements
and should be conserved as part of any future repair programme. There For scope of work in
Cost included in
are numerous occasions of severe splitting and cracking of truss 2032-2041, assume
Structural engineer to B3010.04.04 Modified
B1020.01 Roof Structural Frame PM PM ● members and diagonal wall bracing members. Numerous wood straps $ 195,011.25 $ 195,011.25 repair work in favor of
advise Bituminous Membrane
have been added to the underside of roof deck to cover gaps and cracks. full replacment of roof
Roofing
Steel fasteners have generally corroded. There has been apparent trusses
movement at numerous splice connections, where horizontal bracing
members between trusses are sagging.

East canopy cement board soffit has significant water damage, leading to
widespread staining and deformation of panels; south canopy is metal
siding and in fair condition; several wood soffit boards above the hangar
B1020.04 Canopies PM IR ● $ 25,357.50 $ 2,535.75 $ 2,535.75 $ 6,592.95
doors were noted to have loosened or formed small gaps and should be
replaced. A non-original metal clad barrel vaulted canopy on the south
elevation was heavily corroded and in poor condition.

B10 Superstructure SUBTOTAL: $73,941 $197,547 $0 $0 $197,547 $6,593

B20 Exterior Enclosures

Not original. UV degradation of anodized coating observed on south Cost for access to
B2010.01.06.03 Metal Siding PM $ 3,169.69 $ 3,169.69 $ 3,169.69 $ 14,490.00
elevation metal siding is included

As per scope, assume

5% of shingles require
Not original. Shingles are generally intact with minor splits and checks
B2010.01.06.04 Wood Siding PM PM ● $ 27,168.75 $ 27,168.75 $ 27,168.75 $ 597,712.50 repair for 2-3 year, 6-10
throughout. year and 11-20 year
timeline

B2010.01.11 Joint Sealers IR IR General failure observed throughout building. $ 36,225.00 $ 36,225.00 $ 36,225.00

Loss of paint coating, blistering, peeling and cracking on exterior wood

siding (significantly on the upper floor on east and west elevations), doors
B2010.01.13 Paints IR IR $ 376,740.00 $ 109,158.00 $ 485,898.00
and frames; similar deterioration observed on steel hangar doors and
windows

B2010.02.05 Wood Framing Not observed

General staining of batt insulation due to discontinuities in air and vapour
Cost for access to batt
B2010.03.03.01 Batt Insulation IR IR barriers; future short-term investigation is recommended to determine $ 171,163.13 $ 456,435.00
insulation is included
extent of discontinuities in insulated areas and to inform longer term
B2010.04.02 Gypsum Board CB Not original $ 209,199.38

89 City of Edmonton | Hangar 14 Investment Study | December 13 2021

Cost Report
B2010.07.04 Awnings IR CB (See B1020.04 above) $ 4,830.00 $ 4,830.00
B2010.09.01 Finish Carpentry None observed
Included in east Included in east
B2010.09.05 Gypsum Board IR CB Not original
canopies canopies
B20 Exterior Enclosures SUBTOTAL: $ 39,394.69 $ 403,908.75 $ - $ 175,721.44 $ 937,653.94 $ 1,073,467.50
B2020 Exterior Windows

Numerous screen ruptures, typical failure of gaskets, localized

condensation, degradation of muntin coating. There is frequent staining
evident at interior sills.The remaining wood nine-over-nine sash window
B2020.01.01 Windows - PVC IR IR ● (located on the south face of the west lean-to addition) is original and $ 13,584.38 $ 13,584.38 $ 13,584.38 $ 91,770.00 $ 91,770.00
undergoing significant deterioration; it should be salvaged and put in
storage for use as a template in the future rehabilitation of ground floor
windows on east and west elevations.

No double-glazing
Cost for non glazed
Hangar door steel windows show general air leakage, loss of putty upgrades
portion of hangar door
B2020.01.01 Windows - Aluminum IR ● around muntins and frames; corrosion and paint loss at muntins and $ 9,056.25 $ 9,056.25 $ 44,436.00 recommended due to
included in
frames and muntins. Several lites were observed to be cracked. impact to character
B2030.03.05
defining elements

B2020.02.01 Aluminum-Framed Storefronts PM Not original $ 4,860.19 $ 4,860.19 $ 4,860.19 $ 63,212.63

B2020 Exterior Windows SUBTOTAL: $ 27,500.81 $ 13,584.38 $ - $ 27,500.81 $ 141,066.19 $ 154,982.63

B2030 Exterior Doors
B2030.01.01 Aluminum-Framed Storefronts PM Not original See arch See arch See arch See arch
B2030.01.05 All Glass Entrances and Storefronts IR PM Not original See arch See arch See arch See arch
Not original. General failure of joint selants, weatherstripping and door
B2030.02.01 Metal Doors and Frames IR IR See arch See arch See arch See arch
seals observed.

General corrosion and loss of paint at door panels, frames, thresholds,

hardware and fasteners; failure of joint sealants, weatherstripping and
B2030.02.01.01 Steel Doors and Frame IR IR ● door seals. Temporary plugs and tape have been applied to seal gaps. $ 3,064.03 $ 3,064.03 $ 12,075.00 $ 4,528.13
Steel door on west elevation is in fair condition but an inadequate
threshold condition poses a risk for future water damage.

General splitting, checking and deterioration of wood panels and frames,

significant weatherstripping failure overall. Paint coatings have generally
deteriorated; steel fasteners and hardware have corroded; caulking has
B2030.02.02.01 Wood Doors IR IR ● failed. Sliding wood doors on south elevation are original and in poor $ 12,980.63 $ 12,980.63 $ 12,980.63 $ 12,980.63
condition overall. Plastic vision lites on the south sliding doors have
discoloured and are not secure. Steel straps on west wood doors are
likely original.

B2030.03.05 Hangar Doors
Hangar door panels show some localized paint loss, general sheet/frame
deformation from impact near grade, corrosion at base/bottom rails,
hardware and fasteners. While the top-hung rolling doors appear to
Cost for glazed portion
remain operational, there is significant air leakage from lack/failure of
IR IR ● $ 9,660.00 $ 9,660.00 $ 16,905.00 $ 9,660.00 of hangar door included
weatherstripping and air seals, putty, caulking, etc. Temporary plugs and in B2020.01.01
tape have been applied to seal gaps. Organic growth was generally
observed at the base from lack of positive drainage away from the
building.

B2030 Exterior Doors SUBTOTAL: $25,705 $0 $0 $25,705 $41,961 $27,169

C10 Interior Construction
C1010.01.03 Unit Masonry Assemblies None observed
C1010.01.07 Framed Partitions PM

C1010.04 Interior Balustrades and Screens, Interior Railings IR No impact to character defining elements

An original wood factory-type fixed window is located in the second floor

office on the east elevation. This window should be retained for use as a
C1010.05 Interior Windows ● $ 603.75
template in the future rehabilitation of second floor windows on east and
west elevations.
C1020.01 Interior Swinging Doors PM PM No impact to character defining elements
C1030.01 Visual Display Boards No impact to character defining elements
C1030.02 Fabricated Compartment and Cubicles PM None observed
C1020.05 Interior Large Doors PM None observed
C1020.06 Interior Gates None observed
C1030.14 Toilet, Bath, and Laundry Accessories PM PM No impact to character defining elements See arch See arch
C10 Interior Construction SUBTOTAL: $0 $0 $0 $0 $604 $0

City of Edmonton | Hangar 14 Investment Study | December 13 2021t 90

Cost Report
C20 Stairs
C2010.03 Metal Stair Construction Not observed
C2010.04 Wood Stair Construction PM
C2020.08 Stair Railings and Balustrades PM
C20 Stairs SUBTOTAL: $0 $0 $0 $0 $0 $0
C30 Interior Finishes
C3010.02 Wall Paneling PM None observed
C3010.06 Tile Wall Finishes CB No impact to character defining elements See arch See arch

Paint finishes on the interior roof structure and timber wall framed
elements are in fair condition with many areas exhibiting water staining
and localized loss of paint. Water staining is particularly evident at the east
C3010.11 Interior Wall Painting CB ● $ 56,994.00 $ 56,994.00
and west walls, and is generally present on truss members. There is
general flaking and peeling of the paint coating on horizontal board
sheathing in restoration area

C3020.01 Concrete Floor Finishes PM PM ● Generally good condition See arch

C3020.07 Resilient Flooring PM None observed
C3020.08 Carpet Flooring None observed
C3020.11 Floor Painting None observed
C3030.02 Ceiling Paneling CB See arch See arch
C3030.06 Acoustical Ceiling Treatment CB See arch See arch
C3030.09 Other Ceiling Finishes CB CB See arch See arch
C30 Interior Finishes SUBTOTAL: $0 $0 $0 $0 $56,994 $56,994
G10 Site Preparation
Surface slopes are generally poor and are conveying runoff toward the
G1030.01.01 Rough Grading PM PM $ 74,925.38
building foundation.
Surface slopes are generally poor and are conveying runoff toward the
G1030.01.02 Finish Grading PM PM $ 132,221.25
building foundation.
G10 Site Preparation SUBTOTAL: $0 $0 $0 $0 $207,147 $0
G20 Site Improvement
G2010.02.02 Flexible Pavement PM PM No impact to character defining elements
G2010.05 Roadway Curbs and Gutters PM PM No impact to character defining elements
G2020.02.02 Flexible Pavement CB PM No impact to character defining elements
G2020.02.04 Pavement Markings PM PM No impact to character defining elements
G2020.05 Parking Lot Curbs and Gutters PM PM No impact to character defining elements
G2030.02 Flexible Pedestrian Pavement PM PM No impact to character defining elements
G2030.02.04 Pavement Markings PM PM No impact to character defining elements
G2030.03.02 Brick Pavers PM No impact to character defining elements
G2030.04.01 Rigid Pavement CB PM No impact to character defining elements
G2030.04.02 Pavement Markings PM PM No impact to character defining elements
G2040.02.01 Chain Link Fences and Gates PM No impact to character defining elements
G2040.05.01 Seating
G2040.08 Flagpoles
G2040.09 Covers and Shelters
G2040.10 Site Equipment
G2040.12.03 Picnic Tables
G2040.12.15 Signs and Displays
G2050.03 Soil Preparation
G2050.04 Lawns and Grasses
G2050.05.02 Plants and Bulbs
G2050.05.03 Shrubs
G20 Site Improvement SUBTOTAL: $0 $0 $0 $0 $0 $0
B30 Roofing

Roof not observed. Previous site photos from 2017 condition assessment Cost included in
B3010.04.04 Modified Bituminous Membrane Roofing CB CB
have been referenced for this study. architectural

Roof not observed. Previous site photos from 2017 condition assessment Cost included in
B3010.08.01 Sheet Metal Flashing and Trim CB PM
have been referenced for this study. architectural

Cost included in
B3010.08.02 Metal Gutters and Downspouts PM PM No impact to character defining elements
architectural

Roof not observed. Previous site photos from 2017 condition assessment Cost included in
B3010.08.03 Joint Sealers PM IR
have been referenced for this study. architectural
B30 Roofing SUBTOTAL: $ - $ - $ - $ - $ - $ -
D20 PLUMBING

91 City of Edmonton | Hangar 14 Investment Study | December 13 2021

Cost Report
Water Closets No impact to character defining elements (See C1030.14 above) (See C1030.14 above)

Urinals No impact to character defining elements (See C1030.14 above) (See C1030.14 above)

Lavatories No impact to character defining elements (See C1030.14 above) (See C1030.14 above)

Sinks No impact to character defining elements (See C1030.14 above) (See C1030.14 above)

Mechanical engineer to
Pipes and Tubes: Domestic Water No impact to character defining elements
advise
Mechanical engineer to
Domestic Water Heaters No impact to character defining elements
advise
Mechanical engineer to
Waste and Vent Piping No impact to character defining elements
advise
SUBTOTAL: $0 $0 $0 $0 $0 $0
D30 Heating Ventilating and Air Conditioning (HVAC)
Gas Supply Systems

The existing gas-fired furnaces appear to be original to the BCATP period

and of historic significance. One has been decommissioned while the
Mechanical engineer to Cost included in
Furnaces IR CB ● other is still in service. Future mechanical upgrades should consider the
advise mechanical
preservation of this equipment as salvaged artifacts for potential use in a
heritage interpretation strategy.

Integral cast-in-place concrete floor ducts formed part of the original heat
distribution system of the building. Future interventions should consider Mechanical engineer to Cost included in
Ducts: Air Distribution IR CB ●
their preservation as salvaged artifacts for potential reuse in a heritage advise mechanical
interpretation strategy.
Electric and Electronic Controls No impact to character defining elements
No visible signs of deterioration from excess relative humidity inside
Other Special HVAC Systems and Equipment CB CB No cost required
building.
SUBTOTAL: $0 $0 $0 $0 $0 $0
D40 Fire Protection
Wet-Pipe Fire Sprinkler Systems
Fire Extinguisher, Cabinets and Accessories
SUBTOTAL: $0 $0 $0 $0 $0 $0
D5010 Electrical Service and Distribution
D5010.01.01 Transformers IR No impact to character defining elements
D5010.03.07 Enclosed Switches and Circuit Breakers IR No impact to character defining elements
D5010.03.09 Enclosed Bus Assemblies IR No impact to character defining elements
Several decommissioned electrical panels appear to be original to the
BCATP period and of historic significance. Future electrical upgrades No cost required as per
D5010.05.01 Switchboards, Panelboards and Control Centers IR CB ●
should consider their preservation as salvaged artifacts for potential reuse electrical engineer
in a heritage interpretation strategy.
D5010.05.02 Enclosed Switches and Circuit Breakers IR No impact to character defining elements
D5010 Electrical Service and Distribution SUBTOTAL: $0 $0 $0 $0 $0 $0
D5020 Lighting and Branch Wiring
D5020.01 Electrical Branch Wiring IR No impact to character defining elements
D5020.01.02 Conductors and Cables No impact to character defining elements
D5020.01.03 Wiring Devices No impact to character defining elements
D5020.02.02 Interior Luminaries IR No impact to character defining elements
D5020.02.03 Emergency Lighting No impact to character defining elements
D5020.02.03 Exit Lighting IR No impact to character defining elements
D5020.02.05 Special Purpose Lighting No impact to character defining elements
D5020.03.01 Exterior Luminaries No impact to character defining elements
D5020 Lighting and Branch Wiring SUBTOTAL: $0 $0 $0 $0 $0 $0
D5030 Communications and Security
D5030.01.03 Smoke Alarm No impact to character defining elements
D5030.02 Security Access and Surveillance No impact to character defining elements
D5030.04 Voice and Data Systems IR No impact to character defining elements
D5030 Communications and Security SUBTOTAL: $0 $0 $0 $0 $0 $0

A = Excellent, B = Good, C = Fair , D = Poor, F = Fail/Critical

*Action: PM = Preventative Maintenance, IR = Immediate

Repair/Replacement, CB = Capital Budget, NA = Not Applicable,
TBD = To be Determine

City of Edmonton | Hangar 14 Investment Study | December 13 2021t 92

Cost Report
Note: The total costs shown in this summary are only for
components where the scope of work could be
determined. There are some components where the scope
of work could not be determined (These are assigned as
TBD). Thus, the actual total cost is expected to be
considerably higher than stated total cost.

TOTAL CONSTRUCTION COST $ 167,471.19 $ 615,969.90 $ 929.78 $ 229,856.68 $ 1,723,549.28 $ 1,319,205.83

DESIGN AND PRICING CONTINGENCY $ 25,120.68 $ 92,395.49 $ 139.47 $ 34,478.50 $ 258,532.39 $ 197,880.87
CONSTRUCTION CONTINGENCY $ 16,747.12 $ 61,596.99 $ 92.98 $ 22,985.67 $ 172,354.93 $ 131,920.58
ESCALATION CONTINGENCY $ - $ 55,437.29 $ 139.47 $ 55,165.60 $ 723,890.70 $ 883,867.90
TOTAL COST $ 209,338.99 $ 825,399.67 $ 1,301.69 $ 342,486.46 $ 2,878,327.29 $ 2,532,875.18

93 City of Edmonton | Hangar 14 Investment Study | December 13 2021

Cost Report
IR= Immed. Repair/Replcmt
RSL= Remaining
INSPECTION YEAR 2017 PM= Preventative Maint. PERIOD
Service Life
CB= Capital Budget

RSL 2021-2022 2023-2024 2025-2026 2027-2031 2032-2041 2042-2061 Altus Comments

BUILDING SYSTEM Action 2017 Action 2021 Observations/Comments (2021)

2-3 Years Immediate 2-3 Years 4-5 Years 6-10 Years 11-20 Years 21-40 Years

D20 PLUMBING
Water Closets (floor mount, tank type assumed) Appears in fair condition. 15 $ 17,551.01
Urinals Appears in fair condition. 15 $ 7,299.34
Lavatories Appears in fair condition. 15 $ 12,805.54
Rates are based on
a single per unit
Sinks Appears in fair condition. 15 $ 1,216.56
basis, as quantities
are unknown

Rates are based on

a single per unit
Pipes and Tubes: Domestic Water Appears in fair condition. 20 $ 224.60
basis, as quantities
are unknown

Rates are based on

a single per unit
Domestic Water Heaters Appears in fair condition. 5 $ 1,506.36
basis, as quantities
are unknown

Rates are based on

a single per unit
Waste and Vent Piping Appears in fair condition. 20 $ 176.30
basis, as quantities
are unknown
SUBTOTAL: $0 $0 $1,506 $0 $38,872 $401

D30 Heating Ventilating and Air Conditioning (HVAC)

Gas Supply Systems Appears in fair condition. 10 No cost

Staff has advised that both furnaces appear to be original and parts for
repair are difficult to source. Also furnace F1 has failed and does not
contribute to the heating of the hangar. Areas are now unevenly
serviced, with areas cold and other areas overly warn. If some of the
areas that are cold should drop below the freezing temperature,
domestic water and fire water/sprinkler piping may be at risk of freezing. Cost of salvaging
This may lead to the pipes bursting and releasing water that may
Furnaces IR IR 0 $ 414,655.50 existing furnace
damage the airplanes in the facility.
Recommend: Repair or replace the non-operating furnace to ensure included
that the building has heat during the winter. Recommend replacing the
operating furnace as soon as possible.
(There is no information on the current furnaces. A guessimate on a
replacement from Engineered Air would be a Model DG650,
approximately +60,000 cfm)

Underslab ductwork
Staff has advised that there was water in the under slab ductwork that
provides air distribution to the building.
Option 1: If water in the distribution passages, recommend scoping the
Assume Option1:
underslab passages and access the condition.
Option 2: If water in the plenum directly under the furnances, this may Cost shown is for air
be from the exterior landscaping, which is not sloping away from the transfer fan.Assume
building. If that is the case, slope landscape away from building. 40 hours of video
Ducts: Air Distribution IR IR 0 $ 18,021.94
inspection for the
Airflow distribution to rooms underslab passage
Air distribution is currently no airflow to the upper floor and central main as the space scope
floor offices.
is unknown
Offices: Recommend a transfer air fan to circulate air to the offices or
provide HRV to provide airflow. (Transfer fans approximately in the 100
to 300 cfm range)

Electric and Electronic Controls Appears in fair condition. 10 No cost

City of Edmonton | Hangar 14 Investment Study | December 13 2021t 94

Cost Report
Airflow distribution to rooms
There is no airflow into the wood workshop. There is a recirculating air Rates are based on
filter that removes large particles in the air (ie wood dust).
a single per unit
Other Special HVAC Systems and Equipment CB CB Wood workshop: Recommend a transfer air fan or an exhaust fan to 3 $ 1,237.69
the wood shop to provide airflow. (The metal shop currently has an
basis, as quantities
exhaust fan that may be used to provide transfer air.). Transfer or are unknown
exhaust fan size in the range of 300 to 500 cfm.

SUBTOTAL: $432,677 $1,238 $0 $0 $0 $0

D40 Fire Protection
Wet-Pipe Fire Sprinkler Systems Appears in fair condition. 20 No cost
Rates are based on
Fire extiguishers were last recharged in 2016 and lasts 5 years for
a single per unit
Fire Extinguisher, Cabinets and Accessories commercial buildings. Replace fire extinguishers as as 5 year limit has 0 $ 301.88
been reached. basis, as quantities
are unknown
SUBTOTAL: $302 $0 $0 $0 $0 $0

A = Excellent, B = Good, C = Fair , D = Poor, F = Fail/Critical

*Action: PM = Preventative Maintenance, IR = Immediate

Repair/Replacement, CB = Capital Budget, NA = Not Applicable, TBD =
To be Determine
Note: The total costs shown in this summary are only for
components where the scope of work could be determined.
There are some components where the scope of work could not
be determined (These are assigned as TBD). Thus, the actual
total cost is expected to be considerably higher than stated
total cost.
TOTAL CONSTRUCTION COST $ 432,979.31 $ 1,237.69 $ 1,506.36 $ - $ 38,872.44 $ 400.89
DESIGN AND PRICING CONTINGENCY $ 64,946.90 $ 185.65 $ 225.95 $ - $ 5,830.87 $ 60.13
CONSTRUCTION CONTINGENCY $ 43,297.93 $ 123.77 $ 150.64 $ - $ 3,887.24 $ 40.09
ESCALATION CONTINGENCY $ - $ 111.39 $ 225.95 $ - $ 16,326.43 $ 268.60
TOTAL COST $ 541,224.14 $ 1,658.50 $ 2,108.90 $ - $ 64,916.98 $ 769.71

95 City of Edmonton | Hangar 14 Investment Study | December 13 2021

Cost Report
IR= Immed. Repair/Replcmt
RSL= Remaining
INSPECTION YEAR 2021 PM= Preventative Maint. PERIOD
Service Life
CB= Capital Budget
RSL 2021-2022 2023-2024 2025-2026 2027-2031 2032-2041 2042-2061
Action 2017 Action 2021 Observations/Comments (2021)
Years Immediate 2-3 Years 4-5 Years 6-10 Years 11-20 Years 21-40 Years

There are no transformers in the facility however, the site is fed from 3
separate services with 3 different utility transformers. We recommend
replacing these services with one new EPCOR utility service sized for the
D5010.01.01 Transformers IR IR entire facility and distribution transformers inside the facility as necessary
2 1,110,900.00
to service the existing systems. It would be recommended to bring in a
3phase 600V service and then transform down to 120/208V.

The panels as well as the breakers within them have reached the end of
D5010.03.07 Enclosed Switches and Circuit Breakers IR IR their service life and it is recommended that they be replaced.
2 318,313.91

The panels as well as the breakers within them have reached the end of
D5010.03.09 Enclosed Bus Assemblies IR IR their service life and it is recommended that they be replaced.
2 355,795.91

The panels as well as the breakers within them have reached the end of
D5010.05.01 Switchboards, Panelboards and Control Centers IR IR their service life and it is recommended that they be replaced.
2 409,261.60

The panels as well as the breakers within them have reached the end of
D5010.05.02 Enclosed Switches and Circuit Breakers IR IR their service life and it is recommended that they be replaced.
2 380,785.13

$0 $2,575,057 $0 $0 $0

D5020.01 Electrical Branch Wiring
D5020.01.02 Conductors and Cables
D5020.01.03 Wiring Devices
The branch wiring has been modified and run with various different types
of cable and conduit throughout the space. Some of the installations do
IR IR not appear up to code and are not to the COE standards. It is 2 230,401.87
recommended that conduit and cable be rerun when the new panel
installations are done.
The branch wiring has been modified and run with various different types
of cable and conduit throughout the space. Some of the installations do
IR not appear up to code and are not to the COE standards. It is 2 307,139.70
recommended that conduit and cable be rerun when the new panel
installations are done.
Many of the wiring devices have reached the end of their useable life and
should be replaced. They are currently functional so this replacement is 5 25,357.50
not immediate.

The interior lighting is a combination of a variety of fixtures including T12

fluorescents, T8 fluorescents, high bay metail halides, high bay LED
retrofitted fixtures, A19 lamps, and LED panels. It is recommended that
D5020.02.02 Interior Luminaries IR IR the lighting be replaced with all new LED fixtures to suit the space as the 5 433,615.67
majority of fixtures have reached the end of their service life. It is also
recommended that a lighting control system be installed to control the
fixtures allow for energy savings and dimming capabilities.

The emergency lighting that exists onsite appears to have been

maintained however, there does not appear to be enough emergency
D5020.02.03 Emergency Lighting IR lighting to adequately lit the egress path especially in the public museum 0 71,771.39
and event spaces. It is recommended that a new emergency lighting plan
be designed and fixtures installed to code for the space.

The existing exit lighting in the facility is currently red EXIT type as well as
unlit signs. It does not adequately guide occupants along the egress path.
D5020.02.03 Exit Lighting IR IR
It is our recommendation that new green LED running man exit signs be
0 36,225.00
installed throughout the facility to illuminate the egress path per code.

It is recommended that the special purpose lighting be evaluated at the As per engineer,
D5020.02.05 Special Purpose Lighting same time as the full lighting replacement and coordinated with the new 10 existing to
lighting control system.
remian

The exterior lighting is a combination of building mounted wall packs As per engineer,
which have been upgraded to LED and pole lighting for the parking lot. It
D5020.03.01 Exterior Luminaries
was not observed on at the time of the review but is assumed that they are
10 existing to
adequate for the intended purpose. remian
$107,996 $537,542 $458,973 $0 $0

City of Edmonton | Hangar 14 Investment Study | December 13 2021t 96

Cost Report
The existing fire alarm system is a conventional system. The fire alarm
system has limited signalling throughout the facility. As this is a public
occupied facility for both the museum and convention area it is concerning
that there is little to no visual and audible signalling. It is recommended
D5030.01.03 Smoke Alarm IR
that the fire alarm system be replaced with a new addressable system
0 397,955.78
that includes signalling and detection to current building codes. It is also
recommended that a remote annunciator be installed near the main
entance door for fire fighters to locate upon entry.

The security system appears to be a primarily CCTV system. The system As per engineer,
D5030.02 Security Access and Surveillance is not a City of Edmonton standard system but appears functioning for its 10 existing to
intended purpose.
remian
The telephone and CATV services are mounted to exposed backboards in
the facility. It is recommended that a LAN room be installed and new
D5030.04 Voice and Data Systems IR network cabling run throughout the facility. The systems have been 5 346,243.38
modified continuously throughout the years and are showing the wear
from use.
$397,956 $0 $346,243 $0 $0

TOTAL CONSTRUCTION COST $ 505,952.16 $ 3,112,598.11 $ 805,216.55 $ - $ - $ -

DESIGN AND PRICING CONTINGENCY $ 75,892.82 $ 466,889.72 $ 120,782.48 $ - $ - $ -
CONSTRUCTION CONTINGENCY $ 50,595.22 $ 311,259.81 $ 80,521.65 $ - $ - $ -
ESCALATION CONTINGENCY $ - $ 280,133.83 $ 120,782.48 $ - $ - $ -
TOTAL COST $ 632,440.20 $ 4,170,881.46 $ 1,127,303.16 $ - $ - $ -

97 City of Edmonton | Hangar 14 Investment Study | December 13 2021

Cost Report

Aviation Museum Investment Study Report Date: February 5, 2022

Edmonton, Alberta

Appendix F
Option 1B and 2B

Street Smart. World Wise

City of Edmonton | Hangar 14 Investment Study | December 13 2021t 98

Cost Report
IR= Immed. Repair/Replcmt
RSL = Remaining
INSPECTION YEAR 2017 PM= Preventative Maint. PERIOD
Service Life
CB= Capital Budget

RSL 2021-2022 2023-2024 2025-2026 2027-2031 2032-2041 2042-2061 Altus Comments

BUILDING SYSTEM Action 2017 Action 2021 Rationale (2021) Architectural
Immediate 2-3 Years 4-5 Years 6-10 Years 11-20 Years 21-40 Years

A10 Foundations
A1010.01 Wall Foundations
A1010.02 Column Foundations
A1030.02 Structural Slabs on Grade IR
A1030.04 Slab on Grade Trenches
A10 Foundations SUBTOTAL: $0 $0 $0 $0 $0 $0
B10 Superstructure
B1010.05 Mezzanine Construction
B1020.01 Roof Structural Frame PM

Main entrance front canopy is clad in prefinished metal (fascia and low parapet
cap flashing) with flat membrane roofing and prefinished metal interlocking
B1020.04 Canopies PM 10 Cost in heritage
soffit slats. Underside of canopy at joint with aluminum door frame shows signs
of water ingress (rust staining on metal angeltrim/closure)

B10 Superstructure SUBTOTAL: $0 $0 $0 $0 $0 $0

B20 Exterior Enclosures

Prefin. Standard Vert. Batten Metal cladding with green PVDF or similar coating
on framed and sheathed infill (with curtain wall/aluminum strip window) of
B2010.01.06.03 Metal Siding PM PM hangar doors between GL 2 & 3 on S. Elevation. Coating system is badly faded 10 Cost in heritage
from UV exposure but metal substrate shows no obvious signs of corrosion or
misalignment.

Shingle/shake siding mostly intact, aligned, and free of major defects other than
B2010.01.06.04 Wood Siding PM PM coatings failures. Old asbestos cement shakes applied to parachute tower 10 Cost in heritage
appear to be intact but should be investigated further.

B2010.01.11 Joint Sealers IR IR Deteriorated throughout in virtually all locations and applications 0
On wood siding (peeling and blistering observed) and several other substrates
B2010.01.13 Paints IR IR on building exterior (metal on hangar doors and other exterior doors, frames, 0-5 Cost in heritage
and windows)
B2010.02.05 Wood Framing No exterior wood framing was observed
Where observed, insulation was of poor to fair quality , discontinuous, and
showing signs of moisture damage and soiling via air and moisture
B2010.03.03.01 Batt Insulation IR IR 0-10 Cost in heritage
ingress/exfiltration through poor quality AVB. Further investigation
recommended.
Framed interior GWB walls: varied in quality, condition (surface and coating
B2010.04.02 Gypsum Board CB integrity), age and extents depending on location in building.
0-20 Cost in heritage

B2010.07.04 Awnings IR IR Frame may be salvageable but fabric covering is marginal 0-3 Cost in heritage

Refers to wood soffits and possibly wood door trim, frames, fascia and corner
battens. Where observed on each elevation appeared to be in mostly fair
B2010.09.01 Finish Carpentry PM condition but further investigation recommended where coatings failures have
0-10 $ 46,488.75 $ 46,488.75 $ 46,488.75 $ 46,488.75
occurred and bare wood is showing.
U/S of exterior canopy at SE corner of building: soffit is clad in sagging, stained,
B2010.09.05 Gypsum Board IR IR 0
moisture-affected interior-grade GWB
B20 Exterior Enclosures SUBTOTAL: $0 $46,489 $46,489 $46,489 $0 $46,489
B2020 Exterior Windows

Lower windows: Condensation and other moisture-related damage observed

B2020.01.01 Windows - PVC IR IR on interior finishes (sills) and to the degradation of the materials on the exterior 7 Cost in heritage
finish on the more sun-affected east and west elevations.
Hangar door glazing unit frames are corroded with glazing putty failing and
B2020.01.01 Windows - Aluminum PM 7 Cost in heritage
some georgian wire glass panes are cracked.
Upper 4-lite units with decorative (false) muntins: thermoset powdercoat
B2020.02.01 Aluminum-Framed Storefronts CB colour coatings are mostly intact. Original dry seals at glass/frame are nearing 10 Cost in heritage
the end of their service life and edge and flashings joint sealants are failing.

B2020 Exterior Windows SUBTOTAL: $0 $0 $0 $0 $0 $0

B2030 Exterior Doors
Cost for door
Coloured (thermoset powdercoat) and clear anodized swing door frames at
operator included as
B2030.01.01 Aluminum-Framed Storefronts PM south and east elevation. Lower glass lite on SE corner door is broken. Glazing 10 $ 5,000.00 $ 1,449.00 $ 6,449.00
per email from Nov
seals and frme sealants are failing.
30, 2021

99 City of Edmonton | Hangar 14 Investment Study | December 13 2021

Cost Report
Coloured (thermoset powdercoat) door and window frames at south elevation.
Thermoset powdercoat finishes are chalking and fading; seals and sealants are
B2030.01.05 All Glass Entrances and Storefronts IR CB 5 $ 7,607.25 $ 760.73 $ 760.73
UV-affected and deteriorating, Recommend further investigation into feasibility
of selective replacement of seals and IGU's as well as recoating of frames.

S. Elevation: Unpainted HM door with painted steel frame set into hangar door
at Youth and Cultural Center entrance has inset georgian wire lite and thumb
latch lever and pull handle hardware. Function not observed. Sprinkler Rm.
door is painted HM in PSF set into original wood dooor frame. Coating is badly
B2030.02.01 Metal Doors and Frames IR IR marred and faded/chalked and steel door skin is damaged with a riveted patch. 0-5 $ 17,629.50 $ 17,629.50
Hardware is old round nob type with latch protector.
W. elevation: two HM doors with PSF's btw. GL's 7 & 9 are missing hardware
(auto closer, sweeps and seals/weather stripping. exit devices and outside
hardware are not to current standards

There are 2 steel egress doors and frames at the west elevation that appear to
be original. Condition of doos and frames vary somewhat but both require
B2030.02.01.01 Steel Doors and Frame IR CB significant work to upgrade to current exit function and energy performance 5 Cost in heritage
while retaining important heritage characteristics. Further investigation and
study required.
E. Elevation: 2 wood doors and frames with oudated hardware and failing
B2030.02.02.01 Wood Doors IR IR weatherstripping. Refer to ERA comments on other doors and locations. 0-5 Cost in heritage
Replace with HMD in PSF
B2030.03.05 Hangar Doors IR CB Refer to ERA comments 5
B2030 Exterior Doors SUBTOTAL: $12,607 $17,630 $0 $1,449 $18,390 $7,210
C10 Interior Construction

1. Painted, ribbed terracotta hollow units (structural clay block wall) observed at
N & S interior walls of Paint Storage Room (R9). Possibly original? Need to
confirm continuity and FRR of surrounding wall, floor, and ceiling joints and of
ceramic block material.
C1010.01.03 Unit Masonry Assemblies PM 2. Painted CMU partitions/demising walls observed at select portions of east
25 $ 40,753.13
wall of Paint Storage Rm. and Woodworking Shop (R4) along GL's 1 & 2
respectively. Complete extents TBC as some may be behind furring and GWB
assemblies. FRR and other code-related function TBC.

C1010.01.07 Framed Partitions PM CB Per description in FCAR 2017 7 $ 47,213.25 $ 47,213.25

C1010.04 Interior Balustrades and Screens, Interior Railings IR CB Per description in FCAR 2017 7 $ 30,791.25 $ 30,791.25
C1010.05 Interior Windows CB Refer to ERA Comments 7 Cost in heritage
Per description in FCAR 2017. Further code impacts on door types, FRR's,
C1020.01 Interior Swinging Doors PM CB 7 $ 139,345.50 $ 139,345.50
accessibility and hardware is recommended
C1030.01 Visual Display Boards PM Per description in FCAR 2017. No change. 5 Cost in heritage
C1030.02 Fabricated Compartment and Cubicles PM PM Per description in FCAR 2017. 5 $ 1,207.50 $ 1,207.50 $ 1,207.50
Per description in FCAR 2017. Note: Conisder line item for OH fire shutter btw.
C1020.05 Interior Large Doors PM PM 7 $ 18,716.25 $ 18,716.25
N & S (Restoration and Cadet Hall) sections of the west side of hangar at GL 10

C1020.06 Interior Gates None observed

C1030.14 Toilet, Bath, and Laundry Accessories PM PM Per description in FCAR 2017. 7 $ 1,458.66 $ 1,458.66 $ 1,458.66
Added as per email on
C1030.20 Conveying Equipments PM PM Chairlift for stage and small duty elevator 7 $ 145,000.00 $ 75,000.00 Nov 30, 2021
C10 Interior Construction SUBTOTAL: $145,000 $0 $1,208 $237,525 $2,666 $354,486
C20 Stairs
C2010.03 Metal Stair Construction PM Per description in FCAR 2017. 20 Cost in heritage
Per description in FCAR 2017. (See also code write-up in 4.2.1 - 4.2.4 of NEXT
C2010.04 Wood Stair Construction PM CB 5 $ 5,796.00
Architecture Inc. July 2017 BCA). If not CDE, replace with steel/conc.pan

C2020.08 Stair Railings and Balustrades PM CB Per description in FCAR 2017. 5 $ 2,898.00
C20 Stairs SUBTOTAL: $0 $0 $8,694 $0 $0 $0
C30 Interior Finishes
C3010.02 Wall Paneling PM CB Per description in FCAR 2017. Further code review recommended. 5 $ 85,491.00 $ 85,491.00 $ 85,491.00
C3010.06 Tile Wall Finishes PM PM Per description in FCAR 2017. 10 Cost in heritage
C3010.11 Interior Wall Painting PM PM Per description in FCAR 2017. 10 Cost in heritage
Per description in FCAR 2017. Note deficiencies/damaged floor coatings in west
C3020.01 Concrete Floor Finishes IR IR 0 $ 172,672.50 $ 172,672.50 $ 172,672.50 $ 172,672.50
side of facility.
C3020.07 Resilient Flooring PM PM Per description in FCAR 2017 WRT locations and condition of VCT 0-5 $ 4,516.05
Per description in FCAR 2017 WRT locations and condition of carpet except at
C3020.08 Carpet Flooring PM R3 where immediate replacement is recommended
5 $ 56,511.00 $ 56,511.00 $ 56,511.00 $ 56,511.00

C3020.11 Floor Painting PM Per description in FCAR 2017. 5 Cost in 3020.01

Per description in FCAR 2017. Where observed (not all rooms). Further
C3030.02 Ceiling Paneling PM 7 $ 5,071.50 $ 5,071.50
investigation may be required.
Per description in FCAR 2017. Where observed (not all rooms). Further
C3030.06 Acoustical Ceiling Treatment CB 10 $ 5,071.50 $ 5,071.50
investigation may be required.
Per description in FCAR 2017. Where observed (not all rooms). Further
C3030.09 Other Ceiling Finishes CB CB 5 $ 177,894.94 $ 177,894.94 $ 177,894.94
investigation may be required.

City of Edmonton | Hangar 14 Investment Study | December 13 2021t 100

Cost Report
C30 Interior Finishes SUBTOTAL: $172,673 $4,516 $319,897 $239,327 $492,569 $502,712
G10 Site Preparation
G1030.01.01 Rough Grading PM IR Per description in FCAR 2017.
G1030.01.02 Finish Grading PM IR Per description in FCAR 2017.
G10 Site Preparation SUBTOTAL: $0 $0 $0 $0 $0 $0
G20 Site Improvement
G2010.02.02 Flexible Pavement PM PM Per description in FCAR 2017. $ 39,243.75
G2010.05 Roadway Curbs and Gutters PM PM Per description in FCAR 2017. $ 10,143.00
G2020.02.02 Flexible Pavement CB CB Per description in FCAR 2017. $ 627,900.00
G2020.02.04 Pavement Markings PM PM Per description in FCAR 2017. $ 3,211.95
G2020.05 Parking Lot Curbs and Gutters PM PM Per description in FCAR 2017. $ 43,953.00
G2030.02 Flexible Pedestrian Pavement PM PM Per description in FCAR 2017. $ 379,094.63
G2030.02.04 Pavement Markings PM PM Per description in FCAR 2017. $ 2,415.00
G2030.03.02 Brick Pavers Not observed $ 1,449.00
See drone photos and site photos from GEC. Pavement is severely
G2030.04.01 Rigid Pavement CB IR $ 465,129.00
compromised.
G2030.04.02 Pavement Markings PM PM Per description in FCAR 2017. $ 2,415.00
G2040.02.01 Chain Link Fences and Gates Per description in FCAR 2017.
G2040.05.01 Seating Not observed
G2040.08 Flagpoles Not observed
G2040.09 Covers and Shelters Not observed
G2040.10 Site Equipment Not observed
G2040.12.03 Picnic Tables Not observed
G2040.12.15 Signs and Displays Not observed
G2050.03 Soil Preparation Not observed
G2050.04 Lawns and Grasses Not observed
G2050.05.02 Plants and Bulbs Not observed
G2050.05.03 Shrubs Not observed
G20 Site Improvement SUBTOTAL: $0 $1,481,615 $93,340 $0 $0 $0
B30 Roofing

Not observed (except for drone aerial photos). Ponding observed at multiple
B3010.04.04 Modified Bituminous Membrane Roofing CB locations in photos but time to latest rain event is unknown as is avg. depth of $ 3,147,359.35 $ 3,147,359.35 $ 3,147,359.35
ponds

B3010.08.01 Sheet Metal Flashing and Trim CB CB Per description in FCAR 2017. 7 $ 120,061.73 $ 120,061.73

B3010.08.02 Metal Gutters and Downspouts PM PM Per description in FCAR 2017. Should consider alternates to discharge to grade. 5 $ 2,028.60 $ 2,028.60 $ 2,028.60 $ 2,028.60 $ 17,289.89

B3010.08.03 Joint Sealers
B30 Roofing SUBTOTAL:
TOTAL CONSTRUCTION COST
DESIGN AND PRICING CONTINGENCY
CONSTRUCTION CONTINGENCY
ESCALATION CONTINGENCY
TOTAL COST
Included in Included in
PM Not observed $ 15,929.94
B3010.04.04 above B3010.04.04 above
$ 3,269,449.67 $2,029 $2,029 $17,959 $3,284,711 $3,147,359
$ 3,599,729.42 $ 1,552,277.48 $ 471,655.54 $ 542,747.70 $ 3,798,336.78 $ 4,058,255.79
$ 539,959.41 $ 232,841.62 $ 70,748.33 $ 81,412.16 $ 569,750.52 $ 608,738.37
$ 359,972.94 $ 155,227.75 $ 47,165.55 $ 54,274.77 $ 379,833.68 $ 405,825.58
$ - $ 139,704.97 $ 70,748.33 $ 130,259.45 $ 1,595,301.45 $ 2,719,031.38
$ 4,499,661.78 $ 2,080,051.82 $ 660,317.75 $ 808,694.08 $ 6,343,222.43 $ 7,791,851.12

101 City of Edmonton | Hangar 14 Investment Study | December 13 2021

Cost Report
INSPECTION RSL= Remaining
PERIOD
YEAR 2017 Service Life WEC STRUCTURAL COMMENTS
RSL 2021-2022 2023-2024 2025-2026 2027-2031 2032-2041 2042-2061
BUILDING SYSTEM Observations/Comments (2021)
Years Immediate 2-3 Years 4-5 Years 6-10 Years 11-20 Years 21-40 Years

A10 Foundations

Some cracking and exposure of corroded steel wire mesh was observed
at east end of north elevation; gravel fill has been added at the east end No change from 20 Expose deteriorated portions of wall to inspect
A1010.01 Wall Foundations TBD See heritage See heritage See heritage See heritage See heritage
of the south elevation as a temporary means of covering and concealing year scope condition of structural elements.
deteriorated wall plates/footing

Foundation will need to be exposed and

A1010.02 Column Foundations Not observed N/A Investigation excluded investigated to determine suitability to support
increased roof loads
No replacement or
Existing concrete floor slabs are original and remain in good to fair other upgrades
No action required if service conditions remain
A1030.02 Structural Slabs on Grade condition overall. There is cracking in various locations throughout the 20 See heritage recommended due to
impact to character
the same.
slab, but these are minor and do not suggest ongoing movement.
defining element
Integral cast-in-place concrete floor ducts formed part of the original heat
distribution system of the building. Furture interventions should consider No action required if service conditions remain
A1030.04 Slab on Grade Trenches 20 Maintenance excluded Maintenance excluded
their preservation as salvaged artifacts for potential reuse in a heritage the same.
interpretation strategy.
A10 Foundations SUBTOTAL: $ - $ - $ - $ - $ - $ -
B10 Superstructure
Mezzanine appears to be in good shape. No
B1010.05 Mezzanine Construction 20 action required if service conditions remain the
same.

Structural engineer
to advise
WEC: One of the
first steps could be to
Existing Douglas fir Warren trusses, steel bolt and split ring connectors, re-engage BPTEC
roof deck, built-up braced wood columns, are character defining elements and consult them
and should be conserved as part of any future repair programme. There about additional
are numerous occasions of severe splitting and cracking of truss dead loads and drift
B1020.01 Roof Structural Frame members and diagonal wall bracing members. Numerous wood straps 0 associated with solar
have been added to the underside of roof deck to cover gaps and cracks. panels. This will
Steel fasteners have generally corroded. There has been apparent determine the
movement at numerous splice connections, where horizontal bracing maximum limit the
members between trusses are sagging. trusses can take,
even with
reinforcing. This will
give a clearer picture
for costing moving
forward.
The current trusses require extensive repair
and rehabilitation. The extent of which are
carefully documented in the BPTEC report.
Not only will individual connections (546) and
members (332+) need to be replaced or
reinforced, but all of the post-tensioned wires
will need replacement which will require all
Cost included in
trusses to be shored. Rigid insulation on the
B3010.04.04 Modified
See heritage See heritage roof will likely increase the snow load on the
Bituminous Membrane
Roofing roof and could contribute to higher humidity in
the building which would deteriorate the
trusses. Additionally, future development of
the surrounding area could increase the snow
load on the roof. If solar panels are considered
to be added to the roof, this would also
increase the snow load by adding area of snow
drift.

City of Edmonton | Hangar 14 Investment Study | December 13 2021t 102

Cost Report

East canopy cement board soffit has significant water damage, leading to
widespread staining and deformation of panels; south canopy is metal
siding and in fair condition; several wood soffit boards above the hangar Existing joists need to be exposed and
B1020.04 Canopies TBD See heritage See heritage See heritage See heritage
doors were noted to have loosened or formed small gaps and should be reviewed for water damage.
replaced. A non-original metal clad barrel vaulted canopy on the south
elevation was heavily corroded and in poor condition.

B10 Superstructure SUBTOTAL: $0 $0 $0 $0 $0 $0

B20 Exterior Enclosures
A = Excellent, B = Good, C = Fair , D = Poor, F =
Fail/Critical
*Action: PM = Preventative Maintenance, IR =
Immediate Repair/Replacement, CB = Capital
Budget, NA = Not Applicable, TBD = To be

Note: The total costs shown in this

summary are only for components where
the scope of work could be determined.
There are some components where the
scope of work could not be determined
(These are assigned as TBD). Thus, the
actual total cost is expected to be
considerably higher than stated total cost.

TOTAL CONSTRUCTION COST $ - $ - $ - $ - $ - $ -

DESIGN AND PRICING CONTINGENCY $ - $ - $ - $ - $ - $ -
CONSTRUCTION CONTINGENCY $ - $ - $ - $ - $ - $ -
ESCALATION CONTINGENCY $ - $ - $ - $ - $ - $ -
TOTAL COST $ - $ - $ - $ - $ - $ -

103 City of Edmonton | Hangar 14 Investment Study | December 13 2021

Cost Report
IR= Immed. Repair/Replcmt RSL= Remaining
INSPECTION YEAR 2017 PERIOD
PM= Preventative Maint. Service Life
Character RSL= Remaining
2021-2022 2023-2024 2025-2026 2027-2031 2032-2041 2042-2061 Altus Comments
BUILDING SYSTEM Action 2017 Action 2021 Defining Observations/Comments (2021) Service Life
Element Immediate 2-3 Years 4-5 Years 6-10 Years 11-20 Years 21-40 Years
A10 Foundations

Some cracking and exposure of corroded steel wire mesh was observed
at east end of north elevation; gravel fill has been added at the east end of
A1010.01 Wall Foundations PM $ 929.78 $ 929.78 $ 929.78 $ 929.78 $ 93,484.65
the south elevation as a temporary means of covering and concealing
deteriorated wall plates/footing

A1010.02 Column Foundations Not observed Investigation excluded

No replacement or other
Existing concrete floor slabs are original and remain in good to fair upgrades
A1030.02 Structural Slabs on Grade IR PM ● condition overall. There is cracking in various locations throughout the $ 47,092.50 recommended due to
slab, but these are minor and do not suggest ongoing movement. impact to character
defining element
Integral cast-in-place concrete floor ducts formed part of the original heat
distribution system of the building. Furture interventions should consider
A1030.04 Slab on Grade Trenches CB ● Maintenance excluded Maintenance excluded
their preservation as salvaged artifacts for potential reuse in a heritage
interpretation strategy.
A10 Foundations SUBTOTAL: $ 929.78 $ 929.78 $ 929.78 $ 929.78 $ 140,577.15 $ -
B10 Superstructure
Added as per email on
B1010.05 Mezzanine Construction Fire Rating $ 48,583.76
Nov 30, 2021

Existing Douglas fir Warren trusses, steel bolt and split ring connectors,
roof deck, built-up braced wood columns, are character defining elements
and should be conserved as part of any future repair programme. There For scope of work in
Cost included in
are numerous occasions of severe splitting and cracking of truss 2032-2041, assume
Structural engineer to B3010.04.04 Modified
B1020.01 Roof Structural Frame PM PM ● members and diagonal wall bracing members. Numerous wood straps $ 195,011.25 $ 195,011.25 repair work in favor of
advise Bituminous Membrane
have been added to the underside of roof deck to cover gaps and cracks. full replacment of roof
Roofing
Steel fasteners have generally corroded. There has been apparent trusses
movement at numerous splice connections, where horizontal bracing
members between trusses are sagging.

East canopy cement board soffit has significant water damage, leading to
widespread staining and deformation of panels; south canopy is metal
siding and in fair condition; several wood soffit boards above the hangar
B1020.04 Canopies PM IR ● $ 46,416.30 $ 2,320.82 $ 2,320.82
doors were noted to have loosened or formed small gaps and should be
replaced. A non-original metal clad barrel vaulted canopy on the south
elevation was heavily corroded and in poor condition.

B10 Superstructure SUBTOTAL: $95,000 $195,011 $0 $0 $197,332 $2,321

B20 Exterior Enclosures

Cost for access to

Not original. UV degradation of anodized coating observed on south metal siding is included.
B2010.01.06.03 Metal Siding PM $ 59,374.24
elevation Includes gypsum and
insulation work

Not original. Shingles are generally intact with minor splits and checks Include gypsum and
B2010.01.06.04 Wood Siding PM PM ● $ 939,461.57 $ 46,973.08 $ 46,973.08 $ 46,973.08 $ 939,461.57
throughout. insulation work

B2010.01.11 Joint Sealers IR IR General failure observed throughout building. $ 36,225.00

Loss of paint coating, blistering, peeling and cracking on exterior wood

siding (significantly on the upper floor on east and west elevations), doors
B2010.01.13 Paints IR IR $ 376,740.00 $ 109,158.00 $ 376,740.00 $ 109,158.00
and frames; similar deterioration observed on steel hangar doors and
windows

B2010.02.05 Wood Framing Not observed

General staining of batt insulation due to discontinuities in air and vapour
Cost for access to batt
B2010.03.03.01 Batt Insulation IR IR barriers; future short-term investigation is recommended to determine
insulation is included

City of Edmonton | Hangar 14 Investment Study | December 13 2021t 104

Cost Report
B2010.03.03.01 Batt Insulation IR IR barriers; future short-term investigation is recommended to determine
insulation is included
extent of discontinuities in insulated areas and to inform longer term
B2010.04.02 Gypsum Board CB Not original
B2010.07.04 Awnings IR CB (See B1020.04 above) $ 4,830.00 $ 4,830.00
B2010.09.01 Finish Carpentry None observed
Included in east Included in east
B2010.09.05 Gypsum Board IR CB Not original
canopies canopies
B20 Exterior Enclosures SUBTOTAL: $ 998,835.81 $ 423,713.08 $ - $ 156,131.08 $ 464,768.08 $ 1,053,449.57
B2020 Exterior Windows

Numerous screen ruptures, typical failure of gaskets, localized

condensation, degradation of muntin coating. There is frequent staining
evident at interior sills.The remaining wood nine-over-nine sash window
B2020.01.01 Windows - PVC IR IR ● (located on the south face of the west lean-to addition) is original and $ 442,138.20 $ 110,534.55 $ 110,534.55
undergoing significant deterioration; it should be salvaged and put in
storage for use as a template in the future rehabilitation of ground floor
windows on east and west elevations.

Cost for non glazed

Hangar door steel windows show general air leakage, loss of putty
portion of hangar door
B2020.01.01 Windows - Aluminum IR ● around muntins and frames; corrosion and paint loss at muntins and $ 1,091,580.00 $ 272,895.00
included in
frames and muntins. Several lites were observed to be cracked. B2030.03.05

B2020.02.01 Aluminum-Framed Storefronts PM Not original $ 179,676.00 $ 50,171.63

B2020 Exterior Windows SUBTOTAL: $ 1,713,394.20 $ - $ - $ - $ 110,534.55 $ 433,601.18

B2030 Exterior Doors
B2030.01.01 Aluminum-Framed Storefronts PM Not original See arch See arch See arch See arch
B2030.01.05 All Glass Entrances and Storefronts IR PM Not original See arch See arch See arch See arch
Not original. General failure of joint selants, weatherstripping and door
B2030.02.01 Metal Doors and Frames IR IR See arch See arch See arch See arch
seals observed.

General corrosion and loss of paint at door panels, frames, thresholds,

hardware and fasteners; failure of joint sealants, weatherstripping and
B2030.02.01.01 Steel Doors and Frame IR IR ● door seals. Temporary plugs and tape have been applied to seal gaps. $ 3,064.03 $ 3,064.03 $ 12,075.00 $ 4,528.13
Steel door on west elevation is in fair condition but an inadequate
threshold condition poses a risk for future water damage.

General splitting, checking and deterioration of wood panels and frames,

significant weatherstripping failure overall. Paint coatings have generally
deteriorated; steel fasteners and hardware have corroded; caulking has
B2030.02.02.01 Wood Doors IR IR ● failed. Sliding wood doors on south elevation are original and in poor $ 12,980.63 $ 12,980.63 $ 12,980.63 $ 12,980.63
condition overall. Plastic vision lites on the south sliding doors have
discoloured and are not secure. Steel straps on west wood doors are
likely original.

Hangar door panels show some localized paint loss, general sheet/frame
deformation from impact near grade, corrosion at base/bottom rails,
hardware and fasteners. While the top-hung rolling doors appear to Cost for glazed portion
of hangar door included
remain operational, there is significant air leakage from lack/failure of
B2030.03.05 Hangar Doors IR IR ● $ 744,184.67 in B2020.01.01.
weatherstripping and air seals, putty, caulking, etc. Temporary plugs and Includes gypsum and
tape have been applied to seal gaps. Organic growth was generally insulation work
observed at the base from lack of positive drainage away from the
building.

B2030 Exterior Doors SUBTOTAL: $760,229 $0 $0 $16,045 $25,056 $17,509

C10 Interior Construction
C1010.01.03 Unit Masonry Assemblies None observed
C1010.01.07 Framed Partitions PM

C1010.04 Interior Balustrades and Screens, Interior Railings IR No impact to character defining elements

An original wood factory-type fixed window is located in the second floor

office on the east elevation. This window should be retained for use as a
C1010.05 Interior Windows ● $ 603.75
template in the future rehabilitation of second floor windows on east and
west elevations.
C1020.01 Interior Swinging Doors PM PM No impact to character defining elements
C1030.01 Visual Display Boards No impact to character defining elements
C1030.02 Fabricated Compartment and Cubicles PM None observed
C1020.05 Interior Large Doors PM None observed
C1020.06 Interior Gates None observed

105 City of Edmonton | Hangar 14 Investment Study | December 13 2021

Cost Report
C1030.14 Toilet, Bath, and Laundry Accessories PM PM No impact to character defining elements See arch See arch
C10 Interior Construction SUBTOTAL: $0 $0 $0 $0 $604 $0
C20 Stairs
C2010.03 Metal Stair Construction Not observed
C2010.04 Wood Stair Construction PM
C2020.08 Stair Railings and Balustrades PM
C20 Stairs SUBTOTAL: $0 $0 $0 $0 $0 $0
C30 Interior Finishes
C3010.02 Wall Paneling PM None observed
C3010.06 Tile Wall Finishes CB No impact to character defining elements See arch See arch

Paint finishes on the interior roof structure and timber wall framed
elements are in fair condition with many areas exhibiting water staining
and localized loss of paint. Water staining is particularly evident at the east
C3010.11 Interior Wall Painting CB ● $ 56,994.00 $ 56,994.00
and west walls, and is generally present on truss members. There is
general flaking and peeling of the paint coating on horizontal board
sheathing in restoration area

C3020.01 Concrete Floor Finishes PM PM ● Generally good condition See arch

C3020.07 Resilient Flooring PM None observed
C3020.08 Carpet Flooring None observed
C3020.11 Floor Painting None observed
C3030.02 Ceiling Paneling CB See arch See arch
C3030.06 Acoustical Ceiling Treatment CB See arch See arch
C3030.09 Other Ceiling Finishes CB CB See arch See arch
C30 Interior Finishes SUBTOTAL: $0 $0 $0 $0 $56,994 $56,994
G10 Site Preparation
Surface slopes are generally poor and are conveying runoff toward the
G1030.01.01 Rough Grading PM PM $ 74,925.38
building foundation.
Surface slopes are generally poor and are conveying runoff toward the
G1030.01.02 Finish Grading PM PM $ 132,221.25
building foundation.
G10 Site Preparation SUBTOTAL: $0 $0 $0 $0 $207,147 $0
G20 Site Improvement
G2010.02.02 Flexible Pavement PM PM No impact to character defining elements
G2010.05 Roadway Curbs and Gutters PM PM No impact to character defining elements
G2020.02.02 Flexible Pavement CB PM No impact to character defining elements
G2020.02.04 Pavement Markings PM PM No impact to character defining elements
G2020.05 Parking Lot Curbs and Gutters PM PM No impact to character defining elements
G2030.02 Flexible Pedestrian Pavement PM PM No impact to character defining elements
G2030.02.04 Pavement Markings PM PM No impact to character defining elements
G2030.03.02 Brick Pavers PM No impact to character defining elements
G2030.04.01 Rigid Pavement CB PM No impact to character defining elements
G2030.04.02 Pavement Markings PM PM No impact to character defining elements
G2040.02.01 Chain Link Fences and Gates PM No impact to character defining elements
G2040.05.01 Seating
G2040.08 Flagpoles
G2040.09 Covers and Shelters
G2040.10 Site Equipment
G2040.12.03 Picnic Tables
G2040.12.15 Signs and Displays
G2050.03 Soil Preparation
G2050.04 Lawns and Grasses
G2050.05.02 Plants and Bulbs
G2050.05.03 Shrubs
G20 Site Improvement SUBTOTAL: $0 $0 $0 $0 $0 $0
B30 Roofing

Roof not observed. Previous site photos from 2017 condition assessment Cost included in
B3010.04.04 Modified Bituminous Membrane Roofing CB CB
have been referenced for this study. architectural

Roof not observed. Previous site photos from 2017 condition assessment Cost included in
B3010.08.01 Sheet Metal Flashing and Trim CB PM
have been referenced for this study. architectural

Cost included in
B3010.08.02 Metal Gutters and Downspouts PM PM No impact to character defining elements
architectural

Roof not observed. Previous site photos from 2017 condition assessment Cost included in
B3010.08.03 Joint Sealers PM IR
have been referenced for this study. architectural

City of Edmonton | Hangar 14 Investment Study | December 13 2021t 106

Cost Report
B30 Roofing SUBTOTAL: $ - $ - $ - $ - $ - $ -
D20 PLUMBING

Water Closets No impact to character defining elements (See C1030.14 above) (See C1030.14 above)

Urinals No impact to character defining elements (See C1030.14 above) (See C1030.14 above)

Lavatories No impact to character defining elements (See C1030.14 above) (See C1030.14 above)

Sinks No impact to character defining elements (See C1030.14 above) (See C1030.14 above)

Mechanical engineer to
Pipes and Tubes: Domestic Water No impact to character defining elements
advise
Mechanical engineer to
Domestic Water Heaters No impact to character defining elements
advise
Mechanical engineer to
Waste and Vent Piping No impact to character defining elements
advise
SUBTOTAL: $0 $0 $0 $0 $0 $0
D30 Heating Ventilating and Air Conditioning (HVAC)
Gas Supply Systems

The existing gas-fired furnaces appear to be original to the BCATP period

and of historic significance. One has been decommissioned while the
Mechanical engineer to Cost included in
Furnaces IR CB ● other is still in service. Future mechanical upgrades should consider the
advise mechanical
preservation of this equipment as salvaged artifacts for potential use in a
heritage interpretation strategy.

Integral cast-in-place concrete floor ducts formed part of the original heat
distribution system of the building. Future interventions should consider Mechanical engineer to Cost included in
Ducts: Air Distribution IR CB ●
their preservation as salvaged artifacts for potential reuse in a heritage advise mechanical
interpretation strategy.
Electric and Electronic Controls No impact to character defining elements
No visible signs of deterioration from excess relative humidity inside
Other Special HVAC Systems and Equipment CB CB No cost required
building.
SUBTOTAL: $0 $0 $0 $0 $0 $0
D40 Fire Protection
Wet-Pipe Fire Sprinkler Systems
Fire Extinguisher, Cabinets and Accessories
SUBTOTAL: $0 $0 $0 $0 $0 $0
D5010 Electrical Service and Distribution
D5010.01.01 Transformers IR No impact to character defining elements
D5010.03.07 Enclosed Switches and Circuit Breakers IR No impact to character defining elements
D5010.03.09 Enclosed Bus Assemblies IR No impact to character defining elements
Several decommissioned electrical panels appear to be original to the
BCATP period and of historic significance. Future electrical upgrades No cost required as per
D5010.05.01 Switchboards, Panelboards and Control Centers IR CB ●
should consider their preservation as salvaged artifacts for potential reuse electrical engineer
in a heritage interpretation strategy.
D5010.05.02 Enclosed Switches and Circuit Breakers IR No impact to character defining elements
D5010 Electrical Service and Distribution SUBTOTAL: $0 $0 $0 $0 $0 $0
D5020 Lighting and Branch Wiring
D5020.01 Electrical Branch Wiring IR No impact to character defining elements
D5020.01.02 Conductors and Cables No impact to character defining elements
D5020.01.03 Wiring Devices No impact to character defining elements
D5020.02.02 Interior Luminaries IR No impact to character defining elements
D5020.02.03 Emergency Lighting No impact to character defining elements
D5020.02.03 Exit Lighting IR No impact to character defining elements
D5020.02.05 Special Purpose Lighting No impact to character defining elements
D5020.03.01 Exterior Luminaries No impact to character defining elements
D5020 Lighting and Branch Wiring SUBTOTAL: $0 $0 $0 $0 $0 $0
D5030 Communications and Security
D5030.01.03 Smoke Alarm No impact to character defining elements
D5030.02 Security Access and Surveillance No impact to character defining elements
D5030.04 Voice and Data Systems IR No impact to character defining elements
D5030 Communications and Security SUBTOTAL: $0 $0 $0 $0 $0 $0

A = Excellent, B = Good, C = Fair , D = Poor, F = Fail/Critical

107 City of Edmonton | Hangar 14 Investment Study | December 13 2021

Cost Report
*Action: PM = Preventative Maintenance, IR = Immediate
Repair/Replacement, CB = Capital Budget, NA = Not Applicable,
TBD = To be Determine

Note: The total costs shown in this summary are only for
components where the scope of work could be
determined. There are some components where the scope
of work could not be determined (These are assigned as
TBD). Thus, the actual total cost is expected to be
considerably higher than stated total cost.

TOTAL CONSTRUCTION COST $ 3,568,389.16 $ 619,654.10 $ 929.78 $ 173,105.51 $ 1,203,011.84 $ 1,563,874.31

DESIGN AND PRICING CONTINGENCY $ 535,258.37 $ 92,948.12 $ 139.47 $ 25,965.83 $ 180,451.78 $ 234,581.15
CONSTRUCTION CONTINGENCY $ 356,838.92 $ 61,965.41 $ 92.98 $ 17,310.55 $ 120,301.18 $ 156,387.43
ESCALATION CONTINGENCY $ - $ 55,768.87 $ 139.47 $ 41,545.32 $ 505,264.97 $ 1,047,795.78
TOTAL COST $ 4,460,486.46 $ 830,336.50 $ 1,301.69 $ 257,927.21 $ 2,009,029.78 $ 3,002,638.67

City of Edmonton | Hangar 14 Investment Study | December 13 2021t 108

Cost Report
IR= Immed. Repair/Replcmt
RSL= Remaining
INSPECTION YEAR 2017 PM= Preventative Maint. PERIOD
Service Life
CB= Capital Budget

RSL 2021-2022 2023-2024 2025-2026 2027-2031 2032-2041 2042-2061 Altus Comments

BUILDING SYSTEM Action 2017 Action 2021 Observations/Comments (2021)

2-3 Years Immediate 2-3 Years 4-5 Years 6-10 Years 11-20 Years 21-40 Years

D20 PLUMBING
Water Closets (floor mount, tank type assumed) Appears in fair condition. 15 $ 17,551.01
Urinals Appears in fair condition. 15 $ 7,299.34
Lavatories Appears in fair condition. 15 $ 12,805.54
Rates are based on
a single per unit
Sinks Appears in fair condition. 15 $ 1,216.56
basis, as quantities
are unknown

Rates are based on

a single per unit
Pipes and Tubes: Domestic Water Appears in fair condition. 20 $ 224.60
basis, as quantities
are unknown

Rates are based on

a single per unit
Domestic Water Heaters Appears in fair condition. 5 $ 1,506.36
basis, as quantities
are unknown

Rates are based on

a single per unit
Waste and Vent Piping Appears in fair condition. 20 $ 176.30
basis, as quantities
are unknown
SUBTOTAL: $0 $0 $1,506 $0 $38,872 $401

D30 Heating Ventilating and Air Conditioning (HVAC)

Gas Supply Systems Appears in fair condition. 10 No cost

Staff has advised that both furnaces appear to be original and parts for
repair are difficult to source. Also furnace F1 has failed and does not
contribute to the heating of the hangar. Areas are now unevenly
serviced, with areas cold and other areas overly warn. If some of the
areas that are cold should drop below the freezing temperature,
domestic water and fire water/sprinkler piping may be at risk of freezing. Cost of salvaging
This may lead to the pipes bursting and releasing water that may
Furnaces IR IR 0 $ 414,655.50 existing furnace
damage the airplanes in the facility.
Recommend: Repair or replace the non-operating furnace to ensure included
that the building has heat during the winter. Recommend replacing the
operating furnace as soon as possible.
(There is no information on the current furnaces. A guessimate on a
replacement from Engineered Air would be a Model DG650,
approximately +60,000 cfm)

Assume Option1:
Cost shown is for air
transfer fan.Assume
Heat recovery wheel to transfer building exhaust air (for 380 people
40 hours of video
Heat recovery IR IR maximum) to the incoming outdoor air and ductwork/insulation to serve 0 $ 1,304,100.00
new heat recovery units. inspection for the
underslab passage
as the space scope
is unknown

Assume Option1:
Cost shown is for air
transfer fan.Assume
Above ground ductwork around the perimeter of the building with duct
40 hours of video
Ducts: Air Distribution IR IR sock branch ducting would be used to avoid the reported water in the 0 $ 382,777.50
ductwork. inspection for the
underslab passage
as the space scope
is unknown

109 City of Edmonton | Hangar 14 Investment Study | December 13 2021

Cost Report
Assume Option1:
Cost shown is for air
transfer fan.Assume
40 hours of video
Replace existing 4 hot water tanks with Heat pump style HWT's IR IR Rheem Proterra 65 Gallon (246L) Heat Pump Hybrid HWT 0 $ 21,155.40
inspection for the
underslab passage
as the space scope
is unknown

Electric and Electronic Controls Appears in fair condition. 10 No cost

Airflow distribution to rooms

There is no airflow into the wood workshop. There is a recirculating air Rates are based on
filter that removes large particles in the air (ie wood dust).
a single per unit
Other Special HVAC Systems and Equipment CB CB Wood workshop: Recommend a transfer air fan or an exhaust fan to 3 $ 1,237.69
the wood shop to provide airflow. (The metal shop currently has an
basis, as quantities
exhaust fan that may be used to provide transfer air.). Transfer or are unknown
exhaust fan size in the range of 300 to 500 cfm.

SUBTOTAL: $2,122,688 $1,238 $0 $0 $0 $0

D40 Fire Protection
Wet-Pipe Fire Sprinkler Systems Appears in fair condition. 20 No cost
Rates are based on
Fire extiguishers were last recharged in 2016 and lasts 5 years for
a single per unit
Fire Extinguisher, Cabinets and Accessories commercial buildings. Replace fire extinguishers as as 5 year limit has 0 $ 301.88
been reached. basis, as quantities
are unknown
SUBTOTAL: $302 $0 $0 $0 $0 $0

A = Excellent, B = Good, C = Fair , D = Poor, F = Fail/Critical

*Action: PM = Preventative Maintenance, IR = Immediate

Repair/Replacement, CB = Capital Budget, NA = Not Applicable, TBD =
To be Determine
Note: The total costs shown in this summary are only for
components where the scope of work could be determined.
There are some components where the scope of work could not
be determined (These are assigned as TBD). Thus, the actual
total cost is expected to be considerably higher than stated
total cost.
TOTAL CONSTRUCTION COST $ 2,122,990.28 $ 1,237.69 $ 1,506.36 $ - $ 38,872.44 $ 400.89
DESIGN AND PRICING CONTINGENCY $ 318,448.54 $ 185.65 $ 225.95 $ - $ 5,830.87 $ 60.13
CONSTRUCTION CONTINGENCY $ 212,299.03 $ 123.77 $ 150.64 $ - $ 3,887.24 $ 40.09
ESCALATION CONTINGENCY $ - $ 111.39 $ 225.95 $ - $ 16,326.43 $ 268.60
TOTAL COST $ 2,653,737.84 $ 1,658.50 $ 2,108.90 $ - $ 64,916.98 $ 769.71

City of Edmonton | Hangar 14 Investment Study | December 13 2021t 110

Cost Report
IR= Immed. Repair/Replcmt
RSL= Remaining
INSPECTION YEAR 2021 PM= Preventative Maint. PERIOD
Service Life
CB= Capital Budget
RSL 2021-2022 2023-2024 2025-2026 2027-2031 2032-2041 2042-2061
Action 2017 Action 2021 Observations/Comments (2021)
Years Immediate 2-3 Years 4-5 Years 6-10 Years 11-20 Years 21-40 Years

There are no transformers in the facility however, the site is fed from 3
separate services with 3 different utility transformers. We recommend
replacing these services with one new EPCOR utility service sized for the
D5010.01.01 Transformers IR IR entire facility and distribution transformers inside the facility as necessary
2 1,110,900.00
to service the existing systems. It would be recommended to bring in a
3phase 600V service and then transform down to 120/208V.

The panels as well as the breakers within them have reached the end of
D5010.03.07 Enclosed Switches and Circuit Breakers IR IR their service life and it is recommended that they be replaced.
2 318,313.91

The panels as well as the breakers within them have reached the end of
D5010.03.09 Enclosed Bus Assemblies IR IR their service life and it is recommended that they be replaced.
2 355,795.91

The panels as well as the breakers within them have reached the end of
D5010.05.01 Switchboards, Panelboards and Control Centers IR IR their service life and it is recommended that they be replaced.
2 409,261.60

The panels as well as the breakers within them have reached the end of
D5010.05.02 Enclosed Switches and Circuit Breakers IR IR their service life and it is recommended that they be replaced.
2 380,785.13

Option 1B - Additional recommendations for increased energy savings

D5010 PV System Allowance IR IR would include the addition of a PV system for solar energy harvesting to 2 511,031.25
offset GHG emissions and provide clean energy to the facility

$0 $3,086,088 $0 $0 $0

D5020.01 Electrical Branch Wiring
D5020.01.02 Conductors and Cables
D5020.01.03 Wiring Devices
The branch wiring has been modified and run with various different types
of cable and conduit throughout the space. Some of the installations do
IR IR not appear up to code and are not to the COE standards. It is 2 230,401.87
recommended that conduit and cable be rerun when the new panel
installations are done.
The branch wiring has been modified and run with various different types
of cable and conduit throughout the space. Some of the installations do
IR not appear up to code and are not to the COE standards. It is 2 307,139.70
recommended that conduit and cable be rerun when the new panel
installations are done.
Many of the wiring devices have reached the end of their useable life and
should be replaced. They are currently functional so this replacement is 5 25,357.50
not immediate.

Option 1B Recommendation: In addition to what is recommended for

D5020.01.03 Wiring Devices Option 1A, we recommend the implementation of daylight harvesting 5 191,388.75
where possible in the facility through the use of daylight sensors.

The interior lighting is a combination of a variety of fixtures including T12

fluorescents, T8 fluorescents, high bay metail halides, high bay LED
retrofitted fixtures, A19 lamps, and LED panels. It is recommended that
D5020.02.02 Interior Luminaries IR IR the lighting be replaced with all new LED fixtures to suit the space as the 5 433,615.67
majority of fixtures have reached the end of their service life. It is also
recommended that a lighting control system be installed to control the
fixtures allow for energy savings and dimming capabilities.

The emergency lighting that exists onsite appears to have been

maintained however, there does not appear to be enough emergency
D5020.02.03 Emergency Lighting IR lighting to adequately lit the egress path especially in the public museum 0 71,771.39
and event spaces. It is recommended that a new emergency lighting plan
be designed and fixtures installed to code for the space.

The existing exit lighting in the facility is currently red EXIT type as well as
unlit signs. It does not adequately guide occupants along the egress path.
D5020.02.03 Exit Lighting IR IR
It is our recommendation that new green LED running man exit signs be
0 36,225.00
installed throughout the facility to illuminate the egress path per code.

111 City of Edmonton | Hangar 14 Investment Study | December 13 2021

Cost Report
It is recommended that the special purpose lighting be evaluated at the As per engineer,
D5020.02.05 Special Purpose Lighting same time as the full lighting replacement and coordinated with the new 10 existing to
lighting control system.
remian

The exterior lighting is a combination of building mounted wall packs As per engineer,
which have been upgraded to LED and pole lighting for the parking lot. It
D5020.03.01 Exterior Luminaries
was not observed on at the time of the review but is assumed that they are
10 existing to
adequate for the intended purpose. remian
$107,996 $537,542 $650,362 $0 $0

The existing fire alarm system is a conventional system. The fire alarm
system has limited signalling throughout the facility. As this is a public
occupied facility for both the museum and convention area it is concerning
that there is little to no visual and audible signalling. It is recommended
D5030.01.03 Smoke Alarm IR
that the fire alarm system be replaced with a new addressable system
0 397,955.78
that includes signalling and detection to current building codes. It is also
recommended that a remote annunciator be installed near the main
entance door for fire fighters to locate upon entry.

The security system appears to be a primarily CCTV system. The system As per engineer,
D5030.02 Security Access and Surveillance is not a City of Edmonton standard system but appears functioning for its 10 existing to
intended purpose.
remian
The telephone and CATV services are mounted to exposed backboards in
the facility. It is recommended that a LAN room be installed and new
D5030.04 Voice and Data Systems IR network cabling run throughout the facility. The systems have been 5 346,243.38
modified continuously throughout the years and are showing the wear
from use.
$397,956 $0 $346,243 $0 $0

TOTAL CONSTRUCTION COST $ 505,952.16 $ 3,623,629.36 $ 996,605.30 $ - $ - $ -

DESIGN AND PRICING CONTINGENCY $ 75,892.82 $ 543,544.40 $ 149,490.79 $ - $ - $ -
CONSTRUCTION CONTINGENCY $ 50,595.22 $ 362,362.94 $ 99,660.53 $ - $ - $ -
ESCALATION CONTINGENCY $ - $ 326,126.64 $ 149,490.79 $ - $ - $ -
TOTAL COST $ 632,440.20 $ 4,855,663.34 $ 1,395,247.41 $ - $ - $ -

City of Edmonton | Hangar 14 Investment Study | December 13 2021t 112

Cost Report

Aviation Museum Investment Study Report Date: February 5, 2022

Edmonton, Alberta

Appendix G
Option 3

Street Smart. World Wise

113 City of Edmonton | Hangar 14 Investment Study | December 13 2021

Cost Report

EXECUTIVE SUMMARY BELOW THE LINE

$31,535,000 $3,670/m²
TOTAL /m²
8,593 m²

PROJECT TOTAL $341/sf 92,494 sf

PROJECT GCA
TOTAL /sf

Area (m²) Area (SF) Total/SF Total

Building Component

Hanger 14 - New Warehouse Facility - 2 storey Office 3,234 m² 34,810 sf 316 /sf $11,008,043

Hanger 14 - New Warehouse Facility - Warehouse (Open Space 5,359 m² 57,684 sf 277 /sf $15,957,437
only)

Site Development 1 m² 11 sf 42,374 /sf $456,107

Pre-contingency Subtotal (GCA) 8,593 m² 92,494 sf $296 /sf $27,421,587

Design and Pricing Contingency (10.0%) 8,593 m² 92,494 sf 30 /sf $2,742,159

Design Contingency Subtotal (GCA) 8,593 m² 92,494 sf $326 /sf $30,163,746

Escalation Contingency EXCLUDED

Construction Contingency (5.0%) 8,593 m² 92,494 sf 15 /sf $1,371,079

Total Construction Cost (GCA) 8,593 m² 92,494 sf $341 /sf $31,534,825

GST EXCLUDED

Total Construction Cost 8,593 m² 92,494 sf $341 /sf $31,535,000

100463 - Hanger 14 - Option 3, Class D Estimate, R0 December 13, 2021 100463 - Hanger 14 - Option 3, Class D Estimate, R0 December 13, 2021
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Cost Report
ELEMENTAL SUMMARY ELEMENTAL SUMMARY
HANGER 14 - NEW WAREHOUSE FACILITY - HANGER 14 - NEW WAREHOUSE FACILITY -
2 STOREY OFFICE 2 STOREY OFFICE
$12,659,000 $3,914/m²
TOTAL /m²
3,234 m²
$12,659,000 $3,914/m²
TOTAL /m²
3,234 m²

HANGER 14 - NEW WAREHOUSE FACILITY - 2 HANGER 14 - NEW WAREHOUSE FACILITY - 2

STOREY OFFICE TOTAL
$364/sf 34,810 sf
COMP. GCA STOREY OFFICE TOTAL
$364/sf 34,810 sf
COMP. GCA
TOTAL /sf TOTAL /sf
GCA Element Element $ Total /m2 GCA Element Element $ Total /m2
Element Ratio Quantity Unit Rate
Cost Total GCA
% Element Ratio Quantity Unit Rate
Cost Total GCA
%
A SUBSTRUCTURE 467,729 145 /m2 3.7% Total Construction Estimate (Excluding Contingencies) $11,008,043 3,404 /m2 87.0%
A10 Foundations 467,729 145 /m2 3.7% Z2 Contingencies 1,651,206 511 /m2 13.0%
A1010 Standard Foundations 0.50 1,617 m2 103 /m2 165,789 51 /m2 1.3% Z21 Design and Pricing Contingency 10.0 % 1,100,804 340 m2 8.7%
A1020 Special Foundations 0.50 1,617 m2 95.41 /m2 154,300 48 /m2 1.2% Z22 Escalation Contingency EXCLUDED
A1030 Slab on Grade 0.50 1,628 m2 90.68 /m2 147,640 46 /m2 1.2% Z23 Construction Contingency 5.0 % 550,402 170 m2 4.3%
B SHELL 3,866,151 1,195 /m2 30.5% TOTAL CONSTRUCTION COST $12,659,249 3,914 /m2 100%
B10 Superstructure 1,704,399 527 /m2 13.5%
B1010 Floor Construction 0.50 1,617 m2 587 /m2 949,095 293 /m2 7.5%
B1020 Roof Construction 0.50 1,617 m2 467 /m2 755,304 234 /m2 6.0%
B20 Exterior Enclosure 1,788,308 553 /m2 14.1%
B2010 Exterior Walls 0.24 762 m2 949 /m2 723,253 224 /m2 5.7%
B2020 Exterior Windows 0.15 485 m2 2,152 /m2 1,044,382 323 /m2 8.2%
B2030 Exterior Doors 0.00 9 no. 2,297 /no. 20,672 6 /m2 0.2%
B30 Roofing 373,445 115 /m2 2.9%
B3010 Roof Covering 0.50 1,617 m2 230 /m2 371,945 115 /m2 2.9%
B3020 Roof Openings 0.00 2 ea 750 /ea 1,500 0 /m2 0.0%
C INTERIORS 1,258,993 389 /m2 9.9%
C10 Interior Construction 721,317 223 /m2 5.7%
C1010 Partitions 1.21 3,898 m2 153 /m2 597,561 185 /m2 4.7%
C1020 Interior Doors 0.01 46 no. 772 /no. 35,516 11 /m2 0.3%
C1030 Fittings 1.00 3,234 m2 27.28 /m2 88,240 27 /m2 0.7%
C20 Stairs 9,365 3 /m2 0.1%
C2010 Stair Construction 0.00 8 flt. 1,171 /flt. 9,365 3 /m2 0.1%
C30 Interior Finishes 528,311 163 /m2 4.2%
C3010 Wall Finishes 2.41 7,795 m2 14.33 /m2 111,690 35 /m2 0.9%
C3020 Floor Finishes 0.98 3,184 m2 53.74 /m2 171,121 53 /m2 1.4%
C3030 Ceiling Finishes 0.95 3,088 m2 79.50 /m2 245,500 76 /m2 1.9%
D SERVICES 4,029,542 1,246 /m2 31.8%
D10 Conveying 77,800 24 /m2 0.6%
D1010 Elevators and Lifts 0.00 2 stop 38,900 /stop 77,800 24 /m2 0.6%
D20 Plumbing 371,910 115 /m2 2.9%
D2010 Plumbing Office Allowance 1.00 3,234 m2 115 /m2 371,910 115 /m2 2.9%
D30 HVAC 2,391,399 739 /m2 18.9%
D3010 Energy Supply 1.00 3,234 m2 156 /m2 503,500 156 /m2 4.0%
D3040 Distribution Systems 1.00 3,234 m2 324 /m2 1,047,759 324 /m2 8.3%
D3050 Terminal and Package Units 1.00 3,234 m2 97.77 /m2 316,230 98 /m2 2.5%
D3060 Controls and Instrumentation 1.00 3,234 m2 115 /m2 371,910 115 /m2 2.9%
D3090 Other HVAC Systems & Equipment 1.00 3,234 m2 47.00 /m2 152,000 47 /m2 1.2%
D40 Fire Protection 182,073 56 /m2 1.4%
D4010 Sprinklers 1.00 3,234 m2 56.29 /m2 182,073 56 /m2 1.4%
D50 Electrical 1,006,360 311 /m2 7.9%
D5010 Electrical Service and Distribution 1.00 3,234 m2 82.17 /m2 265,768 82 /m2 2.1%
D5020 Lighting and Branch Wiring 1.00 3,234 m2 112 /m2 362,208 112 /m2 2.9%
D5030 Communications and Security 1.00 3,234 m2 90.38 /m2 292,308 90 /m2 2.3%
D5090 Other Electrical Services 1.00 3,234 m2 26.61 /m2 86,076 27 /m2 0.7%
Net Construction Estimate $9,622,415 2,975 /m2 76.0%
Z GENERAL REQUIREMENTS & ALLOWANCES 3,036,834 939 /m2 24.0%
Z1 General Requirements & Fee 1,385,628 428 /m2 10.9%
Z11 General Requirements 10.0 % 962,242 298 m2 7.6%
Z12 Fee (Head office overheads, and profit) 4.0 % 423,386 131 m2 3.3%

100463 - Hanger 14 - Option 3, Class D Estimate, R0 December 13, 2021 100463 - Hanger 14 - Option 3, Class D Estimate, R0 December 13, 2021
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Cost Report
ELEMENTAL SUMMARY ELEMENTAL SUMMARY
HANGER 14 - NEW WAREHOUSE FACILITY - SITE DEVELOPMENT
WAREHOUSE (OPEN SPACE ONLY)
$18,351,000 $3,424/m²
TOTAL /m²
5,359 m²
$525,000 $524,523/m²1 m²
TOTAL /m²
HANGER 14 - NEW WAREHOUSE FACILITY - SITE DEVELOPMENT TOTAL
WAREHOUSE (OPEN SPACE ONLY) TOTAL
$318/sf 57,684 sf
COMP. GCA
$48,730/sf 11 sf
COMP. SCA
TOTAL /sf TOTAL /sf
GCA Element Element $ Total /m2 SCA Element Element $ Total /ls
Element Ratio Quantity Unit Rate
Cost Total GCA
% Element Ratio Quantity Unit Rate
Cost Total SCA
%
A SUBSTRUCTURE 1,224,008 228 /m2 6.7% G BUILDING SITEWORK 456,107 456,107 87.0%
A10 Foundations 1,224,008 228 /m2 6.7% G BUILDING SITEWORK 456,107 456,107 /ls
/ls 87.0%
A1010 Standard Foundations 1.00 5,359 m2 66.07 /m2 354,109 66 /m2 1.9% G30 Site Civil/Mechanical Utilities 130,500 130,500 /ls 24.9%
A1020 Special Foundations 1.00 5,359 m2 64.45 /m2 345,400 64 /m2 1.9% G3010 Water Supply 1.00 1 ls 30,750 /ls 30,750 30,750 /ls 5.9%
A1030 Slab on Grade 1.00 5,359 m2 97.87 /m2 524,499 98 /m2 2.9% G3020 Sanitary Sewer 1.00 1 ls 33,200 /ls 33,200 33,200 /ls 6.3%
B SHELL 7,922,733 1,478 /m2 43.2% G3030 Storm sewer 1.00 1 ls 66,550 /ls 66,550 66,550 /ls 12.7%
B10 Superstructure 3,087,181 576 /m2 16.8% G40 Site Electrical Utilities 325,607 325,607 /ls 62.1%
B1020 Roof Construction 1.00 5,359 m2 576 /m2 3,087,181 576 /m2 16.8% G4010 Electrical Distribution 1.00 1 ls 325,607 /ls 325,607 325,607 /ls 62.1%
B20 Exterior Enclosure 3,599,933 672 /m2 19.6% Net Construction Estimate $456,107 456,107 /ls 87.0%
B2010 Exterior Walls 0.24 1,261 m2 786 /m2 991,762 185 /m2 5.4% Z11 General Requirements EXCLUDED
B2020 Exterior Windows 0.21 1,134 m2 2,152 /m2 2,439,187 455 /m2 13.3% Z12 Fee (Head office overheads, and profit) EXCLUDED
B2030 Exterior Doors 0.01 28 no. 6,035 /no. 168,984 32 /m2 0.9% Total Construction Estimate (Excluding Contingencies) $456,107 456,107 /ls 87.0%
B30 Roofing 1,235,618 231 /m2 6.7% Z2 Contingencies 68,416 68,416 /ls 13.0%
B3010 Roof Covering 1.00 5,359 m2 230 /m2 1,232,618 230 /m2 6.7% Z21 Design and Pricing Contingency 10.0 % 45,611 45,611 ls 8.7%
B3020 Roof Openings 0.00 2 ea 1,500 /ea 3,000 1 /m2 0.0% Z22 Escalation Contingency EXCLUDED
C INTERIORS 318,337 59 /m2 1.7% Z23 Construction Contingency 5.0 % 22,805 22,805 ls 4.3%
C30 Interior Finishes 318,337 59 /m2 1.7% TOTAL CONSTRUCTION COST $524,523 524,523 /ls 100%
C3020 Floor Finishes 1.00 5,359 m2 48.00 /m2 257,242 48 /m2 1.4%
C3030 Ceiling Finishes 1.00 5,359 m2 11.40 /m2 61,095 11 /m2 0.3%
D SERVICES 4,483,730 837 /m2 24.4%
D20 Plumbing 396,360 74 /m2 2.2%
D2010 Plumbing Fixtures and Equipment 1.00 5,359 m2 19.14 /m2 102,600 19 /m2 0.6%
D2020 Warehouse Plumbing Piping 1.00 5,359 m2 51.56 /m2 276,310 52 /m2 1.5%
D2090 Other Plumbing Systems 1.00 5,359 m2 3.26 /m2 17,450 3 /m2 0.1%
D30 HVAC 2,216,441 414 /m2 12.1%
D3040 Distribution Systems 1.00 5,359 m2 230 /m2 1,231,751 230 /m2 6.7%
D3050 Terminal and Package Units 1.00 5,359 m2 95.28 /m2 510,605 95 /m2 2.8%
D3060 Controls and Instrumentation 1.00 5,359 m2 64.58 /m2 346,084 65 /m2 1.9%
D3090 Other HVAC Systems & Equipment 1.00 5,359 m2 23.88 /m2 128,000 24 /m2 0.7%
D40 Fire Protection 350,085 65 /m2 1.9%
D4010 Sprinklers 1.00 5,359 m2 65.32 /m2 350,085 65 /m2 1.9%
D50 Electrical 1,520,845 284 /m2 8.3%
D5010 Electrical Service and Distribution 1.00 5,359 m2 80.71 /m2 432,523 81 /m2 2.4%
D5020 Lighting and Branch Wiring 1.00 5,359 m2 102 /m2 546,618 102 /m2 3.0%
D5030 Communications and Security 1.00 5,359 m2 72.56 /m2 388,878 73 /m2 2.1%
D5090 Other Electrical Services 1.00 5,359 m2 28.52 /m2 152,826 29 /m2 0.8%
Net Construction Estimate $13,948,808 2,603 /m2 76.0%
Z GENERAL REQUIREMENTS & ALLOWANCES 4,402,245 821 /m2 24.0%
Z1 General Requirements & Fee 2,008,629 375 /m2 10.9%
Z11 General Requirements 10.0 % 1,394,881 260 m2 7.6%
Z12 Fee (Head office overheads, and profit) 4.0 % 613,748 115 m2 3.3%
Total Construction Estimate (Excluding Contingencies) $15,957,437 2,978 /m2 87.0%
Z2 Contingencies 2,393,616 447 /m2 13.0%
Z21 Design and Pricing Contingency 10.0 % 1,595,744 298 m2 8.7%
Z22 Escalation Contingency EXCLUDED
Z23 Construction Contingency 5.0 % 797,872 149 m2 4.3%
TOTAL CONSTRUCTION COST $18,351,053 3,424 /m2 100%

100463 - Hanger 14 - Option 3, Class D Estimate, R0 December 13, 2021 100463 - Hanger 14 - Option 3, Class D Estimate, R0 December 13, 2021
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ELEMENTAL DETAIL ELEMENTAL DETAIL
HANGER 14 - NEW WAREHOUSE FACILITY - HANGER 14 - NEW WAREHOUSE FACILITY -
2 STOREY OFFICE 2 STOREY OFFICE
Quantity Unit Rate ($) Description
Total ($) Quantity Unit Rate ($) Description
Total ($)

A10 Foundations A10 Foundations

A1010 Standard Foundations A1010 Standard Foundations
B.A1010.5 Grade Beams - 200x600mm - 35 MPa 195 m 315.42 61,507
Preparation Trench excavation - earth (by machine) 164 m3 18.00 2,948
B.A1010.1 Clearing and grubbing 1,617 m2 1.50 2,426 Cart material off site 164 m3 5.70 934
Granular backfill - supply & place (by machine) 139 m3 42.80 5,959
B.A1010.2 Rough grading - As per Geotech Report Need to remove 1,617 m2 18.00 29,109 Formwork - grade beam 234 m2 114.00 26,676
600mm to 1700mm of non-Engineered fill. Void form - 100mm 39 m2 42.80 1,669
35 MPa, C1 (5000Psi) - supply 25 m3 214.00 5,258
Air entrainment 25 m3 6.00 147
Foundation Walls Concrete accessories 23 m3 4.30 101
B.A1010.3 Elevator Wall 9m 619.31 5,574 Allow for admixtures (based on concrete volume) blend 7 m3 25.00 184
Formwork - foundation stub wall 27 m2 115.00 3,105 Winter heat 12 m3 21.00 258
25 MPa (3500Psi) - supply 4 m3 158.00 560 Environmental 25 m3 7.00 172
Air entrainment 4 m3 6.00 21 Waste water handling fee ($2.50 /m3) 25 m3 2.50 61
Concrete accessories 3 m3 4.30 15 Fuel & carbon levy surcharge 25 m3 3.93 97
Allow for admixtures (based on concrete volume) blend 1 m3 25.00 27 Dampproofing to grade beams 117 m2 19.00 2,223
Winter heat 2 m3 21.00 37 Protection board 117 m2 23.80 2,785
Environmental 4 m3 7.00 25 50mm (2") rigid insulation (R10) 117 m2 42.30 4,949
Waste water handling fee ($2.50 /m3) 4 m3 2.50 9 Place concrete 23 m3 42.80 1,002
Fuel & carbon levy surcharge 4 m3 3.93 14 Black reinforcing steel - labour, material, and accessories 2,340 kg 2.60 6,084
Dampproofing to foundation walls 14 m2 19.00 257
Place concrete 3 m3 42.80 144
TOTAL FOR A1010 STANDARD FOUNDATIONS 1,617 m2 $103 /m2 $165,789
Black reinforcing steel - labour, material, and accessories 304 kg 2.60 790
50mm (2") rigid insulation (R10) 14 m2 42.30 571
A1020 Special Foundations
Grade Beams
B.A1010.4 Pile Foundations
Grade Beams - 250x900mm - 35 MPa 130 m 515.61 67,174 B.A1020.1
Trench excavation - earth (by machine) 205 m3 18.00 3,693 Drilling & placing - caisson foundations 74 no. 1,800.00 133,200
Cart material off site 205 m3 5.70 1,170
Granular backfill - supply & place (by machine) 174 m3 42.80 7,465 B.A1020.2 Mobilize / demobilize 1 no. 10,000.00 10,000
Formwork - grade beam 235 m2 114.00 26,733
Void form - 100mm 33 m2 42.80 1,394 B.A1020.3 Trim pile tops 74 no. 150.00 11,100
35 MPa, C1 (5000Psi) - supply 31 m3 214.00 6,587
Air entrainment 31 m3 6.00 185
Concrete accessories 29 m3 4.30 126 TOTAL FOR A1020 SPECIAL FOUNDATIONS 1,617 m2 95.41 /m2 $154,300
Allow for admixtures (based on concrete volume) blend 9 m3 25.00 231
Winter heat 15 m3 21.00 323
Environmental 31 m3 7.00 215 A1030 Slab on Grade
Waste water handling fee ($2.50 /m3) 31 m3 2.50 77
Fuel & carbon levy surcharge 31 m3 3.93 121 Slab on Grade
Dampproofing to grade beams 117 m2 19.00 2,228
Protection board 117 m2 23.80 2,791
50mm (2") rigid insulation (R10) 117 m2 42.30 4,960
Place concrete 29 m3 42.80 1,255
Black reinforcing steel - labour, material, and accessories 2,931 kg 2.60 7,621

100463 - Hanger 14 - Option 3, Class D Estimate, R0 December 13, 2021 100463 - Hanger 14 - Option 3, Class D Estimate, R0 December 13, 2021
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ELEMENTAL DETAIL ELEMENTAL DETAIL
HANGER 14 - NEW WAREHOUSE FACILITY - HANGER 14 - NEW WAREHOUSE FACILITY -
2 STOREY OFFICE 2 STOREY OFFICE
Quantity Unit Rate ($) Description
Total ($) Quantity Unit Rate ($) Description
Total ($)

A10 Foundations B10 Superstructure

A1030 Slab on Grade B1010 Floor Construction
B.A1030.1 Slab on Grade - 125mm Thick 1,617 m2 83.82 135,548
Granular backfill slab on grade - material 243 m3 61.80 14,991
Structural Frame - Steel
B.B1010.1 Steel framing (all-in) 119,669 kg 6.00 718,014
Backfill foundations/basement excavation - labour (by machine) 243 m3 26.20 6,355
25 MPa, C4 (3500Psi) - supply 212 m3 166.00 35,234
Air entrainment 212 m3 6.00 1,274
Concrete accessories 202 m3 4.30 869
Structural Frame - Steel
B.B1010.2 Concrete Slab on Metal Deck 1,617 m2 135.62 219,321
Allow for admixtures (based on concrete volume) blend 64 m3 25.00 1,592
Winter heat 106 m3 21.00 2,229 Formwork - slab on deck edges 15 m2 114.00 1,740
Environmental 212 m3 7.00 1,486 25 MPa (3500Psi) - supply 146 m3 158.00 23,073
Waste water handling fee ($2.50 /m3) 212 m3 2.50 531 Concrete accessories 139 m3 4.30 598
Fuel & carbon levy surcharge 212 m3 3.93 834 Allow for admixtures (based on concrete volume) blend 44 m3 25.00 1,095
Place concrete 202 m3 42.80 8,652 Winter heat 73 m3 21.00 1,533
Concrete finishing - steel trowel finish 1,617 m2 11.00 17,789 Environmental 146 m3 7.00 1,022
Allowance for saw cuts to SOG (length allowance) 810 m 7.00 5,670 Waste water handling fee ($2.50 /m3) 146 m3 2.50 365
Below-grade vapour retarders 1,617 m2 2.40 3,881 Fuel & carbon levy surcharge 146 m3 3.93 574
Black reinforcing steel - labour, material, and accessories 13,139 kg 2.60 34,162 Place concrete 139 m3 42.80 5,952
Concrete finishing - steel trowel finish 1,617 m2 11.00 17,789
B.A1030.2 SOG - Elevator Pit Slab 11 m2 86.68 953 38mm metal deck 1,617 m2 42.90 69,376
Granular backfill slab on grade - material 2 m3 61.80 102 Cementitious fireproofing 1,617 m2 35.00 56,600
Backfill foundations/basement excavation - labour (by machine) 2 m3 26.20 43 Wire mesh 100x100mm (4x4'') 4/4 1,779 m2 12.10 21,524
25 MPa, C4 (3500Psi) - supply 1 m3 166.00 240 Black reinforcing steel - labour, material, and accessories 6,954 kg 2.60 18,080
Air entrainment 1 m3 6.00 9
B.B1010.3 Horizontal firestopping 784 m 15.00 11,760
Concrete accessories 1 m3 4.30 6
Allow for admixtures (based on concrete volume) blend 0 m3 25.00 11
Winter heat 1 m3 21.00 15
Environmental 1 m3 7.00 10 TOTAL FOR B1010 FLOOR CONSTRUCTION 1,617 m2 587 /m2 $949,095
Waste water handling fee ($2.50 /m3) 1 m3 2.50 4
Fuel & carbon levy surcharge 1 m3 3.93 6 B10 Superstructure
Place concrete 1 m3 42.80 59
B1020 Roof Construction
Concrete finishing - steel trowel finish 11 m2 11.00 121
Allowance for saw cuts to SOG (length allowance) 10 m 7.00 70
Below-grade vapour retarders 11 m2 2.40 26 Structural Frame - Steel
B.B1020.1 Steel framing (all-in) 103,498 kg 6.00 620,988
Black reinforcing steel - labour, material, and accessories 89 kg 2.60 232

Foundation Drainage Structural Frame - Steel

B.A1030.3 Perforated weeping tile & gravel 130 m 85.50 11,139 B.B1020.2 Concrete Slab on Metal Deck 1,617 m2 77.90 125,976
38mm metal deck 1,617 m2 42.90 69,376
Cementitious fireproofing 1,617 m2 35.00 56,600
TOTAL FOR A1030 SLAB ON GRADE 1,628 m2 90.68 /m2 $147,640

100463 - Hanger 14 - Option 3, Class D Estimate, R0 December 13, 2021 100463 - Hanger 14 - Option 3, Class D Estimate, R0 December 13, 2021
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Cost Report
ELEMENTAL DETAIL ELEMENTAL DETAIL
HANGER 14 - NEW WAREHOUSE FACILITY - HANGER 14 - NEW WAREHOUSE FACILITY -
2 STOREY OFFICE 2 STOREY OFFICE
Quantity Unit Rate ($) Description
Total ($) Quantity Unit Rate ($) Description
Total ($)

B10 Superstructure B20 Exterior Enclosure

B1020 Roof Construction B2030 Exterior Doors

Miscellaneous Hollow Metal Exterior Doors

B.B1020.3 Horizontal firestopping 556 m 15.00 8,340 B.B2030.1 Hollow metal exterior doors - Single 6 no. 1,657.80 9,947
Hollow metal exterior door (supply) 6 no. 380.00 2,280
Install hollow metal exterior door 6 no. 209.00 1,254
TOTAL FOR B1020 ROOF CONSTRUCTION 1,617 m2 467 /m2 $755,304 Single hollow metal frame 6 no. 275.00 1,650
Hardware to HM exterior door 6 no. 713.00 4,278
Exterior paint to doors 6 no. 80.80 485
3,234 m2 $0 /m2 $0
B.B2030.2 Hollow metal exterior doors - Double 2 pair 3,112.60 6,225
B20 Exterior Enclosure Hollow metal exterior door (supply) 4 no. 380.00 1,520
Install hollow metal exterior door 4 no. 209.00 836
B2010 Exterior Walls
Double hollow metal frame 2 no. 347.00 694
Hardware to HM exterior door 4 no. 713.00 2,852
Metal Panels Exterior paint to doors 4 no. 80.80 323
B.B2010.1 Fiber Reinforced Concrete Wall Panel - Mod Panel Back-up 762 m2 376.61 286,979
Fiber Reinforced Concrete Wall Panel 762 m2 376.54 286,979
Glazed Exterior Doors
B.B2010.2 B.B2030.3 Glazed aluminum double door - exterior 1 pair 4,500.00 4,500
Mod Panels - Stud Back-up 762 m2 572.54 436,274
Mod Panels 762 m2 509.73 388,488
150mm (6'') batt insulation 762 m2 34.00 25,913
6 mil air/vapour barrier, poly 762 m2 2.50 1,905 TOTAL FOR B2030 EXTERIOR DOORS 9 no. 2,297 /no. $20,672
12.7mm (1/2'') drywall to walls 762 m2 12.90 9,832
Tape & finish (Level 4 finish) to walls 762 m2 13.30 10,136 B30 Roofing
B3010 Roof Covering
TOTAL FOR B2010 EXTERIOR WALLS 762 m2 949 /m2 $723,253
Roof Coverings to Building - Flat Roof
B.B3010.1 2 ply SBS roofing system 1,617 m2 230.00 371,945
B2020 Exterior Windows

Windows
B.B2020 .1 TOTAL FOR B3010 ROOF COVERING 1,617 m2 230 /m2 $371,945
Aluminum windows, Triple-Pane (GlasCurtain) 410 m2 2,151.68 883,006

B3020 Roof Openings

Other Exterior Windows
B.B2020 .2 Monitor Window - On Roof (GlasCurtain) 75 m2 2,151.68 161,376 Roof Hatches
B.B3020.1 Roof hatches 1 no. 1,500.00 1,500
TOTAL FOR B2020 EXTERIOR WINDOWS 485 m2 2,152 /m2 $1,044,382
TOTAL FOR B3020 ROOF OPENINGS 2 ea 750 /ea $1,500

100463 - Hanger 14 - Option 3, Class D Estimate, R0 December 13, 2021 100463 - Hanger 14 - Option 3, Class D Estimate, R0 December 13, 2021
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119 City of Edmonton | Hangar 14 Investment Study | December 13 2021

Cost Report
ELEMENTAL DETAIL ELEMENTAL DETAIL
HANGER 14 - NEW WAREHOUSE FACILITY - HANGER 14 - NEW WAREHOUSE FACILITY -
2 STOREY OFFICE 2 STOREY OFFICE
Quantity Unit Rate ($) Description
Total ($) Quantity Unit Rate ($) Description
Total ($)

C10 Interior Construction C10 Interior Construction

C1010 Partitions C1030 Fittings

Steel Stud and Drywall Partition Assemblies Washroom Accessories - Commercial Grade
B.C1010.1 Demising partition 2,150 m2 146.31 314,565 B.C1030.1 Washroom accessories to common area washrooms 4 sum 4,750.00 19,000
92mm (3-5/8'') s/studs 406mm (16'') o/c to walls 2,150 m2 44.40 95,466
89mm (3-1/2'') sound attenuation batt. 2,150 m2 10.50 22,576
15.9mm (5/8'') fire rated (type 'X') drywall to walls 4,300 m2 16.20 69,665 Other Millwork
Tape & finish (Level 4 finish) to walls 2,150 m2 13.30 28,597 B.C1030.2 Allowance for lobby millwork 1 sum 14,300.00 14,300
15.9mm (5/8'') fire rated (type 'X') drywall to walls 4,300 m2 16.20 69,665
Tape & finish (Level 4 finish) to walls 2,150 m2 13.30 28,597 B.C1030.3 Allowance for amenity millwork 1 sum 23,800.00 23,800
B.C1010.2 Corridor Partition 1,748 m2 135.07 236,098
B.C1030.4 Allowance for amenity kitchen millwork 1 sum 4,280.00 4,280
92mm (3-5/8'') s/studs 610mm o/c to walls 1,748 m2 32.80 57,321
89mm (3-1/2'') batt insulation 1,748 m2 27.10 47,359
15.9mm (5/8'') fire rated (type 'X') drywall to walls 3,495 m2 16.20 56,622
Tape & finish (Level 4 finish) to walls 1,748 m2 13.30 23,243 Other Interior Specialties
B.C1030.5 Steel ladder 2 no. 1,430.00 2,860
15.9mm (5/8'') fire rated (type 'X') drywall to walls 1,748 m2 16.20 28,311
Tape & finish (Level 4 finish) to walls 1,748 m2 13.30 23,243
B.C1030.6 Elevator pit ladder 1 no. 713.00 713
Misc. Metals, Rough Carpentry, Sealing etc.
B.C1010.3 B.C1030.7 Misc. metals - above grade 3,234 m2 7.20 23,287
Rough carpentry - above grade 3,234 m2 12.00 38,812

B.C1010.4 Allow for sealing and caulking 3,234 m2 2.50 8,086 TOTAL FOR C1030 FITTINGS 3,234 m2 27.28 /m2 $88,240

TOTAL FOR C1010 PARTITIONS 3,898 m2 153 /m2 $597,561 C20 Stairs
C2010 Stair Construction
C10 Interior Construction
C1020 Interior Doors Stair Construction - Metal
B.C2010.1 Concrete filled metal pan stairs 8 flt. 850.00 6,800
Wood Interior Doors
B.C1020.1 Hollow core interior wood door - Single 32 lvs 580.50 18,576 Handrails
Supply hollow core interior door 32 no. 105.00 3,360 B.C2010.2
Install hollow core interior door 32 no. 180.00 5,760
Steel wall rail 15 m 171.00 2,565
Wood door frame - single 32 no. 85.00 2,720
Hardware to wood interior door - suite 32 no. 85.50 2,736
TOTAL FOR C2010 STAIR CONSTRUCTION 8 flt. 1,171 /flt. $9,365
Interior paint to wood door and frame 32 no. 125.00 4,000

B.C1020.2 Hollow core interior wood door - Double 14 lvs 1,210.00 16,940
Supply hollow core interior door 14 no. 105.00 1,470
Install hollow core interior door 14 no. 180.00 2,520
Wood door frame - double 7 no. 100.00 700
Hardware to wood interior door - common 14 no. 750.00 10,500
Interior paint to wood door and frame 14 no. 125.00 1,750

TOTAL FOR C1020 INTERIOR DOORS 46 no. 772 /no. $35,516

100463 - Hanger 14 - Option 3, Class D Estimate, R0 December 13, 2021 100463 - Hanger 14 - Option 3, Class D Estimate, R0 December 13, 2021
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City of Edmonton | Hangar 14 Investment Study | December 13 2021t 120

Cost Report
ELEMENTAL DETAIL ELEMENTAL DETAIL
HANGER 14 - NEW WAREHOUSE FACILITY - HANGER 14 - NEW WAREHOUSE FACILITY -
2 STOREY OFFICE 2 STOREY OFFICE
Quantity Unit Rate ($) Description
Total ($) Quantity Unit Rate ($) Description
Total ($)

C30 Interior Finishes C30 Interior Finishes

C3010 Wall Finishes C3030 Ceiling Finishes
B.C3030.3 No Finish (Shafts/Elevators, Etc.) m2 Area Only
Tile and Terrazzo Wall Finishes
B.C3010.1 Ceramic tile to walls 432 m2 129.00 55,728
TOTAL FOR C3030 CEILING FINISHES 3,088 m2 79.50 /m2 $245,500
Painting to Walls
B.C3010.2 D10 Conveying
Interior paint to gypsum board walls 7,363 m2 7.60 55,962
D1010 Elevators and Lifts

TOTAL FOR C3010 WALL FINISHES 7,795 m2 14.33 /m2 $111,690 Passenger Elevators
B.D1010.1 Traction elevator - #1 2 stop 23,900.00 47,800
C30 Interior Finishes
B.D1010.2 Allow for cab finishes 1 1 cab 30,000.00 30,000
C3020 Floor Finishes

Tile Floor Finishes

B.C3020.1
TOTAL FOR D1010 ELEVATORS AND LIFTS 2 stop 38,900 /stop $77,800
Porcelain tile to floors 75 m2 133.00 9,975

D20 Plumbing
Carpeting D2010 Plumbing Office Allowance
B.C3020.2 Carpet flooring 293 m2 52.30 15,298
Plumbing allowance
B.D2010.1 3,234 m2 115.00 371,910
Wall Base Finishes
B.C3020.3 Resilient base 2,128 m 5.00 10,642
TOTAL FOR D2010 PLUMBING OFFICE ALLOWANCE 3,234 m2 115 /m2 $371,910
Hardeners and Sealers
B.C3020.4 Polished Concrete - SOG 2,817 m2 48.00 135,206 D30 HVAC
D3010 Energy Supply
B.C3020.5 No Finish (Shafts/Elevators, Etc.) m2 Area Only
Hot Water Supply System (From Central Plant)
B.D3010.1 1 sum 503,500.00 503,500
TOTAL FOR C3020 FLOOR FINISHES 3,184 m2 53.74 /m2 $171,121 B-Gas fired high efficiency building heating boilers,estimated at XXXX 2 no. 180,000.00 360,000
MBH each
boilers circulating pumps 2 no. 4,500.00 9,000
C3030 Ceiling Finishes
P-Building heating system pumps, VFD 2 no. 14,500.00 29,000
ET-Expansion tank-heating 1 no. 22,500.00 22,500
Gypsum Wallboard Ceiling Finishes ET-Expansion tank-glycol 1 no. 16,500.00 16,500
B.C3030.1 15.9mm (5/8'') suspended drywall ceiling system 3,088 m2 67.50 208,443 HX-Heat exchanger, glycol 1 no. 16,500.00 16,500
Allowance for glycol feed tank, chemical treatment, etc 1 no. 24,000.00 24,000
B.C3030.2 Interior paint drywall ceilings 3,088 m2 12.00 37,057 Allowance for air separators, gauges, valves, etc 1 sum 17,000.00 17,000
Allowance for boiler flue vent 1 sum 9,000.00 9,000

TOTAL FOR D3010 ENERGY SUPPLY 3,234 m2 156 /m2 $503,500

100463 - Hanger 14 - Option 3, Class D Estimate, R0 December 13, 2021 100463 - Hanger 14 - Option 3, Class D Estimate, R0 December 13, 2021
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121 City of Edmonton | Hangar 14 Investment Study | December 13 2021

Cost Report
ELEMENTAL DETAIL ELEMENTAL DETAIL
HANGER 14 - NEW WAREHOUSE FACILITY - HANGER 14 - NEW WAREHOUSE FACILITY -
2 STOREY OFFICE 2 STOREY OFFICE
Quantity Unit Rate ($) Description
Total ($) Quantity Unit Rate ($) Description
Total ($)

D30 HVAC D30 HVAC

D3040 Distribution Systems D3060 Controls and Instrumentation

Air Distribution, Heating, and Cooling General Controls Allowance

B.D3040.1 Equipment 1 sum 365,500.00 365,500 B.D3060.1 Controls 3,234 m2 115.00 371,910
HRV 1 sum 110,000.00 110,000
HRV 1 sum 110,000.00 110,000
HRV 1 sum 110,000.00 110,000 TOTAL FOR D3060 CONTROLS AND INSTRUMENTATION 3,234 m2 115 /m2 $371,910
EMRCU-Elevator machine room split AC unit,-estimated 2.0 ton 1 no. 7,500.00 7,500
EF-Elevator machine room exhaust fan 1 no 1,500.00 1,500
D30 HVAC
Stair pressurization fans 1 sum 20,000.00 20,000
Office space ceiling fans allowance 1 sum 6,500.00 6,500 D3090 Other HVAC Systems & Equipment

B.D3040.2 Ductwork 1 sum 512,329.31 512,329 Misc General Requirements

Air Distribution / Sheet Metal allowance - Common areas 3,234 m2 129.17 417,729 B.D3090.1 General requirements 1 sum 152,000.00 152,000
Diffusers, registers and grilles 1 sum 41,800.00 41,800 Testing, balancing and Commissioning-HVAC system-excluding 3rd 1 sum 35,000.00 35,000
Ductwork insulation sum 37,800 party scope
Fire dampers/louvers, etc-Excluding Architectural Louvers 1 sum 15,000.00 15,000 Allowance for fire and smoke seal, etc 1 sum 22,000.00 22,000
Asbestos survey, testing and remediation-by others Excluded
General site condition including coordination, site access, PM, etc 1 sum 95,000.00 95,000
Hot Water Distribution System
B.D3040.3 m2 169,930
Heating water supply & return piping-mechanical room and risers 130 m 575.00 74,750 TOTAL FOR D3090 OTHER HVAC SYSTEMS & EQUIPMENT 3,234 m2 47.00 /m2 $152,000
Hot water supply and return piping-terminal devices 336 m 130.00 43,680
Natural gas to boilers, DHW boilers, etc. 150 m 125.00 18,750 D40 Fire Protection
Allowance for HVAC Piping miscellaneous valves, fittings, hangers, 1 sum 7,120.00 7,120
supports, etc D4010 Sprinklers
HVAC Piping Insulation 466 m 55.00 25,630
Sprinklers and Releasing Devices
B.D4010.1 1 sum 182,072.91 182,073
TOTAL FOR D3040 DISTRIBUTION SYSTEMS 3,234 m2 324 /m2 $1,047,759
Building sprinkler and standpipe system 3,234 m2 44.57 144,133
Sprinkler and standpipe system incoming services c/w BFP 1 sum 10,810.00 10,810
D30 HVAC Sprinkler and standpipe system control valves assembly c/w zone valves, 1 sum 11,620.00 11,620
heads, etc
D3050 Terminal and Package Units
Allowance for testing, balancing and certification 1 sum 4,160.00 4,160
Allowance for fire and smoke seal, etc 1 sum 2,200.00 2,200
Unit Heaters
As built drawings 1 sum 550.00 550
B.D3050.1 6 no 1,500.00 9,000 Asbestos survey, testing and remediation-by others Excluded
General site condition including coordination, site access, PM, etc 1 sum 8,600.00 8,600

Other Terminal and Package Units

B.D3050.2 3,234 m2 95.00 307,230 TOTAL FOR D4010 SPRINKLERS 3,234 m2 56.29 /m2 $182,073

TOTAL FOR D3050 TERMINAL AND PACKAGE UNITS 3,234 m2 97.77 /m2 $316,230

100463 - Hanger 14 - Option 3, Class D Estimate, R0 December 13, 2021 100463 - Hanger 14 - Option 3, Class D Estimate, R0 December 13, 2021
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City of Edmonton | Hangar 14 Investment Study | December 13 2021t 122

Cost Report
ELEMENTAL DETAIL ELEMENTAL DETAIL
HANGER 14 - NEW WAREHOUSE FACILITY - HANGER 14 - NEW WAREHOUSE FACILITY -
2 STOREY OFFICE 2 STOREY OFFICE
Quantity Unit Rate ($) Description
Total ($) Quantity Unit Rate ($) Description
Total ($)

D50 Electrical D50 Electrical

D5010 Electrical Service and Distribution D5020 Lighting and Branch Wiring

Main Transformers Lighting Equipment - Lighting Control

B.D5010.1 New CDP's, step down transformers and feeders 1 sum 96,702.05 96,702 B.D5020.6 Lighting control system - Addressable c/w occupancy sensors 3,234 m2 25.00 80,850

B.D5010.2 Mechanical distribution and step down transformers 1 sum 16,935.88 16,936
TOTAL FOR D5020 LIGHTING AND BRANCH WIRING 3,234 m2 112 /m2 $362,208

Panels D5030 Communications and Security

B.D5010.3 Allowance for Branch panels and feeders - Normal Power 3,234 m2 30.00 97,020
Fire Alarm Systems
B.D5030.1 Fire alarm system, branch wiring, rough in, testing and 3,234 m2 25.00 80,850
Motor Control Centres verification
B.D5010.4 Wire & connect to mechanical equipment 3,234 m2 15.00 48,510
B.D5030.2 Annunciator and auto dial 1 no. 4,740.00 4,740
Other Service and Distribution
B.D5010.5 Grounding 1 sum 6,600.00 6,600 Telecommunications Systems
B.D5030.3 Cable tray, raceways, conduits and rough in 3,234 m2 12.00 38,808
TOTAL FOR D5010 ELECTRICAL SERVICE AND 3,234 m2 82.17 /m2 $265,768
B.D5030.4 Cable drops 3,234 m2 10.00 32,340
DISTRIBUTION
D50 Electrical B.D5030.5 Plywood backboards 1 sum 3,070.00 3,070
D5020 Lighting and Branch Wiring
B.D5030.6 Allowance for trunk conduit & cabling 1 sum 15,980.00 15,980
Branch wiring
B.D5020.1 General power devices and rough in 3,234 m2 20.00 64,680 B.D5030.7 Racks, patch panels, etc. 1 sum 19,500.00 19,500
B.D5020.2 General branch wiring 3,234 m2 12.00 38,808
Security Systems
B.D5020.3 Lighting branch wiring 3,234 m2 12.00 38,808 B.D5030.8 Allowance for security system including CCTV camera, 3,234 m2 30.00 97,020
access door devices, etc.
B.D5020.4 Lighting rough in and installation 3,234 m2 8.00 25,872
TOTAL FOR D5030 COMMUNICATIONS AND SECURITY 3,234 m2 90.38 /m2 $292,308
Lighting Equipment
B.D5020.5 Lighting 3,234 m2 35.00 113,190

100463 - Hanger 14 - Option 3, Class D Estimate, R0 December 13, 2021 100463 - Hanger 14 - Option 3, Class D Estimate, R0 December 13, 2021
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123 City of Edmonton | Hangar 14 Investment Study | December 13 2021

Cost Report
ELEMENTAL DETAIL ELEMENTAL DETAIL
HANGER 14 - NEW WAREHOUSE FACILITY - HANGER 14 - NEW WAREHOUSE FACILITY -
2 STOREY OFFICE WAREHOUSE (OPEN SPACE ONLY)
Quantity Unit Rate ($) Description
Total ($) Quantity Unit Rate ($) Description
Total ($)

D50 Electrical A10 Foundations

D5090 Other Electrical Services A1010 Standard Foundations

General Construction Items (Electrical) Preparation

B.D5090.1 Allowance for as built drawings and operation manual 1 no. 3,500.00 3,500 B.A1010.1 Clearing and grubbing 5,359 m2 1.50 8,039

B.D5090.2 Testing & commissioning 1 sum 11,000.00 11,000 B.A1010.2 Rough grading - As per Geotech Report Need to remove 5,359 m2 18.00 96,466
600mm to 1700mm of non-Engineered fill.
B.D5090.3 Permits, inspection & job set-up 1 sum 26,300.00 26,300
Grade Beams
B.A1010.3
Emergency Lighting and Power Grade Beams - 250x900mm - 35 MPa 305 m 515.61 157,345
B.D5090.4 Trench excavation - earth (by machine) 481 m3 18.00 8,651
Battery Packs, remote heads and exit signs 3,234 m2 9.00 29,106
Cart material off site 481 m3 5.70 2,740
Granular backfill - supply & place (by machine) 409 m3 42.80 17,485
B.D5090.5 DC Branch wiring 3,234 m2 5.00 16,170 Formwork - grade beam 549 m2 114.00 62,619
Void form - 100mm 76 m2 42.80 3,265
35 MPa, C1 (5000Psi) - supply 72 m3 214.00 15,428
TOTAL FOR D5090 OTHER ELECTRICAL SERVICES 3,234 m2 26.61 /m2 $86,076 Air entrainment 72 m3 6.00 433
Concrete accessories 69 m3 4.30 295
Allow for admixtures (based on concrete volume) blend 22 m3 25.00 541
NET BUILDING COST (Excluding Site) 3,234 m2 2,975 /m2 $9,622,415
Winter heat 36 m3 21.00 757
Environmental 72 m3 7.00 505
General Requirements 10.00 % 962,242 Waste water handling fee ($2.50 /m3) 72 m3 2.50 180
Fuel & carbon levy surcharge 72 m3 3.93 283
Fee (Head office overheads, and profit) 4.00 % 423,386 Dampproofing to grade beams 275 m2 19.00 5,218
Protection board 275 m2 23.80 6,537
50mm (2") rigid insulation (R10) 275 m2 42.30 11,617
TOTAL CONSTRUCTION ESTIMATE (Excluding contingencies) 3,234 m2 3,404 /m2 $11,008,043 Place concrete 69 m3 42.80 2,939
Black reinforcing steel - labour, material, and accessories 6,866 kg 2.60 17,852
Design and Pricing Contingency 10.00 % 1,100,804
B.A1010.4 Grade Beams - 200x600mm - 35 MPa 293 m 315.42 92,260
Trench excavation - earth (by machine) 246 m3 18.00 4,423
Escalation Contingency EXCLUDED Cart material off site 246 m3 5.70 1,400
Granular backfill - supply & place (by machine) 209 m3 42.80 8,939
Construction Contingency 5.00 % 550,402 Formwork - grade beam 351 m2 114.00 40,014
Void form - 100mm 59 m2 42.80 2,504
35 MPa, C1 (5000Psi) - supply 37 m3 214.00 7,887
TOTAL CONSTRUCTION ESTIMATE (Including contingencies) 3,234 m2 3,914 /m2 $12,659,249 Air entrainment 37 m3 6.00 221
Concrete accessories 35 m3 4.30 151
Allow for admixtures (based on concrete volume) blend 11 m3 25.00 276
TOTAL CONSTRUCTION ESTIMATE (Excluding Taxes) 3,234 m2 3,914 /m2 $12,659,249 Winter heat 18 m3 21.00 387
Environmental 37 m3 7.00 258
Waste water handling fee ($2.50 /m3) 37 m3 2.50 92
Fuel & carbon levy surcharge 37 m3 3.93 145
Dampproofing to grade beams 176 m2 19.00 3,335
Protection board 176 m2 23.80 4,177
50mm (2") rigid insulation (R10) 176 m2 42.30 7,424
Place concrete 35 m3 42.80 1,502
Black reinforcing steel - labour, material, and accessories 3,510 kg 2.60 9,126

TOTAL FOR A1010 STANDARD FOUNDATIONS 5,359 m2 66.07 /m2 $354,109

100463 - Hanger 14 - Option 3, Class D Estimate, R0 December 13, 2021 100463 - Hanger 14 - Option 3, Class D Estimate, R0 December 13, 2021
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City of Edmonton | Hangar 14 Investment Study | December 13 2021t 124

Cost Report
ELEMENTAL DETAIL ELEMENTAL DETAIL
HANGER 14 - NEW WAREHOUSE FACILITY - HANGER 14 - NEW WAREHOUSE FACILITY -
WAREHOUSE (OPEN SPACE ONLY) WAREHOUSE (OPEN SPACE ONLY)
Quantity Unit Rate ($) Description
Total ($) Quantity Unit Rate ($) Description
Total ($)

A10 Foundations B10 Superstructure

A1020 Special Foundations B1020 Roof Construction

Pile Foundations Structural Frame - Steel

B.A1020.1 Drilling & placing - caisson foundations 172 no. 1,800.00 309,600 B.B1020.1 Steel framing (all-in) 476,970 kg 6.00 2,861,820

B.A1020.2 Mobilize / demobilize 1 no. 10,000.00 10,000

Structural Interior Walls - CMU
B.B1020.2 200mm (8'') block 1,038 m2 209.00 217,021
B.A1020.3 Trim pile tops 172 no. 150.00 25,800

Miscellaneous
TOTAL FOR A1020 SPECIAL FOUNDATIONS 5,359 m2 64.45 /m2 $345,400 B.B1020.3 Horizontal firestopping 556 m 15.00 8,340

A10 Foundations
A1030 Slab on Grade TOTAL FOR B1020 ROOF CONSTRUCTION 5,359 m2 576 /m2 $3,087,181

Slab on Grade 5,359 m2 0.00 /m2 $0

B.A1030.1 Slab on Grade - 150mm Thick 5,359 m2 94.56 506,744
Granular backfill slab on grade - material 804 m3 61.80 49,680
Backfill foundations/basement excavation - labour (by machine) 804 m3 26.20 21,062 B20 Exterior Enclosure
25 MPa, C4 (3500Psi) - supply 844 m3 166.00 140,117 B2010 Exterior Walls
Air entrainment 844 m3 6.00 5,064
Concrete accessories 804 m3 4.30 3,457 Metal Panels
Allow for admixtures (based on concrete volume) blend 253 m3 25.00 6,331 B.B2010.1 Pre Finish Metal Wall Panel - Mod Panel Back-up 1,261 m2 215.19 271,357
Winter heat 422 m3 21.00 8,863 Prefinished aluminum panels 1,261 m2 215.17 271,357
Environmental 844 m3 7.00 5,909
Waste water handling fee ($2.50 /m3) 844 m3 2.50 2,110
Fuel & carbon levy surcharge 844 m3 3.93 3,317 B.B2010.2 Mod Panels - Stud Back-up 1,261 m2 571.30 720,405
Place concrete 804 m3 42.80 34,406 Mod Panels 1,261 m2 509.73 642,845
Concrete finishing - steel trowel finish 5,359 m2 11.00 58,951 150mm (6'') batt insulation 1,261 m2 34.00 42,879
Allowance for saw cuts to SOG (length allowance) 2,680 m 7.00 18,760 6 mil air/vapour barrier, poly 1,261 m2 2.50 3,153
Below-grade vapour retarders 5,359 m2 2.40 12,862 Metal Liner 1,261 m2 25.00 31,529
Black reinforcing steel - labour, material, and accessories 52,252 kg 2.60 135,856

TOTAL FOR B2010 EXTERIOR WALLS 1,261 m2 786 /m2 $991,762

Foundation Drainage
B.A1030.2 Perforated weeping tile & gravel 208 m 85.50 17,755 B2020 Exterior Windows

TOTAL FOR A1030 SLAB ON GRADE 5,359 m2 97.87 /m2 $524,499 Windows
B.B2020 .1 Aluminum windows, Triple-Pane (GlasCurtain) 834 m2 2,151.68 1,793,683

100463 - Hanger 14 - Option 3, Class D Estimate, R0 December 13, 2021 100463 - Hanger 14 - Option 3, Class D Estimate, R0 December 13, 2021
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125 City of Edmonton | Hangar 14 Investment Study | December 13 2021

Cost Report
ELEMENTAL DETAIL ELEMENTAL DETAIL
HANGER 14 - NEW WAREHOUSE FACILITY - HANGER 14 - NEW WAREHOUSE FACILITY -
WAREHOUSE (OPEN SPACE ONLY) WAREHOUSE (OPEN SPACE ONLY)
Quantity Unit Rate ($) Description
Total ($) Quantity Unit Rate ($) Description
Total ($)

B20 Exterior Enclosure C30 Interior Finishes

B2020 Exterior Windows C3020 Floor Finishes

Other Exterior Windows Hardeners and Sealers

B.B2020 .2 Monitor Window - On Roof (GlasCurtain) 300 m2 2,151.68 645,504 B.C3020.1 Polished Concrete - SOG 5,359 m2 48.00 257,242

B.C3020.2 No Finish (Shafts/Elevators, Etc.) m2 Area Only

TOTAL FOR B2020 EXTERIOR WINDOWS 1,134 m2 2,152 /m2 $2,439,187

B2030 Exterior Doors TOTAL FOR C3020 FLOOR FINISHES 5,359 m2 48.00 /m2 $257,242

Hollow Metal Exterior Doors C30 Interior Finishes

B.B2030.1 Hollow metal exterior doors - Single 14 no. 1,657.80 23,209 C3030 Ceiling Finishes
Hollow metal exterior door (supply) 14 no. 380.00 5,320
Install hollow metal exterior door 14 no. 209.00 2,926
Painting & Staining Ceilings
Single hollow metal frame 14 no. 275.00 3,850
B.C3030.1 Interior paint to exposed structural Steel 5,359 m2 11.40 61,095
Hardware to HM exterior door 14 no. 713.00 9,982
Exterior paint to doors 14 no. 80.80 1,131

B.C3030.2 No Finish (Shafts/Elevators, Etc.) m2 Area Only

Overhead and Roll-up Doors
B.B2030.2 Overhead coiling door 172 m2 850.00 145,775
TOTAL FOR C3030 CEILING FINISHES 5,359 m2 11.40 /m2 $61,095

TOTAL FOR B2030 EXTERIOR DOORS 28 no. 6,035 /no. $168,984

D20 Plumbing
D2010 Plumbing Fixtures and Equipment
B30 Roofing
B3010 Roof Covering Fixtures / Equipment
B.D2010.1 Plumbing Fixtures 1 sum 77,600.00 77,600
Roof Coverings to Building - Flat Roof Roof drains-control flow 15 sum 450.00 6,750
B.B3010.1 2 ply SBS roofing system 5,359 m2 230.00 1,232,618 Floor drains 25 sum 250.00 6,250
Trench drains 1 sum 62,500.00 62,500
Non freeze wall hydrants 8 sum 200.00 1,600
TOTAL FOR B3010 ROOF COVERING 5,359 m2 230 /m2 $1,232,618 Non-Freeze Hose Bibs 2 sum 250.00 500

B.D2010.2 PLumbing Equipment 1 sum 25,000.00 25,000

B3020 Roof Openings
P-Sanitary sump pumps, duplex, 1 sum 25,000.00 25,000
Allowance for rain water harvesting system c/w filtration, pumps, filter, sum Excluded
Roof Hatches controls, etc
B.B3020.1 Roof hatches 2 no. 1,500.00 3,000
TOTAL FOR D2010 PLUMBING FIXTURES AND EQUIPMENT 5,359 m2 19.14 /m2 $102,600
TOTAL FOR B3020 ROOF OPENINGS 2 ea 1,500 /ea $3,000

100463 - Hanger 14 - Option 3, Class D Estimate, R0 December 13, 2021 100463 - Hanger 14 - Option 3, Class D Estimate, R0 December 13, 2021
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Cost Report
ELEMENTAL DETAIL ELEMENTAL DETAIL
HANGER 14 - NEW WAREHOUSE FACILITY - HANGER 14 - NEW WAREHOUSE FACILITY -
WAREHOUSE (OPEN SPACE ONLY) WAREHOUSE (OPEN SPACE ONLY)
Quantity Unit Rate ($) Description
Total ($) Quantity Unit Rate ($) Description
Total ($)

D20 Plumbing D30 HVAC

D2020 Warehouse Plumbing Piping D3040 Distribution Systems

Pipes and Fittings Hot Water Distribution System

B.D2020.1 1 sum 276,309.50 276,310 B.D3040.3 1 sum 73,630.00 73,630
Domestic cold water 150 m 115.00 17,250 Hot water supply and return piping-terminal devices 382 m 130.00 49,660
Sanitary drain and vent-above grade 240 m 135.00 32,400 Allowance for HVAC Piping miscellaneous valves, fittings, hangers, 1 sum 2,960.00 2,960
Storm drainage-above grade 420 m 125.00 52,500 supports, etc
Underground drains (Storm/sanitary) 5,359 m2 18.00 96,462 HVAC Piping Insulation 382 m 55.00 21,010
Underground drains (groundwater) 5,359 m2 12.50 66,988
Plumbing Pipe insulation-heat tracing by others 306 m 30.00 9,180
TOTAL FOR D3040 DISTRIBUTION SYSTEMS 5,359 m2 230 /m2 $1,231,751
Allowance for plumbing piping miscellaneous valves, fittings, hangers, 1 sum 1,530.00 1,530
etc
D3050 Terminal and Package Units
TOTAL FOR D2020 WAREHOUSE PLUMBING PIPING 5,359 m2 51.56 /m2 $276,310
Unit Heaters
B.D3050.1 Hydronic Unit Heaters 17 no 88.24 1,500
D20 Plumbing
D2090 Other Plumbing Systems
Other Terminal and Package Units
Miscellaneous General Requirements B.D3050.2 5,359 sum 95.00 509,105
B.D2090.1 Miscellaneous 1 sum 17,450.00 17,450
Asbestos survey, testing and remediation-by others Excluded
General site condition including coordination, site access, PM, etc 1 sum 17,450.00 17,450
TOTAL FOR D3050 TERMINAL AND PACKAGE UNITS 5,359 m2 95.28 /m2 $510,605

D3060 Controls and Instrumentation

TOTAL FOR D2090 OTHER PLUMBING SYSTEMS 5,359 m2 3.26 /m2 $17,450
HVAC Controls
D30 HVAC B.D3060.1 General Controls Allowance 1 sum 346,084.22 346,084
D3040 Distribution Systems Allowance for MCC - by Div. 16 Included Elsewhere
Controls allowance 5,359 m2 64.58 346,084
Air Distribution, Heating, and Cooling Asbestos survey, testing and remediation-by others Excluded
B.D3040.1 HVAC Equipment 1 sum 845,000.00 845,000
HRV 1 sum 120,000.00 120,000 TOTAL FOR D3060 CONTROLS AND INSTRUMENTATION 5,359 m2 64.58 /m2 $346,084
HRV 1 sum 120,000.00 120,000
HRV 1 sum 120,000.00 120,000
HRV 1 sum 120,000.00 120,000 D3090 Other HVAC Systems & Equipment
HRV 1 sum 120,000.00 120,000
HRV 1 sum 120,000.00 120,000 Miscellaneous General Requirements
CF - Large format ceiling fans 8 sum 7,500.00 60,000 B.D3090.1 1 sum 128,000.00 128,000
Air Curtains 1 sum 65,000.00 65,000 Testing, balancing and Commissioning-HVAC system-excluding 3rd 1 sum 25,000.00 25,000
party scope
B.D3040.2 Ductwork Distribution 1 sum 313,121.38 313,121 Allowance for fire and smoke seal, etc 1 sum 9,500.00 9,500
Air Distribution / Sheet Metal allowance - Common areas 5,359 m2 53.82 288,421 As built drawings sum 3,500
Ductwork insulation sum 21,200 Asbestos survey, testing and remediation-by others Excluded
Fire dampers/louvers, etc-Excluding Architectural Louvers 1 sum 3,500.00 3,500 General site condition including coordination, site access, PM, etc 1 sum 90,000.00 90,000

TOTAL FOR D3090 OTHER HVAC SYSTEMS & EQUIPMENT 5,359 m2 23.88 /m2 $128,000

100463 - Hanger 14 - Option 3, Class D Estimate, R0 December 13, 2021 100463 - Hanger 14 - Option 3, Class D Estimate, R0 December 13, 2021
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127 City of Edmonton | Hangar 14 Investment Study | December 13 2021

Cost Report
ELEMENTAL DETAIL ELEMENTAL DETAIL
HANGER 14 - NEW WAREHOUSE FACILITY - HANGER 14 - NEW WAREHOUSE FACILITY -
WAREHOUSE (OPEN SPACE ONLY) WAREHOUSE (OPEN SPACE ONLY)
Quantity Unit Rate ($) Description
Total ($) Quantity Unit Rate ($) Description
Total ($)

D40 Fire Protection D50 Electrical

D4010 Sprinklers D5020 Lighting and Branch Wiring

Sprinklers and Releasing Devices Branch wiring

B.D4010.1 Sprinkler System 1 sum 350,085.11 350,085 B.D5020.1 General power devices and rough in 5,359 m2 12.00 64,308
Building sprinkler and standpipe system 5,359 m2 51.21 274,445
Sprinkler and standpipe system incoming services c/w BFP 1 sum 20,580.00 20,580 B.D5020.2 Specialty power requirements 5,359 m2 5.00 26,795
Sprinkler and standpipe system control valves assembly c/w zone valves, 1 sum 22,130.00 22,130
heads, etc
B.D5020.3 General branch wiring 5,359 m2 10.00 53,590
Allowance for testing, balancing and certification 1 sum 7,930.00 7,930
Asbestos survey, testing and remediation-by others Excluded
General site condition including coordination, site access, PM, etc 1 sum 25,000.00 25,000 B.D5020.4 Lighting branch wiring 5,359 m2 12.00 64,308

B.D5020.5 Lighting rough in and installation 5,359 m2 8.00 42,872

TOTAL FOR D4010 SPRINKLERS 5,359 m2 65.32 /m2 $350,085

D50 Electrical Lighting Equipment

D5010 Electrical Service and Distribution B.D5020.6 Lighting 5,359 m2 35.00 187,565

Main Transformers
B.D5010.1 New Main Electrical Service panel - feeds both area's 1 no. 40,370.00 40,370 Lighting Equipment - Lighting Control
B.D5020.7 Lighting control system - Addressable c/w daylight harvesting 5,359 m2 20.00 107,180
B.D5010.2 Meter cabinet c/w empty conduit 1 no. 1,370.00 1,370
TOTAL FOR D5020 LIGHTING AND BRANCH WIRING 5,359 m2 102 /m2 $546,618
B.D5010.3 New CDP's, step down transformers and feeders - 1 sum 114,963.43 114,963
Warehouse area
D50 Electrical
B.D5010.4 Mechanical distribution and step down transformers 1 sum 28,064.12 28,064 D5030 Communications and Security

Fire Alarm Systems

Panels B.D5030.1 Fire alarm system, branch wiring, rough in, testing and 5,359 m2 22.00 117,898
B.D5010.5 Allowance for Branch panels and feeders - Normal Power 5,359 m2 30.00 160,770 verification

B.D5030.2 Annunciator and auto dial 1 no. 4,740.00 4,740

Motor Control Centres
B.D5010.6 Wire & connect to mechanical equipment 5,359 m2 15.00 80,385
Telecommunications Systems
B.D5030.3 New POP and main demarcation 1 sum 6,775.00 6,775
Other Service and Distribution
B.D5010.7 Grounding 1 sum 6,600.00 6,600 B.D5030.4 Cable tray, raceways, conduits and rough in 5,359 m2 10.00 53,590

B.D5030.5 Cable drops 5,359 m2 5.00 26,795

TOTAL FOR D5010 ELECTRICAL SERVICE AND 5,359 m2 80.71 /m2 $432,523
DISTRIBUTION

100463 - Hanger 14 - Option 3, Class D Estimate, R0 December 13, 2021 100463 - Hanger 14 - Option 3, Class D Estimate, R0 December 13, 2021
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Cost Report
ELEMENTAL DETAIL ELEMENTAL DETAIL
HANGER 14 - NEW WAREHOUSE FACILITY - HANGER 14 - NEW WAREHOUSE FACILITY -
WAREHOUSE (OPEN SPACE ONLY) WAREHOUSE (OPEN SPACE ONLY)
Quantity Unit Rate ($) Description
Total ($) Quantity Unit Rate ($) Description
Total ($)

D50 Electrical TOTAL CONSTRUCTION ESTIMATE (Including contingencies) 5,359 m2 3,424 /m2 $18,351,053
D5030 Communications and Security
B.D5030.6 Plywood backboards 1 sum 6,055.00 6,055 TOTAL CONSTRUCTION ESTIMATE (Excluding Taxes) 5,359 m2 3,424 /m2 $18,351,053

B.D5030.7 Allowance for trunk conduit & cabling 1 sum 17,550.00 17,550

B.D5030.8 Racks, patch panels, etc. 1 sum 21,500.00 21,500

Security Systems
B.D5030.9 Allowance for security system including CCTV camera, 5,359 m2 25.00 133,975
access door devices, etc.

TOTAL FOR D5030 COMMUNICATIONS AND SECURITY 5,359 m2 72.56 /m2 $388,878

D5090 Other Electrical Services

General Construction Items (Electrical)

B.D5090.1 Allowance for as built drawings and operation manual 1 no. 5,000.00 5,000

B.D5090.2 Testing & commissioning 1 sum 26,100.00 26,100

B.D5090.3 Permits, inspection & job set-up 1 sum 46,700.00 46,700

Emergency Lighting and Power

B.D5090.4 Battery Packs, remote heads and exit signs 5,359 m2 9.00 48,231

B.D5090.5 DC Branch wiring 5,359 m2 5.00 26,795

TOTAL FOR D5090 OTHER ELECTRICAL SERVICES 5,359 m2 28.52 /m2 $152,826

NET BUILDING COST (Excluding Site) 5,359 m2 2,603 /m2 $13,948,808

General Requirements 10.00 % 1,394,881

Fee (Head office overheads, and profit) 4.00 % 613,748

TOTAL CONSTRUCTION ESTIMATE (Excluding contingencies) 5,359 m2 2,978 /m2 $15,957,437

Design and Pricing Contingency 10.00 % 1,595,744

Escalation Contingency EXCLUDED

Construction Contingency 5.00 % 797,872

100463 - Hanger 14 - Option 3, Class D Estimate, R0 December 13, 2021 100463 - Hanger 14 - Option 3, Class D Estimate, R0 December 13, 2021
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129 City of Edmonton | Hangar 14 Investment Study | December 13 2021

Cost Report
ELEMENTAL DETAIL ELEMENTAL DETAIL
SITE DEVELOPMENT SITE DEVELOPMENT

Quantity Unit Rate ($) Description

Total ($) Quantity Unit Rate ($) Description
Total ($)

G30 Site Civil/Mechanical Utilities

G3010 Water Supply
TOTAL CONSTRUCTION ESTIMATE (Including contingencies) 1 ls 524,523 /ls $524,523
Potable Water Distribution
S.G3010.1 Potable Water Distribution 1 sum 30,750.00 30,750 TOTAL CONSTRUCTION ESTIMATE (Excluding Taxes) 1 ls 524,523 /ls $524,523

TOTAL FOR G3010 WATER SUPPLY 1 ls 30,750 /ls $30,750

G3020 Sanitary Sewer

Sanitary Sewer Piping

S.G3020.1 Sanitary Sewer Piping 1 sum 33,200.00 33,200

TOTAL FOR G3020 SANITARY SEWER 1 ls 33,200 /ls $33,200

G3030 Storm sewer

Storm Sewer Piping

S.G3030.1 Storm Sewer Piping 1 sum 66,550.00 66,550

TOTAL FOR G3030 STORM SEWER 1 ls 66,550 /ls $66,550

G40 Site Electrical Utilities

G4010 Electrical Distribution

Transformers
S.G4010.1 Allowance for utility provider to decommission existing 1 sum 222,577.50 222,578
services and provide anew single source service

S.G4010.2 Transformer Pad and grounding 1 sum 20,069.00 20,069

S.G4010.3 Secondary service feeders 1 sum 82,960.00 82,960

TOTAL FOR G4010 ELECTRICAL DISTRIBUTION 1 ls 325,607 /ls $325,607

General Requirements EXCLUDED

Fee (Head office overheads, and profit) EXCLUDED

TOTAL CONSTRUCTION ESTIMATE (Excluding contingencies) 1 ls 456,107 /ls $456,107

Design and Pricing Contingency 10.00 % 45,611

Escalation Contingency EXCLUDED

Construction Contingency 5.00 % 22,805

100463 - Hanger 14 - Option 3, Class D Estimate, R0 December 13, 2021 100463 - Hanger 14 - Option 3, Class D Estimate, R0 December 13, 2021
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Cost Report

RSL =
Aviation Museum Investment Study Report Date: February 5, 2022
Option 3 - Office
Facility
Remaining PERIOD
Edmonton, Alberta
Service Life
RSL 2021-2022 2023-2024 2025-2026 2027-2031 2032-2041 2042-2061
BUILDING SYSTEM Build 2021
Immediate 2-3 Years 4-5 Years 6-10 Years 11-20 Years 21-40 Years

A10 Foundations
A1010 Standard Foundation 75 yrs
A1020 Special Foundation 75 yrs
A1030 Slab on Grade 75 yrs
A10 Foundations SUBTOTAL: - - - - - -
B10 Superstructure
B1010 Floor Construction 75 yrs
B1020 Roof Construction 75 yrs
B10 Superstructure SUBTOTAL: - - - - - -
B20 Exterior Enclosures

B2010 Exterior Walls

Fiber Reinforced Concrete Wall Panel 75yrs

B2020 Exterior Windows

Aluminum 3 pane Windows/Monitors 20-75yrs

Reseal Aluminum Windows (Perimeter) 20 yrs 40,682.18

B2030 Exterior Doors
HMD Single Doors 15-75yrs
Replace Hardware 5 yrs 2,588.88 2,878.68 3,226.44 3,646.61
Refinish Metal Door 10 yrs 1,583.27 1,774.54 2,005.63
Aluminum Glazed Front Door 10-50yrs
Replaced Hardware door 10yrs 989.55 1,109.09 1,253.52
-
B20 Exterior Enclosures SUBTOTAL: - - 2,588.88 5,451.50 46,792.25 6,905.76
B30 Roofing
B3010 Roof Covering
SBS Roofing - 2 Ply 35 yrs
Place New Membrane over existing 15 yrs 391,322.81
Replace Membrane 35 yrs 1,050,422.52
B3020 Roof Openings
Roof Hatches 50 yrs

C10 Interior Constructiom

B30 Roofing SUBTOTAL: - - - - 391,322.81 1,050,422.52
Appendix H
C1010 Partitions

Maintenance Model
Gypsum Board Partition 75 yrs
C1020 Interior Doors
Wooden Doors - Hollow Core 10-40yrs
Replace Hardware/Repaint 10yrs 38,862.18 43,556.94
Replace Wooden Door 40yrs 92,988.45

C1030 Fittings

C10 Interior ConstructionSUBTOTAL: - - - 38,862.18 43,556.94 92,988.45

C20 Stairs

C2010 Stair Construction

C2020 Stair Finishes

C10 Interior Construction SUBTOTAL: - - - - - -
C30 Interior Finishes
C3010 Wall Finishes
Painted Finished 10yrs
Repainted Every 10 yrs 70,131.84 88,840.44
Repaint -2% of Wall Repair Every 25 yrs 75,041.07
C3020 Floor Finishes
Ceramic Tile 15-50yrs
Repair Ceramic Tile - 2% of Floors 15yrs 21,320.22
Carpet Tile 5-25yrs
Repair carpet - 2% of Floors 5yrs 637.03 708.34 793.92
Replace Carpet 25yrs 34,865.54
Polished Concrete
Refinished Concrete 10yrs 299,993.43
Repair Concrete - 2% of Floors and Refinish Concrete 15yrs 365,006.29
C3030 Ceiling Finishes
Ceiling - Gypsum Board(Painted) 10yrs
Repaint Ceiling 10yrs 62,644.18 66,671.31 74,725.56

C30 Interior Finishes SUBTOTAL: - - 637.03 433,477.79 163,826.52 563,437.83

D10 Conveying
D1010 Elevator and Lifts 25yrs - - - - - -
Replace Elevator 25 yrs 177,316.22
D10 Conveying - - - - - 177,316.22
TOTAL CONSTRUCTION COST - - 3,225.91 477,791.47 645,498.52 1,891,070.78
DESIGN AND PRICING CONTINGENCY - - 483.89 71,668.72 96,824.78 283,660.62
CONSTRUCTION CONTINGENCY - - 322.59 47,779.15 64,549.85 189,107.08
ESCALATION CONTINGENCY - - 483.89 114,669.95 271,109.38 1,267,017.42
TOTAL COST - - 4,516.28 711,909.30 1,077,982.53 3,630,855.89

Street Smart. World Wise

131 City of Edmonton | Hangar 14 Investment Study | December 13 2021

Cost Report
MAINTENANCE SUMMARY
Building Name: Hanger 14 Total Maintenance Hrs 1287.60
Project Name: Hanger 14 Total Maintenance Self Performed (Potential) 84.0%
Date of Construction Estimate: 6-Oct-21 Total Maintenance Contracted 16.0%
Anticipated Construction Start: tbd Estimate Format Uniformat
Building Square Footage 92,494 Building Square Meterage 8,593
Rate/Sq/Ft Inclu. FTE $0.81 Rate/m2 Incl. FTE $8.71
Rate/Sq/Ft Excl. FTE $1.14 Rate/m2 Excl. FTE $12.32

Total Maintenance
Planned Maint. Reactive Maint. Total Total Maintenance Hours
CAT. LEVEL 1 INFORMATION LEVEL 2 INFORMATION and SUBTOTALS Hours
Hrs/Year Hrs/Year Maint.Hours (Subcontracted)
(Self Perform)
A SUBSTRUCTURE SUBTOTAL SUBSTRUCTURE - - - - -

B SHELL SUBTOTAL SHELL 82.5 24.8 107.3 91.7 15.6

C INTERIORS SUBTOTAL INTERIORS 78.0 23.4 101.4 96.2 5.2

D SERVICES
D1 Conveying System - - - - -
D2 Plumbing 39.0 11.7 50.7 15.6 35.1
D3 Heating, Ventilation And Air Conditioning 153.5 46.1 199.6 129.4 70.2
D4 Fire Protection 38.0 11.4 49.4 46.8 2.6
D5 Electrical 96.0 28.8 124.8 58.5 66.3
SUBTOTAL SERVICES 326.5 98.0 424.5 250.3 174.2

E EQUIPMENT & FURNISHINGS SUBTOTAL EQUIPMENT & FURNISHINGS 6.0 2.4 8.4 3.2 5.2

SPECIAL CONSTRUCTION &

F DEMOLITION SUBTOTAL SPECIAL CONST. & DEMO - - - - -

G BUILDING SITE WORK SUBTOTAL BUILDING SITE WORK 323.0 96.9 419.9 414.7 5.2

BUILDING OPS AND SUBTOTAL BUILDING OPS AND

MANAGEMENT MANAGEMENT 174.0 52.2 226.2 226.2 -

TOTAL HOURS 990.0 297.6 1,287.6 1,082.2 205.4

84.0% 16.0%

Maint. Cost Self Contingency @

Perform Maint. Cost Outsourced Sub Total O&M 10% TOTAL O&M
If Part-Time FTE Staffing Included - $45,049.57 $22,994.40 $68,043.97 $6,804.40 $74,848
If FTE Staffing excluded and all works outsourced - $0.00 $96,214.40 $96,214.40 $9,621.44 $105,836

Note: - Costs excludes other services influenced by operational specifics and standards including cleaning, snow removal, pest control, landscaping

City of Edmonton | Hangar 14 Investment Study | December 13 2021t 132

Cost Report
Total Total
Expected Self Perform Total Total Sub Contract Sub Contract Sub Contract
LEVEL 1 2021 REFURB Quantity of Task Time per Months of PPM Reactive Reactive Maintenance Maintenance
DIV LEVEL 2 INFORMATION LEVEL 3 INFORMATION Unit Tasks Events or Personnel / Trade Reactive Maintenance Annual Labour Material Cost @ Total Annual
INFORMATION BUDGET Assets Frequency Event (hrs) Season Hrs/Yr Risk Level Risk Factor Hrs Hrs
Per Month Subcontract Hrs Hrs Cost 10% Cost
(Self Perform) (Contracted)

A SUBSTRUCTURE A10 - FOUNDATIONS A1010 - STANDARD FOUNDATIONS n/a

A1010.01 Wall Foundations 365 lm n/a
A1010.02 Column Foundations n/a
A1020 - SPECIAL FOUNDATIONS n/a
A1030 - SLAB ON GRADE n/a
A1030.02 Structural Slabs on Grade 156 m2 n/a
A1030.04 Slab on Grade Trenches n/a
A20 - BASEMENT CONSTRUCTION N/A n/a
SUBTOTAL SUBSTRUCTURE 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00
B SHELL B10 - SUPERSTRUCTURE B1010 - FLOOR CONSTRUCTION n/a
B1010.05 Mezzanine Construction n/a
B1020 - ROOF CONSTRUCTION n/a
B1020.01 Roof Structure Fame 170 lm n/a
B1020.04 Canopies 84 m2 n/a
B20 - EXTERIOR CLOSURE B2010 - EXTERIOR WALLS Reactive repairs only (vandalism, graffiti etc) As needed 0.17 2 12 Self Perform Maintenance Assistant 4 Low 0.3 1.2 5.2 5.2
B2010.01.06.03 Metal Siding 100 m2 n/a
B2010.01.06.04 Wood Siding 1,800 m2 n/a
B2010.01.11 Joint Sealers 800 lm Allowance for minor repairs As needed 0.08 2 12 Self Perform Maintenance Assistant 2 Low 0.3 0.6 2.6 2.6
B2010.01.13 Paints 12,050 m2 Allowance for minor touch ups As needed 0.08 2 12 Self Perform Maintenance Assistant 2 Low 0.3 0.6 2.6 2.6
B2010.02.05 Wood Framing n/a
B2010.03.03.01 Batt Insulation 3150 m2 n/a
B2010.04.02 Gypsum Board 3150 m2 n/a
B2010.07.04 Awnings 5 lm n/a
B2010.09.01 Finish Carpentry n/a
B2010.09.05 Gypsum Board 84 m2 n/a
B2020 - EXTERIOR WINDOWS General allowance for minor repairs, touch up etc As needed 0.08 2 12 Self Perform Maintenance Assistant 2 Low 0.3 0.6 2.6 2.6
B2020.01.01 Windows - PVC 80 m2 Window glazing cleaning Quarterly 0.25 4 12 Self Perform Maintenance Assistant 12 Low 0.3 3.6 15.6 15.6
B2020.01.01 Windows - Aluminum Window glazing cleaning Quarterly 0.25 4 12 Self Perform Maintenance Assistant 12 Low 0.3 3.6 15.6 15.6
B2020.02.01 Aluminum-Framed Storefronts Window glazing cleaning Quarterly 0.25 4 12 Self Perform Maintenance Assistant 12 Low 0.3 3.6 15.6 15.6
General allowance for minor repairs, adjustment, touch
B2030 - EXTERIOR DOORS up, clean out tracks etc As needed 0.25 2 12 Self Perform Maintenance Assistant 6 Low 0.3 1.8 7.8 7.8
B2030.01.01 Aluminum-Framed Storefronts 3 no. Door and glazing cleaning Quarterly 0.25 1 12 Self Perform Maintenance Assistant 3 Low 0.3 0.9 3.9 3.9
B2030.01.05 All Glass Entrances and Storefronts 1 no. Door and glazing cleaning Quarterly 0.25 0.5 12 Self Perform Maintenance Assistant 1.5 Low 0.3 0.45 1.95 1.95
B2030.02.01 Metal Doors and Frames 4 no. Door and glazing cleaning Quarterly 0.25 1 12 Self Perform Maintenance Assistant 3 Low 0.3 0.9 3.9 3.9
B2030.02.01.01 Steel Doors and Frame 2 no. Door and glazing cleaning Quarterly 0.25 0.5 12 Self Perform Maintenance Assistant 1.5 Low 0.3 0.45 1.95 1.95
B2030.02.02.01 Wood Doors 2 no. Door and glazing cleaning Quarterly 0.25 0.5 12 Self Perform Maintenance Assistant 1.5 Low 0.3 0.45 1.95 1.95

B2030.03.05 Hangar Doors 1 LS Inspection and adjustment, grease, track clean etc Annual 0.08 4 12 Subcontract Door Contractor 4 Low 0.3 1.2 5.2 5.2 $780.00 $78.00 $858.00
B30 - ROOFING B3010 - ROOF COVERING & OPENINGS General allowance for minor repairs, touch up etc As needed 0.08 8 12 Subcontract Roofing Contractor 8 Low 0.3 2.4 10.4 10.4 $1,040.00 $104.00 $1,144.00
B3010.04.04 Modified Bituminous Membrane Roofing 780 m2 Included in general allowance
B3010.08.01 Sheet Metal Flashing and Trim 565 lm Included in general allowance
B3010.08.02 Metal Gutters and Downspouts 336 lm Seasonal clean out gutters As needed 0.17 4 12 Self Perform Maintenance Assistant 8 Low 0.3 2.4 10.4 10.4
B3010.08.03 Joint Sealers 565 lm Included in general allowance
B3020 - ROOF OPENINGS n/a
B3030 - BALCONIES AND PROJECTIONS n/a
SUBTOTAL SHELL 82.50 24.75 107.25 91.65 15.60 1820.00 182.00 2002.00
C INTERIORS C10 - INTERIOR CONSTRUCTION C1010 - PARTITIONS n/a
C1010.01.03 Unit Masonry Assemblies 75 m2 n/a
C1010.01.07 Framed Partitions 230 m2 n/a

C1010.04 Interior Balustrades and Screens, Interior Railings 85 lm n/a

C1010.05 Interior Windows Window glazing cleaning Quarterly 0.25 4 12 Self Perform Maintenance Assistant 12 Low 0.3 3.6 15.6 15.6

General allowance for minor repairs and adjustments,

C1020 - INTERIOR DOORS handles, latch & lock replacement etc As needed 0.33 1 12 Self Perform Maintenance Assistant 4 Low 0.3 1.2 5.2 5.2
Operational Inspection, adjustment, free of obstruction
Fire Doors etc Monthly 1.00 2 12 Self Perform Maintenance Assistant 24 Low 0.3 7.2 31.2 31.2
C1020.01 Interior Swinging Doors Included in general allowance
C1020.05 Interior Large Doors 2 no Included in general allowance
C1020.06 Interior Gates 1 no Included in general allowance
C1030 - FITTINGS / SPECIALTIES General Allowance Quarterly 0.25 2 12 Self Perform Maintenance Assistant 6 Low 0.3 1.8 7.8 7.8
C1030.01 Visual Display Boards n/a
C1030.02 Fabricated Compartment and Cubicles 2 no n/a
C1030.14 Toilet, Bath, and Laundry Accessories 2 no n/a
C20 - STAIRCASES C2010 - STAIR CONSTRUCTION n/a
C2010.03 Metal Stair Construction n/a
C2010.04 Wood Stair Construction n/a
C2020 - STAIR FINISHES General Allowance, stair tread repair Annual 0.08 2 12 Self Perform Maintenance Assistant 2 Low 0.3 0.6 2.6 2.6
C2020.08 Stair Railings and Balustrades n/a
C30 - INTERIOR FINISHES C3010 - WALL FINISHES General Allowance for touch up & repairs Quarterly 0.25 4 12 Self Perform Maintenance Assistant 12 Low 0.3 3.6 15.6 15.6
C3010.02 Wall Paneling 230 m2 Included in general allowance
C3010.06 Tile Wall Finishes Included in general allowance
C3010.11 Interior Wall Painting 2300 m2 Included in general allowance
C3020 - FLOOR FINISHES Included in specific asset details
C3020.01 Concrete Floor Finishes 2600 m2 General Allowance repairs Annual 0.08 4 12 Self Perform Maintenance Assistant 4 Low 0.3 1.2 5.2 5.2
C3020.07 Resilient Flooring 44 m2 General Allowance for repairs Annual 0.08 4 12 Subcontract Flooring Contractor 4 Low 0.3 1.2 5.2 5.2 $312.00 $31.20 $343.20
C3020.08 Carpet Flooring 780 m2 n/a
C3020.11 Floor Painting General Allowance touch up and repairs Annual 0.08 4 12 Self Perform Maintenance Assistant 4 Low 0.3 1.2 5.2 5.2
C3030 - CEILING FINISHES General Allowance for touch up & repairs Quarterly 0.25 2 12 Self Perform Maintenance Assistant 6 Low 0.3 1.8 7.8 7.8
C3030.02 Ceiling Paneling 70 m2 Included in general allowance
C3030.06 Acoustical Ceiling Treatment 70 m2 Included in general allowance
C3030.09 Other Ceiling Finishes 5893 m2 Included in general allowance
SUBTOTAL INTERIORS 78.00 23.40 101.40 96.20 5.20 312.00 31.20 343.20
D SERVICES D10 - CONVEYING SYSTEMS D1010 - ELEVATORS & LIFTS n/a
D1020 - ESCALATORS & MOVING WALKS n/a
D1030 - OTHER CONVEYING SYSTEMS n/a
D20 - PLUMBING D2010 - PLUMBING FIXTURES General Allowance for unforeseen repairs Quarterly 0.25 2 12 Subcontract Mechanical Contractor 6 Low 0.3 1.8 7.8 7.8 $741.00 $74.10 $815.10
Grease Interceptor (asset assumption) n/a
Showers (asset assumption) Shower Head cleaning/chlorination Yearly 0.08 1 12 Self Perform Maintenance Assistant 1.0 Low 0.3 0.3 1.3 1.3
Water Closets (floor mount, tank type assumed) 18 no Included in general allowance
Urinals 6 no Included in general allowance
Lavatories 14 no Included in general allowance
Sinks Included in general allowance
D2020 - DOMESTIC WATER DISTRIBUTION General Allowance As needed 1.00 1 12 Subcontract Mechanical Contractor 12 Low 0.3 3.6 15.6 15.6 $1,482.00 $148.20 $1,630.20
Pipes and Tubes: Domestic Water n/a
Valves (asset assumption) Valve Test (Backflow, pressure, solenoid etc) Annual 0.08 2 12 Subcontract Plumbing Contractor 2.0 Low 0.3 0.6 2.60 2.60 $208.00 $20.80 $228.80
TMV's (asset assumption) Inspect and Check TMV's Annual 0.08 1 12 Subcontract Plumbing Contractor 1.0 Low 0.3 0.3 1.30 1.30 $104.00 $10.40 $114.40
D2030 - SANITARY WASTE General Allowance As needed 0.25 1 12 Self Perform Maintenance Assistant 3 Low 0.3 0.9 3.9 3.9
Waste and Vent Piping Included in general allowance

D2040 - RAIN WATER DRAINAGE General Allowance (spring/seasonal clean up) As needed 0.17 4 12 Self Perform Maintenance Assistant 8 Low 0.3 2.4 10.4 10.4
D2090 - SPECIAL PLUMBING SYSTEMS
Natural Gas (asset assumption) Inspection and check operational condition Annual 0.08 1 12 Subcontract Plumbing Contractor 1 Low 0.3 0.3 1.3 1.3 $104.00 $10.40 $114.40
Domestic Water Heaters (asset assumption) Annual Inspection and checks, clean out etc Annual 0.08 2 12 Subcontract Plumbing Contractor 2 Low 0.3 0.6 2.6 2.6 $208.00 $20.80 $228.80
Domestic Water Storage Tanks & Mixing Valves (asset
assumption) Annual Clean, Inspection and checks Annual 0.08 2 12 Subcontract Plumbing Contractor 2 Low 0.3 0.6 2.6 2.6 $208.00 $20.80 $228.80
Water Softener (asset assumption) Annual Inspection and checks Annual 0.08 1 12 Subcontract Plumbing Contractor 1 Low 0.3 0.3 1.3 1.3 $104.00 $10.40 $114.40
D30 - HVAC D3010 - ENERGY SUPPLY n/a
D3020 - HEAT GENERATING SYSTEMS Included in asset details
Operational / BAS condition checks (assume via
No
Furnace / Boilers 2 web/cloud) Weekly 1 1 12 Subcontract Controls Contractor 12 Low 0.3 3.6 15.6 15.6 $2,340.00 $234.00 $2,574.00
No
Furnace / Boilers 2 Inspection and operational checks and adjustments Quarterly 1.00 2 8 Subcontract Mechanical Contractor 16 Low 0.3 4.8 20.8 20.8 $1,976.00 $197.60 $2,173.60
Inspection and condition (insurance inspection) review,
No
Furnace / Boilers 2 operational checks and adjustments Annual 0.08 4 12 Subcontract Mechanical Contractor 4 Low 0.3 1.2 5.2 5.2 $494.00 $49.40 $543.40
Expansion/Fill Tanks (asset assumption) 2 No Inspection and Check Quarterly 0.25 0.5 12 Self Perform Maintenance Assistant 1.5 Low 0.3 0.5 2.0 2.0
Expansion/Fill Tanks (asset assumption) Inspection and Check Annual 0.08 1 12 Subcontract Mechanical Contractor 1 Low 0.3 0.3 1.3 1.3 $123.50 $12.35 $135.85
Pumps (asset assumption) Inspection and Check Monthly 1.00 0.5 12 Self Perform Maintenance Assistant 6 Low 0.3 1.8 7.8 7.8

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133 City of Edmonton | Hangar 14 Investment Study | December 13 2021

Cost Report
Total Total
Expected Self Perform Total Total Sub Contract Sub Contract Sub Contract
LEVEL 1 2021 REFURB Quantity of Task Time per Months of PPM Reactive Reactive Maintenance Maintenance
DIV LEVEL 2 INFORMATION LEVEL 3 INFORMATION Unit Tasks Events or Personnel / Trade Reactive Maintenance Annual Labour Material Cost @ Total Annual
INFORMATION BUDGET Assets Frequency Event (hrs) Season Hrs/Yr Risk Level Risk Factor Hrs Hrs
Per Month Subcontract Hrs Hrs Cost 10% Cost
(Self Perform) (Contracted)

Sensors (asset assumption) Inspection, check and tests Annual 0.08 2 12 Subcontract Mechanical Contractor 2 Low 0.3 0.6 2.6 2.6 $247.00 $24.70 $271.70
D3030 - REFRIGERATION n/a
D3040 - HVAC DISTRIBUTION SYSTEMS
Piping & Insulation Exercise main distribution and isolation valves Annual 0.08 1 12 Self Perform Maintenance Assistant 1 Low 0.3 0.3 1.3 1.3
Ductwork and Fire Dampers Inspection, clean and operational checks Annual 0.08 1 12 Subcontract Mechanical Contractor 1.0 Low 0.3 0.3 1.3 1.3 $123.50 $12.35 $135.85
Grilles & Diffusers Inspection and operational checks Annual 0.08 1 12 Self Perform Maintenance Assistant 1 Low 0.3 0.3 1.3 1.3
Fans Inspection and Checks Quarterly 0.25 1 12 Subcontract Mechanical Contractor 3 Low 0.3 0.9 3.9 3.9 $370.50 $37.05 $407.55
Fans Inspection and Checks on main system fans only Annual 0.08 1 12 Subcontract Mechanical Contractor 1 Low 0.3 0.3 1.3 1.3 $123.50 $12.35 $135.85
D3050 - TERMINAL & PACKAGE UNITS
Heat Exchangers n/a
Cooling - Split A/C n/a
Cooling - Water Chiller n/a
Cooling - Water Chiller n/a
Cooling - Water Chiller n/a
Roof Top & Make Up Air Units n/a
Unit Heaters, Fan & Heating Coils n/a
Radiant Panels n/a
D3060 - HVAC CONTROLS & INSTRUMENTATION BAS fault review, and operational checks Quarterly 0.25 1 12 Subcontract Controls Contractor 3.0 Low 0.3 0.9 3.9 3.9 $585.00 $58.50 $643.50
Inspect system status alarms Daily 30.00 0.25 12 Self Perform Building Operator 90 Low 0.3 27 117 117
BAS analysis, software update, and operational checks,
D3070 - TESTING, ADJUSTING & BALANCING adjustments Annual 0.08 1 12 Subcontract Controls Contractor 1.0 Low 0.3 0.3 1.3 1.3 $195.00 $19.50 $214.50
D3090 - OTHER SPECIAL HVAC SYS. & EQUIPT.
Periodic analysis and testing, filter checks and
Water Treatment (asset assumption) and quality replacement Quarterly 0.25 2 12 Subcontract Mechanical Contractor 6 Low 0.3 1.8 7.8 7.8 $741.00 $74.10 $815.10

Clean out lint from extract exhaust system (asset assumption) Inspection and operational condition checks Quarterly 0.25 1 12 Subcontract Mechanical Contractor 3.0 Low 0.3 0.9 3.9 3.9 $370.50 $37.05 $407.55
Glycol and Snow melt system n/a
Condensate Tank (asset assumption) Inspection, clean and operational checks Annual 0.08 1 12 Subcontract Mechanical Contractor 1 Low 0.3 0.3 1.3 1.3 $123.50 $12.35 $135.85
D40 - FIRE PROTECTION D4010 - FIRE PROTECTION SPRINKLER SYSTEM
Sprinklers and pumps (asset assumption) Visually inspect system Monthly 1.00 1 12 Self Perform Maintenance Assistant 12 Low 0.3 3.6 15.6 15.6
System test, check pumps, certified by licensed Fire and Security
Sprinklers System (asset assumption) contractor. Annual 0.08 2 12 Subcontract Contractor 2 Low 0.3 0.6 2.6 2.6 $260.00 $26.00 $286.00
D4020 - STAND-PIPE & HOSE SYSTEMS n/a
D4030 - FIRE PROTECTION SPECIALTIES n/a
Fire Extinguishers, Cabinets and Accessories Inspection and checks of emergency equipment Monthly 1.00 2 12 Self Perform Maintenance Assistant 24 Low 0.3 7.2 31.2 31.2
D4090 - OTHER FIRE PROTECTION SYSTEMS n/a
General allowance for reactive response to Electrical
D50 - ELECTRICAL D5010 - ELECTRICAL SERVICE & DISTRIBUTION issues As needed 0.25 4 12 Subcontract Electrical Contractor 12 Low 0.3 3.6 15.6 15.6 $1,560.00 $156.00 $1,716.00
D5010.01.01 Transformers Inspection, test, check oil levels, clean Annual 0.08 2 12 Subcontract Electrical Contractor 2 Low 0.3 0.6 2.6 2.6 $260.00 $26.00 $286.00

D5010.03.07 Enclosed Switches and Circuit Breakers Inspection and test dist. Boards & circuits, thermoscan Annual 0.08 2 12 Subcontract Electrical Contractor 2 Low 0.3 0.6 2.6 2.6 $260.00 $26.00 $286.00
D5010.03.09 Enclosed Bus Assemblies Inspection and check tightness, test Annual 0.08 1 12 Subcontract Electrical Contractor 1 Low 0.3 0.3 1.3 1.3 $130.00 $13.00 $143.00

D5010.05.01 Switchboards, Panelboards and Control Centers Inspection and test dist. Boards & circuits, thermoscan Annual 0.08 1 12 Subcontract Electrical Contractor 1 Low 0.3 0.3 1.3 1.3 $130.00 $13.00 $143.00

D5010.05.02 Enclosed Switches and Circuit Breakers Inspection and test dist. Boards & circuits, thermoscan Annual 0.08 1 12 Subcontract Electrical Contractor 1 Low 0.3 0.3 1.3 1.3 $130.00 $13.00 $143.00
Grounding System (asset assumption) Inspection and test grounding Annual 0.08 2 12 Subcontract Electrical Contractor 2 Low 0.3 0.6 2.6 2.6 $260.00 $26.00 $286.00
TVSS n/a
D5020 - LIGHTING & BRANCH WIRING General allowance and reactive bulb replacement As needed 0.25 1 12 Self Perform Maintenance Assistant 3 Low 0.3 0.9 3.9 3.9
D5020.01 Electrical Branch Wiring n/a
D5020.01.02 Conductors and Cables n/a
D5020.01.03 Wiring Devices Inspection and test GFI's and switches Annual 0.08 2 12 Subcontract Electrical Contractor 2.0 Low 0.3 0.6 2.6 2.6 $260.00 $26.00 $286.00
D5020.02.02 Interior Luminaries Included in general allowance
D5020.02.03 Emergency Lighting Test for proper operation Monthly 1.00 1 12 Self Perform Maintenance Assistant 12 Low 0.3 3.6 15.6 15.6
D5020.02.03 Exit Lighting Included in general allowance
D5020.02.05 Special Purpose Lighting Included in general allowance
D5020.03.01 Exterior Luminaries Included in general allowance
D5030 - COMMUNICATION & SECURITY SYSTEMS
Fire Alarm Test (addressable) Monthly 1.00 1 12 Self Perform Building Operator 12 Low 0.3 3.6 15.6 15.6
System/Smoke/Heat detector inspection and test to Fire and Security
D5030.01.03 Smoke Alarm cover full system annually Annual 0.08 4 12 Subcontract Contractor 4 Low 0.3 1.2 5.2 5.2 $520.00 $52.00 $572.00

System functional check to FA speakers (addressable) Monthly 1.00 0.5 12 Self Perform Building Operator 6 Low 0.3 1.8 7.8 7.8
D5030.02 Security Access and Surveillance
(assume no access control system) Surveillance system functional check Monthly 1.00 1 12 Self Perform Building Operator 12 Low 0.3 3.6 15.6 15.6
General allowance for reactive response to network and
D5030.04 Voice and Data Systems WIFI issues As needed 0.25 2 12 Subcontract Electrical Contractor 6 Low 0.3 1.8 7.8 7.8 $780.00 $78.00 $858.00
System inspection and functional check,
updates/upgrades Monthly 1.00 1.5 12 Subcontract Electrical Contractor 18 Low 0.3 5.4 23.4 23.4 $2,340.00 $234.00 $2,574.00
D5090 - OTHER ELECTRICAL SYSTEMS n/a
SUBTOTAL SERVICES 326.5 97.95 424.45 250.25 174.20 $17,862.00 $1,786.20 $19,648.20
EQUIPMENT &
E FURNISHINGS E10 - EQUIPMENT E1010 - COMMERCIAL EQUIPMENT n/a
E1020 - INSTITUTIONAL EQUIPMENT n/a
E1030 - VEHICULAR EQUIPMENT n/a
E1090 - OTHER EQUIPMENT
Shop equipment Inspect and check equipment operation Annual 0.08 2 12 Self Perform Maintenance Assistant 2 Medium 0.6 1.2 3.2 3.2 $0.00 $0.00 $0.00
E20 - FURNISHINGS E2010 - FIXED FURNISHINGS
General allowance for reactive damage repair and lock
Cabinetry / Millwork replacement etc As needed 0.17 2 12 Subcontract Carpenter Contractor 4 Low 0.3 1.2 5.2 5.2 $390.00 $39.00 $429.00
Window Treatments n/a
E2020 - MOVABLE FURNISHINGS n/a
SUBTOTAL EQUIPMENT & FURNISHINGS 6.00 2.40 8.40 3.20 5.20 $390.00 $39.00 $429.00
SPECIAL
F CONSTRUCTION F10 - SPECIAL CONSTRUCTION F1010 - SPECIAL STRUCTURES n/a
& DEMOLITION F1020 - INTEGRATED CONSTRUCTION n/a
F1030 - SPECIAL CONSTRUCTION SYSTEMS n/a
F1040 - SPECIAL FACILITIES n/a
F1050 - SPECIAL CONTROLS & INSTRUMENTATION n/a
F20 - SELECTIVE BUILDING F2010 - BUILDING ELEMENTS DEMOLITION n/a
DEMOLITION F2020 - HAZARDOUS COMPONENTS ABATEMENT n/a
SUBTOTAL SPECIAL CONST. & DEMO 0.00 0.00 0.00 0.00 0.00 $0.00 $0.00 $0.00
BUILDING SITE
G WORK G10 - SITE PREPARATION G1010 - SITE CLEARING n/a
G1020 - SITE DEMOLITION & RELOCATIONS n/a
G1030 - SITE EARTHWORK n/a
G1030.01.01 Rough Grading 730 m2 n/a
G1030.01.02 Finish Grading 730 m2 n/a
G1040 - HAZARDOUS WASTE REMEDIATION n/a
G2010 - ROADWAYS n/a
G2010 - ROADWAYS n/a
G2010.02.02 Flexible Pavement 250 m2 General Allowance for small repairs, potholes etc As needed 0.17 4 12 Self Perform Maintenance Assistant 8 Low 0.3 2.4 10.4 10.4
G2010.05 Roadway Curbs and Gutters 60 lm General Allowance (spring/seasonal clean up) As needed 0.17 1 12 Self Perform Maintenance Assistant 2 Low 0.3 0.6 2.6 2.6
G2020 - PARKING LOTS n/a
G2020.02.02 Flexible Pavement 4000 m2 General Allowance for small repairs, potholes etc As needed 0.17 4 12 Self Perform Maintenance Assistant 8 Low 0.3 2.4 10.4 10.4
G2020.02.04 Pavement Markings 133 stalls Line marking touch Up Annual 0.08 4 12 Self Perform Maintenance Assistant 4 Low 0.3 1.2 5.2 5.2
G2020.05 Parking Lot Curbs and Gutters 260 lm General Allowance (spring/seasonal clean up) As needed 0.17 1 12 Self Perform Maintenance Assistant 2 Low 0.3 0.6 2.6 2.6
G2030 - PEDESTRIAN PAVING n/a
G2030 - PEDESTRIAN PAVING n/a
G2030.02 Flexible Pedestrian Pavement 2415 m2 n/a
G2030.02.04 Pavement Markings n/a

G2030.03.02 Brick Pavers 240 m2 Pressure wash high traffic areas and main entrances annual 0.08 4 12 Self Perform Maintenance Assistant 4 Low 0.3 1.2 5.2 5.2
G2030.04.01 Rigid Pavement 2140 m2 n/a
G2030.04.02 Pavement Markings Line marking touch Up Annual 0.08 1 12 Self Perform Maintenance Assistant 1 Low 0.3 0.3 1.3 1.3
G2040 - SITE DEVELOPMENT
G2040.02.01 Chain Link Fences and Gates 400 lm Inspect and check operation, minor repair Annual 0.08 2 12 Self Perform Maintenance Assistant 2 Low 0.3 0.6 2.6 2.6
G2040.05.01 Seating n/a
G2040.08 Flagpoles n/a

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City of Edmonton | Hangar 14 Investment Study | December 13 2021t 134

Cost Report
Total Total
Expected Self Perform Total Total Sub Contract Sub Contract Sub Contract
LEVEL 1 2021 REFURB Quantity of Task Time per Months of PPM Reactive Reactive Maintenance Maintenance
DIV LEVEL 2 INFORMATION LEVEL 3 INFORMATION Unit Tasks Events or Personnel / Trade Reactive Maintenance Annual Labour Material Cost @ Total Annual
INFORMATION BUDGET Assets Frequency Event (hrs) Season Hrs/Yr Risk Level Risk Factor Hrs Hrs
Per Month Subcontract Hrs Hrs Cost 10% Cost
(Self Perform) (Contracted)

G2040.09 Covers and Shelters n/a

G2040.10 Site Equipment n/a
G2040.12.03 Picnic Tables n/a
G2040.12.15 Signs and Displays n/a
General allownace - External/Internal garbage waste
G2050 - LANDSCAPING removal Weekly 4 2 12 Self Perform Maintenance Assistant 96 Low 0.3 28.8 124.8 124.8
G2050.03 Soil Preparation n/a
G2050.04 Lawns and Grasses n/a
Weekly
G2050.05.02 Plants and Bulbs Shrub weeding, mulch scrape and small landscape works (summer) 4.00 8 6 Self Perform Maintenance Assistant 192 Low 0.3 57.6 249.6 249.6
G2050.05.03 Shrubs n/a
G30 - SITE CIVIL / MECHANICAL
UTILITIES G3010 - WATER SUPPLY & DISTRIBUTION SYSTEMS n/a
G3020 - SANITARY SEWER SYSTEMS n/a
G3030 - STORM SEWER SYSTEMS n/a
G3040 - HEATING DISTRIBUTION n/a
G3050 - COOLING DISTRIBUTION n/a
G3060 - FUEL DISTRIBUTION n/a
G3090 - OTHER CIVIL / MECHANICAL UTILITIES n/a
G40 - ELECTRICAL UTILITIES G4010 - ELECTRICAL DISTRIBUTION n/a
G4020 - EXTERIOR LIGHTING (asset assumption) Inspection and test, street lighting Annual 0.08 4 12 Subcontract Electrical Contractor 4.0 Low 0.3 1.2 5.2 5.2 $520.00 $52.00 $572.00
G4030 - EXTERIOR COMMUNICATION & SECURITY n/a
G4090 - OTHER SITE ELECTRICAL UTILITIES n/a
G90 - OTHER SITE CONSTRUCTION G9010 - SERVICE TUNNELS n/a
G9090 - OTHER SITE SYSTEMS & EQUIPMENT n/a
SUBTOTAL BUILDING SITE WORK 323.0 96.9 419.9 414.7 5.2 $520.00 $52.00 $572.00
GENERAL REQUIREMENTS &
ALLOWANCES BUILDING OPERATIONS AND MANAGEMENT Utilities Management Monthly 1.00 0.5 12 Self Perform Building Operator 6 Low 0.3 1.8 7.8 7.8
Environmental and Sustainability Services Monthly 1.00 1 12 Self Perform Building Operator 12 Low 0.3 3.6 15.6 15.6
Maintenance Planning Weekly 4.00 1 12 Self Perform Building Operator 48 Low 0.3 14.4 62.4 62.4
Health and Safety Monthly 1.00 1 12 Self Perform Building Operator 12 Low 0.3 3.6 15.6 15.6
Contractor Management Weekly 4.00 2 12 Self Perform Building Operator 96 Low 0.3 28.8 124.8 124.8
SUBTOTAL BUILDING OPERATIONS AND
MANAGEMENT WORK 174.0 52.2 226.2 226.2 0.0 $0.00 $0.00 $0.00

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135 City of Edmonton | Hangar 14 Investment Study | December 13 2021

Cost Report

Total Total
Expected Self Perform Total Total Sub Contract Sub Contract Sub Contract
LEVEL 1 2021 REFURB Quantity of Task Time per Months of PPM Reactive Reactive Maintenance Maintenance
DIV LEVEL 2 INFORMATION LEVEL 3 INFORMATION Unit Tasks Events or Personnel / Trade Reactive Maintenance Annual Labour Material Cost @ Total Annual
INFORMATION BUDGET Assets Frequency Event (hrs) Season Hrs/Yr Risk Level Risk Factor Hrs Hrs
Per Month Subcontract Hrs Hrs Cost 10% Cost
(Self Perform) (Contracted)

TOTALS 990 298 1,288 1,082 205 $20,904.00 $2,090.40 $22,994.40

FTE EQUIVALENT 0.8 0.2 1.02 0.86 0.2

Maintenance Assistant 700 0.56 FTE

Nominal $ Labour Material
Contractors Rate/Hr Estimate Estimate Total Costs % of Total Building Operator 382 0.30 FTE
Mechanical Contractor 95 $6,916.00 $691.60 $7,607.60 33.1%
Electrical Contractor 100 $6,630.00 $663.00 $7,293.00 31.7% Total Efficient Man Hours
Plumbing Contractor 80 $936.00 $93.60 $1,029.60 4.5% HPD DPY HPA
Cleaning Contractor 40 $0.00 $0.00 $0.00 0.0% 7.5 260 1,950.0
Fire and Security Contractor 100 $780.00 $78.00 $858.00 3.7% -0.5 260 (130.0)
Landscape Contractor 50 $0.00 $0.00 $0.00 0.0% -7.5 15 (112.5)
Flooring Contractor 60 $312.00 $31.20 $343.20 1.5% -7.5 10 (75.0)
Controls Contractor 150 $3,120.00 $312.00 $3,432.00 14.9% -7.5 5 (37.5)
Carpenter Contractor 75 $390.00 $39.00 $429.00 1.9% -7.5 2.5 (18.8)
Elevator Contractor 200 $0.00 $0.00 $0.00 0.0% 20% (315.3)
Door Contractor 150 $780.00 $78.00 $858.00 3.7% 1,261.0
Special Waste Contractor 75 $0.00 $0.00 $0.00 0.0%
Roofing Contractor 100 $1,040.00 $104.00 $1,144.00 5.0%
Snow Removal $0.00 $0.00 $0.00 0.0%

$20,904.00 $2,090.40 $22,994.40

* From Staffing Summary Labour Rate Sheet (Productive Rates)

Nominal Cost
Nominal $ Salary If contracted
Employee trades Rate/Hr (All-in) Hours FTE Cost out
Building Operator $54.69 $106,641 382.20 $20,902 $38,220
Maintenance Assistant $34.50 $67,269 700.00 $24,148 $35,000
$45,050 $73,220

City of Edmonton | Hangar 14 Investment Study | December 13 2021t 136

Cost Report

Aviation Museum Investment Study Report Date: February 5, 2022

Edmonton, Alberta

Appendix I - Documentation

HANGAR 14 Documents
1 Hangar 14_LCC 03_DRAFT_21-09-29_ALL_Disciplines_Combi (Excel files)
2 Hangar 14_LCC 03_DRAFT_21-10-06_ALL_Disciplines_Combi (Excel files)
3 Hangar 14 Structural Report (Word Documents)
4 Hangar 14 Structural Report (Word Documents)
5 Hangar 14 Mechanical Report Report (Word Documents)
6 Hangar 14 Electrical Report (Word Documents)
7 Option 3 proforma_Draft_21-11-24 (Word Documents)
8 P_CA_COM146_COM146_REC_STUDY_CA_DOC_2017_FINAL
9 Varoius emails/ phone calls from the architects/consultant.

Street Smart. World Wise

137 City of Edmonton | Hangar 14 Investment Study | December 13 2021

Value Appraisal
APPRAISAL REPORT
DRAFT v.1 - December 13, 2021

December 13, 2021 Project No.: 12130.100464.000

Alberta Aviation Museum (Hangar 14) Yogi Subramonian

Project Architect, Facility Planning and Design Infrastructure Planning and Design

11410 Kingsway NW The City of Edmonton

10111 104 Avenue NW
Edmonton, AB Edmonton, AB, T5J 0J4

Effective Date: November 18, 2021

Dear Yogi Subramonian:

RE: Alberta Aviation Museum (Hangar 14)

T
11410 Kingsway NW, Edmonton, AB

In accordance with your request by way of a contract dated June 14, 2021 and as per the terms of
reference (TOR) provided herein, I have provided an opinion of the current market value on an all-cash
basis of the fee simple interest in the subject property as at the effective date of November 18, 2021. The
AF

AF
intended user of this report is The City of Edmonton. The intended use is to provide information for
planning purposes and no other use. No additional intended users are identified or intended by the
author.

This Appraisal Report and Appendices must be read as a whole as sections taken alone may be
misleading and lead the reader to an incorrect conclusion. Information provided by the client and
collected through market research and analyses are stored in the working file. This assignment has been
completed in accordance with the Scope of Work as outlined in Section 1.2.

As per the Terms of Reference for this assignment, we have been asked to value the subject property
R

R
under several different scenarios, the first being the As Is market value. The other scenarios involve
redevelopment scenarios based on information as provided by the client.

Subject to the Ordinary Assumptions and Limiting Conditions in Appendix A, it is my opinion that the
current market value of the fee simple interest in the subject property, effective November 18, 2021, is:
D

D
As Is Market Value Estimate: $2,900,000

PREPARED FOR Redevelopment Scenario 1A: $5,300,000

The City of Edmonton Redevelopment Scenario 1B: $7,100,000
Yogi Subramonian
Project Architect, Facility Planning and Design Infrastructure Planning and Design Redevelopment Scenario 2A: $6,400,000
10111 104 Avenue NW Redevelopment Scenario 2B: $8,200,000
Edmonton, AB
T5J 0J4
Redevelopment Scenario 3A: $16,400,000
Redevelopment Scenario 3B: $17,900,000

10180 101 Street NW Suite 780, Edmonton, AB T5J 3S4

Copyright © 2021 | Altus Group Limited T: 780.424.4244 | E: info@altusgroup.com | altusgroup.com

City of Edmonton | Hangar 14 Investment Study | December 13 2021t 138

Value Appraisal
DRAFT v.1 - December 13, 2021 DRAFT v.1 - December 13, 2021

I estimate that an exposure time of 9 to 12 months would have been required prior to the effective date to
sell the subject property at its current market value. Should you have any questions, please contact
Table of Contents
Angela Barron, AIC Candidate Member or Mike deJong, AACI at your convenience.
1 Introduction ........................................................................................................................................... 1
1.1 Terms of Reference .............................................................................................................................. 1
Respectfully submitted,
1.2 Scope of Work ...................................................................................................................................... 1
DRAFT 1.3 Extraordinary Limiting Conditions ......................................................................................................... 2
Altus Group Limited 1.4 Extraordinary Assumptions ................................................................................................................... 3
1.5 Hypothetical Conditions ........................................................................................................................ 3
1.6 Ownership and History ......................................................................................................................... 3

2 Property Description ............................................................................................................................ 4

2.1 Location Overview ................................................................................................................................ 4
2.1.1 Former City Centre Airport................................................................................................................5
2.1.2 Position and Access .........................................................................................................................6
2.1.3 Adjacent Land Uses..........................................................................................................................7

T
2.2 Site Description ..................................................................................................................................... 7
2.2.1 Site Survey / Plan .............................................................................................................................9
2.3 Land Use Controls .............................................................................................................................. 10
2.4 Building Description ............................................................................................................................ 11
2.5 Municipal Assessment and Taxes ...................................................................................................... 17
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AF
2.6 Property Commentary ......................................................................................................................... 17

3 Market Overviews ............................................................................................................................... 18

4 Highest and Best Use ......................................................................................................................... 20
4.1 Highest and Best Use as if Vacant Land ............................................................................................ 20
4.2 Highest and Best Use as Improved .................................................................................................... 20

5 Valuation .............................................................................................................................................. 21
5.1 Valuation Methodology Selected ........................................................................................................ 21

6 Direct Comparison Approach – As Is Value .................................................................................... 22

6.1 Comparable Property Sales Activity ................................................................................................... 22
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6.2 Estimate of Market Value (Direct Comparison Approach) .................................................................. 26

7 Income Approach – As Is Value ........................................................................................................ 27

7.1 Income Forecasts ............................................................................................................................... 27
7.1.1 Tenant and Income Profile.............................................................................................................. 27
7.1.2 Market Rent Analysis ...................................................................................................................... 27
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7.2 Other Revenue ................................................................................................................................... 29
7.3 Vacancy and Bad Debt Allowance ...................................................................................................... 29
7.4 Recovery Expense Revenue and Operating Expenses ...................................................................... 29
7.5 Income and Expense Pro Forma ........................................................................................................ 30
7.6 Yield Selection .................................................................................................................................... 31
7.6.1 Alternative Investment Yields ......................................................................................................... 31
7.6.2 Recent Investment Market Activity.................................................................................................. 32
7.6.3 Capitalization Rate Analysis ........................................................................................................... 34
7.6.4 Capitalization Rate Rationalization ................................................................................................. 34
7.6.5 Capitalization Rate Conclusion ....................................................................................................... 35
7.7 Direct Capitalization ............................................................................................................................ 36
7.7.1 Estimate of Market Value (Direct Capitalization)............................................................................. 36

8 Land Valuation – As Is Value............................................................................................................. 37

9 Reconciliation and Conclusion – As Is Value.................................................................................. 43

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9.1 Final Value Conclusion ....................................................................................................................... 43

10 Supplementary Analysis – Redevelopment Scenarios................................................................... 44

10.1 Redevelopment Scenario 1 ............................................................................................................ 44
10.1.1 Market Rent Forecast – Scenario 1 .............................................................................................. 45
10.1.2 Yield Rate Forecast ...................................................................................................................... 47
10.1.3 Income and Expense Pro Forma .................................................................................................. 47
10.1.4 Estimate of Market Value – Direct Capitalization .......................................................................... 48
10.2 Redevelopment Scenario 2 ............................................................................................................ 49
10.2.1 Market Rent Forecast – Scenario 2 .............................................................................................. 49
10.2.2 Yield Rate Forecast ...................................................................................................................... 51
10.2.3 Income and Expense Pro Forma .................................................................................................. 51
10.2.4 Estimate of Market Value (Direct Capitalization)........................................................................... 52

11 Redevelopment Scenario 3................................................................................................................ 53

11.1.1 Market Rent Forecast – Scenario 3 .............................................................................................. 54
11.1.2 Yield Rate Forecast ...................................................................................................................... 55

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11.1.3 Income and Expense Pro Forma .................................................................................................. 57
11.1.4 Estimate of Market Value – Direct Capitalization .......................................................................... 57
11.2 Summary ........................................................................................................................................ 59

12 Certification ......................................................................................................................................... 60
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Appendices
Appendix A Altus’ Terms of Reference
Appendix B Visual Identification
Appendix C Comparable Lease Data
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Subject
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Alberta Aviation Museum (Hangar 14)
11410 Kingsway NW, Edmonton, AB

Executive Summary

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Property Description Redevelopment Scenario 1 Valuation Reconciliation

Building and Site Information Effective Date November 18, 2021

Income Approach Capitalization Rate

Address 11410 Kingsway NW Site Area 4.88 ac
Scenario 1A $5,300,000 Scenario 1A 8.50%
Scenario 1B $7,100,000 Scenario 1B 7.50%
City, Province Edmonton, AB Coverage Ratio 38.55%, which results in a tight
site coverage ratio as compared
to typical industrial
Redevelopment Scenario 1A Market Value Estimate: $5,300,000

Property Type Industrial Parking Ratio Parking ratio of 1.56%, based

Redevelopment Scenario 1B Market Value Estimate: $7,100,000

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upon a total of 128 surface
Property Class Hangar / Warehouse parking stalls
Redevelopment Scenario 2 Valuation Reconciliation
Net Leasable Area 81,913 sf (7,610 m²), as per Zoning DC1
information provided by the Effective Date November 18, 2021
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Municipal Historic Resource
client
Income Approach Capitalization Rate

Year Built 1941 Condition Dated and in poor physical Scenario 2A $6,400,000 Scenario 2A 7.00%
condition
Scenario 2B $8,200,000 Scenario 2B 6.50%

Number of Storeys Single Storey, with some minor
mezzanine office and storage
space
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Highest and Future General Business or
Best Use Industrial Business Use Redevelopment Scenario 2A Market Value Estimate: $6,400,000
Redevelopment Scenario 2B Market Value Estimate: $8,200,000

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As Is Valuation Reconciliation

Redevelopment Scenario 3 Valuation Reconciliation

Effective Date November 18, 2021

Effective Date November 18, 2021

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Income Approach $2,900,000 Capitalization Rate 10.00%
Income Approach Capitalization Rate

Direct Comparison $2,900,000 Unit Value $35.00 per sf Scenario 3A $16,400,000 Scenario 3A 6.00%
Approach
Scenario 3B $17,900,000 Scenario 3B 5.50%

Underlying Land $5,900,000 Land Unit Value $1,200,000 per ac

Value Redevelopment Scenario 3A Market Value Estimate: $16,400,000
Redevelopment Scenario 3B Market Value Estimate: $17,900,000
As Is Market Value Estimate: $2,900,000

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Economic Summary SWOT 1 Analysis

► The subject occupies a prominent location along Kingsway NW, an

arterial roadway of north central Edmonton.

► The subject is afforded a significant amount of exposure and visibility,

with an AAWDT of 22,000 (Annual Average Weekday Traffic Count).

► Multi-directional access is available from Kingsway NW

► Surrounding land used in the immediate vicinity entailing general

business and industrial business use.

► Future residential community of Blatchford abutting the subject parcel

along the subject’s north and east boundaries.

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► Ceiling height of 29 ft and clear height of 19 ft

► Physically, the subject is in fair to poor condition. The subject was built
in 1941 and is nearing the end of its useful life.
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► Multiple components of deferred maintenance exist, including the
heating system which has sub-par functionality. A significant amount of
capital investment is required to bring the subject up to an average
state of condition and repair.

► The subject involves a former airport hangar and currently functions as

a large open warehouse facility. However, it is lacking typical industrial
user requirements such as overhead doors and dock loading doors.

► Inadequate truck turning space for industrial use.

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► Tight site coverage ratio as compared to a more typical industrial use.

► Usage of yard space is limited for a potential industrial user. As a

Historical Resource, one of the site-specific bylaws, bylaw 19628,
imposes limitations on loading and storage areas.
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► Limited interior office development. The subject essentially involves an
open warehouse space, with limited interior demising.

► As vacant land, the subject presents an opportunity for general

business or industrial business use.
Source: Altus Group Economic Consulting
► The subject is located within a transitional area as the former City
Centre Airport is being redeveloped to accommodate a mixture of
uses.

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Strengths, Weaknesses, Opportunities, Threats

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► The subject was designated as a Provincial Historic Resource in 2000,

and a Municipal Historic Recourse in 2004, through bylaw 12868. This
may be seen as an impediment to potential investors, as the
possibilities for renovations / expansion are restricted.

► The subject is bound by the Standards and Guidelines for the

Conservation of Historic Places in Canada and must comply with bylaw
12868. These designations “provide full legal protection to the building
from demolition or inappropriate alterations”.

► Overall, the subject involves a former airport hangar, with a total

rentable area of 81,913 sf. Currently, the subject is owner-user
occupied and operates as an Airport Museum.

► The subject is in poor to fair physical condition and is nearing the end

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of its useful life. It requires major renovations and repair; however, this
is complicated by its designation as a Historical Resource, which may
be regarded as a deterrent to potential investors, as renovations
and/or demolition is restricted by this designation.
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► The subject improvements no longer support the highest and best use
of the site; whereby the highest and best use as vacant land would be
for the development of a commercial project.
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Appraisal

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1 Introduction Review of publicly available physical, legal, social, political, economic and other factors that could
affect the value of the subject property

Collection of municipal information pertaining to the subject property such as zoning, assessment and
1.1 Terms of Reference taxes

Review of documentation relating to the subject property provided by the client or their agent,
The following table provides a summary of the terms of reference (TOR) guiding this appraisal
including but not limited to building condition reports. Documents provided by the client are not
assignment. The TOR were provided by Yogi Subramonian of The City of Edmonton. This report is
available for review without client approval.
subject to the TOR outlined below, as well as the Ordinary Assumptions and Limiting Conditions outlined
in Appendix A. Please also refer to Appendix A of this report for definitions of market value and Highest Research of transactional data on land and buildings comparable to the subject property. As well, a
and Best Use. market rental survey has been conducted to estimate rental rates for the subject property. Sources of
market evidence included real estate agents, vendors, purchasers active in the market etc.
Terms of Reference Estimation of the highest and best use “as if vacant” and the highest and best use of the land “as
improved”, as at the Effective Date.
Client The City of Edmonton

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Valuation of the interest in the subject property utilizing the most appropriate appraisal methodology;
Intended User Same as client above. No other users are identified or intended by the
in this regard, the Income and Direct Comparison Approaches have been applied and later reconciled
author.
to a final estimate of value
Intended Use of Report To provide information for planning purposes and no other use Consideration of the possible effect on value of an assemblage, consideration of the possible effect
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on value of anticipated public or private improvements and there is deemed to be none
Purpose To provide an opinion of the current market value on an all-cash
basis, of the fee simple interest in the property. As per the Terms of Completion of a narrative report outlining background, descriptions, analyses and value conclusion(s)
Reference for this assignment, we have been asked to value the
subject property under several redevelopment scenarios, in addition The analysis set out in this report relied on written and verbal information obtained from a variety of
to the current As Is market value. sources that are considered to be reliable. Unless otherwise stated herein, client-supplied information
was not verified and is believed to be correct. The mandate for the appraisal did not require a report
Ownership The City of Edmonton, as detailed in Section 1.6 prepared to the standard appropriate for court purposes or for arbitration; full documentation or
confirmation of all information by reference to primary sources was not completed.
Interest to be Valued 100% fee simple interest
The following was not included in the scope of work for this assignment:
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Effective Date
Signing Date of the Report
Current Use of the Property
Property Identification
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November 18, 2021
This valuation does not consider any personal property
Draft
Findings that may be discovered through more rigorous due diligence mandate
Alberta Aviation Museum
A technical investigation such as the following was not completed:
11410 Kingsway NW, Edmonton, AB

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► detailed inspections or engineering review of the structure, roof or mechanical systems

► an environmental review of the property

1.2 Scope of Work
► a site or building survey
The scope of work has included the following: ► investigations into the bearing qualities of the soil, or
A title search was done to determine if there are any easements, etc. affecting the property. ► audit of financial and legal arrangements concerning the subject property leases.
An inspection of the interior and exterior of the subject property, as well as the surrounding
neighbourhood, was completed on November 18, 2021. The inspection was limited to a walk-through,
1.3 Extraordinary Limiting Conditions
non-invasive, visual examination of the subject property. Identification of the property also involved a
review of Alberta Land Titles and Edmonton SLIM Maps. The photographs contained in Appendix B
were taken on November 18, 2021 An Extraordinary Limiting Condition, as defined in Section 3.24 of CUSPAP 2020, is a necessary
modification to, or exclusion of, a Standard Rule that may diminish the reliability of the report.

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During the course of appraising the subject property, no Extraordinary Limiting Conditions were invoked.
1.4 Extraordinary Assumptions
An Extraordinary Assumption, as defined in Section 3.23 of CUSPAP 2020, is an assumption, directly
related to a specific assignment that, if found to be false, could materially alter the opinions or
conclusions.
During the course of appraising the subject property, no Extraordinary Assumptions were invoked.
1.5 Hypothetical Conditions
2 Property Description
2.1 Location Overview
The subject property is situated along Kingsway NW, an arterial road of central Edmonton, located within
the Blatchford neighbourhood. The primary land use in this area is mixed use, with general business /
commercial use south of the subject, along Kingsway, and industrial business use west of the subject.
Land uses east and north of the subject involve lands preserved for the future Blatchford Community, a
residential community under development by the City of Edmonton, which will incorporate low to mid rise
residential housing and row housing.

A Hypothetical Condition, as defined in Section 3.31 of CUSPAP 2020, is that which is contrary to what A map indicating the exact location of the subject property is contained below. Additional photographs of

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exists, but is supposed to exist for the purposes of reasonable analysis. the subject property and maps are located in the Appendices.

During the course of appraising the subject property, no Hypothetical Conditions were invoked.
Neighbourhood Map
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1.6 Ownership and History

The subject property is currently owned by The City of Edmonton.

There has been no sales activity for this property within the past three years. Based on research
Subject
completed, it is understood that the subject property is not under an agreement of sale. The subject
property is not currently listed for sale nor has it been listed in the last 12 months on the open market.
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Source: Edmonton SLIM Maps

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2.1.1 Former City Centre Airport
Prior to November 2013, the subject site was home to the Edmonton City Centre Airport (ECCA), also
known as “Blatchford Field”, which was named after Edmonton’s Mayor at the time, Keith Alexander
Blatchford. 2
In 1929, Blatchford Field was created, and it became Canada’s first licenced airfield. It quickly became a
hub and allowed Edmonton to boom even during the great depression, and it was the busiest airfield in
Canada.
The airport was bordered by Yellowhead Trail to the north, Kingsway to the south, 121 Street to the west
and NAIT (Northern Alberta Institute of Technology) to the east. It encompassed approximately 144 ac of
land just north of the Edmonton’s city centre. 3
Due to its central city location, the airport had several curfew and noise abatement procedures. Strict
noise regulations were enforced, as well as height restrictions on all the downtown buildings due to safety
measure for approaching and departing aircraft. The buildings in downtown Edmonton could not be built
higher than 150 m above downtown, due to safety clearance for aircraft. The height restrictions of
downtown buildings had impeded several urban projects from proceeding, projects that have been
deemed vital to urban densification and allowing more people to live centrally. Activities due to flight
activity make developing compact urban neighbourhoods challenging. The tallest building is the Manulife
building, rising 150 m above runway threshold. 2
In 2009, the city council decided to begin a phased closure of the airport. The airport had two runways; in
August 2010, one of the two runways was officially closed (runway 16/34). This closure was seen as a
political phase out move, as the closure of a singular runway did not give the city any additional land to
work with. By November 30, 2013, the Edmonton City Centre Airport officially closed. 2

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Former Edmonton City Centre Airport Today, without the airport, the height restrictions have been lifted and the tallest building that can be built
is 312 m, over double the height of the tallest building.2 Following the closure of the airport, the Alberta
Aviation Museum Association approached the City of Edmonton and commenced a lease agreement to
occupy the former airport hangar. As such, the Alberta Aviation Museum and some non-aviation institutes
remained on site. Some lands were transferred to the NAIT and the rest of the land area was converted
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by the city, for future residential development. As of 2018, 525 ac of the former Blatchford Field is
undergoing redevelopment into a medium- and high-density neighbourhood.3

2.1.2 Position and Access

Property Description – Position and Access

Site Position Mid-block

Regional / Local Access Local access is afforded from Kingsway NW, an arterial roadway of
central Edmonton, running northwest to southeast.
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Regional access is available from Yellowhead Trail (Highway 16), via
121 Street NW.

Public Transit Kingsway LRT Station is located 1km southeast from the subject.

Edmonton Transit services routes 691 and 903, both east bound and
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west bound, with bus stops available in the immediate subject
vicinity.

Source: flytime.ca Amenities Numerous commercial amenities, such a grocery stores, fuel
stations, banks and general convenience are available along
The airport served as a military airbase during World War II and was a major stop-over on the Northwest Kingsway, directly across the street from the subject.
Stagging Route, which was a series of flight routes developed in 1942, and also hosted two British
Surrounding Land Use South and west from the subject is primarily commercial, including
Commonwealth Air Training Plan schools. 3
general business and industrial business use; future low to medium
density use (Blatchford) is situated east and north of the subject.

Prominent Tenants in the Real Canadian Superstore, Canadian Tire, Servus Credit Union,
2
https://www.flytime.ca/edmonton-city-centre-airport-closure-end-of-era Vicinity Starbucks and U-Haul.
3
https://en.wikipedia.org/wiki/Edmonton_City_Centre_Airport

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2.1.3 Adjacent Land Uses Property Description - Site Description

Property Description – Adjacent Land Uses The parking lot is and site area along the east elevation of the building
are finished with asphalt paving. Rigid concrete pavement to the back
North Future Multi-Residential / Blatchford Low to Medium Rise Zone (north side) of the building.

South Commercial Use / Real Canadian Superstore
East Future Multi-Residential / Blatchford Low to Medium Rise Zone
West Commercial and Industrial Business / ADTEL Inc., Pemco
Construction, Canadian Tire and Edmonton Inn & Conference Centre
Legal and Title Limitations
A full search and interpretation of the title are beyond the scope of this
appraisal and the report is based on the assumption that there are no
material encumbrances that would affect value unless otherwise
noted. However, as encumbrances can have a significant impact on
the market value and / or marketability, legal advice should be
obtained if this assumption is required to be verified.

Encumbrances There are a total of five (5) encumbrances on title:

2.2 Site Description

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► 784OX: Utility Right of Way

Property Description - Site Description ► 972 242 986: Caveat Re: Lease

Site Area 4.88 ac ► 002 212 641: Order - Under the Historical Resources Act
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Legal Description Lot 1, Block 15C, Plan 5328MC ► 042 452 811: By-law – Under the Historical Resources Act

Topography Generally level and at grade with surrounding parcels and road ► 042 452 812: Condition / Covenant Under the Historical
allowances. Resources Act
The encumbrances related to the Historical Resources Act are
Frontage ± 580 ft, more or less, along Kingsway assumed to have an impact on the marketability of the subject.
Depth ± 620 ft, more or less, from the centreline of the site Environmental Limitations I am not an expert in environmental matters and make no
representations regarding them. For the purpose of this report, it is
Configuration Irregular
assumed that there is no environmental contamination. In order to
verify this assumption, an environmental assessment would be
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Services Standard municipal water and sewer services
required.
Site Coverage ±38.55%
As a result of this assumption, the impact on value of contamination, if
Site Density 2.6 - based upon a building area of 81,913 sf and site area of 212,470 any, has not been taken into account in this appraisal. If contamination
sf does exist, this could have a negative impact on value.
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Ingress / Egress Multi-directional access is afforded from Kingsway NW. Additional
access is available from a service road, which runs parallel to
Kingsway NW.

Parking ±128 surface stalls provided. Parking is regarding as adequate for

current use

Truck Turning Truck turning is limited

Site Improvements Perimeter chain-link fencing and landscaping, with one (1) pylon sign
and four (4) exhibition/collection structures related to the aviation
museum.

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2.2.1 Site Survey / Plan 2.3 Land Use Controls

Site Survey / Plan
Property Description – Land Use Controls

Policy Plan Type Edmonton Zoning Bylaw 12800

Zoning / Land Use DC1 (Direct Development Control Provision) per Charter Bylaw 19628

General Purpose To preserve Hangar 14, housing the Alberta Aviation Museum, a
designated Municipal Historic Resource, as a museum and
community hub, including additional signage opportunities and
improvements to site accessibility.

Permitted Uses Developments shall comply with the development regulations

contained within an approved statutory plan, except any regulations or

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conditions applied as a result of designation of a historical resource
under the Historical Resources Act, shall take precedence

Maximum Floor Area Ratio Maximum FAR of 3.0

(FAR)
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Maximum Height Maximum height of any structure shall not exceed 14 m (± 45 ft)

Special Provision No parking, loading, storage, trash collection, outdoor service or

display area shall be permitted within a required yard.

Site Specific By-Law 12868 By-law 12868 designates Hangar #14 (the subject) as a Municipal
– Municipal Historic Historic Resource.
Resource
The by-law stipulates that the Hangar #14 shall not be removed,
destroyed, disturbed, altered, rehabilitated or repaired or otherwise
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Source: Alberta Land Titles Plan No. 5328MC permanently affected, other than in accordance with “Schedule B:
General Guidelines for Rehabilitation” so that the regulated historic
features of the building are not impacted.

Land Use Limitations For the purpose of this appraisal, it has been assumed the data
obtained from others is correct and, except to the extent noted, the
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use of property either conforms to the applicable bylaws and
regulations or is a legal non-conforming use. In order to verify this
assumption legal and planning advice would be required.

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Zoning / Land Use Map Property Description – Building Description

Roof Type Low-slope roof system, finished with modified bitumen membrane
roofing, installed in 2001. The roof slopes above the annexes of the
east and west elevations of the building.

The roof structure consists of warren type wood trusses supporting a

tongue and groove wood roof deck.

Exterior Cladding Painted cedar wood shakes

Foundation Assumed to be a combination of reinforced concrete and concrete

block

Floor Concrete slab on grade above metal decking and a crawl space

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Windows & Doors All windows were reportedly installed in 1995.

The windows serving the staff area consist of insulated glazing units
with PVC frames; the windows servicing the museum, hall area and
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restoration area consist of insulated glazing units within aluminum
frames.

Entrance doors serving the museum are single glazed with aluminum
frame; with doors serving remaining areas consisting of painted steel
doors.
Source: Edmonton SLIM Maps

Large, painted metal hangar doors are located along the north and
2.4 Building Description south elevations of the building.

Fire & Safety Wet-pipe sprinkler system is provided, as well as fire extinguisher
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The following is based on an inspection completed on November 18, 2021 and data obtained from the cabinets, smoke alarms and accessories
Client:
Security Standard security access and surveillance system

Property Description – Building Description Mechanical Systems The subject is heated via a forced air heating system, with heat
provided by two (2) x Dravo gas-fired furnaces. The forced air passes
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Type Single-Storey Hangar (Double Wide)
through a central conduit duct, located in a crawl space beneath the
Year Built 1941 floor slab.

Number of Storeys
Net Rentable Area
Number of Units
Single-Storey, with some minor mezzanine office and storage space The furnaces are original, dated 1941. At the date of inspection, it was
reported that one of the furnaces was no longer functioning, and that
81,913 sf the heat source is inadequate to maintain an appropriate standard of
heating within the subject.
Single rentable unit

Mezzanine Space Minor upper mezzanine areas are installed along the central wall of Hot water system is provided by a total of four (4) electric hot water
the building (north to south) as well as a mezzanine level along the tanks, with a main 175-litre hot water tank, as well as three (3) 67 litre
east elevation of the building. hot water tanks located in the washrooms and laundry station.

Structure Wood frame

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Property Description – Building Description Property Description – Building Description

Electrical Total of six (6) electrical service stations, with amperage ranging from Main Floor Plan
100 AMPs to 400 AMPs. Electrical systems are assumed to be
adequate for building use.

Layout The subject involves a double wide hangar with annexes along the
east and west elevations of the building.

The layout of the subject involves a main floor entrance with visitor
reception and a gift shop to the east. The main floor of the building is
divided into three major spaces:

Display Area: located at the east half of the building

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Cadet / Hall Area: located in the southwest quadrant of the
building

Restoration Area: located at the northwest quadrant of the building

There are washrooms as well as multiple offices, classrooms and

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workshops along east and west annexes, and within the central
demising wall of the hangar, as illustrated in the floor plans below.
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Property Description – Building Description Property Description – Building Description

2nd & 3rd Floor Plan Functional Utility The building has below average functional utility for industrial use.
(Mezzanine Levels)
Condition/Appeal The overall condition/appeal of the building is below average.

Depreciation refers to a loss in value due to any cause. Typically,

depreciation is categorized into three divisions: physical deterioration,
functional obsolescence, and external obsolescence.

Physical deterioration refers to a loss in value due to the normal wear

and tear on a building’s components. The building was reportedly
originally built in 1941. At the date of inspection, the building appeared
to be in a fair to poor state of physical condition, with the majority of

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structural and mechanical systems original. The Marshall & Swift
Tables estimate a typical life of 45 to 50 years for a comparable
building of this class and construction. Ultimately, the subject building
is nearing or has passed the point of having any remaining economic
life and will require substantial reinvestment in order to remain viable.
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Functional obsolescence pertains to a building’s inability to perform its
intended function efficiently. The design of the subject building was
originally for airport hangar accommodation. The building as it
currently exists exhibits substantial functional obsolescence for any
alternative commercial or industrial use.

Locational (external) obsolescence refers to factors external to the

property itself. Generally, the subject property has a favourable
location within a transitional neighbourhood of north-central Edmonton.
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Building Description A structural survey has not been undertaken, and for the purpose of
Finish Ceilings consist of exposed heavy timber and truss system with Limitation this report, it is assumed that the building is structurally sound. In order
tension cables, allowing for a clear span of 34 m (± 112 ft). to verify this assumption, a qualified engineer should be retained.

Interior walls finished with painted gypsum board and flooring consists Historical Designation The subject is encumbered by:
of exposed concrete slab flooring.
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Bylaw 12868, a bylaw designation the subject (Hangar 14) as a
Clear Height 19 ft Municipal Historic Resource under the Historical Resource Act,
as well as;
Lighting Fluorescent shop light fixtures and fluorescent high bay lighting
Charter Bylaw 19628, a Direct Development control provision
Shipping The subject is not afforded any loading docks nor loading bays. aimed to preserve Hagar 14, which is designated as a Municipal
Historic Resource, housing the Alberta Aviation Museum, as a
Washrooms Three (3) sets of men’s and ladies’ washrooms are provided. museum and community hub.

Rail Access None

While the subject is nearing or has passed the point of having any
Special Features There is one canopy installed at the southeast corner of the building. remaining economic life, these bylaw impose major limitations and
The canopy is of wood frame construction and supported by metal restrictions on potential physical alterations to the subject, and also
posts. provides full legal protection to the building from demolition or
inappropriate alterations.

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Property Description – Building Description 3 Market Overviews

Any renovations or repairs must adhere to a set of principals and
guidelines known as the Standards and Guidelines for the
Conservation of Historic Places in Canada. Any historic resource
undergoing restoration or repair must have character defining
elements replaced as closely as possible to the resource’s original
design and material. 4

2.5 Municipal Assessment and Taxes

Municipal assessment and taxes are not applicable, as the subject is owned by the City of Edmonton.

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2.6 Property Commentary

The subject represents a former airport hangar which is currently

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utilized as a large, warehouse facility, owner-occupied by the City of
Edmonton (Alberta Aviation Museum).

The subject improvements are nearing the end of its useful life,
wherein the underlying land value is greater than the value of the
improvements.

The subject is impacted by a Historical Resource designation, which

imposes restrictions and limitations on potential renovations, repairs
and/or demolition.
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Source: Altus Group Economic Consulting
4
https://www.edmonton.ca/city_government/edmonton_archives/restoring-a-historical-resource

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4 Highest and Best Use

The reader is referred to Appendix A for the definition of highest and best use.

4.1 Highest and Best Use as if Vacant Land

Given the location of the subject property, the size and configuration of the site, as well as the current
zoning, it is likely that its use would be consistent with similar properties in the immediate area if it were
vacant land. Based on the foregoing, it is concluded that the highest and best use of the subject property,
as vacant land, as at November 18, 2021, would be for the development of a commercial project,
involving general business use or industrial business use.

4.2 Highest and Best Use as Improved

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Based on a review of the existing by-laws, the subject property appears to conform to existing land use
controls. A formal legal review would be required for certainty.
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The subject property is improved with an 81,193-sf warehouse facility, built in 1941. As described in this
report, the subject improvements are in fair to poor condition, and nearing the end of their useful life.
Further, the improvements have below average functionality for a standard industrial user.

It is also noted that the subject is impacted by a Historical Resource designation, which imposes
restrictions and limitations on potential renovations, repairs and/or demolition. Further, it is estimated that
the current underlying land value of the subject site is greater than the value of the improvements. As
such, the current use of the subject no long supports the highest and best use of the site.

Having regard for the location, the size and configuration of the site, as well as the current zoning, it is
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likely that its use would be consistent with similar properties in the immediate area. Surrounding land
uses in the immediate subject vicinity mainly involve general business and industrial business use, with
future residential use to the north of the subject lands.

Based on the existing surrounding land uses and given the subject’s prominent location with frontage
along Kingsway NW, it is concluded that the current use of the subject property is an underutilization
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Source: Altus Group Economic Consulting
based on the current Highest and Best use of the site.

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5 Valuation
There are typically three approaches used to estimate market value: the Income Approach, the Direct
Comparison Approach and the Cost Approach.
Income Approach
The Income Approach recognizes the principle of anticipation, where the anticipation of future benefits
creates value. The Income Approach is usually used as the primary method of valuation when a property
is expected to be acquired by an investor. The Income Approach is comprised of two primary methods:
Direct Capitalization: This procedure involves dividing the stabilized net annual operating
income (NOI) by a singular rate that takes into account the investment characteristics of the
subject property.
Discounted Cash Flow (DCF): This method calculates the present value of the future cash
flows over a specified time period, including the potential proceeds of a deemed disposition, to
determine market value.
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Direct Comparison Approach
The Direct Comparison Approach recognizes the principle of substitution, according to which a buyer will
not pay more for one property than for another that is equally desirable. By this approach, an opinion of
value is developed by applying a comparative analysis of properties that are similar to the subject
property that have recently sold, are listed for sale or are under contract, by focusing on the similarities
and differences that affect value.
Cost Approach
The Cost Approach recognizes the principle of substitution, according to which a knowledgeable
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purchaser would not pay more for a property than it would cost to construct a property of similar design
and utility, assuming no unreasonable delays. The Cost Approach involves adding the market value of the
land to the depreciated value of the building and site improvements.
5.1 Valuation Methodology Selected
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The subject property is an owner-user property, consequently, the Direct Comparison Approach has been
used as the primary method of valuation. The market value is determined in using a range of market unit
prices demonstrated by the sales or listings of comparable properties.
The Income Approach has also been applied, primarily as a cross-check, supporting the value conclusion
derived from the Direct Comparison Approach.
The Cost Approach has not been used, as it does not typically reflect the motives and actions of buyers
and sellers of this type of property.
In addition, based on the physical condition and underutilization of the subject property, we have
completed a supplemental analysis determining the underlying land value of the subject property utilizing
the Direct Comparison Approach.
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6 Direct Comparison Approach – As Is Value
The Direct Comparison Approach has as its basis the comparison of the subject property with recent
sales of properties that have similar characteristics in terms of location and building type. Where good,
recent comparable property sales evidence is available, the approach can provide a dependable value
estimate.
The Direct Comparison Approach is considered useful not only in terms of estimated value, but also in
demonstrating that the final value estimate concluded in the appraisal falls within a reasonable range of
value evident in the marketplace.
The typical procedure for undertaking the Direct Comparison Approach involves:
researching the market for data from sales, contracts, offers and listings of competitive properties;
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verifying that the data is accurate and representative of arm’s-length transactions;
determining relevant units of comparison;
comparing the subject with the comparable property sales and adjusting the comparable property
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sales for differences; and
reconciling the multiple value indications into a single value or range of values for the subject
property.
6.1 Comparable Property Sales Activity
The Direct Comparison Approach requires adjustments to be made to the comparable property sales to
reflect differing characteristics. The ‘adjusted’ comparable property sale price reflects the price that would
have been paid if the comparable property sale had all the same characteristics as the subject.
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The adjustment process can take the form of either ‘quantitative’ or ‘qualitative’ adjustments. The
quantitative method applies specific plus and minus adjustments to each characteristic. The qualitative
method provides an opinion as to whether the comparable property sale has superior or inferior
characteristics to the subject but does not apply dollar or percentage quantum to each character
difference. The qualitative method has been utilized for the Direct Comparison Analysis.
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The most important characteristics of each comparable property together with time and qualitative
adjustments for differences to the subject are shown in tabular form on the next page.
A survey of market evidence for properties having similar characteristics to the subject property has been
conducted. The sales summarized mainly pertain to larger, older warehouse buildings which were
reported to be in below average to poor physical condition at the date of sale. A number of the sales
outlined were purchased with the intention renovate and/or demolish and redeveloped.
From the research, the most appropriate in terms of comparable property sales evidence for the Direct
Comparison Approach is contained at and summarized below.
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Recent Investment Market Activity
Index Building Details
1 Civic Address 12521 123 St Nw
Municipality Edmonton, AB
Rentable Area 77,089 sf
2 Civic Address 5910 97 Street NW
Municipality Edmonton, AB
Rentable Area 26,482 sf
3 Civic Address 16295 132 Ave Nw
Municipality Edmonton, AB
Rentable Area 40,096 sf
4 Civic Address 12229 Fort Rd Nw
Municipality Edmonton, AB
Rentable Area 30,000 sf
5 Civic Address 15253 121A Ave Nw
Municipality Edmonton, AB
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Rentable Area 65,810 sf
6 Civic Address 15205 112 Ave
Municipality Edmonton, AB
Rentable Area 48,093 sf
7 Civic Address 12016 107 Ave Nw
Municipality Edmonton, AB
Rentable Area 65,680 sf
8 Civic Address 4244-4254 93 St Nw
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Municipality Edmonton, AB
Rentable Area 32,144 sf
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Index 1
Overall
Sale Details Price PSF Comparison Index 1 involves the sale of a former Greyhound facility, which is situated within close proximity to the
Sale Date Mar-21 $49.29 Slightly Superior subject, approximately 3km northwest, in Hangman Estate Industrial, near the future residential
Adj Sale Price $3,800,000
community of Blatchford.
The building was vacant at the date of sale, has an area of 77,089 sf and sold in March 2021 for
Sale Date Mar-21 $43.43 Slightly Superior
$3,800,000, reflecting a unit rate of $49.29 per sf. Sale details denote that the building was purchased
Adj Sale Price $1,150,000
with the intention to demolish, as Potential Environmental Concerns (PECs) existed. As such, the sale
price equates to approximately $900,000 per ac based on the site area. The vendor had completed partial
remediation of the site prior to the sale, and also absorbed the cost to complete remediation prior to
Sale Date Sep-20 $48.63 Slightly Superior
Adj Sale Price $1,950,000 closing of the sale. However, there remained contamination beneath the building foundation which cannot
be remediated until the building is demolished.
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Sale Date Sep-20
Adj Sale Price $1,150,000
$38.33 Similar
Index 2
Index 2 relates to a 26,482-sf warehouse facility located along 97 Street, in Coronet Industrial, of south
central Edmonton. The building was vacant at the date of sale and sold in March 2021 at a unit value of
Sale Date Apr-20 $49.38 Slightly Superior
$43.43 per sf. The building is of concrete block construction, built in 1974, and was vacant at the date of
Adj Sale Price $3,250,000
sale. The building includes a machine shop and fabrication warehouse as well as office and mezzanine
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space and a paint booth. The property is also equipped with craneways throughout, a clear height of 18.5
ft and a grade loading overhead door. Physically, the property was in below average condition; however,
Sale Date Feb-19 $69.66 Slightly Superior
Adj Sale Price $3,350,000 functional for a standard industrial user, and, smaller in magnitude than the subject. As such, a unit value
slightly below this range is suggested for the subject.
Sale Date Jun-18
Adj Sale Price $4,800,000
$73.08 Superior
Index 3
This sale pertains to a 40,906-sf warehouse facility located approximately 9 km northwest from the
subject in Mistatim Industrial. The asset transferred in October 2020 for $1,950,000, resulting in a unit
Sale Date Dec-18 $49.78 Superior
price of $48.63 per sf. Built in 1979, the property was reported to be in poor physical condition at the date
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Adj Sale Price $1,600,000
of sale. It is of metal frame construction, demised into an office, showroom and 36,799 sf of warehouse
space. The building is also afforded 11 dock level loading doors and one grade level loading door with
clear heights ranging from 17.5 ft to 23 ft. The building was vacant at the date of sale; the purchaser
planned to renovate and occupy the space.
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Index 4
Index 4 references the sale of a 30,000-sf warehouse facility which sold in September 2020 for
$1,150,000, or, $38.33 per sf. The facility is located along Fort Road, approximately 7 km northeast from
the subject, in the Yellowhead Corridor East neighbourhood. The building is of older vintage, constructed
in 1978. It is of concrete block construction, with 15,000 sf of main floor space demised into 6 warehouse
bays, and 15,000 sf of 2nd floor office space. At the sate of sale, the property was mostly vacant and in
poor physical condition; the property was marketed as a potential condo conversion project. This property
is similar to the subject in terms of physical condition and functionality; however, a unit rate slightly below
this range is suggested for the subject, given the variance in building size.
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Index 5 6.2 Estimate of Market Value (Direct Comparison Approach)

Index 5 relates to a 65,180-sf warehouse building located approximately 5 km northwest from the subject,
The comparable properties summarized exhibit unit a value range between $38 and $73 per sf, with a
in Mitchell Industrial. The asset sold in April 2020 for $3,250,000, or, $49.38 per sf. The facility is of
median of $49 per sf.
concrete block construction, was built in 1989 and contains 59,815 sf of warehouse space with remaining
areas demised into an office space. Additionally, there are dock and grade loading doors and the
In determining an appropriate unit rate for the subject, the following factors are considered:
warehouse is afforded a 26-ft ceiling height. The building was reportedly vacant at the date of sale. With
the subject being in inferior physical condition and also considering that it is impacted by a heritage The subject is in poor physical condition and would require a significant amount of capital investment
resource designation, a rate below this range is suggested for the subject. to being it to an average level of physical condition and appeal.

The subject lacks some standard industrial amenities such as overhead loading doors, dock loading
Index 6 doors and truck turning space.
Index 6 refers to a 48,093-sf warehouse facility located in High Park Industrial, approximately 5 km west The subject features limited office development, and a tight site coverage ratio resulting in limited
from the subject, which was reported to have physical deficiencies at the date of sale and purchased with onsite yard storage and truck access.

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the intention of demolishing portions of the building for redevelopment. The property was vacant at the
date of sale, and sold in February 2019 for $3,350,000, equating a unit value of $69.66 per sf. The facility The subject is influenced by a heritage resource designation, which could be seen as a deterrent to
was built in 1966, is of concrete block construction, and is demised into two floors, including 35,293-sf of protentional investors / users, as it imposes restrictions on building renovations and/or demolition.
main floor shop/warehouse space with a 19.5-ft clear height and grade loading doors. As rate below this
range is recommended for the subject, being a larger facility with a heritage resource designation, and, in Giving consideration to the discussion, the final unit rate conclusion towards the lower end of the range is
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inferior physical condition. estimated for the subject property, at $35.00 per sf.

Index 7
Index 7 involves the June 2018 sale of a single-tenant warehouse facility which occupies a prominent
location along 107 Avenue in the Queen Mary Park neighbourhood of north central Edmonton. The June
2018 sale price of $4,800,000 reflects a unit rate of $73.08 per sf.
Based on this unit value conclusion, it is my opinion that the value of the subject property through use of
the Direct Comparison Approach is $2,900,000 as set out in the calculation below.
Direct Comparison

Rentable Area 81,913

This 65,680-sf warehouse building was built in 1948, is of concrete block construction and was in below
average condition at the date of sale. The purchaser acquired the property for the with the intention of Unit Value Estimate (PSF) $35.00
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demolishing approximately half of the building, and renovating the remaining half of the property, forming Value Conclusion $2,866,955
a retail development known as Manchester Square, a 20-bay retail property with a total rentable area of Final Value $2,866,955
52,890 sf. Final Value (Rounded) $2,900,000

Index 8
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Index 8 involves the sale of a 32,144-sf warehouse facility located along 93 Street in Strathcona Industrial
Park. The building transferred in December 2018 at a purchase price of $1,600,000, or, $49.78 per sf.
The property was reported to be vacant and in poor physical condition at the date of sale. The property is
of tilt-up construction, was built in 1980 and includes a 20-ft clear height, eight overhead loading doors,
10 interior jib cranes and 1 exterior crane. The purchaser, Redco Properties, planned to renovate and
lease the building. With this property being superior in terms of industrial user amenities, and, given that it
is of smaller magnitude and is not influenced by a heritage resource designation, a unit value below this
range is suggested for the subject.

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7 Income Approach – As Is Value
The theory of the Income Approach is that the value of a property is the present worth of all the net
income that it will produce for each year of its remaining useful life. Net income serves as a measurement
that, in turn, is capitalized into a value estimate by the use of a capitalization rate taken from the
experience of similar properties that have already sold or from the state of the financial market at the time
of the appraisal. The rental income of a property will generally reflect all attributes and amenities inherent
in that property.
7.1 Income Forecasts
The following section outlines an analysis of the subject property leasing activity, current tenant profile,
market rent factors, and estimate of normalized vacancy and bad debt, operating expenses, and capital
expenses.
7.1.1 Tenant and Income Profile
The subject is currently occupied by the owner. For area that is occupied by an owner, a market rental
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rate is assumed. The lease rate assumes the owner to lease the premises over a lease term typical in the
market.
7.1.2 Market Rent Analysis
The term “market rent” is generally defined as being the most probable rent that a rental unit would
command if exposed to the open market for a reasonable period of time. The process of estimating the
market rent presumes that the space in question is vacant and available for lease. Since no two rental
units are alike, the estimation of market rent must account for the specific characteristics of each
particular location, as well as the physical features and functional attributes of each space. In order to
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estimate market rent for the subject property, recent leasing activity in the subject property and at
comparable premises have been reviewed. Details of the analysis are provided below.
Comparable Leasing
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In addition to the review of leasing activity in the subject property, a survey of the marketplace has been
carried out as it relates to the leasing activity in similar industrial developments in Edmonton. The rental
market in Edmonton is stable.
A review of the market leases considered to be the most comparable to the subject space are presented
in the chart contained in Appendix C. To maintain the confidentiality of the data, specific addresses have
not been identified and specific details have been retained on file.
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The estimate of the market rental rates varies throughout the subject property and is influenced by a
number of factors including the location, size, configuration and potential use. It is noted that the subject
was observed to be in a fair state of physical condition and repair, with multiple elements of deferred
maintenance. Consequently, the lease comparables selected mainly involve older facilities which were in
a similar state of condition and repair at the commencement of their respective lease terms. While some
of the lease comparables are older, they are reflective of a typical price per sf range that can be achieved
for older warehouse facilities. It is also noted that a prospective tenant for the subject would incur higher
than average operating costs, due to the inferior function of the subject’s heating system. This would have
an additional impact on the market rent that the subject could likely obtain.
The comparable rental rates vary between $2.50 per sf and $6.50 per sf, with an average of $4.48 per sf,
for single-tenant and two-tenant facilities, with net effective rents (NER) ranging from $2.59 per sf to
$5.43 per sf.
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Single tenant properties are known to engender a premium rental rate compared to multi-tenant
properties. This is due to the motivation of the tenant to control their yard and storage area, along with the
benefits of associating their building with a brand or manufacturer name. Control of a yard can also
influence the rate, as site storage with either compacted gravel or paved with concrete or tarmac, will
raise the level of improvements (and cost) provided by the landlord.
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The lower end of the range is set by Index 3, relating to a 25,000 sf warehouse facility located in the
Foothills Industrial area of Calgary. This new lease deal was at $2.50 per sf, for an 8-year term,
commencing in Q1 2020, for a bay within a multi-tenant facility that was reported to be in poor shape and
nearly obsolete. A rate slightly above this range is recommended for the subject, given that it is a single-
tenant facility.
Index 1, towards the upper end of the range, at $5.00 per sf, involves an older, 55,000 sf warehouse
facility which was built in 1967, located in Calgary’s Manchester Industrial area. The lease was a new
lease deal, commencing in Q3 2018, for a 10-year term. A rate below this range is suggested for the
subject, given that it is in an inferior state of physical condition and repair.
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Special reference is made to Index 12, relating to an "as-is" lease agreement for an airport hangar located
on leased land at the Edmonton International Airport. The total rentable area of 70,000 sf includes the
hangar bay which has an area of 34,727 sf. The total rentable area also includes additional office,
mezzanine and training areas, as well as shops and storage on the 2nd and 3rd floors. This is an older
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lease deal, having commenced in Q4 2009 for a 5 -year term; however, the year 1 base rental rate of
$4.00 per sf, is indicative of a price per sf range for industrial facilities which also accommodate the use
as an airport hangar. A lower base rental rate is suggested for the subject, given its inferior state of
condition and repair
Overall, the market rent estimate shown below is generally supported by the results of the market survey.
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Conclusions 7.5 Income and Expense Pro Forma

In selecting an appropriate market rental rate for the subject, the following factors are considered:
Stabilized NOI
The subject is of older vintage and is in a fair state of physical condition and repair
Line No.
The subject’s mechanical systems are at a sub-par level of operation, and the heating system is 1 Potential Rental Income Rate Area
not adequately functioning. With a triple net lease, a potential tenant would incur higher that 2 Vacant Industrial $3.50 @ 81,913 $286,696
average operating costs.
3 Total Potential Gross Revenue $286,696
The subject’s contains some elements of functional obsolescence, as the subject lacks some 4 Vacancy Allowance @ 0.00% $0
amenities that a standard warehouse user would, such as overhead loading doors, dock loading 5 Effective Gross Revenue $286,696
doors and adequate truck turning space. 6 Operating Expenses
7 Total Operating Expenses $0
The designation as a municipal heritage resource imposes limitations on the use of yard space
8 Stabilized NOI $286,696
for storage, which would be seen as a major drawback for a standard industrial or warehouse
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user. The income analysis is based on a triple net lease with the tenant responsible for all operating expenses,
1 including realty taxes and a management fee
Based on the discussion above and the review of the comparable rents outlined in Appendix C, the 2 Incorporates market orientated rents
market rental rate for the subject is estimate at the lower end of the survey range, as outlined below: 4 No vacancy allowance is applied for single-tenant assets
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Market Rental Rate Conclusions

Area Type Rental Rate PSF

Alberta Aviation Museum $3.50

Market Rent PSF (Net Effective Rent) $3.50

7.2 Other Revenue

No additional revenue streams have been identified for the subject property.
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7.3 Vacancy and Bad Debt Allowance

No vacancy and bad debt allowance has been applied to the subject property, typical of investor attitude
towards single-tenant assets. All sales are analyzed under the same parameters.
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7.4 Recovery Expense Revenue and Operating Expenses

The concluded market rental rate is based upon a net rental term. In this circumstance, the tenant would
be responsible for all operating expenses, including realty taxes and management fees.

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7.6 Yield Selection

In order to determine the appropriate yield for the subject property; specifically, the capitalization rate
(CR); the following factors have been considered:

Alternative investment yields

Various surveys produced by Altus InSite

An analysis of the subject property’s income, physical and locational characteristics

An analysis of relevant sales and other market activity

7.6.1 Alternative Investment Yields

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The CR selected to value the subject property is expected to be higher than the average yield of 1.77%
indicated by 10-year Canada Bonds as of November 2021. The premium attributable to real estate is
based primarily on the lack of liquidity, increased management and the greater overall risk associated
with real property assets.
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Altus InSite Investment Trends Survey
The following are the results of the Altus InSite Investment Trends Survey for the benchmark Single-
Tenant Industrial Building at Q3 2021 in the Edmonton area:

CR responses are between 4.5% and 6.3%, with a mean of 5.4%.

It is acknowledged that the subject property would be ranked as vastly inferior to the comparable 7.6.2 Recent Investment Market Activity
properties utilized for this survey, which would support a CR very much above the top end of the ranges
identified. A review of recent market activity provides additional support for the selection of yields. The most relevant
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transactions that were found are summarized on the following page. To ensure comparability, the same
methodology used for the analysis of the subject property has been applied to the analysis of the
comparable property sales.
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Recent Investment Market Activity
Index Building Details
1 Civic Address 5616 80 Ave Se
Municipality Calgary, AB
Rentable Area 87,743 sf
2 Civic Address 11931 145 St Nw
Municipality Edmonton, AB
Rentable Area 71,381 sf
3 Civic Address 16725 114 Ave Nw
Municipality Edmonton, AB
Rentable Area 20,194 sf
4 Civic Address 16404-16424 117 Ave Nw
Municipality Edmonton, AB
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Rentable Area 182,859 sf
5 Civic Address 10303 174 St Nw
Municipality Edmonton, AB
Rentable Area 27,460 sf
6 Civic Address 4601 99 Street
Municipality Edmonton, AB
Rentable Area 23,289 sf
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7 Civic Address 9526 Yellowhead Trail
Municipality Edmonton, AB
Rentable Area 48,330 sf
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7.6.3 Capitalization Rate Analysis
Rate
Sale Details Summary
The capitalization rates (CRs) indicated by the recent property sales vary between 6.85% and 10.00%,
with an average of 8.37%. The sales summarized pertain to larger, industrial warehouses, ranging in size
Sale Date Apr-21 IRR - from 20,194 sf to 182,859 sf. The majority of the sales involve single-tenant assets, and, with the
Adj Sale Price $9,700,000 TCR -
exception of Index 1, are of older vintage, having been constructed between 1965 and 1981.
Price PSF $111 CR 8.11%
The most recent sale, Index 1, involves an 87,743-sf single-tenant industrial facility which was built in
Sale Date Apr-20 IRR 8.08%
1997 and is located Great Plains Industrial, Calgary. This manufacturing facility was formerly owned and
Adj Sale Price $7,068,000 TCR 7.50% occupied by Tesco and was sold to an investor in April 2021 at an 8.11% CR. The facility includes
Price PSF $99 CR 6.85% overhead cranes, good power and secure paved yard. The rentable area includes main and second floor
offices, a shop office, mezzanine, and manufacturing area with full crane coverage (16 cranes total).
There is approximately 20 ft of clear height below the cranes. This facility is superior to the subject in
Sale Date Feb-20 IRR - terms of age and physical condition and is indicative of a typical yield rate for a functioned industrial
Adj Sale Price $2,200,000 TCR - facility in average physical condition. Given the age and physical condition of the subject, and lack of
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Price PSF $109 CR 10.00% attributes typically required by a standard industrial user, a yield rate above this range would be
warranted for the subject.
Sale Date Sep-19 IRR 8.02%
The upper end of the range is set by Index 3, which transferred in February 2020 at a CR of 10.00%. This
Adj Sale Price $14,100,000 TCR 7.25%
comparable formed part of a 10 property portfolio acquisition and involves a 21,194-sf warehouse facility
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Price PSF $77 CR 7.26%
located in West Sheffield Industrial, Edmonton. The facility is of older vintage, built in 1973, is of concrete
block construction, is demised into two bays (5537sf & 14,657 sf) and contains six (6) overhead grade
Sale Date Jul-18 IRR - loading doors. The property was fully leased to two tenants at sale date. It was reported that there was an
Adj Sale Price $2,887,500 TCR - estimated $1,500,000 in deferred maintenance at the date of sale. A CR within this range would be
Price PSF $105 CR 8.02% suggested for the subject.
The lower end of the range is set by Index 2, which sold in April 2020 at a CR of 6.85%. This comparable
Sale Date Sep-19 IRR 0.00% relates to a 71,381-sf single-tenant warehouse facility located Dominion Industrial, Edmonton. The
Adj Sale Price $3,100,000 TCR 0.00%
building was built in 1973 and is of steel frame and concrete block construction. Rail connectivity is
Price PSF $133 CR 8.76%
available along the east side of the building. At the date of sale, the facility was fully occupied by Russell
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Food Equipment Ltd., operating as Russell Hendrix (tenant), Canada’s largest supplier of food service
Sale Date Jun-17 IRR 0.00%
equipment and food supplies. The remaining lease term was 8.65 years (July 31, 2028), with two (2) 5-
Adj Sale Price $4,550,000 TCR 0.00%
year renewal options, with contractual rental escalations. With a strong tenant profile and lease term in
Price PSF $0 CR 9.61% place, a CR above this range is warranted for the subject.
The remaining comparable sales support CRs ranging between 7.26% and 9.61%.
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7.6.4 Capitalization Rate Rationalization
In addition to the analysis of alternative investment yields, the Altus InSite Investment Trends Survey and
recent market activity, the following factors have been ranked in order to assist the reader in
understanding the investment yields selected for the subject property. These factors compare the subject
property’s investment attributes with typical characteristics observed in the market for this type of
property. An “average” rating indicates similarity with market expectations.
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Factor Item Comments Overall Rating 7.7 Direct Capitalization

Physical Asset Type Single-Tenant Warehouse (Hangar) Below Average
By this procedure, an estimate of stabilized net operating income (NOI) for a single year is converted into
Year Built 1941 an indication of value. The stabilized NOI for the year starting at the effective date of appraisal was used.

Condition/Appeal Fair condition, with multiple elements This procedure entails three steps:
of deferred maintenance.
The stabilized net operating income (NOI) was determined.
Size 81,913 sf
In this section, the NOI was capitalized at a CR of 10.00%, as determined in the Yield Analysis
Functional Utility Below average, lacking standard section, to estimate the market value based on stabilized occupancy.
industrial improvements such as
This value will be adjusted, if applicable, for rent abatements, above/below market rent, existing
overhead loading door, dock loading
vacancy, short-term leasing costs, capital expenditures and amortized capital expense revenue.
doors and craneways.

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Limited interior office development 7.7.1 Estimate of Market Value (Direct Capitalization)

Tight site coverage ratio with limited Direct Capitalization

yard storage and truck loading access Line No.
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1 Total Stabilized NOI $286,696
Financial Occupancy Owner-user occupied Below Average
2 Capitalization Rate 10.00%
Market Rent Low-end of market parameters, at 3 Stabilized Value $2,866,955
$3.50 per sf (NER) 4 Total Adjustments $0
5 Final Value $2,866,955
External Neighbourhood Blatchford Neighbourhood, with Below Average 6 Final Value (Rounded) $2,900,000
exposure and frontage along
Kingsway NW, an arterial roadway of
the inner city.

Investment Appeal Poor investment appeal

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characteristics, as the subject required
a significant amount of capital
investment for elements of deferred
maintenance. Further, the designation
as a Historical Resource is a deterrent
for typical investors, as the bylaw
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imposes limitations with respect to
renovations and/or site-
redevelopment.

7.6.5 Capitalization Rate Conclusion

Based on the foregoing analysis, a capitalization rate (CR) of 10.00% has been selected.

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8 Land Valuation – As Is Value

As the subject’s improvements are older in need of renovation and repair, a supplementary analysis has
been completed, to determine the underlying land value. This exercise is hypothetical in nature as the
subject property has a historical designation and can likely not be demolished to realize this underlying
land value. However, this supplemental exercise was completed as a crosscheck to reinforce the fact that
the current improvements are deemed an underutilization of the subject site.

The subject property is comprised of a total area of 4.88 ac and is afforded frontage along Kingsway NW,
wherein surrounding land uses mainly involve commercial / general business use, as well as industrial
business use.

Land transactions have been researched and sales compiled that show the greatest degree of
comparability to the subject. These are shown in summary form on the table set out below. Full details

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have been kept on file. AF
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Relevant Land Data

Vendor Status Land Use
Index Address Purchaser Date Price Site Area Unit Value Zoning

1 5304 Admiral Girouard St Canada Lands Company CLC Ltd. Closed $5,002,500 4.35 ac $1,150,000 per ac General Business
Edmonton, AB Jewel of Griesbach Ltd. Mar-21 CB2

2 12560 Fort Road 539878 Albeta Ltd. Closed $2,380,000 1.56 ac $1,525,641 per ac Industrial Business

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Edmonton, AB The City of Edmonton Aug-20 IB

3 7430 68 Ave NW Remington Development Corporation Closed $4,200,000 3.68 ac $1,141,304 per ac General Business
Edmonton, AB Stalwart Davies Properties Ltd. Feb-20 CB2

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4 403 Mistatim Way Delcon NW Edmonton Lands Ltd. Closed $4,121,600 2.94 ac $1,401,905 per ac General Business
Edmonton, AB Elite Real Estate Investments Inc. Apr-19 CB2

5 12719 156 Street NW Allweather Holdings Ltd. Closed $3,000,000 2.60 ac $1,153,846 per ac Industrial Business
Edmonton, AB Alliance MJ Developments Ltd. Jan-19 IB

6 180 Mistatim Road Delcom NW Edmonton Lands Ltd. Closed $2,968,000 2.12 ac $1,400,000 per ac General Business
Edmonton, AB 2119606 Alberta Ltd. Jun-18 CB2

7 12380 121 Street NW 745284 Alberta Ltd. Closed $5,500,000 4.82 ac $1,141,079 per ac Industrial Business
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Edmonton, AB The City of Edmonton Sep-18 IB
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Comparable Land Sale Location Map Parcel Identification

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AF Subject Index 1

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Index 2 Index 3
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Legend

S 11410 Kingsway NW, Edmonton, AB

1 5304 Admiral Girouard St, Edmonton, AB 2 12560 Fort Road, Edmonton, AB 3 7430 68 Ave NW, Edmonton, AB

4 403 Mistatim Way, Edmonton, AB 5 12719 156 Street NW, Edmonton, AB 6 180 Mistatim Road, Edmonton, AB

7 12380 121 Street NW, Edmonton, AB 8 9 Index 4 Index 5

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Index 6 Index 7

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The above summarized land sales illustrate unit rates between $1,141,079 per ac and $1,525,641 per
ac, with site sizes ranging from 1.56 ac to 4.82 ac.

Index 1 represents the most recent sale of the dataset and involves a 4.35-ac parcel of CB2 (General
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Business) zoned land, located in the Griesbach neighbourhood of north central Edmonton, approximately
5 km north from the subject. This parcel transferred in March 2021 at a unit rate of $1,150,000 per ac.
The site occupies a corner position, at the intersection of Admiral Girourard Street and 137 Avenue NW,
an east-west arterial roadway of the north Edmonton. This transaction is highly comparable to the subject
and provides a strong indication as to an appropriate unit value for the subject.

The lower end of the range is set by Index 7, at $1,141,079 per ac. This transaction occurred in
September 2018 and involves a 4.82-ac parcel of IB (Industrial Business) zoned land which was acquired
by the City of Edmonton. The site is a corner site with direct access and exposure to Yellowhead Trail,
also located along the northwest periphery of the future Blatchford residential community. Sale details
denote that water and sewer connections were not directly available and the cost to connect services
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would range between $410,000 and $550,000. The indicated adjusted price per acre would range
between $1,037,344 per ac and $1,066,390 per ac. A similar unit value would be expected for the
subject.

The upper end of the range is set by Index 2 at $1,525,641 per ac. This sale relates to a 1.56-ac parcel of
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IB (Industrial Business) zoned land, located on Fort Road, in the Yellowhead Corridor East
neighbourhood. The site was acquired by the City of Edmonton in August 2020 for purposes of road
upgrades being completed to the Yellowhead trail. The site has a highly irregular configuration, backs
onto a rail line and a small portion of the site is zoned CB2. Given the difference in site magnitude,
wherein an inverse relationship exists between parcel size and unit rates, a lower unit value would be
expected for the subject.

Remaining comparable sales exhibit unit values ranging from $1,141,304 per ac to $1,401,905 per ac.

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Reference is made to Index 4, a 2.94-ac parcel of land which sold in August 2019 for $4,121,600,
reflecting a unit price of $1,401,905 per ac. The site has CB2 zoning and occupies a corner position in
9 Reconciliation and Conclusion – As Is Value
Mistatim Industrial, with frontage along 137 Avenue NW, an east-west arterial roadway of the City. The
purchaser, Elite Real Estate Investments Inc., acquired the site for the purpose of developing three The estimates of value from the approaches used are:
retail/office buildings, totalling ±44,000 sf. Overall, this sale is highly comparable to the subject in terms of
location and potential land use; however, a lower unit rate is warranted for the subject, given that it is Final Value Conclusions
larger in size.
Valuation Methodology Parameters Conclusion
Direct Capitalization Cap Rate 10.00% $2,900,000
Giving consideration to the location, size and condition of the subject property, it is my opinion that the
value of the subject property’s land value would be $1,200,000 per ac. On the basis of the above analysis Direct Comparison Price PSF $35.00 $2,900,000
and discussion, please see the table below for the market value estimate of the excess land of the subject Final Value Conclusion (Rounded) $2,900,000
property. Final Value Conclusion PSF $35.40

Value Conclusion - Site Area In arriving at a final conclusion of market value, the Direct Comparison Approach is accorded the greatest

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weight given that the subject property is an owner/user property.

Unit Value Conclusion $1,200,000

Site Area (Acres) 4.88 9.1 Final Value Conclusion
Value Conclusion $5,856,000
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VALUE CONCLUSION (ROUNDED)
Further to the analysis of the subject property and of the market data outlined in this report, the current
$5,900,000
market value of the property located at 11410 Kingsway NW, Edmonton, AB as at November 18, 2021,
subject to the Ordinary Assumptions and Limiting Conditions in Appendix A, is:

Market Value Conclusion

As Is Value: $2,900,000
Two Million Nine Hundred Thousand Dollars
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An estimated exposure time of 9 to 12 months would have been required prior to the effective date to sell
the subject property at its current market value.
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10 Supplementary Analysis – Redevelopment Scenarios
The valuation analysis herein provides confirmation that the underlying land value of the subject property
is currently greater than the ‘as is’ value of the existing improvements. The subject is at or near the end of
its useful life, with a significant amount of physical deterioration and functional obsolescence observed.
It is further highlighted that the subject was designated as a Provincial Historic Resource in 2000 and a
Municipal Historic Resource in 2004 through Bylaw 12868. These designations provide full legal
protection to the building from demolition or inappropriate alterations.
The subsequent analysis entails varying redevelopment scenarios for the subject, with Scenario 1 and 2
involving major renovation projects, while adhering to the Standards and Guidelines for the Conservation
of Historic Places in Canada. The final scenario relates to the construction of a brand new warehouse
facility of similar size and design.
It is noted that the Gross Building Area for all scenarios is 8,593 m², or 92,494 sf.
For the purpose of this analysis, the net leasable area (NLA) is assumed to be 7,610 m², or, 81,914 sf,
based upon a Facility Condition Report provided by the Client, dated August 2017.
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The redevelopment scenarios and their respective impacts on value are summarized below.
10.1 Redevelopment Scenario 1
Scenario 1 involves a 20-year rehabilitation project. All renovations within this scenario shall follow the
Standards and Guidelines for the Conservation of Historic Places in Canada and comply with Bylaw
12868, a bylaw designating Hangar #14 (the subject) as a Municipal Historic Resource. The renovations
shall also follow any requirements of Alberta Culture, Multiculturalism and Status of Women through the
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Provincial Historic Resource designation (Charter Bylaw 16828).
There are two options within Scenario 1; they are as follows:
Scenario 1A
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Extends the useful life of the subject for a further term of 20 years, and essentially involves keeping the
building operating ‘as is’ in terms of physical layout and functionality. Scenario 1A incorporates major
renovations to the building envelope, mechanical and electrical systems, and the functionally of these
systems is expected to be fully restored. According to information provided by Altus Cost & Project
Management, the total cost for this redevelopment scenario is estimated to be $23,483,942.
Scenario 1B
Similar to Scenario 1A, this option extends the useful life of the subject for a further 20 years, by
incorporating major renovations to the building envelope, mechanical and electrical systems; however,
the renovations to these systems are more extensive, with the purpose of reducing Green House Gas
(GHG) emissions by 50%. Based upon information provided by Altus Cost & Project Management, the
total cost for this redevelopment scenario is estimated at $31,576,803.
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10.1.1 Market Rent Forecast – Scenario 1
The proceeding ‘as is’ valuation concluded a market rental rate towards the lower end of the lease
comparable dataset, at $3.50 per sf. The market rent comparables for the ‘as is’ scenario primarily
related to larger warehouse facilities of older vintage, which were in fair to below average state of
condition and repair at the commencement of the lease term. This rate reflected the fair physical state of
condition and repair of the subject, as well as lack of functionality for a standard warehouse user, due to
the absence of common warehouse amenities such as overhead or dock loading doors, truck turning
space and yard storage.
Scenario 1 improves the physical state of condition and repair for the subject; however, does not provide
any alterations to include standard industrial amenities such as those outlined above. With improvements
to the building’s physical attributes and efficiency through implementation of Scenario 1, it is expected
that the subject could secure an elevated base rental rate.
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A review of the market leases considered to be the most comparable to the subject space once upgrades
are complete, are presented in the chart contained in Appendix C. To maintain the confidentiality of the
data, specific addresses have not been identified and specific details have been retained on file.
For larger warehouse facilities in an average to good state of condition and repair, lease comparables
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reflect year 1 base rental rates ranging from $4.45 per sf to $8.50 per sf, with an average of $6.69 per
sf, for facilities ranging in size from 40,000 sf to 110,000 sf.
Reference is made to Index 3, which involves a 39,965 sf single-tenant warehouse facility located in
Dominion Industrial, approximately 4 km west from the subject. This lease involves a new lease deal
commencing in October 2020, for a 12-month term at a year 1 base rental rate of $6.00 per sf. The
property is of older vintage, originally built in 1962, with an office expansion in 1994 and shop expansion
in 2002. It is noted that major renovations and exterior upgrades were completed in fall 2016. The base
rental rate is based upon main floor area 29,280 sf, as well as a concrete mezzanine area of 10,685 sf.
As an older warehouse that underwent significant renovations, a similar rental rate would be expected for
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the subject in Scenario 1. However, as a larger facility, where an inverse relationship exists between
building area and achieved rental rates, and given the subject’s lack of standard industrial amenities,
including lack of yard storage due to the historical resource designation, a rate slightly below this range
would be expected.
Index 13 provides an example of a market rental rate that can be garnered for a newer warehouse facility
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of similar magnitude. This lease comparable relates to the Discovery Centre, located in Discovery
Business Park, South Edmonton, involving a newer, single-tenant industrial complex (2019) containing
113,889 sf of rentable area. The lease commenced in March 2020, for a 10-year term at a year 1 base
rental rate of $8.50 per sf with Amazon Canada Fulfillment Services, ULC. While this lease deal is a
strong comparable for a newer warehouse facility, a year 1 base rental rate below this range would be
expected for the subject, again, given the lack of industrial amenities such as overhead loading doors and
limitations on yard storage due to the historical designation.
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Conclusion 10.1.2 Yield Rate Forecast

Scenario 1A
Based upon the foregoing discussion and the market rent comparables contained in Appendix C, it is
concluded that under Scenario 1A, the subject would achieve a market rental rate towards the lower end
of the range at $5.50 per sf. This market rental rate considers the extensive renovations to the as is
format of the subject, which will result is a more physically attractive warehouse facility; however, still
lacking standard sought-after industrial amenities, and remaining impacted by the presence of the
historical resource designation.
Scenario 1B
As mentioned, Scenario 1B incorporates a similar renovation plan as Scenario 1A; however, includes
more extensive and high quality materials and mechanical system, such that the GHG emissions will be
reduced by 50%, and therefor creating a more ‘green’ facility. That said, the physical use of the building
The capitalization rates (CRs) indicated by the recent property sales in Section 7.6.5 ranged between
6.85% and 10.00%, with an average of 8.37%.
The ‘as is’ valuation of the subject concluded a yield rate towards the upper end of the range, with a
capitalization rate (CR) of 10.00%.
While extending the useful life of the subject for a further term of 20 years improves a potential investor’s
outlook, the historical resource designation remains, which imposes restrictions on potential future
renovations, expansion and alterations and forbids demolition. As such, a capitalization rate towards the
upper end of the range is still recommended for Scenario 1. Nevertheless, a lower capitalization rate is
forecast given the extension renovations to the subject, which would reduce near-term capital outlay for a
potential investor. An additional downward adjustment is considered for Scenario 1B, reflecting the added
‘green’ features which produce a more attractive investment profile.

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for a potential tenant is the same as Scenario 1A. Assuming that the subject’s lease terms are triple net,
the benefit is to the end user, the tenant, as they would incur reduced operating costs in the form of The estimated capitalization rates for Scenario 1 are contained in the chart below:
energy savings. Based upon an energy model provided by Williams Engineering, it is estimated that this
scenario would provide a total energy savings (heating, lights, mechanical systems and hot water) of
approximately 36%. Yield Conclusions - Scenario 1
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Scenario Parameter Conclusion
As the end user would incur reduced heating and power costs, it is estimated that a base rental rate
Scenario 1A 8.50%
slightly higher than Scenario 1A could be achieved. As a result, a market rental rate estimated at $6.50 Capitalization Rate (CR)
per sf for Scenario 1B. Scenario 1B 7.50%

The market rental rate conclusions for the subject under Scenario 1 are summarized in the chart below:
10.1.3 Income and Expense Pro Forma
Market Rental Rate Conclusions - Scenario 1 The Stabilized NOIs for Scenarios 1A and 1B are outlined in the tables below. Assuming a triple net
Rental Rate PSF lease, the tenant would be responsible for all operating expenses, including realty taxes and management
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Area Type fees.
(Net Effective)
Alberta Aviation Museum - Scenario 1A $5.50
Alberta Aviation Museum - Scenario 1B $6.50 Stabilized NOI - Scenario 1A: 20-Year Rehabilitation
Line No.
1 Potential Rental Income Rate Area (sf)
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2 Vacant Industrial $5.50 @ 81,914 $450,527
3 Total Potential Gross Revenue $450,527
4 Vacancy Allowance @ 0.00% $0
5 Effective Gross Revenue $450,527
6 Operating Expenses
7 Total Operating Expenses $0
8 Stabilized NOI $450,527
Notes
The income analysis is based on a triple net lease with the tenant responsible for all operating expenses,
1 including realty taxes and a management fee
2 Incorporates market orientated rents
4 No vacancy allowance is applied for single-tenant assets

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Stabilized NOI - Scenario 1B: 20-Year Rehabilitation with 50% GHG Reduction 10.2 Redevelopment Scenario 2
Line No.
1 Potential Rental Income Rate Area (sf) Scenario 2 involves a 40-year rehabilitation project, with extensive upgrades to the building’s envelope
2 Vacant Industrial $6.50 @ 81,914 $532,441 and mechanical systems. The layout of the facility essentially remains the same; however, the building
envelope and mechanical systems are more efficient, and the overall useful life of the subject is
3 Total Potential Gross Revenue $532,441
4 Vacancy Allowance @ 0.00% $0
extended.
5 Effective Gross Revenue $532,441
Similar to Scenario 1, all renovations in Scenario 2 shall follow the Standards and Guidelines for the
6 Operating Expenses
Conservation of Historic Places in Canada and comply with Bylaw 12868, a bylaw designating Hangar
7 Total Operating Expenses $0
#14 (the subject) as a Municipal Historic Resource. The renovations shall also follow any requirements of
8 Stabilized NOI $532,441
Alberta Culture, Multiculturalism and Status of Women through the Provincial Historic Resource
Notes designation (Charter Bylaw 16828).
The income analysis is based on a triple net lease with the tenant responsible for all operating expenses,
1 including realty taxes and a management fee
2 There are two options within Scenario 2; they are as follows:

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Incorporates market orientated rents
4 No vacancy allowance is applied for single-tenant assets
Scenario 2A

10.1.4 Estimate of Market Value – Direct Capitalization Extends the useful life of the subject for a further term of 40 years, involving more robust renovations to
the building envelope, mechanical systems and electrical systems, while increasing the useful life of the
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The estimate of values, through use of the Income Approach, for Scenarios 1A and 1B, are outlined subject. In Scenario 2, the building upgrades are superior to Scenario 1, with increased efficiency and life
below: span of aforementioned systems, but the layout and physical functionality still remains the same.
According to information provided by Altus Cost & Project Management, the total cost for this
redevelopment scenario is estimated to be $34,372,112.
Direct Capitalization - Scenario 1A: 20-Year Rehabilitation
Scenario 2B ‘
Total Stabilized NOI $450,527
Similar to option 2A, this scenario extends the useful life of the subject for a further term of 40 years, yet
Capitalization Rate 8.50% at the same time reduces Green House Gas (GHG) emissions by 50%. According to information provided
Stabilized Value $5,300,320 by Altus Cost & Project Management, the total cost for this redevelopment scenario is estimated to be
Final Value (Rounded) $5,300,000 $42,372,062.
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Overall, Scenario 2 is similar to Scenario 1, with the exception that the useful life of the subject is
Direct Capitalization - Scenario 1B: 20-Year Rehabilitation extended for an additional 20 years, through a more comprehensive renovation to the building envelope
50% GHG Reduction and mechanical systems.

Total Stabilized NOI $532,441

10.2.1 Market Rent Forecast – Scenario 2
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Capitalization Rate 7.50%
Stabilized Value $7,099,217 As previously discussed, with extensive improvements to the building’s physical attributes and efficiency
Final Value (Rounded) $7,100,000 through implementation of Scenario 2, it is expected that the subject could secure an elevated base rental
rate as compared to the market rental rate selected for the ‘as is’ scenario, at $3.50 per sf.

For Scenario 2, the same lease comparable chart contained in Appendix C is referenced (Lease
Comparables – Scenario 1 & 2), wherein comparable lease rates for larger warehouse buildings in
average to good condition ranged from $4.45 per sf to $8.50 per sf.

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Scenario 2 continues to be impacted by the historical resource designation, which imposes restrictions on
the use of yard space for a potential warehouse user. While the upgrades to the building envelope and
mechanical systems are extensive, both of these scenarios maintain some elements of functional
obsolesce, due to the absence of industrial user amenities such as overhead loading doors and truck
turning capabilities.
The renovation plan is essentially similar under both scenarios, with the exception that Scenario 2 results
in a longer useful life. As such, as at year 1 of a typical 10-year investment horizon, the overall physical
condition and quality of the subject under Scenario 1 and 2 would be similar. With both scenarios
involving a similar physical condition at the commencement of a lease-term, it is estimated Scenario 2A
would achieve a market rental rate similar to Scenario 1A, at $5.50 per sf.
Conclusion
10.2.2 Yield Rate Forecast
The capitalization rates (CRs) indicated by the recent property sales in Section 7.6.5 ranged between
6.85% and 10.00%, with an average of 8.37%.
The ‘as is’ valuation of the subject concluded a yield rate towards the upper end of the range, with a
capitalization rate (CR) of 10.00%.
While extending the useful life of the subject for a further term of 40 years improves a potential investor’s
outlook, the historical resource designation remains, which imposes restrictions on potential future
renovations, expansion and alterations and forbids demolition. As such, a capitalization rate towards the
upper is still recommended for Scenario 2. Nevertheless, capitalization rates are forecast to be lower than
Scenario 1, given the extension renovations to the subject, which would reduce near-term capital outlay
for a potential investor. An additional downward adjustment is considered for Scenario 2B, reflecting the
added ‘green’ features which produce a more attractive investment profile.

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Scenario 2A
Based upon the foregoing discussion and the market rent comparables contained in Appendix C, it is The estimated capitalization rates for Scenario 2 are contained in the chart below:
concluded that under Scenario 2A, the subject would achieve a market rental rate towards the lower end
of the range at $5.50 per sf. This market rental rate considers the extensive renovations to the as is
format of the subject, which will result is a more physically attractive warehouse facility; however, still Yield Conclusions
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lacking standard sought-after industrial amenities, and impacted by the presence of the historical Scenario Parameter Conclusion
resource designation.
Scenario 2A 7.00%
Capitalization Rate (CR)
Scenario 2B 6.50%
Scenario 2B
Assuming a triple net lease, the addition of green features to the building’s envelope and mechanical
system essentially has a financial impact on the end user, the tenant, who would incur reduced energy
10.2.3 Income and Expense Pro Forma
costs in the form of operating expense recoveries. Based upon an energy model provided by Williams
Engineering, it is estimated that this scenario would provide a total energy savings (heating, lights, The Stabilized NOIs for Scenarios 2A and 2B are outlined in the tables below. Assuming a triple net
mechanical systems and hot water) of approximately 36%. lease, the tenant would be responsible for all operating expenses, including realty taxes and management
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fees.
As such, it is estimated that a base rental rate slightly higher than Scenario 2A could be achieved, with a
market rental rate estimated at $6.50 per sf. Stabilized NOI - Scenario 2A: 40-Year Rehabilitation
Line No.
The market rental rate conclusions for the subject under Scenario 2 are summarized in the chart below:
1 Potential Rental Income Rate Area (sf)
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2 Vacant Industrial $5.50 @ 81,914 $450,527
Market Rental Rate Conclusions - Scenario 2 3 Total Potential Gross Revenue $450,527
Rental Rate PSF 4 Vacancy Allowance @ 0.00% $0
Area Type
(Net Effective) 5 Effective Gross Revenue $450,527
Alberta Aviation Museum - Scenario 2A $5.50 6 Operating Expenses
Alberta Aviation Museum - Scenario 2B $6.50 7 Total Operating Expenses $0
8 Stabilized NOI $450,527
Notes
The income analysis is based on a triple net lease with the tenant responsible for all operating expenses,
1 including realty taxes and a management fee
2 Incorporates market orientated rents
4 No vacancy allowance is applied for single-tenant assets

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Stabilized NOI - 40-Year Rehabilitation with 50% GHG Reduction 11 Redevelopment Scenario 3
Line No.
1 Potential Rental Income Rate Area (sf) Redevelopment Scenario 3 involves the demolition of the existing improvements, and construction of a
2 Vacant Industrial $6.50 @ 81,914 $532,441 brand new, zero emissions warehouse facility of similar size and design.
3 Total Potential Gross Revenue $532,441
4 Vacancy Allowance @ 0.00% $0 The design and size of the new warehouse building is to be similar to the existing facility; however,
5 Effective Gross Revenue $532,441 physically, it is to be of high-quality, built to achieve zero emissions and entail slightly different proportions
6 Operating Expenses of warehouse and office. The new facility would be equipped with 14 overhead doors (11 ft. wide by 11 ft.
7 Total Operating Expenses $0
high), as well as 14 single overhead doors, for a total of 28 loading doors.
8 Stabilized NOI $532,441
The gross building area of the new facility is set to be similar to the existing facility, at 8,593 m², or 92,495
Notes
The income analysis is based on a triple net lease with the tenant responsible for all operating expenses,
sf; however, incorporates a slightly higher office ratio, at 38%, versus an office ratio of 32% in the existing
1 including realty taxes and a management fee facility.
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Incorporates market orientated rents
4 No vacancy allowance is applied for single-tenant assets It should be noted to the reader that the valuation analysis herein is base upon an assumed net leasable
area (NLA) of 7,610 m², or 81,914 sf, based upon a Facility Condition Report provided by the Client,
dated August 2017.
10.2.4 Estimate of Market Value (Direct Capitalization)
It is further assumed that the new facility would not be encumbered by Bylaw 12868, designation of
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The estimate of values, through use of the Income Approach, for Scenarios 2A and 2B, are outlined
below: Hangar #14 (the subject) as a Municipal Historic Resource, nor Charter Bylaw 16828, a designating the
subject as a Provincial Historic Resource. As such, the usage of yard space would be ameliorated with
under Scenario 3, and potential investors would have the ability to perform future renovations, alterations
Direct Capitalization - Scenario 2A: 40-Year Rehabilitation
or expansion.
Line No.
1 Total Stabilized NOI $450,527 Scenario 3 also incorporates the City of Edmonton’s Climate Resiliency Policy (Policy C485C), which is a
2 Capitalization Rate 7.00% revised Energy Transition Strategy adopted by council in April 2021. The policy aligns with the City’s Big
3 Stabilized Value $6,436,103 City Move of Greener as we Grow, a part of the City Plan which overall, stipulates that the City is
4 Total Adjustments $0 committed to reducing GHG emissions by 35% in 2025, 50% by 2030 and carbon neutral by 2050. In
5 Final Value $6,436,103 addition, the new build adheres to City Policy C458C – Percent for Art to Provide and Encourage Are in
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6 Final Value (Rounded) $6,400,000 Public Areas.

As a zero-emission facility, both scenarios result in a total energy savings of 75%, compared to the as is
Direct Capitalization - Scenario 2B: 40-Year Rehabilitation with 50% GHG Reduction scenario of the subject, based upon an energy model provided by Williams Engineering.
Line No.
1 Total Stabilized NOI $532,441 There are two options within Scenario 3; they are as follows:
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2 Capitalization Rate 6.50%
3 Stabilized Value $8,191,404 Scenario 3A
4 Total Adjustments $0 Produces a new, high-quality 20-year zero-emission warehouse with a total of 28 loading doors and is
5 Final Value $8,191,404 assumed to provide for adequate yard usage and truck turning capabilities. According to information
6 Final Value (Rounded) $8,200,000 provided by Altus Cost & Project Management, the total cost for this redevelopment scenario is estimated
to be $33,197,408.

Scenario 3B
Produces a new, high-quality 40-year zero emission warehouse with a total of 28 loading doors and is
assumed to provide for adequate yard usage and truck turning capabilities. According to information
provided by Altus Cost & Project Management, the total cost for this redevelopment scenario is estimated
to be $36,558,264.

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11.1.1 Market Rent Forecast – Scenario 3 Conclusion

The market rent analysis for the subject under Scenario 3 is based upon the following assumptions: Scenario 3 A&B

The subject contains a NLA of 81,914 sf (7,610 m²)
The subject includes 2nd storey office space and has an office ratio of 38%
As the building footprint remains similar under Scenario 3, truck turning capabilities and vehicle
maneuverability is regarded as below average.
It is assumed that the subject can be demised into a multi-tenant facility, accommodating several
smaller warehouse bays ranging in size from 10,000 sf to 50,000 sf.
The market rent analysis assumes a net effective rent with a standard 5-year lease for an industrial
warehouse / office user with an average tenant profile.
Based upon the foregoing discussion and the market rent comparables contained in Appendix C, it is
concluded that under Scenario 3A, the subject would achieve a market rental rate towards the upper end
of the range at $11.00 per sf for a standard warehouse bay, and $14.00 per sf for standard suburban
office space.
This market rental rate considers that the subject will be a brand new warehouse facility which is
functional for a standard industrial warehouse/office user. Further, assuming a triple net lease, as a zero-
emission facility, a tenant would incur reduced operating cost recoveries, in the form of energy savings,
and as such, a rental rate towards the upper end of the range could be secured.
As mentioned, Scenario 3B is essentially the same as Scenario 3A in terms of physical attributes and

A review of the market leases considered to be the most comparable to the subject, as a brand new zero-
emission warehouse of similar magnitude, are presented in the chart contained in Appendix C. To
maintain the confidentiality of the data, specific addresses have not been identified and specific details
have been retained on file.
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functionality. The main difference is that the useful life of the building is extended for an additional 20
years. That said, the physical use of the building for a potential tenant is the same as Scenario 3A. As a
result, a market rental rate estimated for Scenario 3B is estimated to be the same as Scenario 3A.
The blended market rental rate conclusions for the subject under Scenario 3 are summarized in the chart

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The comparable leases involve two datasets. The first dataset pertains to multi-tenant below:
warehouse/distribution centres, mainly involving flex buildings / business centres, which were in an
average to good state of condition and repair at the commencement of the lease term. The lease Market Rental Rate Conclusions - Scenario 3 A&B
comparables reflect year 1 base rental rates ranging from $9.50 per sf to $12.50 per sf, with an average
of $10.71 per sf, for facilities ranging in size from 4,500 sf to 65,000 sf. Rental Rate PSF
Area Type Area (SF)
(Net Effective)
As the subject contains a large office ratio, with 2nd storey office space, a secondary dataset is included Scenario 3A - Warehouse $11.00 50,787
which pertains to suburban office leases for Class A and B office facilities located within the Edmonton Scenario 3A - Office $14.00 31,127
region. These lease comparables reflect year 1 base rental rates ranging from $12.00 per sf to $17.000 Blended Market Rent PSF $12.14 81,914
per sf, with an average of $14.85 per sf, for rental units ranging in size from 700 sf to 7,000 sf. Blended Market Rent PSF (Rounded) $12.00 81,914
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Overall, the data suggests that the subject could support a market rental rate in the range of $10.00 per sf
to $12.00 per sf for a standard warehouse bay of average to good quality, and a rental rate ranging from 11.1.2 Yield Rate Forecast
$12.00 per sf to $16.00 per sf for suburban office space. The sales data chart previously referenced in Section 7.6.5 highlighted capitalization rates (CRs) ranging
between 6.85% and 10.00%, with an average of 8.37%. The ‘as is’ valuation of the subject concluded a
A blended market rental rate will be applied to the subject under scenario 3, given the high proportion of
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yield rate towards the upper end of the range, with a capitalization rate (CR) of 10.00%.
2nd storey office space.
In addition to the yield sales summarized in Section 7.65, the following recent transactions are
highlighted, which involve newer, single-tenant facilities of similar magnitude to the subject:

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Recent Investment Market Activity 11.1.3 Income and Expense Pro Forma
Rate
The Stabilized NOIs for Scenarios 13A and 3B are outlined in the tables below. Assuming a triple net
Index Building Details Sale Details Summary
lease, the tenant would be responsible for all operating expenses, including realty taxes and management
1 Civic Address 6600 72 Avenue SE Sale Date Jun-21 IRR 5.50% fees.
Municipality Calgary, AB Adj Sale Price $37,000,000 TCR 5.00%
Rentable Area 498,816 sf Price PSF $134 CR 4.84%
Stabilized NOI - Scenario 3A: 20-Year, New Zero-Emission Warehouse
Line No.
2 Civic Address Confidential Sale Date Dec-21 IRR 5.22% 1 Potential Rental Income Blended Rate Area (sf)
Confidential Municipality Edmonton, AB Adj Sale Price $118,000,000 TCR 5.00% 2 Vacant Industrial $12.00 @ 81,914 $982,968
Rentable Area 488,949 sf Price PSF $241 CR 4.81% 3 Total Potential Gross Revenue $982,968
4 Vacancy Allowance @ 0.00% $0
5 Effective Gross Revenue $982,968
6 Operating Expenses

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Index 1 relates to the August 2021 off market sale which transaction with a capitalization rate of 4.84%.
This sale related to a 498,816 sf single-tenant industrial facility located in Great Plains Industrial, Calgary. 7 Total Operating Expenses $0
The warehouse was built in 2019, has a clear height of 36 ft and at the date of sale, the tenant has signed 8 Stabilized NOI $982,968
a new 5-year lease at a lease rate of $6.50 per sf. Notes
The income analysis is based on a triple net lease with the tenant responsible for all operating expenses,
1 including realty taxes and a management fee
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Index 2 involves a portfolio transaction involving three, single-tenant warehouse facilities located in
2 Incorporates market orientated rents
Edmonton, ranging in size from 113,889 sf to 193,397 sf. This December 2021 sale transacted at an
4 No vacancy allowance is applied for single-tenant assets
overall capitalization rate of 4.81%. Two of the three facilities were newly built in 2020, with the third
facility built in 2000 with expansion / renovation in 2012/13.
Stabilized NOI - Scenario 3B: 40-Year, New Zero Emission Warehouse
In selecting appropriate yield rates for Scenario 3 A&B, the following factors are considered: Line No.
The subject involves a brand-new warehouse facility, which is assumed to have an average level 1 Potential Rental Income Blended Rate Area (sf)
of functionality for an industrial user 2 Vacant Industrial $12.00 @ 81,914 $982,968
3 Total Potential Gross Revenue $982,968
The subject involves a zero-emission facility is an attractive feature for a potential investor 4 Vacancy Allowance @ 0.00% $0
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The subject is equipped with a total of 28 loading doors, with 14 overhead doors (11 ft. wide by 5 Effective Gross Revenue $982,968
11 ft. high), as well as 14 single overhead doors 6 Operating Expenses
7 Total Operating Expenses $0
With Scenario 3 having the same building footprint as the existing facility, truck turning, and
8 Stabilized NOI $982,968
vehicle maneuverability is regarded as below average.
Notes
The subject has a relatively high office ratio, of 38%. The income analysis is based on a triple net lease with the tenant responsible for all operating expenses,
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1 including realty taxes and a management fee

The building has the potential to be demised into multiple warehouse bays, ranging in size from 2 Incorporates market orientated rents

5,000 sf to 50,000 sf. 4 No vacancy allowance is applied for single-tenant assets

The estimated capitalization rates for Scenario 3 A&B are contained in the chart below. As Scenario 3B
11.1.4 Estimate of Market Value – Direct Capitalization
increased the useful life of the building for an additional 20 years, a downward adjustment is applied for
this option, as building efficiency is more robust by extending its useful life. The estimate of values, through use of the Income Approach, for Scenarios 3A and 3B, are outlined
below:
Yield Conclusions
Scenario Parameter Conclusion

Scenario 3A 6.00%
Capitalization Rate (CR)
Scenario 3B 5.50%

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Direct Capitalization - Scenario 3A 11.2 Summary

20-Year, New Zero-Emission Warehouse
As summary of the market rental rates, yield rates and respective valuation conclusions for proceeding
Total Stabilized NOI $982,968 scenarios are illustrated in the chart below:
Capitalization Rate 6.00%
Market Rent
Stabilized Value $16,382,808 Scenario Description
(PSF)
Yield Rate Value Value (Rounded)

Final Value (Rounded) $16,400,000

Base As Is $3.50 10.00% $2,866,991 $2,900,000

Direct Capitalization -Scenario 3B: 1A 20-Year Rehabilitation $5.50 8.50% $5,300,320 $5,300,000
40-Year, New Zero Emission Warehouse 1B 20-Year Rahabilitation w/ 50% GHG Reduction $6.50 7.50% $7,099,217 $7,100,000

2A 40-Year Rehabilitation $5.50 7.00% $6,436,103 $6,400,000

Total Stabilized NOI $982,968

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2B 40-Year Rahabilitation w/ 50% GHG Reduction $6.50 6.50% $8,191,404 $8,200,000
Capitalization Rate 5.50%
3A 20-Year, New Zero-Emission Warehouse $12.00 6.00% $16,382,808 $16,400,000
Stabilized Value $17,872,154
Final Value (Rounded) $17,900,000 3B 40-Year, New Zero Emission Warehouse $12.00 5.50% $17,872,154 $17,900,000
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12 Certification In my opinion, the current market value of the fee simple interest in the subject property, subject to the Ordinary Assumptions and
Limiting Conditions in Appendix A, as at November 18, 2021, is:

Effective Date: November 18, 2021 As Is Market Value Estimate: $2,900,000

Property Appraised: 11410 Kingsway NW, Edmonton, AB
Redevelopment Scenario 1A: $5,300,000
By signing this certification of value, the authors accept individual responsibility for the content and conclusions of this appraisal
report. Consequently: Redevelopment Scenario 1B: $7,100,000
I certify that, to the best of my knowledge and belief that:
Redevelopment Scenario 2A: $6,400,000
► The statements of fact contained in this report are true and correct. Redevelopment Scenario 2B: $8,200,000
► The reported analyses, opinions and conclusions are limited only by the reported assumptions and limiting conditions, and are Redevelopment Scenario 3A: $16,400,000
my personal, unbiased professional analyses, opinions and conclusions.
Redevelopment Scenario 3B: $17,900,000
► I have no present or prospective interest in the property that is the subject of this report, and I have no personal interest with
respect to the parties involved. I am therefore an independent and external professional. Appraiser Co-Signer

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► I am not in a conflict of interest to undertake this assignment.
► I have no bias with respect to the property that is the subject of this report or to the parties involved with this assignment.
► My engagement in and compensation for this assignment was not contingent upon developing or reporting predetermined
Angela Barron, AIC Candidate Member Mike deJong, AACI
results, the amount of the value estimate, or a conclusion favouring the client.
AIC Member #: 907395 AIC Member #: 901817
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► My analyses, opinions and conclusions were developed, and this report has been prepared, in conformity with the Canadian
Signing Date: DRAFT
Uniform Standards of Professional Appraisal Practice, Valuation - Professional Standards of the Royal Institution of Chartered
Attachments and Appendices
Surveyors and the International Valuation Standards.

► I have the knowledge and experience to complete this assignment competently, and where applicable, this report is co-signed
in compliance with Canadian Uniform Standards of Professional Appraisal Practice, Valuation - Professional Standards of the
Royal Institution of Chartered Surveyors and the International Valuation Standards.

► The subject property was inspected by Angela Barron, AIC Candidate Member and Mike deJong, AACI on November 18,
2021. The inspection was considered sufficient to assist the author in describing the real estate, developing an opinion of
highest and best use and making meaningful comparisons with other market data. A detailed inspection to report building
condition is beyond the scope of this assignment.

► No one provided professional assistance or third-party professional assistance to the undersigned.

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► As of the date of this report, Mike deJong, AACI and Angela Barron, AIC Candidate Member have fulfilled the requirements of
The Appraisal Institute of Canada Continuing Professional Development Program for designated and candidate members,
and are members in good standing of the Appraisal Institute of Canada.

► I, Mike deJong, AACI, directly supervised the appraiser who prepared this appraisal report and, having reviewed the report,
agrees with the statements and conclusions of the appraiser, agrees to be bound by the appraiser's certification and I am
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taking full responsibility for the appraisal and the appraisal report.

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Appendix A - Altus’ Terms of Reference
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Appendix B - Visual Identification Appendix A Altus’ Terms of Reference
Appendix C - Comparable Lease Data
Ordinary Assumptions and Limiting Conditions
Definitions
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Appendices

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Ordinary Assumptions and Limiting Conditions
The following Ordinary Assumptions and Limiting Conditions apply to real estate appraisals prepared by Altus Group ("Altus"). Any Special
Conditions have been added as required.
The certification that appears in this appraisal report is subject to compliance with the Personal Information and Electronics Documents Act
(PIPEDA), Canadian Uniform Standards of Professional Appraisal Practice (CUSPAP), Professional Standards of the Royal Institution of
Chartered Surveyors (RICS), International Valuation standards (IVS), published by the International Valuation Standards Council and any other
Appraisal Organization to which the author is a member and the following conditions.
1. This report is prepared only for the client and authorized users specifically identified in this report and only for the specific use identified
herein. No other person may rely on this report or any part of this report without first obtaining consent from the client and written
authorization from the authors. Liability is expressly denied to any other person and, accordingly, no responsibility is accepted for any
damage suffered by any other person as a result of decisions made or actions taken based on this report. Liability is expressly denied for
any unauthorized user or for anyone who uses this report for any use not specifically identified in this report. Payment of the appraisal fee
has no effect on liability. Reliance on this report without authorization or for an unauthorized use is unreasonable.
2. Because market conditions, including economic, social and political factors, may change rapidly and, on occasion, without warning, this
report cannot be relied upon as of any date other than the effective date specified in this report unless specifically authorized by the
author.
3. The author will not be responsible for matters of a legal nature that affect either the property being appraised or the title to it. The property
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is appraised on the basis of it being under responsible ownership. Unless otherwise stated in this report, no registry office search has
been performed and the author assumes that the title is good and marketable and free and clear of all encumbrances. Matters of a legal
nature, including confirming who holds legal title to the appraised property or any portion of the appraised property, are outside the scope
of work and expertise of the author. Any information regarding the identity of a property’s owner or identifying the property owned by the
listed client and/or applicant provided by the author is for informational purposes only and any reliance on such information is
unreasonable. Any information provided by the author does not constitute any title confirmation. Any information provided does not
negate the need to retain a real estate lawyer, surveyor or other appropriate experts to verify matters of ownership and/or title.
4. Verification of compliance with governmental regulations, bylaws or statutes is outside the scope of work and expertise of the author. Any
information provided by the author is for informational purposes only and any reliance is unreasonable. Any information provided by the
author does not negate the need to retain an appropriately qualified professional to determine government regulation compliance.
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5. No survey of the property has been made. Any sketch in this report shows approximate dimensions and is included only to assist the
reader of this report in visualizing the property. It is unreasonable to rely on this report as an alternative to a survey, and an accredited
surveyor ought to be retained for such matters.
6. This report is completed on the basis that testimony or appearance in court concerning this report is not required unless specific
arrangements to do so have been made beforehand. Such arrangements will include, but not necessarily be limited to: adequate time to
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review the report and related data, and the provision of appropriate compensation.
7. Unless otherwise stated in this report, the author has no knowledge of any hidden or unapparent conditions (including, but not limited to:
its soils, physical structure, mechanical or other operating systems, foundation, etc.) of/on the subject property or of/on a neighbouring
property that could affect the value of the subject property. It has been assumed that there are no such conditions. Any such conditions
that were visibly apparent at the time of inspection or that became apparent during the normal research involved in completing the report
have been noted in the report. This report should not be construed as an environmental audit or detailed property condition report, as
such reporting is beyond the scope of this report and/or the qualifications of the author. The author makes no guarantees or warranties,
express or implied, regarding the condition of the property, and will not be responsible for any such conditions that do exist or for any
engineering or testing that might be required to discover whether such conditions exist. The bearing capacity of the soil is assumed to be
adequate.
8. The author is not qualified to comment on detrimental environmental, chemical or biological conditions that may affect the market value of
the property appraised, including but not limited to pollution or contamination of land, buildings, water, groundwater or air which may
include but are not limited to moulds and mildews or the conditions that may give rise to either. Any such conditions that were visibly
apparent at the time of inspection or that became apparent during the normal research involved in completing the report have been noted
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in the report. It is an assumption of this report that the property complies with all regulatory requirements concerning environmental,
chemical and biological matters, and it is assumed that the property is free of any detrimental environmental, chemical legal and biological
conditions that may affect the market value of the property appraised. If a party relying on this report requires information about or an
assessment of detrimental environmental, chemical or biological conditions that may impact the value conclusion herein, that party is
advised to retain an expert qualified in such matters. The author expressly denies any legal liability related to the effect of detrimental
environmental, chemical or biological matters on the market value of the property.
9. The analyses set out in this report relied on written and verbal information obtained from a variety of sources the author considered
reliable. Unless otherwise stated herein, the author did not verify client-supplied information, which the author believed to be correct.
10. The term “inspection” refers to observation only as defined by CUSPAP and reporting of the general material finishing and conditions
observed for the purposes of a standard appraisal inspection. The inspection scope of work includes the identification of marketable
characteristics/amenities offered for comparison and valuation purposes only.
11. The opinions of value and other conclusions contained herein assume satisfactory completion of any work remaining to be completed in a
good and workmanlike manner. Further inspection may be required to confirm completion of such work. The author has not confirmed
that all mandatory building inspections have been completed to date, nor has the availability/issuance of an occupancy permit been
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confirmed. The author has not evaluated the quality of construction, workmanship or materials. It should be clearly understood that this
visual inspection does not imply compliance with any building code requirements as this is beyond the professional expertise of the
author.
12. The contents of this report are confidential and will not be disclosed by the author to any party except as provided for by the provisions of
the CUSPAP and/or when properly entered into evidence of a duly qualified judicial or quasi-judicial body. The author acknowledges that
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the information collected herein is personal and confidential and shall not use or disclose the contents of this report except as provided for
in the provisions of the CUSPAP and in accordance with the author’s privacy policy. The client agrees that in accepting this report, it shall
maintain the confidentiality and privacy of any personal information contained herein and shall comply in all material respects with the
contents of the author's privacy policy and in accordance with the PIPEDA.
13. The author has agreed to enter into the assignment as requested by the client named in this report for the use specified by the client,
which is stated in this report. The client has agreed that the performance of this report and the format are appropriate for the intended
use.
14. This report, its content and all attachments/appendices and their content are the property of the author. The client, authorized users and
any appraisal facilitator are prohibited, strictly forbidden, and no permission is expressly or implicitly granted or deemed to be granted, to
modify, alter, merge, publish (in whole or in part) screen scrape, database scrape, exploit, reproduce, decompile, reassemble or
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participate in any other activity intended to separate, collect, store, reorganize, scan, copy, manipulate electronically, digitally, manually or
by any other means whatsoever this appraisal report, appendices, all attachments and the data contained within for any commercial, or
other, use.
15. If transmitted electronically, this report will have been digitally signed and secured with personal passwords to lock the appraisal file. Due
to the possibility of digital modification, only originally signed reports and those reports sent directly by the author can be reasonably relied
upon.
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16. Where the intended use of this report is for financing or mortgage lending or mortgage insurance, it is a condition of reliance on this report
that the authorized user has or will conduct lending, underwriting and insurance underwriting and rigorous due diligence in accordance
with the standards of a reasonable and prudent lender or insurer, including but not limited to ensuring the borrower’s demonstrated
willingness and capacity to service his/her debt obligations on a timely basis. Liability is expressly denied to those that do not meet this
condition. Any reliance on this report without satisfaction of this condition is unreasonable.
17. Unless specifically stated, the value conclusions contained in this report applies to the real estate only, and does not include personal
property, machinery and equipment, trade fixtures, business value, goodwill or other non-realty items. This report is limited to surface
rights only and does not include any inherent subsurface or mineral rights. Income tax considerations have not been included or valued
unless so specified in this report. No representations are made as to the value changes that may be attributed to such considerations.
18. It is assumed that legal, engineering, or other professional advice, as may be required, has been or will be obtained from properly
qualified legal professional sources and that this report will not be used for guidance in legal or technical matters such as, but not limited
to, the existence of encroachments, easements or other discrepancies affecting the legal description of the property. It is assumed that
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there are no concealed or dubious conditions of the subsoil or subsurface waters including water table and flood plain, unless otherwise
noted.
Definitions
19. It is assumed that any and all liabilities that might accrue against the real estate such as taxes, hypothecs, contracts or services of any
kind, are paid when due. Taxes and other fees (e.g. broker commissions) incurred during the hypothetical sale of the real estate are not Altus InSite Investment Trends Survey
addressed in this report.
Altus InSite undertakes a survey of the Canadian real estate industry to determine the informed
20. This report may contain estimates of future financial performance, estimates or opinions that represent the author's view of reasonable consensus opinion on investment performance trends and valuation parameters from Canada's key
expectations at a particular point in time, but such information, estimates or opinions are not offered as predictions or as assurances that investors, lenders and other opinion leaders. The results of this quarterly survey are presented online as
a particular level of income or profit will be achieved, that events will occur, or that a particular price will be offered or accepted.
a series of data reports and charts for the Office, Retail, Industrial and Multiple Unit Residential asset
Actual results achieved during the period covered by our prospective financial analyses will vary from those described in this report, and
classes for seven major markets across Canada.
the variations may be material.

21. This report assumes that the property will be competently managed, leased and maintained by financially sound owners over the Highest and Best Use
expected period of ownership. This engagement does not entail an evaluation of management's or owner's effectiveness, nor is the
Highest and best use may be defined as:
author or Altus responsible for future marketing efforts and other management or ownership actions upon which actual results will

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depend.
“The reasonably probable use of a property, that is physically possible, legally
22. The value is based on the purchasing power of the Canadian dollar as of that date. permissible, financially feasible and maximally productive, and that results in the highest
value.” 1
23. The issuance of a draft report is for the initial review of findings by the client and is provided provisionally and subject to completion of the
final report.
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It is on no account to be published or disclosed or used for any other purpose than review by the client.
Altus accepts no liability for the misuse of a draft report.
Amendments to the report may be considered if new information subsequently comes to light, although additional fees may accrue in the
analysis of this information.
If within one week of delivery of the draft PDF there have been no further comments or queries, the author and Altus Group considers
this as The City of Edmonton’s tacit approval of the contents and opinions expressed therein and the final report will be issued
accordingly.
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The highest and best use of both land as though vacant and the property as developed must meet four
criteria. The highest and best use must be:
Physically Possible: The size, shape, terrain and soil conditions of a parcel of land
affect its physical utility and adaptability. The size, design and condition of an improved
property may suggest that rehabilitation, conversion or demolition is in order
Legally Permissible: Depends on public restrictions such as zoning, building codes,
historic preservation regulations and environmental controls, as well as the private or
contractual restrictions found in deeds and long-term leases

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Financially Feasible: Uses that should produce returns that exceed the income
required to satisfy operating expenses and debt service (interest and amortization)

Maximum Return: Among financially feasible uses, the use that produces the highest
price or value consistent with the rate of return warranted by the market.
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Fee Simple 2
An interest consisting in absolute ownership unencumbered by any other interest or estate, subject only
to the limitations imposed by the governmental powers of taxation, expropriation, police power and
escheat.

1
Canadian Uniform Standards of Professional Appraisal Practice, Appraisal Institute of Canada. 2020. Section 3.30
2
The Appraisal of Real Estate: 3rd Canadian Edition. Vancouver. University of British Columbia Real Estate Division. 2010.
Section 6.2

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Leased Fee 3
An ownership interest held by the landlord with the rights of use and occupancy conveyed by the lease to
others. The rights of the lessor (the leased fee owner) and the leased fee are specified by contract terms
contained with the lease.

Leasehold 4
The interest held by the lessee (the tenant or renter) through a lease conveying the rights of use and
occupancy for a stated term under certain conditions.

Market Value
Market Value is defined by the Appraisal Institute of Canada in the Canadian Uniform Standards of
Professional Appraisal Practice as:

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“The most probable price, as of a specified date, in cash, or in terms equivalent to cash, or in
other precisely revealed terms for which the specified property rights should sell after reasonable
exposure in a competitive market under all conditions requisite to a fair sale, with the buyer and
seller each acting prudently, knowledgeably, and for self-interest, and assuming that neither is
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under undue duress.” 5
Appendix B Visual Identification
Implicit in this definition are the consummation of a sale as of a specified date and the passing of title
from seller to buyer under conditions whereby:
Photographs of Subject Property
► buyer and seller are typically motivated;
► both parties are well informed or well advised, and acting in what they consider their best Municipal Map
interests;
► a reasonable time is allowed for exposure in the open market;
► payment is made in terms of cash in Canadian dollars or in terms of financial arrangements
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comparable thereto; and
► the price represents the normal consideration for the property sold, unaffected by special or
creative financing or sales concessions granted by anyone associated with the sale.

Exposure Time
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Exposure Time is an estimate of the length of time that the property interest being appraised would have
been offered on the market before the hypothetical consummation of a sale at the estimated value on the
effective date of the appraisal.

Exposure Time is a retrospective estimate based upon experience and the opinions gathered from real
estate brokers active in the field. The estimate of time period for reasonable exposure is not intended to
be a prediction, but is an estimate of the amount of time that the property would have required to be
exposed for sale on the open market in an appropriate manner, and using an experienced broker.

3
The Appraisal of Real Estate: 3rd Canadian Edition. Vancouver. University of British Columbia Real Estate Division. 2010. Section
6.4
4
Ibid.
5
Canadian Uniform Standards of Professional Appraisal Practice, Appraisal Institute of Canada. 2020. Section 3.44

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Photographs of Subject Property Photographs of Subject Property

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Subject Exterior – South Elevation Subject Exterior – East Elevation Interior View – Display Area Interior View – Display Area
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Subject Exterior – South Elevation Subject Exterior – South & West Elevation Interior View – Restoration Area Interior View – Cadet / Hall Area
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Subject Exterior – West Elevation Subject Exterior – North Elevation Interior View – Mechanical Room Interior View – Standard Classroom

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Municipal Map

Subject

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Appendix C Comparable Lease Data
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Source: The City of Edmonton

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Lease Comparables - As Is Value Lease Comparables - Scenario 1 & 2

Lease Type District / Node Incentives¹ Lease Type District / Node Incentives¹
Lease Area (Approx.) Building Type Leasing Y1 Base Rent² NER Office Ratio Lease Area (Approx.) Building Type Leasing Y1 Base Rent² NER Office Ratio
Index Start Date Lease Term (Months) Tenant Type Total Exp. Avg. Y1-5 Rent GER Building Type Clear Height Index Start Date Lease Term (Months) Tenant Type Total Exp. Avg. Y1-5 Rent GER Building Type Clear Height

1 Q4 2018 New Lease (Net) - - $5.00 - Warehouse / Distribution - 1 Q2 2020 Renewal (Net) - $3.81 $7.50 $6.50 Warehouse / Distribution -
55,000 Warehouse / Distribution $1.75 $5.40 - - 90,000 Warehouse / Distribution $0.50 $7.60 $8.05 28 ft
120 - - 60 - $1.55

2 Q2 2020 New Lease (Net) - $2.62 $4.45 - Warehouse / Distribution 5% 2 Q1 2022 New Lease (Net) - $7.12 $7.50 $5.74 Warehouse / Distribution -
55,000 Warehouse / Distribution $1.00 $4.45 - 28 ft 50,000 Warehouse / Distribution $2.84 $7.50 $9.71 28 ft
60 - - 120 - $3.97

3 Q1 2020 New Lease (Net) - - $2.50 - Manufacturing - 3 Q4 2020 New Lease (Net) - - $6.00 - Warehouse / Distribution 15%
25,000 Manufacturing $1.75 $2.80 - 24 ft 40,000 Warehouse / Distribution $1.00 - - 14 ft - 21 ft
96 - - 12 - -

4 Q1 2015 New Lease (Net) - - $4.34 $4.54 Freezer / Refrigeration - 4 Q4 2018 New Lease (Net) - - $5.00 - Warehouse / Distribution -
65,000 Freezer / Refrigeration $1.00 $4.34 $4.54 18 ft - 32 ft 55,000 Warehouse / Distribution $1.75 $5.40 - -
359 - - 120 - -

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5 Q4 2018 New Lease (Net) - - $3.00 $4.87 Warehouse / Distribution - 5 Q2 2020 New Lease (Net) - $2.62 $4.45 - Warehouse / Distribution 5%
25,000 Warehouse / Distribution $1.00 $4.20 $9.21 - 55,000 Warehouse / Distribution $1.00 $4.45 - 28 ft
120 - $4.34 60 - -

6 Q2 2011 New Lease (Net) - - $4.25 $3.40 Warehouse / Distribution 10% 6 Q4 2021 Renewal (Net) - - $6.50 $6.82 Warehouse / Distribution 11%
65,000 Warehouse / Distribution $1.00 - $3.40 24 ft 90,000 Warehouse / Distribution $1.00 $6.90 $11.34 28 ft
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15 - - 84 - $4.52

7 Q2 2010 New Lease (Net) - - $5.75 $5.43 Manufacturing 0% - 10% 7 Q2 2020 New Lease (Net) - - $5.75 $5.44 Warehouse / Distribution -
70,000 Manufacturing $1.00 - $9.01 20 ft - 30 ft 50,000 Warehouse / Distribution $1.00 - $9.80 -
37 - $3.58 46 - $4.36

8 Q1 2010 Renewal (Net) - - $4.85 $5.08 Warehouse / Distribution - 8 Q2 2021 New Lease (Net) - $2.83 $7.25 $6.37 Warehouse / Distribution 0% - 4%

65,000 Warehouse / Distribution $0.50 $5.25 $7.63 0 ft - 28 ft 55,000 Warehouse / Distribution $1.00 $7.35 $9.80 0 ft - 28 ft

60 - $2.55 60 - $3.43

9 Q1 2010 New Lease (Net) Edmonton - $4.00 $4.19 Warehouse / Distribution 5% 9 Q3 2019 New Lease (Net) - $1.97 $7.75 $7.13 Warehouse / Distribution -

15,000 Warehouse / Distribution $1.00 $4.50 $6.19 22 ft 70,000 Warehouse / Distribution $1.00 $7.90 $10.49 28 ft

60 - $2.00 60 - $3.36

10 Q1 2010 New Lease (Net) - $4.75 $4.76 Warehouse / Distribution 20% 10 Q2 2019 Renewal (Net) - - $7.25 $7.06 Warehouse / Distribution 4%
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75,000 Warehouse / Distribution $1.00 $5.04 $4.76 22 ft 55,000 Warehouse / Distribution $0.50 - $10.42 28 ft

60 - - 36 - $3.36

11 Q3 2019 Renewal (Net) - $1.00 $8.50 $7.64 Warehouse / Distribution 7%

11 Q1 2010 New Lease (Net) - $2.89 $4.10 - Warehouse / Distribution 5%
85,000 Warehouse / Distribution $0.50 - $11.63 28 ft
55,000 Warehouse / Distribution $1.75 $4.40 - 24 ft
23 - $3.99
120 - -

12 Q3 2018 Renewal (Net) - - $5.00 $5.32 Manufacturing -

12 Q4 2009 New Lease (Net) - - $4.00 - Transportation Repair Facili -
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100,000 Manufacturing $0.50 $5.50 $5.32 -
70,000 Transportation Repair Facility $1.00 $4.00 - 0 ft - 35 ft
60 - -
60 - -

13 Q1 2020 New Lease (Net) - $5.00 $8.50 $7.34 Warehouse / Distribution 10%
13 Q3 2007 New Lease (Net) - - $4.65 - Warehouse / Distribution -
110,000 Warehouse / Distribution $2.50 $8.50 $10.55 28 ft
85,000 Warehouse / Distribution $2.50 $4.95 - -
123 - $3.21
123 - -
MINIMUM - YEAR 1 BASE RENT $4.45 MINIMUM - YEAR 1 BASE RENT
14 Q3 2018 Renewal (Net) - - $5.00 $5.32 Manufacturing - MAXIMUM - YEAR 1 BASE RENT $8.50 MAXIMUM - YEAR 1 BASE RENT
100,000 Manufacturing $0.50 $5.50 $5.32 - AVERAGE - YEAR 1 BASE RENT $6.69 AVERAGE - YEAR 1 BASE RENT
60 - - ¹ Total Incentives do not include Landlord's Work.
² Represents Year 1 Face Rent net of applicable operating costs for gross and semi-gross leases.

15 Q3 2018 New Lease (Net) Edmonton - $6.50 - Warehouse / Distribution 6%

100,000 Warehouse / Distribution $1.75 $6.75 $2.59 22 ft - 28 ft
72 - -

MINIMUM - YEAR 1 BASE RENT $2.50

MAXIMUM - YEAR 1 BASE RENT $6.50
AVERAGE - YEAR 1 BASE RENT $4.48
¹ Total Incentives do not include Landlord's Work.
² Represents Year 1 Face Rent net of applicable operating costs for gross and semi-gross leases.

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Lease Comparables - Scenario 3 - Warehouse / Distribution Lease Comparables - Scenario 3 - Suburban Office
Lease Type District / Node Incentives¹
Lease Type District / Node Incentives¹
Lease Area (Approx.) Building Type Leasing Y1 Base Rent² NER Office Ratio
Index Start Date Lease Term (Months) Tenant Type Total Exp. Avg. Y1-5 Rent GER Building Type Clear Height
Lease Area (Approx.) Building Type Leasing Y1 Base Rent² NER
Index Start Date Lease Term (Months) Tenant Type Total Exp. Avg. Y1-5 Rent GER Building Type
1 Q1 2021 Renewal (Net) - - $12.00 $11.48 Warehouse / Distribution -
5,500 Warehouse / Distribution $0.50 - $17.15 20 ft 1 Q2 2021 Renewal (Net) Suburban Edmonton / South Side - $13.00 $12.71 Class A
12 - $5.67 1,500 Class A $1.50 $13.10 $27.72
60 Hi Tech & Telecommunications $15.01
2 Q1 2021 Renewal (Net) - - $10.00 $9.71 Warehouse / Distribution -
4,500 Warehouse / Distribution $0.50 $10.07 $9.71 13 ft
2 Q4 2020 Renewal (Net) - - $15.00 $14.62 Class B
76 - -
700 Class B $1.50 $15.00 $14.62
3 Q3 2021 Renewal (Net) - - $11.00 $11.30 Warehouse / Distribution - 60 Other - See Comments -
20,000 Warehouse / Distribution $0.50 $11.00 $11.30 -
120 - - 3 Q4 2019 New Lease (Net) - - $15.00 $15.28 Class B
20,000 Class B $3.00 $15.00 $15.28
4 Q3 2020 New Lease (Net) - - $10.00 $9.45 Warehouse / Distribution -
120 Other - See Comments -
5,000 Warehouse / Distribution $1.00 - $13.94 24 ft - 28 ft
24 - $4.49
4 Q3 2020 New Lease (Net) - - $12.00 $11.58 Class B
5 Q1 2021 Renewal (Net) - $2.00 $9.50 $9.14 Warehouse / Distribution 0% - 20% 5,000 Class B $3.00 $12.40 $11.58
30,000 Warehouse / Distribution $0.50 $9.80 $15.15 0 ft - 26 ft 60 Other - See Comments -
60 - $6.01

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5 Q1 2020 New Lease (Net) - - $14.00 $12.85 Class B
6 Q4 2020 New Lease (Net) - - $9.50 $7.30 Warehouse / Distribution -
15,000 Warehouse / Distribution $1.00 - $11.84 25 ft 8,500 Class B $3.00 - $12.85
24 - $4.54 36 Unknown -

7 Q3 2020 Renewal (Net) - - $11.00 $10.11 Cross Dock 18% 6 Q3 2020 Renewal (Net) - - $14.00 $13.96 Class B
65,000 Cross Dock $0.50 - $13.96 24 ft
1,500 Class B $1.50 $14.40 $13.96
36 - $3.85
60 Other - See Comments -
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8 Q1 2020 Renewal (Net) - - $12.00 $11.48 Warehouse / Distribution -
5,500 Warehouse / Distribution $0.50 - $16.35 20 ft 7 Q3 2019 New Lease (Net) - - $16.00 $15.84 Class A
12 - $4.87 2,500 Class A $3.00 $16.00 $31.83
84 Law $15.99
9 Q4 2019 New Lease (Net) - - $11.00 - Manufacturing 10%
35,000 Manufacturing $1.00 $11.00 - 30 ft
8 Q3 2020 New Lease (Net) - - $17.00 $16.24 Class A
60 - -
4,000 Class A $3.00 $17.00 $30.52
10 Q3 2020 Renewal (Net) - - $12.00 $11.29 Warehouse / Distribution 0% - 20% 60 Government $14.28
10,000 Warehouse / Distribution $0.50 $12.20 $15.25 0 ft - 28 ft
60 - $3.96 9 Q3 2019 New Lease (Net) - - $16.00 $16.28 Class A
7,000 Class A $3.00 $16.00 $32.15
11 Q3 2020 New Lease (Net) - - $9.75 $9.92 Warehouse / Distribution -
7,000 Warehouse / Distribution $1.75 $9.95 $15.18 24 ft
120 - $15.87
120 - $5.26
10 Q3 2019 Renewal (Net) - - $15.00 $14.62 Class B
12 Q3 2021 New Lease (Net) - - $10.00 $9.54 Warehouse / Distribution 20% 1,500 Class B $1.50 $15.00 $14.62
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10,000 Warehouse / Distribution $1.00 $10.00 $14.66 26 ft
60 Insurance -
60 - $5.12

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11 Q3 2019 Renewal (Net) - - $15.00 $14.62 Class B
Q1 2020 New Lease (Net) - - $9.75 $10.13 Warehouse / Distribution -
20,000 Warehouse / Distribution $1.75 $10.05 $10.13 24 ft - 28 ft 3,500 Class B $1.50 $15.00 $14.62
120 - - 60 Real Estate & Pension -

14 Q3 2019 New Lease (Net) - $15.16 $12.50 $8.50 Warehouse / Distribution - 12 Q3 2019 Renewal (Net) - - $15.00 $14.62 Class B
20,000 Warehouse / Distribution $1.75 $12.70 $12.40 24 ft - 28 ft
2,500 Class B $1.50 $15.00 $14.62
84 - $3.90
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60 Resources -
MINIMUM - YEAR 1 BASE RENT $9.50 MINIMUM - YEAR 1 BASE RENT
MAXIMUM - YEAR 1 BASE RENT $12.50 MAXIMUM - YEAR 1 BASE RENT
13 Q4 2019 Renewal (Net) - - $16.00 $15.62 Class B
AVERAGE - YEAR 1 BASE RENT $10.71 AVERAGE - YEAR 1 BASE RENT
1,500 Class B $1.50 $16.00 $15.62
60 - -

MINIMUM - YEAR 1 BASE RENT $12.00 MINIMUM - YEAR 1 BASE RENT

MAXIMUM - YEAR 1 BASE RENT $17.00 MAXIMUM - YEAR 1 BASE RENT
AVERAGE - YEAR 1 BASE RENT $14.85 AVERAGE - YEAR 1 BASE RENT

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