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EDMONTON – Edmonton’s Subdivision and Development appeal board turned down the development application for a proposed strip club downtown.

After roughly two hours of deliberation on Thursday, the appeal of the development approval given to Crazy Horse Gentleman’s Club Ltd. was accepted, meaning the application to turn a heritage building into a strip club would not go forward.

“We’re, I think for the most part, gratified that the board saw in our favour,” said Brad Smith, with Canapen Group, which owns the Phipps-McKinnon Building downtown.

“It’s a vindication of the broad coalition that came together to say ‘look, this was just wasn’t something that the renaissance of downtown should have.’”

“The biggest concern was just loss of value to our property, and the associated potential escalation in crimes, and the perception that it might not be a desired location to continue having business tenants occupy the downtown core,” explained Smith.

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In September, the City approved a development permit for the Crazy Horse Gentleman’s Club in the historic, 114-year-old Canada Permanent Building on 100 Street, which is next to the McLeod Building, a condo that is home to about 100 residents.

Residents appealed the application decision, with 86 of them signing a petition against the development.

“There are families that live in the building,” said Patrick Tracy, an Edmonton police officer and resident of the McLeod Building.

“Regardless of the fact that this is a legitimate business that deserves to be somewhere, right next door to a residence that shares a common wall is unacceptable.”

The applicant said he wants to be part of the positive revitalization of the downtown core, and is willing to work with all parties, but understands the opposition.

“I completely understand. It’s a sensitive issue,” said Ian Allen, owner of Crazy Horse Gentleman’s Club Ltd. “Regardless of our entertainment – that shouldn’t be a deciding factor… As an entertainment district, this is a downtown core, and it’s something that’s needed in the marketplace.”

He stressed the safety concerns brought up in the hearing are unfounded.

“Any bar that’s operated poorly will generate crime or drugs. It’s up to the operator to be competent and run their bar property and then these things don’t exist.”

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Allen said he had plans to install security cameras around the club and add additional lighting.

“We can’t operate a solid business if we don’t have a secure place.”

During the appeal hearing, he explained the first floor would house a club area, the second floor would have eight dance rooms, and the third floor would be an office area.

Originally, owners of the Crazy Horse Gentleman’s Club Ltd. wanted to move into the basement of the New Cambridge Lofts at 10024-Jasper Avenue, but condo owners circulated a petition and stopped the strip club from opening up shop in the bottom level of their building.

The club owners then moved their application across the alley to the Canada Permanent Building.

The province bought the Canada Permanent Building in 1980 to save it from demolition. It is now listed as an “A-list” historic building in Edmonton’s registry.

“It’s a beautiful building, it’s over 110-years old,” said Allen. “It hasn’t had anything in there for years, it’s around all the hotels, it’s around all the bars. It’s something that needs to happen. We have Sherlocks, we have 100 club, but we don’t have a really top end gentleman’s club.”

“The reason we brought it down here is because it’s lacking in this marketplace… it’s a good district to be in.”

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However, many groups at the hearing felt the district wasn’t a good fit for the proposed club.

“We’re trying to help revitalize downtown Edmonton – that matters to us,” said Dean Wulf, the director of real estate management for Oxford Properties. “Oxford has had 53 years of history here.”

Oxford Properties is planning to invest $30 million to improve City Centre Mall.

“We look very carefully as to where we’re going to spend that kind of money. We want that to pay off in all ways possible. So we’re going to look at that and say ‘what’s the best place?’ If we have increased crime in a downtown that already has a fair amount of crime, then it might not be the best place to spend our money.”

Following the appeal board’s ruling, the manager of the city’s planning branch explained why the initial development application was approved.

“We’ve looked at the decision that was made,” said Scott Mackie. “It was a good sound decision on the basis of the information and the context that the planner looked at.”

“When a particular planner takes a look at an application, they assess the application on its own merit, they look at what the applicant has submitted and that provides them with a bit of a context. Sometimes it’s a matter of looking beyond that context, I guess,” added Mackie.

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“Certainly, hearing from the various business owners and community representatives may have opened up that decision to additional factors.”

“Downtown is a good place for entertainment establishments,” he added. “There’s a little bit of context here in terms of it is adjacent to a residential building.”

Mackie said there needs to be a conversation with city council about bylaws in certain zones.

“The zoning bylaw right now in some zones puts more restrictions on nightclubs that don’t exist in this particular zone.”

Allen can appeal this decision should he decide to do so.

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