Sidney Crossing, a proposed retail development at the intersection of Pat Bay Highway, Beacon Avenue and Sterling Way has been cancelled due to rising construction costs.

Omicron Development Inc., the company behind the project called the decision to halt the project an “unfortunate” one that was difficult to make and is “very disappointing.”

“The approvals necessary for this project regrettably took longer than any of us anticipated, resulting in a significant escalation of development costs,” Omicron CEO Bill Tucker said in a statement.

RELATED: Sidney Crossing development could break ground this summer

Sidney Crossing was a proposed 100,000-square-foot commercial retail centre slated for 10 acres of land controlled by the Victoria Airport Authority across from the Mary Winspear Centre. In 2015, the VAA offered the land up for development opportunities but many in the Town of Sidney opposed the project, citing its negative impact on businesses in the downtown core.

The project was eventually given the green light and expected to begin work at the start of summer 2018 with a projected completion in the spring of 2019.

RELATED: Sidney Crossing development plans with the Town for review

But, coupled with construction costs, a pedestrian overpass was also required in order to rezone the land and according to Omicron, “an acceptable cost sharing agreement” wasn’t able to be reached.

“The Town of Sidney, Victoria Airport Authority, and the community dedicated a significant amount of time to ensuring that Sidney Crossing met the expectations and needs of the community,” Tucker said, adding the outcome is not one that any parties involved foresaw.

– With files from Steven Heywood

kristyn.anthony@blackpress.ca

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Sidney Crossing