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The heads of the Brandt Group of Companies and Canadian Western Agribition tried to put to rest fears about the future of the event in Regina, as they announced a new investment by Brandt on Friday.
An $8.5 million structure will be built on the north side of the REAL District, attached to the Bunge International Trade Centre, to accommodate cattle that have been housed in the Canada Centre Building during past events. The cattle are being displaced as Brandt takes over the Canada Centre, which is also known as the Avana Centre.
Read more:
- Agribition promises event ‘on par or better’ despite changes to REAL District
- What’s in the Brandt-REAL deal? Breaking down the agreement
- Renderings reveal vision for Regina’s Brandt Centre, other REAL facilities
“One of the things that we’ve really been focused on is that without livestock, there is no show and there is no Agribition,” Canadian Western Agribition CEO Shaun Kindopp said. “The livestock is who we are.”
Brandt owner Shaun Semple said the new 115,000-square-foot structure will actually mean a 37 per cent increase in space compared to the Canada Centre, and will be an insulated, heated, ventilated and fully-equipped facility to support livestock during Agribition and other major events.
“The addition of this new structure increases the footprint of the International Trade Center by approximately 66 per cent, creating a significantly more capable facility for Regina and for Saskatchewan,” Semple told reporters.
“The project represents an additional investment of more than $8.5 million, and above and beyond the commitments that Brandt’s already committed to to the city.”
Shaun Semple, owner of Brandt, answers reporters’ questions as Canadian Western Agribition president Karl Sauter (centre) and CEO Shaun Kindopp (right) look on. (Geoff Smith/980 CJME)
Due diligence continuing in Brandt’s purchase of some REAL assets
Following Regina City Council’s approval of an agreement to sell part of the REAL Distrct to Brandt, the two sides have been working out the details of the final agreement. Semple said he expects the deal to close by September 1.
“In my 42 years at Brandt, we’ve been through lots of acquisitions and lots of expansions and turnarounds. This is probably the most complex and challenging one that I’ve ever undertaken,” Semple said.
“Every week we undercover additional work that needs to be done. The investment required is proving to be significantly larger than we originally anticipated, and we have not yet completed our due diligence. This should tell everyone the magnitude of the challenge before us. It also reinforces why change was necessary.”
Semple also revealed a new rendering for the Canada Centre, as seen from Lewvan Drive. He says plans for the Queen City Distillers project have outgrown the Agribition Building, which will still be turned into an event venue.
The distillery itself will now be in housed the Canada Centre, along with offices for Brandt Sports and Entertainment, the division that includes the Regina Pats and Regina Red Sox.
A rendering shows the planned exterior of the Canada Centre building, as seen from Lewvan Drive. Shaun Semple said the building will house the distillery of Queen City Distillers, while the associated entertainment venue will still be located in the Agribition Building. (Brandt Group of Companies/Submitted)
Semple said his team has been working with REAL and uncovering a lot of unexpected issues with the REAL District properties involved in the sale.
“We were going to put $10 million into the Brandt Centre, $5 million into the rest, and then $8.5 million into the parking lot between the city and us,” he recounted.
“It’s probably double that. Immediate into the Brandt Centre, immediate to address specific things that need to be done, but there’s a lot.”
Semple said he believes the new investment for Agribition is above and beyond what other companies might do in the same circumstance.
The owner of Brandt also took issue with some of the reporting around agricultural groups that are losing their office space in the REAL District, such as the Saskatchewan Stock Growers Association and the Canadian Bison Association. Semple said Brandt has not yet taken possession of the facilities, and it is still REAL working with the tenants. He criticized the use of term “eviction,” which he says has not taken place.
“Eviction is a term when you’re paying your rent and you get evicted, and you have a valid lease and there’s no terms in the lease that give you notice,” he said.
“When you sign a lease and you have terms that are contemplated that give you 30 days’ notice to be out, why are those terms in a lease? They’re in the lease because there was another purpose for the building. That’s the long and short of it.”
Agribition in favour of new facility
Canadian Western Agribition president Karl Sauter said he believes the new structure will be an upgrade over the previous Canada Centre space.
“We’ve been very clear on what kind of level of quality this facility needs to have,” Sauter said.
“We need to maintain an experience, or better the experience, from what we had before. Canada Centre also had its challenges with flooring and stuff like that, with slippery floors.”
Sauter said Agribition staff worked hard to communicate the event’s needs to Brandt.
“This is going to be a purpose-built facility for us that will be an even better experience, I think, than the Canada Centre,” he said.
In response to questions about the number of wash racks available, Sauter said there are discussions to use available space in the Stockman’s Arena to replace the 30-head wash rack in the Canada Centre.
While Agribition is only committed to the REAL District for another two years, the new facility gives the organization some security as it looks to potentially extend that deal once it has the first show held in partnership with Brandt under its belt.
Kindopp said recent attention following the Brandt deal has prompted some phone calls from exhibitors, but he believes the announcement will give them some comfort.
“We’re committed to the show to the point that we’re going to head to Argentina here on the 17th to sign an MOU down there to recruit more incoming buyers,” he said.
“Everything that we do at Agribition revolves around our livestock exhibitors. It’s their livelihood. We want them to be able to continue to do business, and the international (business) is what we’re world-renowned for.”
Semple said agriculture is one of the most vital components of Brandt’s business, going all the way back to 1932, which is why he’s committed to agriculture being a continuing part of the REAL District.
“1932, we sold to farmers. We still sell to farmers today. We sell to farmers worldwide. We sell a lot of farmers in this province, so we’re committed to agriculture. I’d say stronger than a lot of other companies, because it is core to our business outside of this,” Semple said.
