Rubydale Asphalt Works was given the go-ahead to build a gravel lane north of 58 Avenue in the Hazelwood Estates subdivision behind six residential lots.
At its Oct. 22 meeting, council voted unanimously to spend $44,000 from the Land Acquisition/Servicing Reserve on the road, which was approved in the subdivision plans but was not part of the 2012 operating or capital budgets.
Tagish Engineering obtained two estimates for the 75-m road. AIC Construction bid $47,208.92, while Rubydale's submission was $39,298.07. Engineering costs were calculated at 10 per cent of the construction value.
“Eventually lot sales from that area would go back and replenish that reserve for this expenditure,” said Craig Teal, director of planning and development for the town. “When Malibu Communities goes to develop there will be further lots that also benefit from this further infrastructure they're putting in.”
While originally administration thought the project could be completed within three to four weeks, the recent winter weather has put that projection in doubt.
“There is still a chance Rubydale could go in and get it constructed (before winter),” Teal said.
The town acquired three of the six 58 Avenue lots from Malibu Communities and has sold two so far.
Two years ago the town purchased 51 residential lots in the Hazelwood Estates subdivision. A spring promotion had offered residents a $5,000 discount for single-family lots purchased before June 1.