In a significant move to bolster Calgary’s economic landscape, the City of Calgary and Rockyview County have formalised an agreement aimed at expediting the Prairie Economic Gateway project, a multi-billion-pound logistics hub set to rise on the city’s southeastern outskirts. Announced on Tuesday, the memorandum of understanding (MOU) involves collaboration with the Canada Infrastructure Bank (CIB) and seeks to accelerate the transition from design to construction for this ambitious inland port project.
A Vision for Growth
The Prairie Economic Gateway is planned to occupy 1,300 acres along 114 Avenue S.E., representing a strategic partnership between Calgary and Rockyview County. Once realised, it is poised to become one of Canada’s largest trade, logistics, and manufacturing centres, with the Canadian Pacific Kansas City (CPKC) rail network serving as a key anchor.
Oyin Shyllon, the project manager for the City of Calgary, described the agreement with the CIB as “very significant” in transforming a conceptual vision into tangible progress. “This is about moving from regional potential into coordinated action,” he remarked. Shyllon also emphasised that the agreement reflects a growing confidence in Calgary’s economic trajectory.
Framework for Infrastructure Development
The recently signed MOU establishes a framework for assessing the commercial, technical, and financial feasibility of necessary off-site public infrastructure to facilitate future development. According to Ben Manshanden, Rockyview County’s manager of intergovernmental services and economic development, the CIB’s expertise provides a robust foundation for due diligence, ensuring that all stakeholders can proceed with confidence.
This latest agreement builds on a previous MOU signed in early 2025, which explored the CIB’s potential role in the project. Calgary Mayor Jeromy Farkas highlighted the importance of this collaboration in finalising the infrastructure investments essential to unlocking new opportunities for trade, logistics, and industrial development. “This agreement is crucial for creating jobs and enhancing Calgary’s competitive edge,” he stated.
Infrastructure Plans and Timeline
The infrastructure required for the Prairie Economic Gateway is anticipated to be developed between now and 2031, encompassing improvements to water, wastewater, stormwater management, roads, and emergency response systems. Initial projects include a stormwater trunk scheduled for completion by 2028 and a 10.6-kilometre feeder main expected to be operational by 2029. However, timelines for road enhancements along 114 Avenue and Glenmore Trail are still pending confirmation.
While the costs associated with these off-site projects are expected to be partially borne by municipal taxpayers, the precise financial details will be debated by city council in November during discussions on the upcoming four-year budget.
Economic Impact and Job Creation
Project officials assert that public investment in the Prairie Economic Gateway will yield considerable returns, with estimates suggesting it could generate over £7 billion in economic activity and create upwards of 30,000 jobs in the Calgary region over the next decade. Shyllon noted that for every pound invested, there could be a return of approximately £8.90 to £9 in private investment, underscoring the project’s potential as a catalyst for further economic development. “Without the major road network and underlying water infrastructure, these developments can’t happen,” he added.
The Calgary Chamber of Commerce expressed support for the MOU, anticipating that the logistics hub will effectively alleviate “bottlenecks” in the supply chain that have plagued many businesses. Ruhee Ismail-Teja from the Chamber highlighted that nearly 40 per cent of its member businesses have been affected by supply chain issues, with one in six reporting that these challenges have stunted their growth. “Having a real plan to address the structural issues is crucial for moving us forward,” she stated.
Looking Ahead
Officials aim to have the first phase of the Prairie Economic Gateway operational by 2031, with preliminary construction on enabling infrastructure expected to commence next year. Future phases of the project will depend on market demand and uptake, indicating a flexible approach to development.
The agreement paves the way for a transformative project that not only sets the stage for enhanced logistics and trade capabilities in Calgary but also signals a collaborative effort to address pressing economic challenges faced by the region.
Why it Matters
The establishment of the Prairie Economic Gateway is more than just a logistical advancement; it represents a strategic investment in Calgary’s economic future. As the region grapples with ongoing supply chain challenges, this initiative promises to create thousands of jobs and generate substantial economic activity. By fostering collaboration between key stakeholders, Calgary and Rockyview County are not merely laying the groundwork for a physical infrastructure project but are also reinforcing their commitment to building a resilient and competitive economic framework. The success of the Prairie Economic Gateway could serve as a model for similar initiatives across Canada, illustrating the importance of strategic partnerships in achieving long-term growth and sustainability.