In a significant advancement for Calgary’s future as a logistics hub, the city and Rockyview County have formalised an agreement aimed at expediting the Prairie Economic Gateway project. This ambitious initiative, which is poised to become a multi-billion dollar logistics centre, is set to rise on the southeastern outskirts of Calgary, covering a vast 1,300 acres along 114 Avenue S.E. The memorandum of understanding (MOU) announced on Tuesday involves collaboration between the two municipalities and the Canada Infrastructure Bank (CIB), with the goal of transitioning swiftly from design to construction.
Transforming Vision into Reality
The Prairie Economic Gateway, often referred to as an “inland port”, is strategically positioned to become one of Canada’s largest trade, logistics, and manufacturing hubs. It will be integrated with the Canadian Pacific Kansas City (CPKC) rail network, enhancing Calgary’s connectivity and trade capabilities. Oyin Shyllon, the city’s project manager, highlighted the significance of the agreement with the CIB, stating, “It’s about progression. This is about moving from regional potential into coordinated action.” His comments underscore the momentum that this partnership represents for Calgary’s economic landscape.
The new MOU builds on a previous agreement made in early 2025, which initiated discussions around the CIB’s involvement in the project. According to Ben Manshanden, Rockyview County’s manager of intergovernmental services and economic development, the CIB brings invaluable expertise to the table. He described it as “the gold standard of due diligence,” providing all stakeholders with the reassurance needed to move forward confidently.
Infrastructure Development Timeline
The agreement lays out a framework for assessing the feasibility of essential public infrastructure required for the project, including water, wastewater, stormwater management, and road improvements. Calgary Mayor Jeromy Farkas expressed optimism about the potential outcomes, noting that the infrastructure investments will unlock new industrial and trade opportunities, create jobs, and bolster Calgary’s competitive edge.
The infrastructure is expected to be developed between now and 2031, with initial projects aiming for completion in the coming years. Notably, plans are in place for a stormwater trunk to be operational by 2028 and a 10.6-kilometre feeder main to be completed by 2029. However, details regarding the timeline for road improvements on 114 Avenue and Glenmore Trail remain under discussion.
Funding for these off-site projects will involve contributions from municipal taxpayers, though specifics regarding the financial implications will be addressed in November during the city council’s four-year budget deliberations.
Economic Impact and Job Creation
Officials estimate that the Prairie Economic Gateway will yield substantial economic benefits, projecting over $7 billion in economic activity and the creation of more than 30,000 jobs over the next decade. Shyllon emphasised the high return on public investment, asserting, “Every dollar is going to generate at least $8.90, or roughly nine dollars of private investment. It is the catalyst, it’s what gets things going.” He asserted that without the foundational infrastructure, the anticipated developments could not materialise.
The Calgary Chamber of Commerce has welcomed the news, seeing the logistics hub as a vital solution to persistent supply chain bottlenecks that have affected nearly 40 per cent of its member businesses. Ruhee Ismail-Teja from the chamber remarked on the ongoing challenges posed by supply chain issues, stating that the new plan offers a concrete strategy to alleviate these structural problems.
Looking Ahead to 2031
As project officials aim to have the first phase operational by 2031, they plan to commence work on the enabling infrastructure as early as next year. The subsequent phases of the Prairie Economic Gateway will be contingent on market demand and uptake, ensuring that the project evolves in line with regional economic needs.
The cooperative agreement between Calgary and Rockyview County represents a pivotal step in the evolution of the region’s logistics capabilities, promising to redefine the landscape of trade and commerce in the area.
Why it Matters
The development of the Prairie Economic Gateway is more than just a logistical project; it signifies a transformative shift for Calgary and Rockyview County. By investing in infrastructure and fostering collaboration, the agreement not only promises to enhance regional economic growth but also aims to address long-standing supply chain challenges. As Calgary positions itself as a central hub for trade, this project has the potential to create thousands of jobs and attract significant private investment, thereby shaping the economic future of the region for years to come.