Recommended Bid for the Chatham-Kent Community Hub Project Comes in Under Budget

Chatham-Kent Council will be voting on the tender award for the Chatham-Kent Community Hub (CKCH) project, with the recommended bid for construction services coming in below original cost estimates.

Following a competitive procurement process, Fortis Construction Group Inc., based in Tecumseh, Ontario, is being recommended to lead construction of the CKCH at the former Sears building in downtown Chatham. The total construction services contract, valued at $39,280,323 (including HST rebate), comes in under the previously projected budget. The initial budget estimation for construction was $42,920,000. There are significant contingency funds included in the tender to budget for the unexpected. The construction services contract bid excluding contingency funds and taxes is $35,200,946.

The overall project budget remains at $52.8 million including over $7 million of contingency funds that are best practice for project of this size, which aligns with the cost estimate presented to Council in May 2025. The funding plan ensures should Council vote to move forward, that the project will proceed without requiring any related property tax increases. This budget includes contingencies for tariff impacts.

Funding for the project will come from a combination of property sales, reserves, development charges, and a debenture, with no additional tax levy increases required. There is a strong potential of donations and naming rights attracted to this project to further support and reduce the final debenture required. In the current funding model, $0 donations or naming rights have been included.

“We’re committed to ensuring this project proceeds in a financially responsible manner, so seeing the recommended bid come in under budget is extremely exciting,” said Mayor Darrin Canniff. “This project is one of the most significant investments in our community’s future, and it’s something we’ve been saving for for many years. We can't afford to not do this; the alternative options are more expensive and don't offer nearly as many benefits to the community. I am committed to seeing this project progress responsibly, sustainably, and for the betterment of all of Chatham-Kent.”

Should Council award the tender, construction is expected to begin in December 2025 with completion anticipated in early 2028. Once open, the Hub will not only serve as a central destination for civic and cultural services but will also support the Municipality’s Asset Management Plan by replacing aging facilities and reducing long-term infrastructure costs.

The Chatham-Kent Community Hub will bring together a new Civic Centre, Library, and Museum under one roof, consolidating municipal services into a modern, accessible, and energy-efficient facility. The project is designed with a strong focus on accessibility, inclusivity, enhanced services, and community input, reflecting feedback gathered during public consultations.