Fredericton city council rejected an application to rezone the former Canadian Tire location on Main Street for industrial use at its meeting on Monday night.
U-Haul wanted to buy the property for an operation that included self-storage, but the proposal ran into opposition from the city's planning advisory committee and a northside business group opposed the application.
The project was rejected at Monday night’s city council meeting.
Bruce Bennett, the president of U-Haul Company of AtlanticCanada, said the politicians made the wrong move.
But Bennett refused to offer further comment, saying the company has business decisions to make first.
While the company is frustrated by the decision, a business group is applauding the move.
Trina MacDonald, the general manager of Business Fredericton North Inc., said she is happy with council's decision.
"I think a clear message was sent last night by city council — the majority of city councillors — and we're really pleased, that Main Street is not the location for industrial uses fronting that street and there might be a need for some compromise for anyone that is looking to take on that property," she said.
MacDonald said her group is still hoping someone will buy the property in the next year, which has been vacant for about eight years.
Coun. Mike O’Brien told the meeting he's heard of potential interest and hopes there will be a new business there within the next couple of years.