Fredericton's Knowledge Park seeks new owner
Federal, provincial governments pulled funding for Enterprise Fredericton
A cluster of buildings in Fredericton, known as the Knowledge Park, is now looking for a new owner after the federal and provincial governments pulled their funding from the former owner.
The Knowledge Park was set up 14 years ago to rent office space to technology companies coming to the capital city.
The company was established as a private, for-profit entity, but it was owned by the non-profit Enterprise Fredericton.
Enterprise Fredericton, however, was funded by the federal, provincial and municipal governments.
In May, the federal government announced it was eliminating its annual operational funding to all regional economic development groups in the Atlantic provinces through the Atlantic Canada Opportunities Agency.
Last fall, the provincial government also decided to pull its funding from the enterprise agencies.
Larry Shaw, the park’s chief executive officer, said it's business as usual for the company even though it will soon be without an owner.
"The only question that has to be resolved is what is the ongoing ownership of the Knowledge Park. It's not a question of our mandate, it's not a question of our viability or what we do as an organization," he said.
Fredericton city hall is talking to the two other municipalities that funded Enterprise Fredericton — Oromocto and New Maryland — about taking over the Knowledge Park.
The Knowledge Park has about $18 million in debts, but has made money in recent years and has $35 million in assets.
Frank Flanagan, a representative from Fredericton on the park's board, said various options are now being investigated.
"We're going through due diligence with all of those partners and looking at the scenarios, ramifications, implications of a transfer," he said.