Spruce Grove is rolling out a new tax break to help property owners pay for major repairs and upgrades on commercial buildings downtown. City Council approved the plan on June 22, 2026, and it focuses on bigger redevelopment projects worth at least a million dollars.
The City Centre Tax Incentive Program will let owners reduce the municipal part of their property taxes once their project is finished. The length of the tax break depends on how much they spend: up to five years for projects between $1 million and $4,999,999.99, up to seven years for $5 million to $10 million, and up to ten years if the cost goes above $10 million.
The program only applies to properties along McLeod Avenue and First Avenue between King Street and Calahoo Road. Those two areas make up the core of downtown, which the city has been working to bring back to life through its long-term downtown redevelopment plan approved back in 2020.
“The incentive would be performance-based and there would be no abatement provided unless the project proceeds,” the city said in a statement. It is also important to note the tax break applies only to the municipal portion of taxes, not the provincial school tax. The idea came out of a 2025 study by MXD Development Strategists that looked at what other municipalities were doing to attract private investment downtown.
The bylaw remains in effect for five years from the date it was signed. Property owners or developers interested in applying can reach Economic Development Specialist Jodi Fulford at [email protected].
