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Businesses along Bernard Avenue will be getting a better deal from the city if they choose to construct sidewalk patios in front of their business.
City Council asked that a proposal presented a month ago proposing a three year fee structure be re-worked.
The original fee structure suggested businesses pay nothing the first year, 50 per cent of the suggested rate the second year and the full rate in the third year.
The fee structure would be reviewed after three years.
Council felt businesses should receive a better incentive up front and those that invested more should pay less.
The new proposal council will receive Monday allows for both.
Property manager, Rob Forbes, says the new proposal, approved by the Downtown Kelowna Association, would provide businesses with two years free rent for a sidewalk patio instead of one.
He says the third year would be at 50 per cent of the full rate while following years would be billed at the full rate.
"Once all block locations have reached 100 per cent of the proposed fee, future increases will be at the rate of inflation as determined by the BC All Items Consumer Price Index until 2020 after which the program will be re-evaluated and re-appraised," says Forbes in his report.
Along with the fee structure, Forbes says businesses will qualify for an additional break in their rent in the third year based on the total value of improvements.
- Patios constructed for more than $5,000 receive a 100 per cent reduction
- Patios that are constructed for more than $2,500 but less than $5,000 receive a 50 per cent reduction
- Patios that are constructed for less than $2,500 receive no rent reduction.
In addition, all businesses wishing to construct a sidewalk patio will be required to pay a $250 application fee.
The rental fee structure will be based on square footage with those businesses closest to the lake paying more than those closer to the Richter end of Bernard Avenue.
Council will be asked to approve the new rate structure Monday.