Even though there may be a zoning shift from commercial to residential in downtown Belwood, few residents living there will see a difference on their tax bills.
Properties on Wellington Road 26 in Belwood are being rezoned from C3 Commercial to R1A Residential where the existing use is residential.
The amendment recognizes existing residential uses and is being initiated by the township in response to concerns about existing commercial zoning where the current use is residential.
Managing director of planning and development Brett Salmon explained the subject land is a block on North Broadway Street in Belwood.
“Historically for many years, these properties were all zoned as commercial – in the old township of West Garafraxa bylaws,” said Salmon.
However, he said many of the properties only have single detached houses on them.
Some have a mix of commercial use, but a number are simply homes.
Salmon said that a few months ago, he had an inquiry from someone who stated that although their property has a house on it, it is zoned commercial, and they were having difficulty obtaining financing from the bank.
“The bank wanted to charge commercial interest rates in a financial scenario,” said Salmon.
The property owner then asked if the zoning could be changed. Salmon suggested that since there were other properties in the same area in the same situation, it would make sense to rezone them at the same time.
He said a public meeting was organized and the property owners were asked to respond to tell the township whether they wanted to retain the commercial zoning or opt into the residential zone.
He said there were requests to retain the commercial zoning. Salmon said one of the problems with the commercial zoning is that the existing residences are not recognized.
In one instance, where a property owner wanted to expand his home, a minor variance was required to recognize the legal non-conforming use.
“If the zoning is changed to residential, the owner could do so without the minor variance process … We are not trying to force people to change their zoning, we are offering it as an opportunity because we are looking at inquiries from others.”
Councillor Kirk McElwain asked “if the zone is changed for the majority of the street, does it change the nature of the block as far as what can and cannot be done.”
“Not really,” Salmon said. “In years past, there was some sense that the area would grow into a larger commercial entity such as a downtown Belwood. It has not evolved that way over time.”
He added the Wellington County official plan identifies Belwood as a hamlet, so commercial use is still allowed.
Salmon said if at some point a person wanted to restore the commercial zone, the hamlet designation would allow the mix of commercial and residential.
“But for those with homes, this might be the more logical route.” He stressed property owners would again be contacted following the public meeting.
Councillor Kelly Linton asked if there was a downside to having a mix of commercial and residential zoned properties in the same area.
“I don’t think so, recognizing the hamlet functions the community has,” Salmon offered.
Councillor Walt Visser suggested “this change doesn’t really alter the image of the community at all.”
He said the properties with homes have had homes on them for a long time.
“I can’t see them going back to commercial.”
Councillor Steven VanLeeuwen asked if there was any tax advantage to residents based on commercial versus residential zoning.
Treasurer Wes Snarr said commercial tax rates would only be applied to portions of a property assessed as commercial.
He also agreed the commercial tax rate is higher than residential.
However, he explained there would only be a change if a portion of the property is assessed as commercial.
Salmon said one needs to separate the zoning from the taxation.
He explained if the properties are assessed as residential, then that is the tax rate already being paid.
Councillor Fred Morris asked how this change might impact existing commercial operations if there was a need to expand.
Salmon said the hamlet designation allows mixed use. He said the same could apply to any residential neighbourhood, if a commercial use is proposed.
VanLeeuwen said it would seem prudent for the township to at least get a letter of acknowledgement before changing the zoning of a given property.
He said that while the public meeting is a good thing, someone could, in a year’s time, potentially state they were not in town when the meeting was held.
“But you forget this is Belwood,” Visser said. “In Belwood, if something happens … everybody knows.”
