In March of this year I brought this issue to a Closed Session of Council by way of a motion that proposed that the City allow for the transfer of 25 acres from Lakehead University to Soldiers Memorial hospital. That motion clearly specified that the land could only be transfered to OSMH for the purpose of building a hospital and that Lakehead University could only use the proceeds from that transfer to support the $45M expansion at 500 University Avenue Orillia, documented by Lakehead and identified in my report. Almost 6 months later, after numerous meetings and deputations and much discussion we are close to that original objective. Below are a few thoughts on the issue. It’s cut and paste so I apologize if it seems disjointed.
Although the transfer agreement uses the phrase ‘gift back’ the transfer of money and land to Lakehead was not a gift. My understanding of gifting is giving something to someone and expecting nothing in return.
The municipally funded infrastructure improvements, the $5,000,000 from the Orillia Power Generation Co and the land transferred to LU were at the time considered an investment – part of an Economic Development strategy developed by the 2005 Economic Development Advisory Committee: an investment designed to have a significant return.
That investment has in fact been a success.
Right off the mark LU demonstrated their commitment by investing close to $100M in the physical plant at 500 University Avenue that is now the Orillia Campus.
It currently hosts approximately 2000 students, pumps millions of dollars directly into the local economy every year and provides local residents with accessible and therefore more affordable post secondary education- important in a community with one of the lowest family income levels in Ontario. Another benefit – a bit more abstract and harder to quantify is community benefit – thinking Third Age Learning, some of the learning events LU hosts that are free to the general public and part time gigs for retirees.
Lakehead has also been a responsible and well managed not for profit institution. Their yearly financial stats stand up well and to date they have avoided some of the existential issues that similar sized Ontario based institutions have experienced – think Laurentian, Algoma and even Conestoga College.
As for academics, LU consistently rates well in the Canadian University Rankings.( 6th in 2026 in the undergraduate class)
In regard to the City somehow receiving the proceeds from the proposed land transfer- I am not sure how that can happen given the City does not own the land. Like most Canadian Universities, Lakehead is a non profit and has invested millions to date at 500 University Ave.
– not sure they would be in a position to donate land assets without some sort of return.
The present proposal Lakehead has put forward actually represents a very strategic and well thought out use for 25 acres of their property. Given the challenge of fundraising millions of dollars in a timely manner and given the lack of capital investment interest on the part of the Provincial Government, LU has decide that converting a 25 acre land asset- first -into an incredible opportunity to add Hospital associated educational options to their course offerings and secondly – into funding that would allow them to add classroom and lab facilities on site that would accommodate not only current enrollment pressures but also any enrollment increases that resulted from co-existing with the new hospital. It is a very creative and opportunistic strategy to convert soy fields into a use that furthers LU’s educational mandate in a new and excitingly unlimited way.
Other disjointed facts:
The land value of the 25 acres in 2010 was approximately $580,000
The servicing that went into development at 500 University Avenue now also services Costco. Hydro One, Orillia’s OPP Detachment, the Isabella/ University commercial center and the West Orillia Sports Complex.
Lakehead’s enrollment numbers- although lower than originally anticipated thanks to the Wall St. financial collapse, the Provincial government educational capital spending freeze, the Pandemic, runaway inflation and the foreign student slowdown- have kept pace with similar sized Northern Ontario Universities.
Lakehead Thunder Bay currently offers courses in Health Sciences and Nursing. They are not strangers to the field.
Lakehead opened a STEM center in Barrie. The $20M cheque Barrie wrote provided some incentive I’m sure, but I see the move as proactive and pre-emptive. My opinion only, but I am pretty sure it was done to discourage other Universities from establishing a beach head in Lakehead’s territory (think York – 45 mins. south of Barrie). But I’m sure the big cheque helped.
Lakehead has maintained a campus in Downtown Orillia. I’m sure there are some practical reasons but there is nothing legally binding them to do that. Despite some challenging logistics they do so in part as a commitment to community well being – recognizing both the financial and social benefits of a healthy downtown core. Again my opinion only.
As mentioned above any motion coming forward that I could support will have guarantees that the land transferred can only be used for the construction of a new Hospital and that the proceeds from the transfer can only be spent at 500 University Ave. as part of a $45M academic build. Hard stop.
