QUEBEC INCENTIVES FACE OPPOSITION IN MONTREAL

The Government of Quebec's ambitious strategy to boost investment and employment in key technology sectors in the Montreal area has run up against stiff opposition from the region's real estate sector. A study commissioned by several major real estate owners concludes that the government's financial incentives for E-Commerce Place and Multimedia City could cost the industry between $330 million and $429 million in lost business. The study by Desjarlais Prévost et Associés predicts that up to 200,000-sq-m of currently occupied office space could be vacated as firms are lured away by the subsidies when they locate in the two areas designated for e-commerce and multimedia businesses. Hardest hit would be Class A and Class B buildings which are home to a higher proportion of New Economy tenants....