Higher tax rates in Edmonton impacting industrial growth within the city limits

A comparison of non-residential mill rates across the Edmonton region highlights a stark disparity between the City of Edmonton and its surrounding municipalities. To illustrate this, a hypothetical property valued at $3 million was used for the 2024 base assessment, with a percentage increase based on the Consumer Price Index applied for the 2025 base assessment. The year-over-year change in dollar value is then calculated and presented.
Several factors contribute to the City of Edmonton’s higher tax rates, including a more complex municipal bureaucracy, stringent design guidelines, and elevated utility costs. Furthermore, serviced industrial land within the city is both limited and increasingly expensive, whereas development land remains more plentiful and affordable outside city limits.
As a result, Edmonton’s non-residential tax rates are becoming increasingly uncompetitive in attracting and retaining businesses. Local tax rates are acritical consideration for business owners deciding where to locate and for developers seeking to attract tenants. If the current tax disparity persists—or widens—development will likely continue to shift outside the city, eroding Edmonton’s tax base and hindering future investment.

July 7, 2025

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