What is an Urban Reserve? Edmonton’s Plan to Open New Economic Corridors

By Troy Dumont, Local Journalism Initiative Reporter

(ANNews) – Urban reserves are not a new idea in Canada, but the term may still be unfamiliar to many Albertans. An urban reserve is reserve land located within or next to an urban center. In many cases, these reserves are created when First Nations use settlement funds from specific claims or Treaty Land Entitlement agreements to purchase land. That land can then move through the federal Addition-to-Reserve process, where it may be added to a First Nation’s reserve land base. Indigenous Services Canada outlines the process on its urban reserves page at sac-isc.gc.ca.

The concept has a long history in Canada. The first formal example, and the most often cited, is Muskeg Lake Cree Nation’s urban reserve in Saskatoon, established in 1988 on 33 acres of land. The site, now known as McKnight Commercial Center, includes dozens of businesses and has supported hundreds of jobs. Today, urban reserves can be found in both small and large communities across the country, from Portage la Prairie, Manitoba, to larger metropolitan areas such as Vancouver. More than 120 urban reserves have been established across Canada through the Addition-to-Reserve policy or Treaty Land Entitlement agreements.

Since 2021, Edmonton has been looking to get into the Urban Reserve game. The discussion is guided by the City’s Urban Reserve Strategy, approved in 2021 after a City Council motion earlier that year. The strategy was developed with input from Enoch Cree Nation, the Confederacy of Treaty Six First Nations, Indigenous Services Canada, Alberta Indigenous Relations, and City administration. The document does not create an urban reserve on its own, but instead, establishes municipal guidelines for how the Edmonton administration should respond if a First Nation is interested in pursuing an urban reserve within city boundaries.

Edmonton’s Urban Reserve strategy makes clear that the City’s role is limited. The Addition-to-Reserve process is federal, and the municipal plan is not meant to replace, change, or override the roles of federal or provincial governments, or the authority of First Nations.

So, what is in it for stakeholders?

Urban reserves can provide access to land closer to markets, transportation routes, financing, services, and employment opportunities. Many First Nations are located away from major urban centres, which can make economic development more difficult. Urban reserves may be used for commercial development, member services, housing, cultural purposes, or other community priorities.

For municipalities, the potential benefits include investment, employment, business growth, and redevelopment of land that may otherwise sit underused. Edmonton already has a visible Indigenous economic presence in and around the City. Enoch Cree Nation is a major presence on the west side, and Bigstone Cree Nation’s Kee Wee Tin Nok Transport Ltd. vehicles are a familiar sight in Edmonton.

Urban reserves can raise questions among nearby residents and businesses, and Edmonton’s strategy acknowledges that misunderstandings are common, particularly around taxation, municipal services, bylaws, and jurisdiction. A frequent concern is whether urban reserves use city services without paying their fair share. The strategy addresses this through municipal service agreements (MSAs), which specify which services will be provided and how they’ll be paid for, including water, wastewater, garbage collection, fire protection, policing, transit, and building inspections.

Since reserve land isn’t subject to municipal property taxes, a fee-for-service arrangement is typically negotiated in its place. According to Edmonton’s strategy, this fee is generally comparable to what the City would have collected through property taxes. The First Nation is also responsible for identifying and acquiring the land, navigating federal paperwork, covering development costs, and fulfilling its obligations under the service agreement.

Outside Alberta, developments such as Eagle Landing Shopping Center in Chilliwack, B.C., developed in partnership with Squiala First Nation, have shown how First Nation-related commercial projects can become regional shopping and employment hubs. Closer to home, urban reserves have the potential to bring new businesses, jobs, and tax revenue to surrounding areas while giving First Nations a direct stake in the City’s economic life. Rather than creating division, well-planned urban reserves tend to strengthen relationships between First Nations and municipalities, fostering partnerships built on shared interests. For Edmonton, a city with a significant Indigenous population and a stated commitment to reconciliation, urban reserves represent a practical and meaningful way to translate those values into lasting economic opportunity.

The strategy remains a work in progress. Its future considerations highlight that development remains an area of learning for City administration, particularly as federal policies change and Edmonton gains more experience. While the City should be prepared for future conversations about other forms of Indigenous development, its own document suggests that these projects require time, negotiation, and trust between governments.

The issue is likely to become more familiar if a specific proposal comes forward. For now, the strategy outlines how the City intends to approach those conversations: by defining roles early, negotiating service agreements clearly, addressing public concerns, and recognizing that urban reserve development involves economic, legal, and cultural considerations that require care and transparency.