Downtown Ottawa at a Crossroads
DOWNTOWN OTTAWA is at a crucial turning point. Once the vibrant heart of the city, where government offices, cultural hotspots and daily life came together, the area has struggled in recent years. Our downtown was disproportionately affected by the COVID-19 pandemic, especially as our anchor employer—the federal government—was forced to adopt a remote workplace model.
Four years on, the effects of the pandemic have been hard to shake. This autumn saw federal employees returning to the office just three days a week. Downtown businesses are suffering due to lack of foot traffic. Office towers stand unused, while commercial properties steadily decrease in value.
With 20% of Ottawa’s GDP coming from the city core, the health of the downtown affects the whole city. If we don’t act now, our struggling downtown will gradually weaken the entire region.
Bringing Downtown Back to Life
It’s going to take bold ideas and even bolder action to revive our downtown. That’s why the Ottawa Board of Trade, the Canadian Urban Institute (CUI) and a coalition of local partners have launched A Living Capital: Downtown Ottawa Action Agenda. This ambitious plan envisions a downtown that’s more than a place to work. It’s a place to live, create and connect—a diverse and creative hub of activity.
The goal is to make downtown a destination again. A place where people choose to spend time. Think of a downtown filled with energy: lively streets, thriving businesses and cultural events that bring people together.
More People, More Energy
To kickstart the transformation, the plan calls for adding 40,000 new residents by 2034. This would bring in $120 million in new property taxes and boost spending and transit ridership. Converting underused office spaces into housing and encouraging new developments will help create a neighbourhood that’s active day and night. More residents mean more support for local businesses, from coffee shops to boutiques, injecting life back to the downtown core.
The idea isn’t just about numbers. It’s about creating a place where people want to be. A downtown that feels like a community, not just a place to work. This shift can help Ottawa avoid the “9-to-5 syndrome” that leaves the area quiet after hours.
New Jobs to Power Growth
To keep downtown dynamic, the plan also aims to create 50,000 new jobs by 2034. With the shift to hybrid work, our downtown needs to attract more large employers to complement our federal workforce. Increasing our mix of employers—from tech firms to creative industries—will fill empty office spaces and boost the area’s economy.
These jobs will do more than fill desks. They’ll support local businesses, cultural venues and services that rely on steady foot traffic. With the right mix of industries, downtown can become a magnet for young talent, seasoned professionals and everyone in between.
Investing $500 Million in Public Spaces
Picture a downtown with revamped streets, bustling markets and public spaces that invite people in. The plan includes a $500-million investment to transform key areas like Sparks Street and the ByWard Market. More than just a facelift, this investment will create spaces where community can thrive. The new Business Incubation District and Arts/Culture Corridor will bring innovation and creativity into the city’s core, offering places where people can gather, share ideas and celebrate what makes Ottawa unique.
High-quality public spaces are a big part of what makes a city feel alive. They encourage social interaction, improve well-being and keep people coming back.
Why Inaction Isn’t an Option
If we keep things as they are, Ottawa could face a 20% drop in commercial property values, leading to a $66 million hit in municipal revenue. That could mean higher taxes or cuts to services. The last thing anyone wants is a downtown filled with “zombie buildings”— empty spaces that sap the city’s energy.
On the other hand, acting now could add $1.3 billion in annual economic benefits. More residents will bring fresh energy, new jobs will drive growth, and better public spaces will attract tourists. A vibrant downtown will elevate the entire city.
A Chance to Shape the Future
This is a once-in-a-generation opportunity. The pandemic may have sped up changes that were already on the horizon, but it’s also given us the chance to rethink what we want downtown Ottawa to be. We have the opportunity to build a desirable, resilient, robust and inclusive destination that invites people to live, work and play.
By creating spaces that appeal to all kinds of people—residents, tourists, business owners and creatives alike—we can transform our downtown into a thriving hub where diversity and opportunity go hand in hand.
The Time is Now
Downtown Ottawa has always been central to the city’s identity. Now, we have the chance to take it to new heights. Let’s work together to revive our downtown so it can once again be the beating heart of the region. With a shared vision, coordinated action and community spirit, we can make Ottawa’s downtown a living capital once more.
Download your copy of the action agenda at https://livingcapitalottawa.ca/action-agenda