Vancouver Market - Tracking commercial real estate investment sales across Metro Vancouver — sale prices, cap rates, and $/SF data for apartment, retail, office, land, and development transactions. By David Taylor, SVP at Colliers International Canada.
Vancouver Market - Tracking commercial real estate investment sales across Metro Vancouver — sale prices, cap rates, and $/SF data for apartment, retail, office, land, and development transactions. By David Taylor, SVP at Colliers International Canada.
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Land, Market Research

City of Vancouver Releases Guidelines for Rezoning In TOAs

The City of Vancouver has released a report outlining proposed by-laws to implement rezoning policy under the Provincial Legislation: Bill 47 for transit oriented areas.

The proposed rezoning policy includes the following:

  • Land Use Framework: The rezoning policy generally follows the tiers identified in the
    TOA Policy Manual for heights and densities, with some minor adjustments:
    • For Tier 1 (200m, 20-storey inner ring), the density has been increased from a Floor
      Space Ratio (FSR) of 5.0 to 5.5 FSR
    • This also applies to certain RM-zoned properties in the Commercial-Broadway Station Precinct of the Grandview-Woodland Community Plan that are up to 400 m from the Station.
    • In all tiers, the policy will also support applications for low-rise market rental developments of 4- or 5-storeys, and 6-storeys with 20% below-market rental, which could be rezoned directly into existing rental residential (RR) district schedules rather than custom zones for each site.
    • Ground floor commercial required where it aligns with existing area plans, or on arterial sites within 400 meters of a station, otherwise at option of developer.
  • Tenure & Affordability: Proposals seeking to maximize height and density in all Tiers (20-storey,
    12-storey and 8-storey rings), will be required to:
    • Secure 100% as rental, with a minimum 20% as below-market rental; or
    • Deliver 30% as “turn-key” social housing.
  • Tenant Protection: The same enhanced tenant stability and protection policies approved for the Broadway Plan are included in the TOA Rezoning Policy.
  • Heritage: Properties may be limited in historic areas or for properties with an HRA. 10% additional density available for sites that retain, conserve or designate heritage on site.
  • Infrastructure: upgrades may be required and can be confirmed and/or implemented during the rezoning process.
  • Process: A rezoning enquiry will be strongly encouraged prior to submission of a formal rezoning application.
  • CACs: Residential rezonings opting to pursue TOA heights and densities enabled under the TOA rezoning policy would be expected to provide the required affordable housing (social or below-market rental) to achieve the identified height and/or floor space. For these rezonings, no additional cash CAC contribution or proforma review will be required as staff are recommending a CAC exemption for these inclusionary housing projects.

The full report, as well as individual TOA maps confirming parcels, can be viewed here: https://council.vancouver.ca/20240626/documents/cfsc1.pdf

June 20, 2024by david.taylor@colliers.com
Land, Market Research

New Westminster Designates TOAs

The City of New Westminster has now designated their five Transit Oriented Areas (TOAs), defined as all parcels within 800 metres of a Skytrain station that permit any residential uses currently.

From the staff report: “Rezoning will continue to be required for all development proposing increases to permitted density within TOD Areas, including for development with heights and densities outlined in the MD Framework. The TOD Area regulations do not change the existing rezoning process (e.g. application fees, submission requirements, staff review) or the ability to establish certain conditions of rezoning approval (e.g. tenant protections, off-site servicing requirements, etc.).

Generally:

  • Applications that meet but do not exceed the provincially mandated height and
    density would be supported when there is also alignment with other City policy,
    including that such applications must be 100% secured rental.
  • All applications will continue to be reviewed using the Interim Development
    Application Review Framework endorsed by Council January 29, 2024.
  • Applications that exceed the provincially mandated height and density may also
    be considered, where appropriate.”

TOA Maps with Tiers

The pdf version of the above maps can be viewed here: https://pub-newwestcity.escribemeetings.com/filestream.ashx?DocumentId=18719

June 9, 2024by david.taylor@colliers.com
Development, Land, Market Research

District of West Vancouver Anticipates Minimal Response to SSMUH Legislation

The District of West Vancouver has released a report outlining their response to Provincial Bill 44: Housing Statutes (Residential Development) Amendment Act that requires municipalities to allow for Small Scale Multi Unit Housing (SSMUH) on all single family and duplex zoned lots by June 30, 2024.

West Vancouver has taken the approach that the vast majority of their lots are not subject to the legislation since “the definition of “Restricted Zone”….does not encompass parcels that permit single-family dwelling, secondary suites and detached secondary suites (coach house). Consequently, the District’s RS1-5 and RS7-10 zones are not “Restricted Zones” and not subject to SSMUH requirements.”

The report goes on to outline that there are only 222 parcels affected by the proposed zoning
amendments, constituting 1.6% of residential lots in West Vancouver and resulting in a theoretical net increase of 363 units in zoned capacity.

Below is a map, outline in orange, those single family lots which are within 400 metres of frequent bus service and therefore will require update to allow up to 6-units.

It is expected that the zoning bylaws will be updated by the June 30, 2024 deadline.

April 30, 2024by david.taylor@colliers.com
Land, Market Research

City of Burnaby Releases Details on SSMUH Zoning Update

The City of Burnaby’s planning department has released a report on the upcoming zoning changes to accommodate the Province’s mandated Small Scale Multi Unit Housing (SSMUH) under Bill 44, passed in December 2023.

Bill 44 requires municipal governments to permit the following minimum number of housing units in land use zones that are otherwise restricted to single family dwellings or duplexes:

  • 3 units on lots that are up to 3,014 SF;
  • 4 units on lots that are greater than 3,014 SF; and
  • 6 units on lots that are at least 3,025 SF & within 400 m of bus stops with frequent service.

The City’s proposed approach is to repeal all of the existing single family residential zones (R7 Mobile Home Park District and R1, R1a, R2, R2a, R3, R3a, R4, R4a, R5, R5a, R6, R8, R9, R9a, R10, R11, R12, and R12s) and replacing them with a single R1 SSMUH District.

The City is required to pass the zoning bylaw update by June 30, 2024.

There are currently 30,662 single family zoned lots in the City of Burnaby.

Details of Proposed R1 SSMUH Zoning

The following zoning provisions are proposed as part of a new Section 101, R1 Small Scale Multi-Unit Housing District, within the Zoning Bylaw:

  • Uses:
    o Up to 6 dwelling units on a lot, depending on the lot size and proximity to a bus stop
    with frequent service
    o Rowhouses, which would permit up to 3 dwelling units on a lot
    o Boarding, lodging, or rooming house, subject to Comprehensive
  • Subdivision:
    o For rowhouse dwellings, require a minimum lot width of 16 ft to 26 ft
    o For SSMUH subdivisions, require a minimum lot width of 33 ft
    o Subdivision to create panhandle lots will continue to be restricted, with
    individual consideration of irregular shaped lots to be determined by
    the Approving Officer.

  • Number of Units:
    • 3 units on lots that are up to 3,014 SF;
    • 4 units on lots that are greater than 3,014 SF; and
    • 6 units on lots that are at least 3,025 SF & within 400 m of bus stops with frequent service.

  • Lot Coverage:
    o 40% for 1 to 3 SSMUH dwelling units
    o 45% for 4 SSMUH dwelling units
    o 50% for 5 to 6 SSMUH dwelling units
    o 55% for rowhouse dwellings

  • Parking
  • Minimum 0.5 parking stalls per unit outside of lots within 400m Frequent Transit Network
  • No parking minimums for lots within 400m Frequent Transit Network

Other

  • Does not regulate tenure – can be either strata or rental
  • Minimum of one 3-bedroom unit for lots with 1 to 3 units
  • Minimum of two 3-bedroom units for lots with 4-6 units
  • allows fee-simple rowhouses
  • 70% maximum impervious surface requirement to support more lot area for stormwater management, tree retention, and outdoor amenity space for residents
  • Building heights up to a maximum of 40 ft and 4 storeys, inclusive of any basement or cellar storey
  • Reduced yard setbacks for buildings and introduce the concept of “street yards” to provide consistent setbacks from all property lines adjacent to streets
  • Minimum separation of 8 ft between principal buildings and/or accessory buildings and a minimum separation of 20 ft between front and rear principal buildings on the same lot
  • Minimum of 107 SF of outdoor amenity space for the exclusive use of each primary dwelling unit on a lot
  • Heritage provisions that provide more flexibility in siting and massing of buildings for lots on the Community Heritage Register to support retention of heritage assets

The full council report can be viewed here: https://pub-burnaby.escribemeetings.com/filestream.ashx?DocumentId=75285

The proposed R1 SSMUH zoning guidelines can be viewed here: https://pub-burnaby.escribemeetings.com/filestream.ashx?DocumentId=75286

April 14, 2024by david.taylor@colliers.com
Land, Market Research

Port Moody Issues Report Summarizing Approach to Provincial Housing Initiatives

The City of Port Moody has released a staff report discussing the Province’s recent legislation and housing initiatives. Included in the report is an outline of the City’s proposed approach to the Transit Oriented Areas (TOAs), as well as proposed timing to create ACC’s, update DCC’s and update the OCP.

In Port Moody, the two TOAs that took effect immediately are:
– Inlet Centre Station
– Moody Centre Station

A map has now been generated by the City of Port Moody to show any parcel of land that is deemed to be within the catchment area of the TOA.

The above map can be viewed here.

The report notes that “the Province expects local governments to transition to new planning tools, such as the ACC Bylaw, by mid-2025. As such, staff will need to revisit and revise for Council’s consideration the policy to allow collection of density bonus funds above the new TOA FAR limits, while maintaining the 2.5 FAR threshold for the rest of the City in 2025.”

The report also references the City’s existing inclusionary zoning policy in the TOAs:

“Similarly, the new minimum densities in the TOAs will likely render the City’s Inclusionary Zoning –Affordable Housing Units Policy financially unfeasible. For cities that utilize a density bonus to achieve affordable units, they will no longer be able to do so, except on densities greater than the 3, 4, or 5 FARs allocated through the MD Framework within the TOAs. Port Moody’s Inclusionary Zoning Policy relies upon both the increased land value associated with a higher density and the density bonus itself. As the density bonus will begin at higher FARs within the TOAs, it is likely that inclusionary units will no longer be financially feasible for nearly all projects.

However, as part of the recent webinars, the Province has mentioned that future legislation will include the development of an inclusionary zoning program. The timeline for this legislation is likely Spring 2024 as referenced above.”

The report outlines the following proposed timeline for implementation of the new zoning bylaws to reflect the TOA policy:

Regarding DCC’s and ACC’s the City expects to develop bylaws for both beginning in late 2024, with an expectation to have bylaws adopted for both in late 2025.

Here is the proposed timeline for implementation of ACC’s:

Port Moody was in advanced stages of updating their OCP prior to the Province’s housing legislation. The OCP update has now been paused until next year as a result of the new TOA policy.

Multiple municipalities have now referenced forthcoming legislation from the Province regarding inclusionary zoning, expected in “Spring 2024”.

A full version of the Council report can be viewed here: https://pub-portmoody.escribemeetings.com/filestream.ashx?DocumentId=22270

March 11, 2024by david.taylor@colliers.com
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David Taylor Personal Real Estate Corporation

Colliers International

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David Taylor

Senior Vice President, Colliers Canada

David Taylor is a Senior Vice President at Colliers International in Vancouver, BC, specializing in the sale of commercial real estate across Metro Vancouver. He has sold over $1.7 Billion in office buildings, retail properties, apartment buildings and development land since 2004.

Vancouver Market chronicles investment and development activity in Metro Vancouver, including sale prices, cap rates, $/SF metrics, and market context for commercial real estate transactions.

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