As we approach the end of summer, a look at transaction activity in Metro Vancouver at the 2/3 mark of the year shows a fairly significant drop compared to this time last year. Research prepared by Colliers International shows the number of transactions of over $3 Million down slightly for retail and apartment properties, and down almost 50% for office buildings (where supply has been scarce) and land (where demand is down after a busy 2012 that saw many large sites acquired).

An article in the Vancouver Sun mentions Realnet research reflects these numbers and shows even greater declines in Calgary and Toronto during the same period.

Perhaps this indicates the market’s collective belief that valuations are peaking for both investment properties and development sites.

The Real Estate Board of Greater Vancouver has released their July 2013 stats. Generally, the market is showing increased sales activity over the summer months, and while pricing has been generally flat or slightly increasing in most areas. Some other highlights:

• Sales of condos reached 1,210 in July 2013, a 30.5% compared to the 927 sales in July 2012.
• The total number of properties currently listed for sale on in Metro Vancouver is
  16,618, which is an 8.1 per cent decrease compared to July 2012 and a 3.9 per cent decline from June 2013.
• Single family prices continued a downward trend, and are down 3.1% year over year (YoY). Vancouver Westside is down 4.7% during the same period.
• Overall Condo prices in Metro Vancouver are down 1.6% YoY.
• The only area where the overall benchmark price has increased since July 2012? Pitt Meadows, at 1.9% growth.
• Bowen Island (-0.7%) and the Sunshine Coast (-4.3%) are the only areas where single family pricing has declined since January.
• Ladner (-1.4%), Port Coquitlam (-2.9%), Maple Ridge (-3.1%), West Vancouver (-2.9%) and Tsawwassen (-2.6%) are the only condo markets where average pricing has declined since January.

Source: REBGV

As we reported last week, the City decided to backtrack on proposed tower heights around Commercial and Broadway as part of the Grandview Woodland Community Plan. Now the City has responded further, by suggesting they will extend the timeline for the planning process by six months. Here is an excerpt from a motion of notice for next week’s Council meeting:

“As of July 15, 2013, 718 individuals have sent a message to Mayor and Council, noting that “the land use rezoning proposals in the ‘Emerging directions’ document and map…came as a complete surprise to the community when they were published in June 2013” and demanding at least six months more for the Grandview-Woodland Community Plan (“a reasonable period of time”) for “an open and collaborative process to discuss, debate and select preferred options with regard to these proposals.”

As the West End Community Plan is emerging, we thought it would be interesting to take a look at the largest lots in the West End. There aren’t many large lots; in fact, of privately held properties, there are less than 10 of an acre or more.  Here are the 40 largest parcels in the West End, by land area (SF):

All of the above properties are improved with sizable income producing (mostly apartment) properties that won’t likely be redeveloped anytime soon; however, many of these, and many smaller lots (of which there are over 500), will see some activity in the coming years as part of the West End Plan. Here is the City’s depiction of what the West End might look like in 30 years once built out per current policy:

Contact us if you would like to know more about the WECP and where are the opportunities are.