A Bridgeland condo project, once hailed as a shining example of inner-city development, is being put on hold because of the falling real estate market.
The first condos in the Crossings at the Bridges, a 142-unit project that's part of the landmark Bridges development, were due to start being sold in February, with construction to follow shortly after.
But then the global financial crisis and Calgary's dropping real estate market arrived, leading developer Apex Cityhomes to send out notices on Friday to hundreds of potential buyers that plans were being postponed until the market rebounded.
Saturday, January 31, 2009
Thursday, January 29, 2009
Hamilton weathering real estate storm
The tail end of 2008 was a low point in the Canadian real estate market, but Hamilton's is intact, if a bit bruised.
That's according to a new real estate forecast report by Royal LePage released yesterday.
"We still have good value," said Joe Ferrante, broker of record for Royal LePage in Hamilton and president-elect of the Realtors Association of Hamilton/Burlington. "We are well positioned geographically."
That has insulated Hamilton from some of the dramatic drops in housing prices and sales experienced by other areas, such as Toronto and some pockets of the GTA, he said.
That's according to a new real estate forecast report by Royal LePage released yesterday.
"We still have good value," said Joe Ferrante, broker of record for Royal LePage in Hamilton and president-elect of the Realtors Association of Hamilton/Burlington. "We are well positioned geographically."
That has insulated Hamilton from some of the dramatic drops in housing prices and sales experienced by other areas, such as Toronto and some pockets of the GTA, he said.
Monday, January 26, 2009
Property rights eroding state of marriage
Perhaps I'm just viewing the institution through the lens of history, with its swirl of age-old cultural/religious trappings. Nevertheless, I stand on my lonely perch to defend marriage, a formal bond amidst the rising tide of cohabitation.
In 2002, the Supreme Court of Canada also took a stab at defending marriage, in a Nova Scotia matter involving a common-law relationship breakup. The woman in the case was shocked to discover she wasn't entitled to half the family assets.
The Supreme Court declared there was no right to a 50-50 asset split. "If they have chosen not to marry, is it the state's task to impose a marriage-like regime on them retroactively?" the court asked.
In 2002, the Supreme Court of Canada also took a stab at defending marriage, in a Nova Scotia matter involving a common-law relationship breakup. The woman in the case was shocked to discover she wasn't entitled to half the family assets.
The Supreme Court declared there was no right to a 50-50 asset split. "If they have chosen not to marry, is it the state's task to impose a marriage-like regime on them retroactively?" the court asked.
Saturday, January 24, 2009
Home Depot buys itself out of Toronto lease
RioCan Real Estate Investment Trust announced Thursday that the home improvement giant had paid the developer an unspecified sum to back out of its lease on a trendy downtown Toronto retail and residential site.
Original plans for the project called for a total of approximately 91,000 square feet of retail space, of which approximately 75,000 square feet would be occupied by a single retail anchor.
"As a result of this change, we have an opportunity to reposition the retail portion of this project to reflect a more 'traditional' retail model, and are currently in discussions with several potential replacement tenants," said Edward Sonshine, Q.C., President and CEO of RioCan.
Original plans for the project called for a total of approximately 91,000 square feet of retail space, of which approximately 75,000 square feet would be occupied by a single retail anchor.
"As a result of this change, we have an opportunity to reposition the retail portion of this project to reflect a more 'traditional' retail model, and are currently in discussions with several potential replacement tenants," said Edward Sonshine, Q.C., President and CEO of RioCan.
Thursday, January 22, 2009
New Brunswick continues to enjoy a strong, healthy real estate market
Figures released by the New Brunswick Real Estate Association show 8,633 MLS transactions in 2008 of which 7,555 were residential properties. That's a drop of eight per cent in total sales and 7.4 per cent in residential property sales from the record-setting 2007 figures.
However, the value of all properties sold totalled $1.2 billion, only one per cent from breaking the 2007 record, while the total value of residential sales was $1.1 billion, just 1.2 per cent below the record.
"We have had several years of reasonable increases in real estate prices, rather than any spectacular jump, and that indicates a strong and healthy market," said association president Dwayne Hayes.
However, the value of all properties sold totalled $1.2 billion, only one per cent from breaking the 2007 record, while the total value of residential sales was $1.1 billion, just 1.2 per cent below the record.
"We have had several years of reasonable increases in real estate prices, rather than any spectacular jump, and that indicates a strong and healthy market," said association president Dwayne Hayes.
Wednesday, January 21, 2009
Avison Young (Canada) releases national real estate forecast
TORONTO, Jan. 13 /PRNewswire/ - From coast to coast, commercial real estate transaction volumes in Canada will likely decline in 2009 due to a slowdown in executive decision-making as many firms elect to stay put while riding out the economic downturn. In major markets, the addition of new inventory and a spike in sublease space may cause vacancy levels to rise through 2009, and tenants may see some relief with regard to rental rates. As is the case with cyclical downturns, aggressive investors will target distressed situations for higher, long-term yields. However, the Canadian markets continue to benefit from generally strong fundamentals and relatively constrained supply, and should look for improvement towards the second half of 2009.
These are some of the key trends noted in Avison Young (Canada) Inc.'s 2009 National Forecast, released today. The annual report covers the Office, Industrial, Retail and Investment markets in 11 regions: Vancouver, Calgary, Edmonton, Regina, Winnipeg, Toronto, GTA West/Mississauga, Ottawa, Montreal, Quebec City and Halifax.
These are some of the key trends noted in Avison Young (Canada) Inc.'s 2009 National Forecast, released today. The annual report covers the Office, Industrial, Retail and Investment markets in 11 regions: Vancouver, Calgary, Edmonton, Regina, Winnipeg, Toronto, GTA West/Mississauga, Ottawa, Montreal, Quebec City and Halifax.
Tuesday, January 20, 2009
Canadian REIT Set To Weather Economic Storm
TORONTO (Dow Jones)--While volatile economic conditions continue to take their toll, Raymond James believes Canadian Real Estate Investment Trust (REF.UN.T) is poised to weather the storm well.
"We believe (Canadian Real Estate Investment Trust) is well positioned to endure the economic storm and excel on the other side," analyst Mandy Samols said in a research report.
The analyst started coverage of the Toronto-based real estate investment trust at market ...
"We believe (Canadian Real Estate Investment Trust) is well positioned to endure the economic storm and excel on the other side," analyst Mandy Samols said in a research report.
The analyst started coverage of the Toronto-based real estate investment trust at market ...
Monday, January 19, 2009
Winning bid for Pan Am games would be a loss for city
If you believe the promoters of the Toronto 2015 Pan Am Games Committee, snagging the athletic gala will prove an enormous shot in the arm for the city.
For starters, the committee claims the Pan Am Games could generate close to $2-billion in economic activity; building the facilities will create 17,000 jobs; and the games will lure an estimated 250,000 tourists to the GTA.
Alas, the estimated cost of the games is pegged at nearly $2-billion, to be split by the provincial and federal governments as well as Toronto and other municipalities. Yet, surprisingly, according to Toronto's Pan Am prophets, going full-speed ahead with a multibillion investment during a dire economic meltdown actually makes good fiscal sense.
For starters, the committee claims the Pan Am Games could generate close to $2-billion in economic activity; building the facilities will create 17,000 jobs; and the games will lure an estimated 250,000 tourists to the GTA.
Alas, the estimated cost of the games is pegged at nearly $2-billion, to be split by the provincial and federal governments as well as Toronto and other municipalities. Yet, surprisingly, according to Toronto's Pan Am prophets, going full-speed ahead with a multibillion investment during a dire economic meltdown actually makes good fiscal sense.
Friday, January 16, 2009
Canada commercial real estate to suffer slow start to '09
investment in Calgary's commercial real estate sector is expected to slow significantly in the first part of 2009 but pick up in the second half of the year, says national firm Avison Young (Canada) Inc.
In its 2009 national forecast released Tuesday, the company said "activity will be tempered while values adjust and credit remains tight. The general lack of financing will be a challenge for investors."
"Purchasers will expect new pricing levels to be set, and it remains to be seen how long it will take before buyer and seller expectations align,"said the report. "While it is expected liquidity in lending markets will increase, stringent loan-to-value ratios and the higher cost of credit will persist, impeding access to capital for leveraged buyers."
In its 2009 national forecast released Tuesday, the company said "activity will be tempered while values adjust and credit remains tight. The general lack of financing will be a challenge for investors."
"Purchasers will expect new pricing levels to be set, and it remains to be seen how long it will take before buyer and seller expectations align,"said the report. "While it is expected liquidity in lending markets will increase, stringent loan-to-value ratios and the higher cost of credit will persist, impeding access to capital for leveraged buyers."
Tuesday, January 13, 2009
Commercial real estate deals decline nationwide, Calgary 'cautiously positive
Commercial real estate transaction volumes will likely decline from coast to coast in 2009 - due to a slowdown in executive decision-making as many firms elect to stay put while riding out the economic downturn, says a national report released today.
Avison Young (Canada) Inc.'s 2009 National Forecast said that in major markets, the addition of new inventory and a spike in sublease space may cause vacancy levels to rise through 2009, and tenants may see some relief with regard to rental rates. As is the case with cyclical downturns, aggressive investors will target distressed situations for higher, long-term yields. However, the Canadian markets continue to benefit from generally strong fundamentals and relatively constrained supply, and should look for improvement towards the second half of 2009, said the report.
According to the 2009 Forecast, the national office vacancy rate remains tight at 5.2 per cent (as of November 2008) but is anticipated to notch up to 6.7 per cent by year-end 2009, due mainly to curtailed demand across the board and significant new supply, particularly in Toronto.
Avison Young (Canada) Inc.'s 2009 National Forecast said that in major markets, the addition of new inventory and a spike in sublease space may cause vacancy levels to rise through 2009, and tenants may see some relief with regard to rental rates. As is the case with cyclical downturns, aggressive investors will target distressed situations for higher, long-term yields. However, the Canadian markets continue to benefit from generally strong fundamentals and relatively constrained supply, and should look for improvement towards the second half of 2009, said the report.
According to the 2009 Forecast, the national office vacancy rate remains tight at 5.2 per cent (as of November 2008) but is anticipated to notch up to 6.7 per cent by year-end 2009, due mainly to curtailed demand across the board and significant new supply, particularly in Toronto.
Saturday, January 10, 2009
Housing market braces for correction, not crash
Average Canadian house prices will fall by another 3 per cent in 2009, but the drop will add up to a “correction,” not the sort of “crash” that has crushed the U.S. market, real estate brokerage Royal LePage Real Estate Services said Tuesday.
Nationally, the average house price will fall to $295,000, from a projected level of $304,000 for 2008, the Toronto-based firm forecast. This follows a 1.1-per-cent dip last year from $307,265 in 2007.
Royal LePage also is betting that that the number of houses sold across the country this year will fall by 3.5 per cent to 416,000, although it expects to see both price and activity gains in several markets, including Regina and Winnipeg, where prices remain below the national average.
But price increases of 6 per cent and 4 per cent the firm is forecasting for the two prairie cities – bringing the average up to $243,300 and $204,900, respectively – will be a mere shadow of the 38.6 per cent and 20.5 per cent gains they saw last year.
Nationally, the average house price will fall to $295,000, from a projected level of $304,000 for 2008, the Toronto-based firm forecast. This follows a 1.1-per-cent dip last year from $307,265 in 2007.
Royal LePage also is betting that that the number of houses sold across the country this year will fall by 3.5 per cent to 416,000, although it expects to see both price and activity gains in several markets, including Regina and Winnipeg, where prices remain below the national average.
But price increases of 6 per cent and 4 per cent the firm is forecasting for the two prairie cities – bringing the average up to $243,300 and $204,900, respectively – will be a mere shadow of the 38.6 per cent and 20.5 per cent gains they saw last year.
Friday, January 9, 2009
Overheated Vancouver-area real estate market cools
rst in the greater Vancouver housing market.
Sales of homes in 2008 dropped by over 35 per cent, compared to 2007 sales of more than 38,000 homes.
Dave Watt, president of the Greater Vancouver Real Estate Board, says the last half of 2008 showed a consistent drop in prices.
At one point the market was so overheated that buyers would enter into bidding wars for properties and forgo inspections just to undercut other potential purchasers.
Prices have dropped almost 11 per cent between December 2007 and the end of 2008, and Watt says the perception is that prices are still falling so it's hard to identify the bottom of the market.
The cost of a single-family detached home in December 2001 was almost $360,000 and grew to about $650,000 by last December.
Comments are now closed for this story
Sales of homes in 2008 dropped by over 35 per cent, compared to 2007 sales of more than 38,000 homes.
Dave Watt, president of the Greater Vancouver Real Estate Board, says the last half of 2008 showed a consistent drop in prices.
At one point the market was so overheated that buyers would enter into bidding wars for properties and forgo inspections just to undercut other potential purchasers.
Prices have dropped almost 11 per cent between December 2007 and the end of 2008, and Watt says the perception is that prices are still falling so it's hard to identify the bottom of the market.
The cost of a single-family detached home in December 2001 was almost $360,000 and grew to about $650,000 by last December.
Comments are now closed for this story
Sunday, January 4, 2009
Montreal real estate firm cans spam with Google Message Security
T director Lance LeBlanc balks at the notion that he would ever even consider turning off his Google Message Security spam filter – to do so would overwhelm his 250 employee real estate company with a daily mass of e-mails a company of 10,000 might receive.
Montreal-based real estate firm Canderel reached its tipping point in 2004, when it was receiving on average between 200 and 300 spam messages a day. With the business communications hamstrung as a result of the problem, LeBlanc sought out the services of Postini, a company that provided a hosted service promising to filter out the spam and let through legitimate e-mails.
It took just two days to put the new service into place and Canderel immediately stopped receiving spam, LeBlanc recalls. He hasn't looked back since.
Montreal-based real estate firm Canderel reached its tipping point in 2004, when it was receiving on average between 200 and 300 spam messages a day. With the business communications hamstrung as a result of the problem, LeBlanc sought out the services of Postini, a company that provided a hosted service promising to filter out the spam and let through legitimate e-mails.
It took just two days to put the new service into place and Canderel immediately stopped receiving spam, LeBlanc recalls. He hasn't looked back since.
Friday, January 2, 2009
Canadian housing market still looks good here compared to U.S.
TORONTO — House prices continue to plummet in the United States, but the consensus in Canada remains that the impact of the downturn will not be as severe here.
Home prices in 20 major U.S. cities are now falling faster than at any point on record, hit hard by increasing foreclosures and slumping sales. The S&P/Case-Shiller index declined 18 per cent in October from a year earlier after dropping 17.4 per cent in September. The gauge has fallen every month since January 2007.
House prices have been falling fast in Canada as well. The Canadian Real Estate Association, which represents 100 real estate boards across the country, said this month that average price of a Canadian home sold in November was down 9.8 per cent from a year ago.
Home prices in 20 major U.S. cities are now falling faster than at any point on record, hit hard by increasing foreclosures and slumping sales. The S&P/Case-Shiller index declined 18 per cent in October from a year earlier after dropping 17.4 per cent in September. The gauge has fallen every month since January 2007.
House prices have been falling fast in Canada as well. The Canadian Real Estate Association, which represents 100 real estate boards across the country, said this month that average price of a Canadian home sold in November was down 9.8 per cent from a year ago.
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