Expect more redevelopments in Metro Vancouver: Expert
Posted February 7, 2013 6:47 am.
This article is more than 5 years old.
VANCOUVER (NEWS1130) – Get ready for more redevelopment proposals in Metro Vancouver just like Beach Towers, that’s according to one well-known local developer and consultant.
Michael Geller says it’s because building new rental housing is not really economically viable in our condo-fuelled market, but there is one exception; when you already have an older rental building or complex.
“The idea of in-selling new rental units on that site is one way of making new rental apartments economical. We saw it back in the 1980s at Langara Garden and Beach Towers is a similar situation, although somewhat unique.”
Cities like Burnaby, Richmond and West Vancouver are all opportunities for what he calls sensitive ‘in-fill.’ “I think the people that don’t want to see those areas change dramatically, but may well be opportunities to add new rental apartments in and around some of those buildings.”
He thinks every site that might come onto the market actually has a greater value as condos than rentals. “If a developer or a landlord already owns the land and can make a more intensive use of it then it is economically feasible to build new rental housing.”
Geller goes on to say that the rent in Vancouver is way too high. “The average rent in New York City is about $3,800. It’s astounding. In Vancouver, it’s probably less than half that.”
Geller has worked as an advisor on the Beach Towers proposal. That project is looking to add luxury units to Beach Towers in Vancouver’s West End. A decision on that project has been delayed until February 19th.
