[06.22.2024 - 06.28.2024] Weekly Real Estate Review: Vancouver and Canada Markets

This week, we highlight four key topics: Canada's liveability rankings are affected by the ongoing housing crisis; the deadline for B.C. municipalities to permit multiplexes on single-family lots is approaching; the city of Vancouver unveils new housing targets along with a 3-year action plan; and With its 2025 opening approaching, Oakridge Park mall is now over 90% leased.

Housing Crisis Impacts Canada's Liveability Rankings

Canada's most liveable cities, including Vancouver and Toronto, have dropped in the Economist Intelligence Unit’s 2024 Global Liveability Index due to severe housing shortages and high home prices. This decline mirrors trends seen in Melbourne and Sydney. Vienna remains the top-ranked city globally, benefiting from robust public housing policies. While cost of living and inflation have impacted rankings, stability issues have also played a significant role. Meanwhile, Hong Kong has made notable improvements in the index, rising to 50th place.

B.C. Municipalities Face Deadline to Permit Multiplexes on Single-Family Lots

By June 30, large municipalities in British Columbia must comply with Bill 44, which mandates changes to zoning bylaws to allow up to four units on standard residential lots and up to six units near public transit. This law aims to increase housing supply, with an expected 130,000 new units over the next decade. Municipalities with at least 5,000 residents must adjust their zoning regulations accordingly, while some, like Kelowna, are already compliant. Others, including Campbell River and Surrey, have raised concerns or requested extensions.

Vancouver Sets Ambitious New Housing Targets and 3-Year Action Plan

In response to a provincial housing supply target, Vancouver is updating its housing strategy with a new 10-year target of 83,000 homes, focusing on rental and affordable units. This includes 30,000 purpose-built rentals and 8,500 non-profit social housing units. The city aims for 75% of new units to be rentals, addressing both market and below-market needs. A 3-year action plan, comprising 50 actions, focuses on equity, resilience, and reconciliation, tackling issues like homelessness, Indigenous housing, and speculation. Despite rising costs and interest rates, the city is striving to meet ambitious housing goals with support from various stakeholders.

Oakridge Park Shopping Mall Over 90% Leased Ahead of 2025 Opening

Vancouver’s new Oakridge Park shopping mall is over 90% leased with nearly a year until its grand opening. The latest retailer announcements include lululemon, Harry Rosen, Aritzia, Arc’teryx, Canada Goose, and GreenTee Golf Shop, adding to a roster that already boasts luxury brands like Louis Vuitton and Prada. The mall will feature significant store sizes, with lululemon and Aritzia among the largest. The development, encompassing 650,000 sq ft of leasable space, is set to open in Spring 2025, with over 1,000 construction workers on-site daily to meet the deadline.

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