BC Business Magazine features London Pacific’s Ben Williams in an article contemplating the Big Picture of Real Estate Development in Metro Vancouver. Will development remain strong despite new regulations and market fluctuations?
The year ahead for development site sales and assemblies looks secure. “We continue to experience significant increases in land values for transit-oriented sites,” says Ben Williams, a commercial real estate broker at London Pacific. “I suspect we won’t see the dramatic increase in land values of 2016; however, the combination of ever-increasing presale price points and competition for quality land will continue to drive values in 2017.”
There will also be a continued trend for established developers to focus beyond Vancouver’s borders for coveted development opportunities. “We’re actively pursuing opportunities in Metrotown, Brentwood, Coquitlam Centre, Burquitlam, Port Moody and the Lonsdale Corridor with the same considerations that a site in Vancouver’s Cambie Corridor might garner, and often with more success,” says Williams.
Developers will need to determine which areas have peaked and which will continue to produce land-appraisal surpluses going into construction financing.
“It will be difficult to find quality sites that don’t come with a price tag to match,” explains Williams. “This competition is the same with smaller sites in transit corridors, meaning that the less-established developers are feeling the squeeze on the land and financing.”
To read the full article on the future of real estate development in Metro Vancouver visit BC Business Magazine.