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Calgary based owner Royal Host Real Estate Investment Trust has owned the hotel since 1997, and reportedly made a profit of about $78 million from the deal, scheduled to close by Aug. 14.
Patrick Lambie, executive vice-president of Royal Host, said choosing to shed the property from the company’s holdings boils down to a simple matter of dollars and cents.
“It’s just a matter of opportunity…we are in the real estate business and it’s as simple as buy low and sell high,†he said.
As for what the investment will mean to Delta Hotels, Gordon Johnson, the regional vice-president for the chain and the general manager for Delta Vancouver, said Kelowna is a market that’s long been sought after.
So when they were approached by an “institutional investor†to be the new face of the hotel, they jumped at the chance.
“Kelowna has been on our radar for a long time,†he said. “It’s key to the B.C. Interior market because it’s great from a leisure perspective…but it’s also a business hub.â€
While the outside will largely remain the same, the resort will receive more than $7 million in capital refurbishments over the next three years to upgrade the hotel and amenities.
“First and foremost we will look at guest rooms. The rooms have been well maintained, but they will need to be upgraded to something more contemporary,†he said.
“We will do the corridors, and there is money earmarked for public areas and the main hallways. Besides the Delta name going on the hotel, we will spend most of the money on the guests, not the exteriors.â€
| Calgary Herald |
Whether it’s a lakeside home, mountain retreat, or golf course bungalow, B.C. continues to be the playground of many Albertans, says a Kelowna-based expert.
It’s not hard to figure out why, says Elton Ash, regional executive vice-president of Re/Max of Western Canada: “Alberta winters, B.C.’s sun, sand and lakes with a wide choice of various kinds of recreation property all over the province.”
In B.C.’s Columbia Valley, for instance, the summer population more than triples as an influx of Albertans – mostly Calgarians — heads there to golf or hang out by the water.
It’s a phenomenon not limited to B.C. alone. Alberta’s strong economy has helped boost recreation property markets as far afield as some parts of Ontario and even Atlantic Canada, says the recent annual Re/Max Recreational Property Report.
But closer B.C. destinations, such as the Okanagan Valley, Sunshine Coast, the Kootenays and Vancouver Island, continue to beckon most Albertans over the Rockies — and waiting for them are hundreds of lakeside estates, mountain hideaways, health and wellness spas, and golf course communities.
There have been some recent changes, though.
While B.C.’s recreation housing market remains a solid performer, some Albertans are re-examining their options as the Canadian real estate market changes and prices in the U.S. decline, says Ash.
“Canadians are taking a serious interest in the price drop in the U.S. Sunbelt properties, as are Americans who may have considered buying Canadian recreation property,” he says.
A growing number of potential buyers of B.C. properties — particularly younger buyers with less equity — are also stepping back to reconsider their wants and needs.
Do they really need that more expensive home or lot on the lake when something cheaper set back a bit will do?
Do they need a home that’s big or elaborate? Maybe they want to look around and check prices elsewhere.
For the most part, Canada is witnessing a transition to a more balanced market, says Ash, with recreation property listings increasing at the same time as sales activity is decreasing.
But research by rareEarth Project Marketing of Vancouver shows consumer confidence is still high in resort real estate, with the Okanagan being the number one choice of Western Canadians.
The company has been responsible for more than $1.25 billion in resort real estate sales in the Okanagan, Vancouver Island, the Sunshine Coast, and resorts across North America, says president James Askew.
Baby boomers and young families with time-sensitive needs will continue to fuel the demand for recreation property, he says.
“Boomers have a built-in urgency to purchase resort real estate while they are still active, while their grandchildren are still young, and while they can still enjoy the true benefits of spending quality time with friends and family.” he says. “Boomers recognize that the prime window of opportunity is only 10 or 15 years for them, so rather than be led by speculative market conditions, they’re choosing to just get on with life.”
The same goes for the young family market, says Askew. “That segment feels a natural sense of urgency to find that special place by the lake, ocean or ski hill where they can enjoy cherished summers and, or winters together as a close family before the children grow up.”
When asked where they would buy a second home, Albertans made the Okanagan their clear favourite.
Thirty-eight per cent of those surveyed said they would buy a second home in the Okanagan. Another 26 per cent preferred Vancouver Island, while
17 per cent liked the Sunshine Coast.
“Combine the sense of urgency with the emergence of the largest and wealthiest demographic in history who are deciding the time is now to secure their dream recreational property and we have a recipe for a continued and very strong recreational property market,” says Askew.
The rareEarth survey examined buyer preferences of those who are currently planning to buy recreation property. The results show that 80 per cent of buyers will only consider purchasing in projects offering whole ownership, with about 56 per cent who do not currently have a second home planning on purchasing one in the near future.
The fact that 80 per cent will only consider buying whole ownership properties is an indication of a good real estate economy, says Askew, because such a purchase requires a greater investment than fractional ownership.
There has been a slowdown in B.C.’s housing market as a result of the “cooling off” period, says Rudy Nielsen, president of Landcor Data Corp. in New Westminster, B.C.
As a result, three regions have seen values climb and sales decline, while three other have seen decreases in both value and sales from January to March.
Greater Vancouver and the Okanagan — followed by the Kootenay region as a distant third — continue to see an increase in sales value during that period compared to a year ago, says Nielsen, adding that in the Vancouver Island, Fraser Valley and B.C. north/northwest regions, the total sales value has declined.
“There are many reasons for the decline in sales in the first quarter, one of which appears to be the decline in interest from buyers outside of British Columbia — namely those from Alberta and the United States,” he says.
Ash says there is a small percentage of American owners of Canadian property who are looking at cashing in on their Canadian holdings for reinvestment in the U.S. at the new reduced prices.
“They may have purchased in Canada when our dollar was at 65 or 68 cents — and now they are realizing a significant gain on the exchange rate, along with the overall increase in property values,” he says.
But while there is a bang-for-the-buck mentality at work — as there always has been — the recreation housing market continues to be driven by baby boomers and their desire for an escape destination, a future retirement location, or to establish a legacy for their children and grandchildren.
Another, younger group of people is also looking at this market — people who are “plugged in with young families and are looking at ways they can unplug from the 24/7 world they live in to de-stress and enjoy family time, looking for personal balance,” says Ash.
It’s these people, he says, who have felt the affect of escalating prices and for whom affordability is an issue. They are the ones more willing to travel further and look for spots off the lake rather than pay extra for lakeside.
Ash gave his version of what could happen to recreation property using three scenarios.
- The short term (one to two years): Some caution with affordability being an issue, more property choices for buyers.
- The medium term (three to five years): An overall balanced market with absorptions equalling inventory.
- The long term (six-plus years): Strong demand and increasing prices, with the Okanagan and Columbia Valleys being very desirable.
Re/Max’s report surveyed 45 markets across the country, including eight in B.C. In all but four — one of which was Salt Spring Island off the east coast of Vancouver Island — markets were moving from favouring sellers into more balanced conditions. Affordability was also a primary factor in 35 per cent of markets surveyed.
“We’re coming off the longest period of economic expansion since the Second World War,” says Ash.
“Recreational property values have appreciated beyond our wildest dreams across the country. More balanced market conditions are a welcome change for purchasers.”
His counterpart in the Ontario-Atlantic regions, Michael Polzler, echoes Ash’s comments, but says: “Market conditions have shifted, but don’t expect to see bargain basement prices or fire sales. The recreational market continues to experience solid demand — a trend that is expected to continue throughout 2008.”
August 02, 2008 12:00 PM
Eight months ago, while most of us were merrily getting ready for the most all consuming season of our year, the environmental marketing firm, Terrachoice, signed off 2007 with a gift for the masses: A buyer beware guide entitled the Six Sins of Greenwashing.
The sins laid a road map for identifying when the shiny green seal of approval added no more assurance of a product’s environmental protection than could a tin of green paint.
From the “sin of no proof†to the “sin of vagueness†and, of course, “the sin of irrelevance,†the one, two, three…easy steps industry uses to trick consumers into believing their product is green came streaming across the Internet.
The statement was only too apropos considering the climate of 2007—a watershed year for the green movement which saw unprecedented interest and scrutiny in environmental advocacy.
Al Gore won the Nobel Peace Prize for bringing An Inconvenient Truth to mainstream movie theatres, but then faced the wrath of an anti-governance think tank, pointing out his monster house uses 20 times more energy than the average American home.
If there was an underlying theme to the unrest, it was that somehow, from the depths of this green-friendly blather and banter, all hypocrisy aside, the world was getting serious about its problems.
Last November, the keynote speaker at the U.S. Greenbuild International Conference and Expo noted the change in mood in his address.
Some 27,000 people attended the conference, including local engineer Emmanuel Lavoie.
“The guy said that he figured 2007 was the tipping point year for awareness in the general population of green building,†Lavoie recalled.
And sure enough, in the months since, Lavoie has noticed every magazine issue is talking about green and sustainability.
“Even Fortune (Magazine) will be about how to make the business case for green,†he said.
Lavoie started what he called the Okanagan Green Building Council four years ago, en route to his dream of becoming a green developer.
The group included himself and another engineer he worked with. Their meetings, attracting up to six people.
Eventually, they connected with the Canada Green Building Council and became a part of a larger chapter of their organization, the Cascadia Region Green Building council.
Their branch now boasts 145 members in the Thompson/Okanagan, holding meetings which now regularly attract more than 30 people.
“The first few years it was green building, green building, green building, but nothing would happen,†Lavoie said. “Now, the wind is changing.â€
Part of this change is legislative.
The Union of B.C. Municipalities, for example, is currently researching how its members will meet government demands that every municipality be carbon neutral by 2012.
The B.C. Building Code is expected to change next month to include a host of new environmentally conscious building practices, and the province is demanding the Leadership in Energy and Environmental Design (LEED) Gold Standard be applied in every new institution they build.
What this means for Kelowna is simple—it’s time to clean up our act.
Vancouver has adopted an ecodensity charter demanding LEED standards on all large-scale new construction. Even small communities like Kamloops have a couple of years worth of LEED building under their belts, with sports complexes, hospital buildings and additions to the local university campus all held to the green standard.
Up to now, Kelowna has yet to see its first LEED buildings. However, that’s all about to change.
This fall will mark a green revolution on this city’s building front with several new so-called green buildings coming online.
“We kind of lagged behind everybody, but then it was like a sling shot,†said Lavoie. “We haven’t passed everybody, per say, but the sling shot is heading back our way.â€
Within short order Kelowna will be home to a new ambulatory care tower, which is “targeting LEED Gold.â€
Those LEED standards require a series of checks and balances which do not allow for projects to achieve the designation until a final audit is complete.
For those following the designs for the Central Green project on the old Kelowna secondary school site, that entire neighbourhood is said to be targeting the same LEED Gold standard.
And buildings in the new downtown Comprehensive Development-Zone behind City Park will also be asked to meet LEED protocol.
Meanwhile, Okanagan College is already building its Centre for Learning, targeting a LEED Gold certification when it wraps up in 2009.
Two new single-family homes are being built to green specifications and the Mode condo project, which won the Mayor’s Environmental Achievement Award for the developer’s efforts toward sustainable design, is fitted for solar technology.
And then there’s the new Fipke lab building at UBCO.
Expected to open by summer’s end, the project manager says it’s likely the only lab building in Canada to achieve the kind of energy efficiency mastered to date and UBC Okanagan will be keen to showcase it in the new school year.
But whether the average resident of Kelowna understands what makes each building green, well that’s a different matter.
From the LEED system to “Built Green†to the Fipke Centre’s “Five Green Globes,†it appears it’s just not easy being green around here or to know what it means.
Then again, in a real estate market where many struggle just to find affordable housing, there may be other reasons it took Kelowna so long to find its new environmentally clean sheen.
***
LEED was developed in the United States by a nonprofit organization called the U.S. Green Building Council.
The council’s membership includes professionals from all walks of the building industry, from architects, to engineers, ecologists to city planners. And the system has spread around the world.
In Canada, to certify a building as LEED, the project has to have someone within the project team who is LEE D-certified by the Canada Green Building Council, which operates the LEED license in this country.
Long before construction begins, the project is registered, so everyone from those arranging financing to those drawing preliminary designs understands the criteria they’re chasing.
Each project must score points on a long list of environmental improvements; more points makes for a higher rating, but the claims must stand up in the final audit.
“It’s extremely rigorous,†said Steve Robinson, director of campus development and facilities management for Okanagan College.
Robinson is LEED certified and is now directing the institution through a massive undertaking to achieve the Gold standard for OC’s Centre for Learning.
And it’s taken some pretty serious innovation.
The entire campus is partially heated by capturing energy from the city’s sewage facility next door before the water is sent back out to the lake.
The surrounding landscaping will only include drought tolerant plantings, and the architects actually managed to salvage a portion of the campus library in the designs, effectively keeping a building within a building.
Okanagan College is under a bit of a green overhaul. They’ve audited their computer controls to ensure as little energy is used as possible.
Where the main pond once sat, literally pouring through water resources, a new grassy gathering space and trees stand as a small reminder of the transformation underway.
The new building will be 35 per cent more energy efficient than a standard new institutional building of its size, 50 per cent of the furnishing will be reused and even the contractors used on the building site are required to follow the college’s strict recycling program.
A little daycare planned for a site at the back of the campus will also include solar panels. It’s just another small improvement, but they’re hoping it will make a major different in their energy output.
Like municipalities, colleges and universities have provincially mandated carbon neutral demands looming over their heads.
For every tonne of carbon they emit, there will be consequences in the form of a tax.
Ask Robinson how important that LEED rating was to ensure OC would meet those demands, and he’ll tell you it’s critical.
He believes the audit LEED requires pushes the building industry to ensure they’ve done their best and with that carbon neutral target, it’s going to take the best to be good enough.
Lavoie is also a strong LEED proponent. In his day job as an engineer, Lavoie admits there were times when he doubted just how important using the LEED system really was—and he still believes it’s not the end all be all.
“I go back and forth with how I feel about LEED,†he said.
For a while he had clients that wanted LEED standards but didn’t want to go through the rigors of the certification process.
“But I realized, working on these projects, that we never made the right decisions. Building a building is hard enough and when it comes down to that critical point, we would just say, ‘Oh well, lets not bother.’
“Now I’m back to thinking LEED is good.â€
But there is a price to be paid for that choice and a whole organization growing up around those dollars.
Professionals who want to build LEED buildings pay to certify, and municipalities and the development community are also asked to contribute support funds.
Cascadia, for example, is the oldest branch of both the Canada and U.S. Green Building Councils and it operates off an annual budget of $1.5 million (2007 figures), supporting 12 paid staff.
They throw fundraisers, host local training sessions and retraining sessions for LEED professionals, and will conduct public tours of green buildings in the Okanagan this fall.
Local architect Hugh Bitz says he has his reservations about how necessary the whole process is.
“The LEED has kind of set the green standard for commercial projects around the world and they’re marketing themselves as much as anybody,†Bitz said.
Bitz has designed a duplex in Vernon that is one of just six homes in B.C. to pilot a LEED standard for single-family homes in Canada. But he’s not entirely convinced it’s the only way to achieving a green building.
“To be cynical, there is a bit of self-interest there. Every time they certify a home as green, their star rises a bit and they get more press and they get more money,†he said.
Bitz does like the idea that LEED pushes the industry to do better.
As part of that pilot project, he completed a long checklist of items, designing a water collection system to harvest rainwater for irrigating the property on which his home was built, xeriscaping the lot, and adding extra insulation and specially coated windows, to name just a few things.
“It’s just in lockup right now, but we’re confident we’ll achieve a Gold rating,†he said.
For the CGBC, there is a bit of controversy over establishing what deserves a point, he added.
They’re reluctant to recommend exact products because builders really need to evaluate whether a modicum of improvement on an environmental rating of a product is worth the environmental cost of accessing the goods.
“If one product is slightly greener than another but they have to ship it in from China, then is it really that much better?†he said.
For Bitz, green building really shouldn’t be about meeting points or even choosing the LEED system, over another system like Built Green, the Home Builder’s Association standards.
“It’s a mind set. The most important thing to me is that people try to use less in everything that we do,†Bitz explained.
“We don’t need all those homes here in the Mission with huge expanses of balcony that never get used.
“In order to be a successful person in the 21st Century you have to have two cars and a house that’s 4,000-square feet and there’s got to be a hot tub and a pool. That’s the mindset that’s got to change.â€
Along with his inner city duplex, the LEED Gold pilot project he’s a part of also includes one of these 10,000-square foot monster homes.
The owner will have to purchase every high-end green product on the market to offset penalties they’ll receive for the size of the building, but it will still likely receive the green seal of approval, he said.
In the long run, it simply isn’t sustainable housing to Bitz, though at the very least, this particular house will stand as an impressive example of the new green technology coming down the pipe.
That’s exactly what local developer Andrew Gaucher is planning to do with the Built Green home he’s wrapping up construction on in the Mission—open it up as an example.
Built Green is largely regarded as a less rigorous process, but when Gaucher started his house, the LEED system didn’t have a certification for single family homes.
The list of green initiatives and products he has included is impressive.
The son of local developer Grant Gaucher, the younger Gaucher has opened his own company, Green Solutions, and has been adding more green elements to the homes he builds as he works his way into this market niche.
In order to achieve the Built Green certification, his home still has to meet a checklist of demands and the home will go through a blower door to test its energy efficiency.
There are a couple of other Built Green homes in Kelowna under construction, so it may or may not be the first of its kind, but Gaucher is certainly trying to be a leader in what he sees as the wave of the future.
Neither Gaucher nor Bitz can tell you how much that future is going to cost.
Green homes produce a corresponding energy savings for the homeowner, not to mention the savings in durability of products they use, but it’s likely the initial price tag will be higher.
And that could be a tough pill to swallow for those looking for affordable housing.
“It’s really hard to break it down like that, but generally the rule of thumb is that you should be able to achieve LEED without adding any cost, achieve a Silver or Gold rating for an additional four to six per cent and Platinum for an additional 10 per cent,†said Gaucher.
Economic models are now underway for the next phase of LEED, called The Living Building.
Designed to be zero footprint structures, these buildings are supposed to do no harm to the environment, but they also cost an estimated 40 to 45 per cent more, according to Lavoie.
Six of these buildings are underway in B.C., including one on the UBC Vancouver campus, a daycare at Simon Fraser University, the new Robert Bateman building at Royal Roads in Victoria, the North Vancouver Outdoor School, a private home on Vancouver Island and another building at the University of Victoria.
It’s great for an institution, but at this point that’s about it, Lavoie said.
“If you’re a condo builder, I don’t think anybody would pay 40 to 45 per cent more to buy a condo that recycles your toilet water,†he added.
“If you did four units in the most pristine building in the world, I’m sure they would sell. But not 50 units up in Glenmore somewhere.â€
And according to The Mission Group, even applying the LEED system to mainstream condo development is pretty tough to do.
This year, the Mission Group won an environmental award for their Mode condos, but say they still could not achieve LEED requirements on the project.
“We tried to apply LEED to Mode but, it’s like, the shoe just doesn’t fit,†said Randy Shier, a Mission Group partner.
“The energy requirements and durability requirements just aren’t geared to wood-frame construction.â€
And that’s fairly critical in a market where affordability is an issue for the average purchasing customer.
Mode comes with energy star appliances, a bike rack for every parking stall, water efficient plumbing, environmentally friendlier carpets and paints and double glazed Low-E windows.
It’s even been outfitted with the shafts and conduits to add solar panels, once the technology to run the panels comes down to a reasonable price.
“I think there’s just an overall general sensitivity to green and environmentally friendly (and) I think if the consumer has a choice, they will prefer something that is environmentally friendly,†said Shier. “The big questions is, if it’s more, how much more are they willing to pay?â€
And its a problem for institutions as well, according to Dave Roche, project manager for UBCO’s Fipke building.
Roche said they’re sure they’ve got a groundbreaking building on their hands, but getting there has been a serious battle. “There’s lots of people who’ve done lots of sustainable design…but when it comes to lab buildings, they’re very intensive mechanical systems and that makes it difficult to achieve,†Roche said.
The building includes natural ventilation, geothermal heat, a wind tower to exhaust the building rather than the usual electrical fans you might find on the roof, and its L shape maximizes the shade from surrounding buildings.
Yet finding contractors willing to sign on for a harder project was no walk in the park, Roche acknowledged.
“This is a very complex building. New components and design elements that contractors were having to price at a time when they had more work than they could handle,†he said. “Our constant struggle has been staying on budget.â€
And that budget is over $32 million. Ask his counterpart at the college, and it’s probably a good thing the province is getting so strict on future emissions.
Whether you choose to build LEED or go by another system, there will ultimately be a consequence at the end of the line. Just what those consequences will mean for those looking for housing still remains to be seen.
| The Times |
Tuesday, August 05, 2008
Overall, Saskatoon had one of the highest increases: 1,618 from 721.
Although the change in numbers is not drastic, they are significant considering new arrivals to Vancouver went from 39,498 in 2005 to 32,920 in 2007.
This drop puts immigration rates close to where they used to be in 1999 at 32,400.
Toronto fell from 111,693 in 2002 to 87,136. Montreal’s rates have neither significantly decreased nor increased and have remained stagnant at around 38,000 since 2004.
There are a number of economic factors that could be reflected in these changes, and one may be the real estate market, according to University of the Fraser Valley economics department head.
“Real estate prices in Toronto, Montreal and particularly Vancouver have nearly doubled in the last five years and wages in those urban centres have maybe gone up only five per cent and in some cases they haven’t gone up at all,” said Vladimir Dvoracek.
He said he thinks another reason could be that smaller cities are trying to do things to attract more immigrants.
“I can’t say whether or not they are doing more now than they were five years ago, but in terms of wage to house pricing it is hugely different than it used to be; therefore, smaller cities are being looked at as more viable places to live.”
Over the years, the federal government has also introduced programs to encourage immigrants to settle in more diverse areas of the country, said Karen Shadd, spokeswoman for Citizenship and Immigration Canada.
One of the programs, launched in January this year, was the second edition of “Tool Box of Ideas for Smaller Centres.”
The Tool Box is an electronic publication produced in CD format that offers practical ideas to help smaller cities attract and retain immigrants in Canada.
“It includes information on immigration and employment realities in Canada and offers practical ideas aimed at building support, reducing barriers and creating welcoming communities,” said Shadd.
| Special to The Vancouver Sun |
Occupancy: June, 2009.
- – -
Iconic is not a word that’s usually synonymous with residential architecture in the B.C. Interior, but the label will apply to Rykon’s InVue project, which is certain to be a show-stopper. The dramatically shaped front of the tower is being constructed to resemble a ship’s prow, which is appropriate for the location since the building faces south towards Okanagan Lake.
Adrian Block, president of Rykon Group, says that “InVue’s design was driven by the notion of a cruise ship. All of us have a desire to live a resort lifestyle, and one of our original partners is a boating enthusiast.”
Rykon has a diverse portfolio of projects throughout the Okanagan, including the well-regarded Manteo Resort in Kelowna’s Mission neighbourhood and South Bay, a gated waterfront community of seven-figure homes that’s proven popular with Albertans.
“We like to do creative, fun projects that are at the leading edge in the marketplace,” says Block. “At the same time, our projects have proven to be excellent investments.”
Flanked by busy Springfield Road on one side and a couple of blocks from Harvey Avenue (Highway 97) to the west, InVue is a 14-storey concrete highrise that will certainly change the neighbourhood it’s located in when construction is completed for a planned occupancy in June 2009. Rykon Group is planning on bringing people much closer to the true commercial heart of the city than many of the waterfront projects currently offered in Kelowna.
Anyone who knows Kelowna is well aware that walking to work is not something that a lot of people do. InVue, though, is located very close to Kelowna’s Landmark Centre, whose four building complex houses many of the city’s high-tech firms, as well as government offices, real estate developers, and professional services.
Residents will also be within walking distance of Orchard Park shopping centre — the largest mall in the B.C. Interior, anchored by big-name tenants like The Bay, Tommy Hilfiger, Sears, and Chapters/Indigo. Superb produce is available at Quality Greens, choice cut steaks at T-Bones, and there’s even a new Choices supermarket.
Block says that “the longer-range planning for this area will certainly include greater densification in an effort to create a vibrant neighbourhood.” Indeed, billboards promoting several other new projects are nearby, and high-rises also have been built farther north on Springfield, near Durnin Road.
Lest all of this sound like InVue is overly urbanized, it’s a short jog up Springfield Road to Mission Creek Regional Park, a linear parkway that links to the 15-kilometre Greenway trail that follows the creek right down to Okanagan Lake.
Whether you’re a winemaker, an orchardist or a beach bum, abundant sunshine is the cornerstone of the Okanagan lifestyle, and InVue’s floor-to-ceiling windows and expansive concrete decks will allow plenty of room for outdoor living. High-loft, nine foot ceilings are standard, with 14-foot ceilings in the penthouses. Eight different floor plans are available; though given the fact that only 38 of 92 units are currently for sale, some layouts may be scarce. Prices start at $151,000 for a 392-square-foot studio, and the $1.85-million penthouse suite on the top floor is still available.
The interior of the InVue display suite on Pandosy Road features an executive-quality Bosch appliance group (available as an upgrade), and also has a built in wine cooler, dual-spigot cappuccino machine, and microwave oven stacked atop each other.
Full-height kitchen cabinets maximize space efficiently, and are available in either medium cherry or dark walnut.
A side-by-side refrigerator/
freezer (with ice and water dispenser), Energy Star dishwasher, Corian countertops, and a slide-in range with fast-heating radiant elements completes the kitchen package.
In the bathroom, porcelain flooring is standard, but can be upgraded to travertine tiles.
A vessel-style sink with single lever faucet, glass enclosed shower, Corian countertops, and elegant cherry or walnut cabinets are designed with both style and ease of use in mind.
Stained birch doors, wool carpeting in the bedrooms, roller shades on the windows, and hardwood floors are standard in every unit.
Energy-saving washers and dryers and geothermal heating and cooling keep InVue environmentally friendly.
Owners can choose from either a “warm” or “cool” colour scheme. The decks will have pre-installed gas lines for hooking up a barbecue.
Just because a property is close to work doesn’t mean that it can’t be fun to live in, and Invue has a number of exciting and unusual lifestyle amenities planned.
The rooftop will afford fabulous views of the city, lake and surrounding hillsides and feature a swimming pool, barbecue area and outdoor movie theatre. The state-of-the-art fitness room will be augmented by a yoga studio.
Two guest suites will be available for visitors, and there’s even a conference room and lounge area planned for hosting small gatherings.
If you have canine companions, the on-site dog washing facility will keep Rover clean after a day of romping around.
Adrian Block says that right now, InVue is attracting two group of buyers, most of whom already live in Kelowna.
“Typically, it’s the ‘move down’ buyer who is downsizing out of a larger home now that the kids aren’t living there any more, but we’re also selling smaller units to young couples and even singles. A young fellow who works at the nearby Save-On-Foods recently purchased one of the studios.”
When the Heinecke family moved to Canada from Germany in 1998 and purchased the three-year-old Crowsnest Vineyards in Cawston, they were only one of two wineries in the Similkameen Valley.
But Sascha Heinecke said his family was confident in their choice because, even at that time, people were saying the Okanagan Valley had reached its peak — about 40 wineries.
“Nobody ever thought it would keep growing,†he said with a laugh, noting the more than 100 wineries in the Okanagan today.
At the time, the Similkameen was largely undiscovered by the wine industry — their vineyard and St. Lazslo’s stood out among the fields of hay and orchards lining the valley. Fast forward 10 years and that picture has changed.
Today, hundreds of acres in the valley have been planted with grapes. Hay fields and orchards have become viable vineyards and wineries.
This weekend the Similkameen hosted its first ever wine festival, the Similkameen Soirée, showcasing seven of the nine wineries that have opened in the valley.
Much of the growth of the Similkameen wine region has taken place in the last five years, said Heinecke, pointing to the high land values and decreasing land availability in the Okanagan are reasons for the discovery.
George Hansen, the regional district representative for the Cawston, the area where the majority of the new wineries are concentrated, and proprietor of Seven Stones Winery, agreed.
For many years Hansen said the Similkameen was the best kept secret as far as grape growing regions. Now, he said the secret is out.
“When I first moved here, there was belief that there was probably no future in grapes and people couldn’t see the potential future. Now there is a real future for it,†he said.
While there may be some challenges with a burgeoning wine region — such as loss of orchard land and labour shortages — Hanson said recent growth has created a cycle of economic revitalization in a region that had been struggling to maintain its footing in an unstable fruit market.
“It’s a very positive outlook for the Similkameen,†he said.
“The wine industry has been sort of a catalyst for rejuvenation.â€
Next year, for example, Hanson said 400 acres of grapes will be planted in the Similkameen, adding to the hundreds planted this year.
He said the Lower Similkameen Indian Band is also getting on board and is expected to plant up to 80 acres.
While this increased interest is pushing real estate values up, Heinecke said compared with the Okanagan, the Similkameen remains very affordable.
“It’s still reasonable to buy land,†he said. “What you could do in Naramata 15 years ago you can do now in the Similkameen.â€
It was for this reason that Holman Lang decided to open a winery in the Similkameen this year.
The company now owns eight wineries, most on the Naramata Bench, with K Mountain being the first in the Similkameen.
Owner Keith Holman said they chose the Similkameen Valley because he can also foresee the potential for the region.
“I just think that it’s the last great wine growing region available,†he said, adding that the terroir (the environment and growing conditions for wine) is multi-dimensional. “The terroir is just going to rock.â€
While he doesn’t think the Similkameen will see the same traffic as the Naramata Bench and the Okanagan region right away, he predicts it could gain that kind of notoriety in the next seven or eight years.
But those who have been in the valley for many years, like the Heinecke family, have already started to see that growth take hold.
When Crowsnest first opened, Heinecke said people would stop at his winery on the way to Osoyoos or Penticton, and only stay for an hour or two.
Now, he said there are enough wineries that people spend one or two full days touring the Similkameen.
And, as wine enthusiasts continue to flock to the area, more amenities will have to be created to serve their needs, said Hansen.
“There is such a spin-off effect from the wine tourism,†he said.
“First the come wineries. Then the high quality culinary experience develops. Then the hotel industry comes behind it.â€
With the Similkameen wineries getting attention for their product on a grander scale — garnering 13 awards at the All Canadian Wine Championships this year for example — it will continue to push the spotlight onto the area once known for its fruit stands.
Sascha Heinecke of Crowsnest Vineyards in Cawston said his family has seen the wine industry in the Similkameen grow up around them over the last decade. This weekend the valley held its very first Similkameen wine festival celebrating this continued growth in the valley once known for its tree fruit.
OTTAWA, August 15, 2008 — New home construction will begin to slow in 2008, but will remain high by historical standards, according to Canada Mortgage and Housing Corporation’s (CMHC) third quarter Housing Market Outlook, Canada Edition report.
Higher mortgage carrying costs will be a catalyst for the decrease in residential construction to 215,475 units in 2008, from 228,343 in 2007. As a result, seven of the 10Â provinces will register a lower number of housing starts in 2008 than in 2007.
“Strong economic fundamentals such as continuing high employment levels, rising incomes and low mortgage rates will provide a solid foundation for healthy housing markets this year,†said Bob Dugan, Chief Economist for CMHC. “Increased competition from the existing home market, coupled with the elimination of the pent-up demand that built up during the 1990s, will exert downward pressure on housing starts, which will decline to 194,000 units in 2009 from 215,000 in 2008.â€
Existing home sales, as measured by the Multiple Listing Service (MLS®), are expected to fall by 11.9 per cent in 2008 to 458,300 units. In 2009, the trend will continue with a decrease to 446,600 units (-2.6 per cent). Despite a slowdown of MLS® sales, demand remains strong by historical standards. For 2008 and 2009, MLS® price growth will remain above inflation. Prices will reach $317,450 (+3.3 per cent) in 2008 and $327,000 (+3.0 per cent) in 2009.
At the provincial level, despite British Columbia’s growing population and job numbers, a well-supplied resale home market will lower new construction. Home starts will move back toward their long-term average by 2009. A tight labour market and robust income growth will partially offset the dampening effect of rising mortgage carrying costs on the demand for new and existing homes. As well, an increase in the number of existing homes for sale will offer more choice to home shoppers and reduce new home demand. Housing starts will decline to 35,800 units in 2008 and 31,500 in 2009 from 39,195 units in 2007. The average MLS® price in British Columbia will grow by 7.6 per cent in 2008 and 3.3 per cent in 2009.
Alberta continues to experience very low unemployment and overall prosperity. Despite these positive factors, the province is expected to face a drop in net migrants between now and the end of 2008 due in part to the increased house prices in Alberta and improved labour market conditions in other provinces. These factors will combine to reduce housing starts to 32,750 in 2008 and 29,000 in 2009, from 48,336 units in 2007. Following exceptional 30.7 per cent and 24.8 per cent gains in 2006 and 2007 respectively, growth in the average MLS® price is expected to slow to 1.1 per cent in 2008 and 2.8 per cent in 2009.
Since 2007, Saskatchewan has experienced a rebound in economic growth, strong job creation and a surge in net migration. This continues to contribute to strong housing demand within the province. Total housing starts reached 6,007 units in 2007, the highest level in 24 years. However, escalating costs will stabilize housing starts at 6,700 units this year and 5,750 units in 2009. The average MLS® price in Saskatchewan rose by 32.0 per cent during 2007 and is expected to climb by 29.0 per cent in 2008 and 6.7 per cent in 2009.
Manitoba’s solid economic performance and tight labour market conditions have boosted net migration to levels not seen since 1982 and have contributed to healthy levels of new home construction. Total housing starts reached 5,738 units in 2007, the best performance in 20 years. Starts will edge down to 5,400 units in 2008 before rebounding to 5,550 in 2009. The average MLS® price in Manitoba increased 12.6 per cent in 2007 and will continue to increase by 14.1 per cent in 2008 and 7.8 per cent in 2009.
In Ontario, economic uncertainty, rising new housing prices and a greater selection of homes available in the resale market will result in fewer new home sales in 2008 and, by extension, a dip in new home starts in 2009. Housing starts will move up to 76,025 units in 2008 from 68,123 units last year due to pent-up demand; however starts will decrease to 65,000 units in 2009. The average MLS® price in Ontario rose by 7.6 per cent in 2007. For 2008 and 2009, the increases will be more modest at 2.8 per cent and 2.3 per cent respectively.
Solid job creation and steady economic growth in Quebec during 2007 pushed housing starts up by 1.4 per cent to 48,553 units. A moderation in employment growth will cause a slight shift downwards in 2008 to 46,600 units and 45,750 in 2009. A reasonably healthy resale market will also fuel average MLS® price growth in Quebec; prices will increase by 4.7 per cent in 2008 and 2.7 per cent in 2009.
In New Brunswick, rising mortgage carrying costs, a slower economy and more choice in the resale market will result in lower levels of new home construction. Housing starts are forecast to decline slightly to 4,200 units in 2008 from 4,242 units in 2007. Moving into 2009, starts are expected to fall to 3,875 units. The average MLS® price in New Brunswick rose by 7.7 per cent during 2007. The price increases will be more modest at 4.7 per cent in 2008 and 2.1 per cent in 2009.
Nova Scotia is experiencing slower employment and population growth during 2008, causing new home construction activity to be more restrained. Housing starts are forecast to decrease to 4,475 units in 2008 and 4,200 in 2009 from 4,750 units in 2007. After rising 7.3 per cent in 2007, the average MLS® price in Nova Scotia is expected to increase by 5.0 per cent in 2008 and 2.4 per cent in 2009.
Prince Edward Island’s economy is expected to undergo modest economic growth through 2008. As a result, housing starts will slowly decline to 700 units in 2008 and 650 in 2009 from 750 units in 2007. The average MLS® price in Prince Edward Island will rise by 3.4 per cent in 2008 and 1.4 per cent in 2009. Last year, the average price on the resale market increased by 6.4 per cent.
In Newfoundland and Labrador, a strong export-driven economy has pushed housing demand up. Housing starts for 2007 were up 18.6 per cent to 2,649 units. For 2008 and 2009, starts will reach 2,825 units for both years. The average MLS® price in Newfoundland and Labrador will rise by 14.9 per cent in 2008 and 6.4 per cent in 2009.
Key Housing Market Indicators
|
2007
Actual |
2008
Forecasts |
2009
Forecasts |
|
| Total housing starts (units) |
228,343
|
215,475
|
194,100
|
| Total single-detached houses |
118,917
|
97,925
|
93,225
|
| Total multiple housing units |
109,426
|
117,550
|
100,875
|
| Total MLS® sales2 |
520,192
|
458,300
|
446,600
|
| Average MLS® selling price ($) |
307,306
|
317,450
|
327,000
|
Total Housing Starts
|
2007
Actual |
2008
Forecasts |
2009
Forecasts |
|
| Newfoundland and Labrador |
2,649
|
2,825
|
2,825
|
| Prince Edward Island |
750
|
700
|
650
|
| Nova Scotia |
4,750
|
4,475
|
4,200
|
| New Brunswick |
4,242
|
4,200
|
3,875
|
| Quebec |
48,553
|
46,600
|
45,750
|
| Ontario |
68,123
|
76,025
|
65,000
|
| Manitoba |
5,738
|
5,400
|
5,550
|
| Saskatchewan |
6,007
|
6,700
|
5,750
|
| Alberta |
48,336
|
32,750
|
29,000
|
| British Columbia |
39,195
|
35,800
|
31,500
|
SOURCE: CMHC Housing Market Outlook, Canada Edition, Third Quarter 2008.
Tower Ranch is a partnership between three renowned players in the recreational real estate field – Vancouver based Intrawest, whose Playground division is looking after the resort planning and sales; Dilworth Homes, a Kelowna building contractor; and the Aberdeen Golf Group, operator of several golf courses across the country.
Stan Tower owned a construction firm in the Lower Mainland and moved to the Okanagan in the mid-1960s to raise his young family.
An adventurous spirit, he turned to cattle ranching and his property soon took on legendary status in the community.
Tower was a keen golfer who tried for almost two decades to get a course built on his property, and sadly did not live long enough to see his Tower Ranch dream become a reality.
Indeed, the Tower family is in partnership with Intrawest on this project, and family members still operate a woodlot on an adjacent parcel of land.
Running like emerald streams through golden grasslands, the teeboxes, greens and fairways of the Club at Tower Ranch are a sight to behold – almost as though a touch of Scotland has been dropped into the Okanagan.
The course is the first all-new golf course in the Kelowna area since 1997. Designed by Thomas McBroom, it boasts a hilly, 7,300 yard layout from the back tees, with a vertical drop of almost 650 feet. The cart-only course offers stunning panoramic views of the city, lake, and surrounding hillsides and will surely be one of the region’s most renowned tracks as it grows in popularity.
After spending most of his life in Thunder Bay, Ont. and Winnipeg, Bert Farrant knows a lot about cold weather.
A former Eaton’s, he was retired for 15 years before moving to the Okanagan in 2007 with his wife.
“We really didn’t know much about the Okanagan before we started renting here, and we spent three months looking for the right place,” he says.
“We did not want a traditional family neighbourhood, and we bought at Tower Ranch because it feels like it’s in the country, but it’s very close to Kelowna’s shops and services.
“It’s very quiet, there is no traffic noise, and the lot that we chose has a fabulous view. I can literally walk out the front of my door to the 7th tee.
About the golfing outside his front door, he report: “Normally it takes about two or three years for a new golf course to take shape. The greens are fine but the fairways can be spotty. So far this summer, Tower Ranch has played as though it’s been here forever.”
Another important attraction was the reputation of the builder. Farrand says, “When we moved here, I asked some reputable, influential people about Dilworth Homes, and they really came highly recommended.”
Farrant chose the Durango home package, but has overseen considerable changes to the house since construction began earlier this year, including adding 260 square feet to the original plan.
“We’ve made so many alterations that the people at Dilworth are calling our house ‘The Farrango.’
“I cannot say enough good things about the project manager in charge of construction [Dennis Nojonen]. We have made quite a few alterations to the original plan and all of the local suppliers and contractors have been helpful and easy to work with.”
Farrant is a believer in Tower Ranch, and the Okanagan in general. “When I first came here, I met a woman who was a next door neighbour in Thunder Bay 40 or so years ago. She moved here in 1965. I asked her “why didn’t you tell me about it back then!” I tell people that live here “don’t worry about dying, you’re already living in paradise.”
Residences at Tower Ranch will be released over 15 years, according to Jonathon Silcock, development manager for Intrawest.
Fifty-four lots suitable for a variety of detached homes were released earlier this year, with prices starting at $159,000. Purchasers must commit to building a home from one of the house designs developed by Dilworth Homes within two years of purchase.
Further phases will include multi-family dwellings and large executive-sized estate lots that will be ideal for custom homes.
A village centre with shops and services is on the books as well as network of walking trails that lead into a regional park that Tower Ranch will donate to the city of Kelowna.
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