Greater Vancou Ver’s authority on apartment buildin Gs and ...goodmanreport.com/wp-content/uploads/2018/04/GR_Multi...goodmanreport.com 3 The York 2358 York Avenue, Vancouver $8,000,000

The Newsletter for Apartment Owners since 1983 Property update | April 2018

Greater VancouVer’s authority on apartment buildinGs and

deVelopment sites

View properties online at www.goodmanreport.com400 Block Granville Street looking north, Vancouver. 1950s

http://goodmanreport.com/

Property update | Spring 20182

The market as it relates to multi-family investment can best be described as contradictory.

On one hand, BC’s provincial government under the NDP are now showing their true colours having zealously embarked on a program to curtail demand, and in turn, attempt to make housing more affordable. They are effectively using the blunt instrument of taxation at a number of levels ranging from the imposition of the speculation and school taxes to an increase in the property transfer tax. Early results for Vancouver show dramatic declines in transactions and average prices for single-family homes.

Additionally, this month the government informed us that they are investigating procedures to disallow property transfer tax avoidance as it relates to assets held by a bare trustee. The government also declared their intention to review the Residential Tenancy Act—probably not a good omen for landlords.

And yet, in spite of the heavier tax burden, the rental investment market is active and performing well so far in 2018, with 53 sales to date versus 44 as of the same time period last year (mid-April). Vancouver’s Eastside, the West End as well as Burnaby and New Westminster lead the way in transactions.

However, in spite of strong demand, certain offerings priced well-beyond market are encountering a “cool” reception from investors. In other words, we are seeing heightened sensitivity on pricing. With low cap rates, investors are showing some concern in a rising interest rate environment and are more cautious in how they underwrite rental apartment buildings, often building in some room when financing in order to give a little buffer. Current CMHC insured rates are around 2.90% for 5 years and 3.15% for 10 years. If we look back to December 1st (5 months ago), CMHC insured rates were around 2.50% for 5 years and 2.85% for 10 years. In the last 12 months, the weekly 5-year GoC bond rate has been steadily on the rise, and are double what they were in April 2017.

Tenant demand is strong throughout Metro Vancouver. Many seeking rental housing remain unable or unwilling to own market housing. Long-time tenants are generally fearful of moving to other rental digs as

new rent levels for similar housing are typically much higher. As a result, the turnover rate in most buildings has declined significantly—ironically, not what most landlords are seeking.

At present, we are aware of approximately 19,500 new rental units in various stages of development, either being contemplated, approved or under construction in Metro Vancouver—up by approximately 10,000 units since last year. It is expected that all these units will be added to rental inventory by 2022.

If you haven’t already, we invite you to subscribe to The Goodman Report newsletter online at www.goodmanreport.com. Dedicated to Greater Vancouver apartment owners, The Goodman Report is conveniently emailed to you monthly. Today’s fast-paced business environment requires apartment owners to protect their investments by receiving intelligent, concise and timely information. Our electronic update summarizes key industry news events, market talk, sales data and our recent property listings. Don’t worry, we do not spam—all information is kept in strict confidence and you can unsubscribe at any time.

Lastly, would you consider selling your apartment building? There is extreme demand for apartment investments throughout Greater Vancouver. We would be happy to discuss the potential sale of your building and provide a no-cost, no-obligation opinion of value.

Sincerely,

David Goodman Mark Goodman Cynthia Jagger

goodmanreport.com 3

The York 2358 York Avenue, Vancouver

$8,000,000

Units 11

Price/unit $727,273

Suite mix 9-1br; 2-2br PH

Lot size 50’ × 120’ (6,000 SF)

Prime Kitsilano! The York is an exceptionally well-maintained 11-suite three-storey (plus penthouse level) rental apartment building located in Vancouver’s popular Kitsilano neighbourhood, only one block to Kits Beach. The building is improved on 6,000 SF RM-4 zoned lot and has undergone a comprehensive renovation program of suites, common areas and building systems. The highlight of this offering are the two massive penthouse units with oversized 500 SF patio decks featuring sweeping ocean views of English Bay and the North Shore Mountains.

CeDAr CreST MANor 1569 W 12th Avenue, Vancouver

$6,650,000

Units 10

Price/unit $665,000

Suite mix 6-1br; 4-2br

Lot size 50’ × 125’ (6,250 SF)

The subject property is a well-maintained 10-suite, 3-storey apartment building located in the heart of Vancouver’s South Granville neighbourhood just west of Granville Street on West 12th Avenue. Built in 1951, the property is improved on a 50’ × 125’ (6,250 SF) RM-3 zoned lot. Cedar Crest Manor is situated just steps to South Granville’s prime retail corridor – one of Vancouver’s trendiest shopping destinations that offers tenants easy access to numerous amenities, art galleries, coffee shops, restaurants, banks and entertainment.

NeW LISTING

MeTroToWN hIGh-DeNSITY SITe 6675 & 6691 Dow Street, Burnaby

Unpriced Bid Process

Lot size ~150’ x 240’ (35,580 SF)

Zoning Designated RM5s/C2

Development Potential Up to 224,154 SF

FSR Up to 6.3 FSR

The subject property is located on the west side of Dow Avenue in Metrotown, Burnaby, one half block to the Metropolis shopping mall. Convenient access to shopping, Skytrain, bus service and amenities. The property is designated as RM5s/C2 in the Metrotown Downtown Official Community Plan, providing for high-density mixed-use development. The two lots are currently improved with two rental apartment buildings providing good holding income during the rezoning process: 6675 Dow (23 units) and 6691 Dow (15 units).

UNDer CoNTrACT

SoLD


hIGh-rISe DeVeLoPMeNT SITe 1554 George Street, White Rock


Lot size 155.4’ x 116.7’ (18,134.69 SF)

OCP Town Centre Transition

FSR Up to 3.5

Development Potential Up to 18 storeys

To acquire a large 18,135 SF development site within the Town Centre Transition plan of White Rock’s newly passed OCP. The Town Centre Transition area which includes The Georgian, proposes multi-storey residential redevelopments with heights up to 18 storeys; maximum Floor Space Ratio (FSR) for a total 3.5 FSR (2.5 FSR + extra 40% bonus for building rental = 3.5 FSR total). Note that of the extra 1.0 FSR for building rental, 0.5 of bonus can be condo. The property is improved with a 17-unit 3-storey wood-frame strata-titled multi-family building.

For SALe

JoYCe-CoLLINGWooD 4975, 4983, 4993 & 4997 Joyce Street, Vancouver

$21,888,000

Lot size 132’ × 105’ (13,860 SF)

Zoning RM-4N

FSR Up to 5.0

Development Potential Up to 69,300 SF

Opportunity to acquire a mixed-use redevelopment site in East Vancouver, a half-block from the Joyce-Collingwood SkyTrain Station. The subject site is in a “mid-rise” location within the J2 – Joyce Street North of the Station area noted with a maximum 150 foot tower marking as can be seen on the right. The City has indicated that this may be possible through a rezoning process, depending on the assembly of the block and subject to an 80 foot tower separation as well as a 65 foot set back from Wellington Avenue.

reDUCeD

MC² Marine & Cambie, Vancouver

$54,000,000

Two concrete rental properties

Units 110

Price/unit $490,909

Net rentable area 60,718 SF

Year built 2016

Two concrete rental properties consisting of a four storey 41-suite building and a six storey 69-suite building totalling 110 suites. A rare opportunity to purchase a fully occupied luxury purpose-built rental investment property on the corner of Cambie and Marine in Vancouver. With its proximity to rapid transit, sustainable design and prominent positioning within an evolving neighbourhood, the MC² project is truly an exceptional offering unmatched in the marketplace.

For SALe

goodmanreport.com 5

LANDSDoWNe hoUSe 1537 Burnaby Street, Vancouver

9,550,000

Units 24

Price/unit $397,917

Suite mix 1-bach; 22-1br; 1-2br

Lot size 66’ × 131’ (8,646 SF)

Landsdowne House is a 3-storey (plus penthouse) wood-frame rental apartment building featuring 24 suites. Constructed in 1956, the building is improved on a 66’ × 131’ (8,646 SF) RM-5A zoned lot. Located in the heart of Vancouver’s West End only 3 blocks to English Bay, the property features a penthouse suite, secure parking, laundry facilities and storage lockers. Rents are significantly under market, providing investors an opportunity to further enhance the revenue by completing a comprehensive renovation plan as suites turnover.

MADDoCk MANor 2146 W 43rd Avenue, Vancouver

$11,990,000

Units 16

Price/unit $749,375

Suite mix 8-1br; 8-2br

Lot size 93’ × 128.5’ (11,950.5 SF)

Buy and hold as a rental building conversion or redevelop! Rare opportunity to acquire an 11,951 SF, RM-3 zoned development site improved with an exceptionally well-maintained 16-suite co-op apartment building in the heart of Vancouver’s Kerrisdale neighbourhood. The property features oversized suites, surface parking, ample storage, a roof-top deck and an ongoing maintenance and capital upgrades program. Given the ownership structure of the building, there will be no existing tenancies in place allowing the building to be rented at current market levels.

NorQUAY VILLAGe DeV SITe 5000 Block Earles St, Vancouver


Multi-family development site

Lot size 3 lots totalling 29,370 SF

Zoning RM-9AN

FSR Up to 2.0 FSR

To acquire a redevelopment site in Vancouver’s vibrant Norquay Village neighbourhood on the 5000 Block of Earles Street, just off Kingsway. The subject properties fall under the Norquay Village Neighbourhood Centre Plan which allows for three/four-storey multi-family development. The two contiguous lots on the southern part of the block allow for a density of up to 2.0 FSR. The northernmost lot allows for up to 1.5 FSR and with an additional lot, it would also qualify for up to 2.0 FSR.

For SALe

For SALe

SoLD


MULTI-FAMILY reDeVeLoPMeNT SITe 320 East 15th Avenue, Vancouver

Unpriced Bid ProcessMount Pleasant neighbourhood. The site is rectangular in shape totaling ~28,400 SF with RM-4 zoning designation which allows up to 1.45 FSR.

heATherLeA APArTMeNTS 1406 Laburnum Street, Vancouver

$7,000,000 Kits Point apartment building featuring 10 suites (6/10 suites renovated). Just half a block to Cornwall Avenue and one block to the beach.

SoLD

2340-50 ST. JohNS STreeT Port Moody

$5,350,000Located in the heart of Port Moody on a prime high-exposure corner lot at St. Johns and Queens Street. 10 units: 7 residential / 3 commercial.

SoLD

NoVAre 527 Carnarvon Street, New Westminster

CoNFIDeNTIALBrand new 26-storey purpose-built rental apartment tower in the heart of New Westminster. 282 residential & 5 CRUs.

SoLD

MeTroToWN DeVeLoPMeNT SITe 6390 Willingdon Avenue, Burnaby

$33,825,000The subject property is a 39,275 SF high-density redevelopment site. Only a 5 minute walk to Metrotown Shopping Centre.

SoLD

The LeeWArD 1686 West 12th Avenue, Vancouver

$22,818,00011-storey 48-suite concrete rental tower featuring 9 bachelor units, 35 one-bedrooms and 4 two-bedrooms. Top Fairview location.

SoLD

UNDer CoNTrACT

goodmanreport.com 7

Since 1983

For apartment owners

ADDRESS SUITES PRICE ($) AVG $/UNIT ADDRESS SUITES PRICE ($) AVG $/UNIT

Vancouver (Eastside) Burnaby825 E. 8th Ave 41 $14,350,000 $350,000 ** 7387 10th Ave 13 $2,300,000 $176,923

3618 E. Hastings St (MU) 9 5,725,000 636,111 6557 Burliington Ave (DS) 31 TBA TBA

2185 Oxford St 8 2,672,000 334,000 7110 Linden Ave 30 8,400,000 280,000

396 E. 2nd Ave 53 TBA TBA 6721 Dow Ave (DS) 12

866 E. Broadway (MU) 8 3,050,000 381,250 6735 Dow Ave (DS) 16

2065 Triumph St 15 5,500,000 366,667 6749 Dow Ave (DS) 14

736 E. Broadway (MU) 6 2,800,000 466,667 4330 Maywood St (DS) 27 TBA TBA 1) Suite mix

2067 Pandora St 8 3,200,000 400,000 6730 Dow Ave 10 5,900,000 590,000 2) Rent/SF

148 TBA TBA 4495 Imperial St (DS) 8 4,300,000 537,500 3) Rent leasable area

6730 Burlington Ave (DS) 18 11,500,000 638,889 4) Buildings' age and condition

Vancouver (Kerrisdale) 7227 Arcola St (DS) 36 TBA TBA 5) Location

* 6310 East Blvd (DS, CO) 12 $13,300,000 $1,108,333 215 TBA TBA 6) Frame or highrise

12 $13,300,000 $1,108,333 7) Strata vs. non-strata

Coquitlam 8) Land value (development site)

Vancouver (Kitsilano) 1141 Hachey Ave 22 $4,500,000 $204,545 9) Special financing

2425 York Ave 24 TBA TBA 22 $4,500,000 $204,545

1875 Yew St 25 TBA TBA

* 1406 Laburnum St 10 TBA TBA Delta TBA TBA TBA

* 2348 York Ave 11 TBA TBA

70 TBA TBA Langley20669 Eastleigh Cr. (TH) 7 $2,745,000 $392,143

Vancouver (South Granville) 7 $2,745,000 $392,143

230 W. 10th Ave 19 TBA TBA

1110 W. 10th Ave 23 10,420,000 453,043 Maple Ridge TBA TBA TBA

19 TBA TBA

New WestminsterVancouver (Marpole) * 420 Eleventh St 61 $13,400,000 $219,672

8860 Montcalm St 24 $7,800,000 $325,000 404 Seventh St 42 9,250,000 220,238

8616 Fremlin St 8 TBA TBA 610 Blackford St 29 6,670,000 230,000 (HR) Highrise

32 TBA TBA 329 7th St 21 4,800,000 228,571 (MR) Midrise

1222 Fifth Ave 21 6,950,000 330,952 (TH) Townhouse

Vancouver (West End) 508 Eighth St 42 TBA TBA (ST) Strata

1450 Burnaby St (HR, SP) 42 TBA TBA 1024 St. Andrews Ave 23 TBA TBA (DS) Development site

** 1040 Barclay St (HR, SP, DS) 40 TBA TBA 311 Ash St 27 TBA TBA (EST) Estimated price

1005 Jervis St (HR) 135 65,115,338 482,336 530 Ninth St 14 3,600,000 257,143 (SP) Share purchase

1501 Haro St (HR) 144 81,850,843 568,409 280 TBA TBA (NC) New construction

1755 Haro St (HR) 138 74,459,574 539,562 (MU) Mixed-use

* 1537 Burnaby St 24 TBA TBA North Vancouver (CO) Co-op

523 TBA TBA 150 E Keith Rd (HR) 39 TBA TBA

39 TBA TBA

West Vancouver TBA TBA TBA

Surrey13265 104 Ave 57 $13,650,000 $239,474

** 10011 150th St (ST) 23 5,125,000 222,826

5875 177B St (SP) 40 TBA TBA

120 TBA TBA

White Rock** 1371 Blackwood St 45

** 14989 Roper Ave 48

1509 Martin St 42 11,700,000 278,571

15989 Marine Dr (ST) 9 2,500,000 277,778

144 $39,450,000 $273,958

* Sold by The Goodman Team

** December 2017 sale

January 1 – April 16, 2018

The sale information provided is a general guide only. There are numerous variables to be considered such as:

The information contained herein was obtained from sources which we deem reliable, and while thought to be correct, is not guaranteed by HQ Commercial. This is not intended to solicit properties already listed for sale with another agent.

Mark GoodmanPersonal Real Estate Corporation

604 714 [email protected]

Cynthia JaggerPersonal Real Estate Corporation


David Goodman604 714 [email protected]

Apartment Building Sales | Greater Vancouver

Greater Vancouver’s authority on apartment buildings and development sitesgoodmanreport.com

TBA TBA

$25,250,000 $ 271,505

Since 1983


















2425 York Ave 24 TBA TBA 22 $4,500,000 $204,545








19 TBA TBA














39 TBA TBA


Surrey13265 104 Ave 57 $13,650,000 $239,474

** 10011 150th St (ST) 23 5,125,000 222,826

5875 177B St (SP) 40 TBA TBA

120 TBA TBA


** 14989 Roper Ave 48

1509 Martin St 42 11,700,000 278,571

15989 Marine Dr (ST) 9 2,500,000 277,778

144 $39,450,000 $273,958













TBA TBA

$25,250,000 $ 271,505

Since 1983


















2425 York Ave 24 TBA TBA 22 $4,500,000 $204,545








19 TBA TBA














39 TBA TBA


Surrey13265 104 Ave 57 $13,650,000 $239,474

** 10011 150th St (ST) 23 5,125,000 222,826

5875 177B St (SP) 40 TBA TBA

120 TBA TBA


** 14989 Roper Ave 48

1509 Martin St 42 11,700,000 278,571

15989 Marine Dr (ST) 9 2,500,000 277,778

144 $39,450,000 $273,958













TBA TBA

$25,250,000 $ 271,505

The sale information provided is a general guide only.

There are numerous variables to be considered such as:

1. Suite mix

2. Rent/SF

3. Rent leaseable area

4. Buildings’ age and condition

5. Location

6. Frame or highrise

7. Strata vs. non-strata

8. Land value (development site)

9. Special financing

(HR) Highrise

(MR) Midrise

(TH) Townhouse

(ST) Strata

(DS) Development site

(EST) Estimated price

(SP) Share purchase

(NC) New construction

(MU) Mixed-use

(CO) Co-op

David Goodman Direct 604 714 4778 [email protected]

Mark Goodman* Direct 604 714 4790 [email protected] Cynthia Jagger* Direct 604 912 9018 [email protected] *Personal Real Estate Corporation

goodmanreport.com

hQ Commercial 320 -1385 West 8th Ave Vancouver, BC V6H 3V9

This communication is not intended to cause or induce breach of an existing listing agreement. The information contained herein

has been obtained from sources deemed reliable. While we have no reason to doubt its accuracy, we do not guarantee it. It is your

responsibility to confirm its accuracy and completeness independently.

Photo: City of Vancouver Archive

mailto:[email protected]



http://goodmanreport.com/

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Greater Vancou Ver’s authority on apartment buildin Gs and ...goodmanreport.com/wp-content/uploads/2018/04/GR_Multi...goodmanreport.com 3 The York 2358 York Avenue, Vancouver $8,000,000