2015 Market Report

Market Forecast 2015
•
Exceptionally low interest rates around
2% likely to stay low, maybe not this low.
•
Metrotown community plan may be out
by June 2015.
•
Marpole houses north of 70th Ave that
are re-zoned development site are
receiving multiple offers.
•
Metrotown will be a frenzy of activity
once the plan is out as developers will
finally have certainty on land density.
•
More demand for buildings as there
will likely be less for sale, and with low
interest rates will certainly enhance the
demand as well as pushing the prices up.
The lack of safe investment alternatives
will keep the prices strong.
Best Bets For The Coming Year
The North Vancouver marketplace always gets higher rents with
lower vacancies than comparable areas like Metrotown or Marpole.
Yet we see prices hovering around the $200,000 per unit or 3.5%
cap rates. This area should be valued at 6 -10% higher with the
numbers being achieved, but this has not occurred yet!
The Apartment Team
Multi-Family Market Report
We are also seeing the Port Moody area getting a lot of attention with
the pending SkyTrain opening in 2016. Same case for Coquitlam
which will benefit from the rapid transit. Large amounts of Asian
investment dollars are looking for a home. This will likely continue
and increase for all real estate sectors.
Finally, considering down payments returns anticipated I would
consider New Westminster as the safest long term investment. For
your investment dollars this area will allow you to buy a larger building,
hence easier to manage, and get a return of over 4%, the only area
you can obtain such a cap rate. There are many building selections
available for sale in this market, instead of jumping in anything you
find in the other areas.
The NAI Commercial Multi-family Team brings together some of the best talent in the industry.
Investors know they will be treated with distinction and discretion when they deal with NAI
Commercial. This is why our Multi-family Team is favored by investors, both local and offshore.
JACKSON TANG
Vice President
[email protected]
Direct: (604) 691-6615
[email protected]
Direct: (604) 691-6680
國語, 廣東話, 福建話查詢
Terry Harding
Jackson Tang
Brandon Harding
Provide Local Market Expertise
with Proven Positive Results
Visit our website at
www.naiapartments.ca
TERRY HARDING
Senior Vice President
Metro Vancouver 2015
Multi-Family Team
with over 35 years real estate experience
BRANDON HARDING
[email protected]
Direct: (604) 691-6630
NAI Commercial offers a full-service consulting approach to help you get the
most out of your inventory. We do whatever it takes to make it easy for you to
attain your objectives. Whether you want to retain us to represent your interests, are
simply curious to learn more about our services, or would like us to provide a free
opinion on your current properties – we are here to help with good, honest advice.
NAI Commercial
100, 535 Thurlow St
Vancouver, BC, V6E 3L2
tel: (604) 683-7535
fax: (604) 691-6688
www.naiapartments.ca
Suburban Transactions 2012 - 2014 by Sub-Market *
Regional Highlights
Greater Vancouver
Market Overview 2014
2012
2013
2014
WOOD-FRAME NON-STRATA BUILDING TRANSACTIONS
Total Buildings Sold
Total Units Transacted
Sales Volume
Total Average
Percentage +/-
82
86
101
2,369
1,922
2,424
$517,762,965 $377,253,975 $386,284,863
$163,058
$196,282
$213,599
2.32%
20.38%
8.82%
Average Price Per suite
Vancouver
Burnaby
Surburban
$231,521
$240,441
$127,184
$287,249
$273,236
$137,199
$206,304
$171,477
$137,073
CONCRETE BUILDING TRANSACTIONS
5
Total Buildings Sold
601
Total Units Transacted
$141,583,000
Sale Volume
$235,579
Total Average Price / Unit
6
6
766
335
$62,500,000 $165,955,000
$216,651
$186,567
Vancouver Market Insight
When looking at the four main price differentiated sub groups
we see prices have increased in all the four areas:
2014
2013
Units Average Price Average Price
Transactions Sold Per Unit
Per Unit
Vancouver - East
Vancouver - Marpole
Vancouver - West
West End
14
6
25
9
TOTAL
54
255
60
374
188
$197,953
$214,250
$353,901
$299,069
$150,990
$198,051
$277,415
$295,757
Each year the trend has been upward
with more sales occurring year after
year since 2012. This trend has made
a dramatic jump in 2014 with 101
sales occurring in the Lower Mainland.
We are seeing sales activity remaining
very strong with few buildings staying
on the market for more than three
months. Even the overpriced listings
are getting offers, which for whatever
reasons are not being accepted by the
owners. This 8.8% jump in 2014 in
overall sales is not likely to increase
for 2015.
Discussions
with
lenders
have
indicated they have also had a busy
year with new purchases but mostly on
the refinancing side. These discussions
have indicated that they feel that most
sellers will likely hold for 2015. This
is due to the fact that if an owner has
refinanced, he is unlikely to sell, as that
is usually a longer term plan. Costs to
refinance are hard to get back upon
selling. When arranging to place long
term financing, it involves organizing
cash flow & asset stability usually for
the term of the mortgage.
There has been heavy demand for
all types of buildings listed in 2014,
with most emphasis in the areas of
Vancouver and Burnaby, although
New Westminster had a record 9
sales transactions. We see cap rates
at unheard of levels, which when
examined closely, most are in the 4%
range and dropping the farther west
you look to slightly over the 3% range
for prime West side.
Disclaimer: This report contains information available to the public and NAI Commercial accepts no responsibility if this should prove not to be the case. No warranty or representation,
express or implied, is made to the accuracy or completeness of the information contained herein. The same is submitted subject to errors, omissions, change of price, rental or other
conditions, withdrawals without notice.
NAI Commercial | Suite 100 - 535 Thurlow St | Vancouver, B.C. , V6E 3L2 | 604.683.7535 | www.naiapartments.ca
Buildings Sold
Average
Price/
Suite
Units Sold
%/Change
Sub-Market
Year
New Westminster
2014
2013
2012
$
$
$
29,434,465
28,325,000
13,155,000
9
7
5
213
216
131
$
$
$
138,190
131,134
100,420
5.4%
North Vancouver
2014
2013
2012
$
$
$
41,667,500
19,307,500
19,235,000
7
4
2
176
101
67
$
$
$
236,747
191,163
287,090
23.8%
Richmond
2014
2013
2012
$
$
$
0
0
0
0
0
0
$
$
$
-
Abbotsford
2014
2013
2012
$
$
$
17,860,000
3,078,888
35,471,165
4
3
5
186
37
406
$
$
$
96,022
83,213
87,367
15.4%
Coquitlam/Port Coquitlam
2014
2013
2012
$
$
$
5,800,000
1,340,000
60,450,000
1
1
2
42
10
336
$
$
$
138,095
134,000
179,911
3.1%
Mission/Langley/Delta/Maple Ridge/Surrey/Port Moody
2014
2013
2012
$
$
$
63,429,000
31,890,000
44,811,746
10
8
14
536
296
323
$
$
$
118,338
107,736
138,736
9.8%
Total
2014
2013
2012
$
$
$
158,190,965
83,941,388
173,122,911
31
23
28
1,153
660
1,263
$
$
$
137,199
127,184
137,073
7.9%
Sales Volume
-
-
* Wood-frame Non-Strata Buildings Only
Suburban Transactions in 2014
NEW WESTMINSTER
Address
516 Ash St
206 Carnarvon St
466 Griffiths Place
503 Agnes St
420 Ash St
228 Manitoba St
221 7th St
309 Agnes St
319 Knox St
TOTAL/AVERAGE
Price Sold
$ 3,375,000
$ 1,550,000
880,000
$
$ 2,100,000
$ 5,728,000
$ 1,400,000
$ 5,501,465
$ 2,900,000
$ 6,000,000
$ 29,434,465
Price/Suite # of Units
$ 120,536
28
$ 129,167
12
$ 176,000
5
$ 140,000
15
$ 136,381
42
$ 175,000
8
$ 141,063
39
$ 131,818
22
$ 142,857
42
$ 138,190
213
CITY AND DISTRICT OF NORTH VANCOUVER
Address
Month Sold Price Sold
170 W 4th St
Jan-14
$ 7,000,000
1549 Chesterfield Ave
Jun-14
$ 3,000,000
146 E 12th Ave
Jul-14
$ 3,730,000
$ 2,737,500
Jul-14
2601 Lonsdale Ave
$ 8,900,000
Jul-14
163 W 5th St
$ 2,800,000
Aug-14
240 St Andrew Ave
2855-2931 Mountain Hwy Nov-14
$ 13,500,000
$ 41,667,500
TOTAL/AVERAGE
Price/Suite # of Units
$ 194,444
36
$ 230,769
13
$ 207,222
18
$ 228,125
12
$ 211,905
42
10
$ 280,000
$ 300,000
45
176
$ 236,747
ABBOTSFORD
Address
1744-64 Keats St
3065-69 Clearbrook Rd
2929 -2959 Times St
33810 Fern St
TOTAL/AVERAGE
Price Sold
$
710,000
$ 5,550,000
$ 10,300,000
$ 1,300,000
$ 17,860,000
Price/Suite # of Units
8
$ 88,750
$ 99,107
56
108
$ 95,370
$ 92,857
14
$ 96,022
186
COQUITLAM/PORT COQUITLAM
Address
Month Sold Price Sold
1035 Howie Ave
Apr-14
$ 5,800,000
TOTAL/AVERAGE
$ 5,800,000
Price/Suite # of Units
$ 138,095
42
$ 138,095
42
Month Sold
Feb-14
Feb-14
Mar-14
Apr-14
Jun-14
Jul-14
Jul-14
Sep-14
Dec-14
Month Sold
Jan-14
Apr-14
May-14
Sep-14
LANGLEY CITY / DISTRICT
Price Sold
Month Sold
Address
Price/Suite # of Units
5630-5640 201A St
Feb-14
$
3,815,000 $ 88,721
43
88
$
8,732,000 $ 99,227
Jul-14
20117 56th Ave
$ 12,547,000 $ 95,779
131
TOTAL/AVERAGE
WHITE ROCK / DELTA
Month Sold
Address
Apr-14
15151 Prospect Ave
Sep-14
1285 Martin St
Oct-14
5558 15B Ave, Delta
TOTAL/AVERAGE
Price Sold
Price/Suite # of Units
$
4,125,000 $ 165,000
25
29
$
4,590,000 $ 158,276
20
$
3,287,000 $ 164,350
74
$ 12,002,000 $ 162,189
MAPLE RIDGE
Price Sold
Month Sold
Address
Price/Suite # of Units
11960 222nd St
Mar-14
$
4,800,000 $ 81,356
59
48
$
4,700,000 $ 97,917
21387 Dewdney Trunk Rd Dec-14
TOTAL/AVERAGE
$
9,500,000 $ 88,785
107
SURREY
Address
10138 Whalley Blvd
15915 84th Ave
TOTAL/AVERAGE
Price Sold
Month Sold
Price/Suite # of Units
Oct-14
$ 18,250,000 $ 118,506
154
33
$
6,200,000 $ 187,879
Oct-14
187
$ 24,450,000 $ 130,749
PORT MOODY
Address
3048 Henry St
TOTAL/AVERAGE
Month Sold
Price Sold
Price/Suite # of Units
37
$
4,930,000 $ 133,243
Apr-14
$
4,930,000 $ 133,243
37
Sold by NAI Commercial Apartment Team
NAI Commercial | Suite 100 - 535 Thurlow St | Vancouver, B.C. , V6E 3L2 | 604.683.7535 | www.naiapartments.ca
Active Listings 2015
New Westminster
815 - 5th Ave
•61 Unit wood frame
building
•Balconies, elevator,
underground parking
•Good suite mix, close to
Royal Centre Mall
•Price: $8,900,000
1015 3rd Ave
• 23 Unit wood frame building
• Balconies, views, large
suites, elevator
• Well-maintained apartment
building situated in quiet
neighbourhood.
• Price: $3,400,000
427- 429 8th St
• Two side by side buildings
• Extensively renovated in 2010
• Meticulously maintained threestorey walk-up wood frame
• New windows, floors, halls,
lobby
• Price: $4,300,000
For more listings: www.naiapartments.ca
General Market Issues
• Let’s talk interest rates. Rates are as low as 2% for a
5 year CMHC Mortgage as of mid-February. This rate
has been fueling intense investment as investors can
justify the depressed cap rates. While rates remain low,
maximizing the amount you can spend on an investment,
it will continue to promote buyers to keep investing into
multi-family to benefit from the steady appreciation we
have seen throughout the entire Metro Vancouver Area.
Most likely, we will see low rates for this year. If you are
thinking of refinancing or buying, it may be wise to take
action now while these exceptional rates are available.
• Rental rate increases are 2.5% for 2015. The government
is currently reviewing the formula to allow for larger
increases, but nothing has been finalized at this time.
As a land owner, you know these low increases in
rates do not cover increasing costs. We hope to see
some direction taken in 2015 regarding this issue and
ultimately action that will help balance out the books.
Suburban Market Insight
Vancouver Transactions 2012 - 2014 by Sub-Market *
Sub-Market
Year
Vancouver - Marpole
2014
2013
2012
$
$
$
12,855,000
23,370,000
23,437,000
6
6
8
60
118
128
Average Price/
Suite
214,250
$
198,051
$
183,102
$
Vancouver- South Granville/Oak
2014
2013
2012
$
$
$
29,740,000
88,915,009
18,875,000
7
14
4
112
353
68
$
$
$
265,536
251,884
277,574
5.4%
Vancouver - Kerrisdale
2014
2013
2012
$
$
$
53,658,000
16,480,000
3,450,000
8
3
1
126
47
12
$
$
$
425,857
350,638
287,500
21.5%
Vancouver- Kitsilano
2014
2013
2012
$
$
$
43,573,000
30,225,000
16,990,000
9
4
3
128
94
57
$
$
$
340,414
321,543
298,070
5.9%
Vancouver - Hastings/Grandview
2014
2013
2012
$
$
$
14,385,000
28,409,578
27,078,000
5
12
11
75
169
199
$
$
$
191,800
168,104
136,070
14.1%
Vancouver - Mt.Pleasant
2014
2013
2012
$
$
$
34,273,000
10,697,000
10,881,502
8
5
4
168
47
58
$
$
$
204,006
227,596
187,612
-10.4%
Vancouver - Fraserview
2014
2013
2012
$
$
$
1,820,000
15,250,000
6,720,000
1
2
2
12
144
36
$
$
$
151,667
105,903
186,667
43.2%
Vancouver - Westend
2014
2013
2012
$
$
$
56,225,000
44,955,000
31,824,000
9
7
6
188
152
117
$
$
$
299,069
295,757
272,000
1.1%
Vancouver - UBC
2014
2013
2012
$
$
$
5,388,000
4,475,000
-
1
1
0
8
11
0
$
$
$
673,500
406,818
-
65.6%
2014
2013
2012
$
$
$
251,917,000
262,776,587
139,255,502
54
54
39
877
1,135
675
$
$
$
287,249
231,521
206,304
24.1%
New Westminster
This has been a very active market with 9 buildings turning
over in 2014. New Westminster remains a strong rental
area with rents only 11% below rents in Marpole and 9%
below Metrotown but price per unit 33% below those two
areas. This discrepancy has created opportunity for turnkey
investors to find value in updating older rental buildings,
leading to gentrification throughout the city. As a result,
values have been steadily increasing approximately 15%
per year over the last three years. Sustaining this level of
growth seems unlikely; however, strong rental rates and low
vacancies will hold values at current levels. Many investors
consider this an entry level market as cap rates are generally
higher here than other areas this side of the bridge. After
purchasing in this area, it is common for buyers to refinance
and buy closer to Vancouver.
North Vancouver
Always the same with few sales, strong demand and generally
limited product available. In 2014, we saw more sales than
normal with seven in total. A few larger sales occurred early
in 2014, purchased by one investor. Market prices continue
to remain flat. We feel this creates a golden opportunity if
you’re looking to invest into multifamily. The rents are high;
vacancies are low with reliable tenants, compared to similar
areas on a price per unit basis, such as Metrotown. The city
has adopted a new official community plan in 2014. The
overall vision of the plan is more conservative in the type of
housing allowed than Metrotown. What this means is most
cases only smaller development opportunities are available
and land owners are not seeing the lottery ticket type gains
we have seen in Burnaby.
Outside the Bridges (Other areas)
These areas are being sought after by Buyers tired of the
extremely low cap rates seen in the Metro Vancouver Area.
Be wary, the seemingly higher cap rates can allude buyers
into thinking they are stronger investments, but in reality
these properties come with tenancy issues and tend to lack
the appreciation seen further West. The other positives are
you get a bigger building that justifies a property manager.
A close look at tenants and bad debts before buying would
be a prudent move. With the benefits of the new Evergreen
line, it may have encouraged more reliable tenants to
branch out in order to find affordable housing and therefore
strengthened these markets. Port Moody has seen some
higher figures per unit on three recent sales due to the
Evergreens Lines perceived impact.
Disclaimer: This report contains information available to the public and NAI Commercial accepts no responsibility if this should prove not to be the case. No warranty or representation,
express or implied, is made to the accuracy or completeness of the information contained herein. The same is submitted subject to errors, omissions, change of price, rental or other
conditions, withdrawals without notice.
NAI Commercial | Suite 100 - 535 Thurlow St | Vancouver, B.C. , V6E 3L2 | 604.683.7535 | www.naiapartments.ca
Total
Sales Volume
Buildings Sold
Units Sold
%/Change
8.2%
VANCOUVER
Trends:
Asking Price
Cap Rate
Vacancy Rate
Rent
* Wood-frame Non-Strata Buildings Only
Vancouver Transactions in 2014
VANCOUVER WEST - MARPOLE
Address
Month Sold
1125-1191 W 71st Ave Mar-14
1425 West 70th Ave
Mar-14
1235 West 70th Ave
Jun-14
8666 Laurel St
Jul-14
8616 Fremlin St
Sep-14
8656 French St
Sep-14
TOTAL/AVERAGE
Sold by NAI Commercial Apartment Team
Price Sold
3,998,000
1,200,000
2,300,000
1,570,000
1,782,000
2,005,000
12,855,000
Price/Suite
$ 210,421
$ 200,000
$ 255,556
$ 196,250
$ 222,750
$ 200,500
$ 214,250
# of Units
19
6
9
8
8
10
60
VANCOUVER WEST - SOUTH GRANVILLE/OAK
Address
Month Sold
Price Sold
2880 Fir St
$
2,600,000
Jan-14
1014 W 11th Ave
$
1,590,000
Feb-14
1009 W 10th Ave
Mar-14
$ 11,000,000
1676 W 10th Ave
Apr-14
$
2,800,000
1225 W 13th Ave
Oct-14
$
3,850,000
1395 W 12th Ave
Nov-14
$
4,700,000
1338 West 10th Ave
Dec-14
$
3,200,000
TOTAL/AVERAGE
$ 29,740,000
Price/Suite
$ 325,000
$ 198,750
$ 268,293
$ 254,545
$ 275,000
$ 235,000
$ 320,000
$ 265,536
# of Units
8
8
41
11
14
20
10
112
VANCOUVER WEST - KERRISDALE
Address
Month Sold
Price Sold
6347-6367 W Blvd
Jan-14
$ 11,000,000
6415 W Blvd
Feb-14
$
8,100,000
5926 Yew St
Feb-14
$
4,500,000
2182 W 39th Ave
Mar-14
$
6,873,000
6455 W Blvd
Mar-14
$
9,000,000
2109 W 48th Ave
Apr-14
$
4,400,000
6344 E Blvd
Nov-14
$
5,075,000
6356 E Blvd
Nov-14
$
4,710,000
Price/Suite
$ 500,000
$ 405,000
$ 321,429
$ 327,286
$ 500,000
$ 440,000
$ 507,500
$ 428,182
# of Units
22
20
14
21
18
10
10
11
TOTAL/AVERAGE
$
53,658,000
$
VANCOUVER WEST - WESTEND
Address
Month Sold
1540 Burnaby St
Jan-14
1546 Nelson St
Feb-14
1075 Nelson St
Feb-14
1325 Pendrell St
Jun-14
1137 Bute St
Jul-14
1168 Pendrell St
Aug-14
1235 Burnaby St
Oct-14
1133 Barclay St
Nov-14
1104 Haro St
Nov-14
TOTAL/AVERAGE
$
$
$
$
$
$
$
$
$
$
Price Sold
6,300,000
2,025,000
9,000,000
5,170,000
8,100,000
5,890,000
3,240,000
9,225,000
7,275,000
56,225,000
$
$
$
$
$
$
$
425,857
Price/Suite
$ 286,364
$ 337,500
$ 391,304
$ 246,190
$ 245,455
$ 256,087
$ 324,000
$ 297,581
$ 382,895
$ 299,069
126
# of Units
22
6
23
21
33
23
10
31
19
188
VANCOUVER WEST - UBC
Month Sold
Address
Sep-14
5555-5597 Toronto Rd
TOTAL/AVERAGE
Price Sold
5,388,000
5,388,000
Price/Suite # of Units
$ 673,500
8
$ 673,500
8
VANCOUVER WEST - KITSILANO
Address
Month Sold
Price Sold
2565 Cornwall Ave
Jan-14
$
2,900,000
$
8,650,000
1855 W 2nd Ave
Feb-14
2358 Cornwall Ave
Apr-14
$
5,025,000
$
5,150,000
May-14
2280 Vine St
2358 York Ave
Jun-14
$
3,938,000
Jun-14
2394 Cornwall Ave
8,500,000
$
2174 York Ave
Jul-14
$
3,800,000
2150 W 1st Ave
Aug-14
3,050,000
$
2200 Vine St
Oct-14
$
2,560,000
TOTAL/AVERAGE
$ 43,573,000
Price/Suite # of Units
$ 362,500
8
36
$ 240,278
$ 628,125
8
18
$ 286,111
$ 358,000
11
$ 425,000
20
$ 345,455
11
$ 305,000
10
6
$ 426,667
$ 340,414
128
VANCOUVER EAST - HASTINGS/GRANDVIEW
Address
Month Sold
Price Sold
$
1,380,000
2035 Pandora St
Jan-14
1218 E Georgia St
May-14
$
925,000
$
1,200,000
May-14
2038 Pandora St
2345 Dundas St
Nov-14
$
8,120,000
Dec-14
1404 East 21st Ave
2,760,000
$
TOTAL/AVERAGE
$ 14,385,000
Price/Suite # of Units
7
$ 197,143
$ 154,167
6
$ 200,000
6
$ 172,766
47
$ 306,667
9
$ 191,800
75
VANCOUVER EAST - MOUNT PLEASANT
Address
Month Sold
Price Sold
2930 Cambie St
Jan-14
3,070,000
$
242 E 14th Ave
Jan-14
$
4,420,000
609-619 Heatley Ave
Mar-14
$
3,700,000
$
8,880,000
555 E 6th Ave
Apr-14
944 E 8th Ave
Jun-14
$
1,250,000
1,420,000
Jul-14
$
718 E 10th Ave
Oct-14
$
1,633,000
1916 E 5th Ave
Nov-14
310 E 2nd Ave
9,900,000
$
TOTAL/AVERAGE
$ 34,273,000
Price/Suite # of Units
$ 219,286
14
20
$ 221,000
$ 194,737
19
47
$ 188,936
6
$ 208,333
7
$ 202,857
7
$ 233,286
$ 206,250
48
$ 204,006
168
VANCOUVER EAST - FRASERVIEW
Address
Month Sold
7915 Knight St
Oct-14
TOTAL/AVERAGE
Price/Suite # of Units
$ 151,667
12
12
$ 151,667
$
$
$
$
Price Sold
1,820,000
1,820,000
NAI Commercial | Suite 100 - 535 Thurlow St | Vancouver, B.C. , V6E 3L2 | 604.683.7535 | www.naiapartments.ca
Terry Harding, Jackson Tang & Brandon Harding
2014 Total Over $60 million
in Apartment Building Sales
LD
SO
LD
SO
LD
SO
8616 Fremlin St
Vancouver
• Sold Oct 2014
• $1,782,000
• 8 units
309 Agnes St
New Westminster
• Sold July 2014
• $2,900,000
• 22 units
420 Ash St
New Westminster
• Sold June 2014
• $5,728,000
• 42 units
LD
SO
206 Carnarvon St
New Westminster
LD
SO
3048 Henry St
Port Moody
LD
SO
2394 Cornwall Ave
Vancouver West
LD
SO
LD
SO
• Sold Feb 2014
• $1,550,000
• 12 units
• Sold Apr 2014
• $4,930,000
• 37 units
• Sold June 2014
• $8,500,000
• 20 units
7110 Linden Ave
Burnaby
• Sold May 2014
• $4,700,000
• 30 units
4250 Maywood St
Burnaby
• Sold Jan 2014
• $3,450,000
• 18 units
LD
SO
3708 – 40 Knight St &
1404 – 16 E 21st Ave
Vancouver
• Sold Dec 2014
• $2,760,000
• 9 units
LD
SO
LD
SO
228 Manitoba St
New Westminster
• Sold July 2014
• $1,400,000
• 8 units
503 Agnes St
New Westminster
• Sold April 2014
• $2,100,000
• 15 units
LD
SO
516 Ash St
New Westminster
LD
SO
190 East 48th Ave
Vancouver
LD
SO
2358 Cornwall Ave
Vancouver West
LD
SO
LD
SO
• Sold Feb 2014
• $3,375,000
• 28 units
• Sold May 2014
• $2,550,000
• Retail & Office Building
• Sold June 2014
• $5,025,000
• 8 units
6377 McKay Ave
Burnaby
• Sold Jan 2014
• $2,200,000
• 7 units
1855 West 2nd
Vancouver
• Sold Feb 2014
• $8,650,000
• 36 units
Disclaimer: This report contains information available to the public and NAI Commercial accepts no responsibility if this should prove not to be the case. No warranty or representation,
express or implied, is made to the accuracy or completeness of the information contained herein. The same is submitted subject to errors, omissions, change of price, rental or other
conditions, withdrawals without notice.
4
NAI Commercial | Suite 100 - 535 Thurlow St | Vancouver, B.C. , V6E 3L2 | 604.683.7535 | www.naiapartments.ca
Burnaby Transactions
transactions 2012
2008 -- 2014
2011 by
by Sub-Market
Sub-Market* *
Burnaby
Year
Burnaby South - Metrotown
2014
$
99,355,000
14
352
$
282,259
2013
$
28,623,000
7
115
$
248,896
2012
$
53,420,000
11
285
$
187,439
2014
$
8,300,000
2
42
$
197,619
2013
$
1,913,000
2
12
$
159,417
2012
$
6,100,000
1
47
$
129,787
2014
$
0
0
$
Burnaby North
Total
Buildings Sold Units Sold
Average Price/
Suite
Sub-Market
Burnaby South - Middlegate
Sales Volume
BURNABY
-
2013
$
0
0
$
2012
$
14,386,450
3
99
$
145,318
2014
$
107,655,000
16
394
$
273,236
2013
$
30,536,000
9
127
$
240,441
2012
$
73,906,450
15
431
$
171,477
* Wood-frame Non-Strata Buildings Only
Burnaby Transactions in 2014
BURNABY - SOUTH - METROTOWN
Month Sold Price Sold
Address
$ 2,200,000
Jan-14
6377 Mckay Ave **
$ 3,450,000
Jan-14
4250 Maywood Ave
$ 6,200,000
Feb-14
6616 Nelson Ave **
$ 10,500,000
Feb-14
6635 Dunblane Ave **
$ 9,350,000
Mar-14
6018 Wilson St
$ 2,115,000
Mar-14
6779 Sussex Ave
$ 5,835,000
Apr-14
4505 Grange St
$ 2,300,000
Jul-14
6363 Mckay Ave **
$ 2,956,000
Aug-14
4909 Imperial St **
$ 2,314,000
Aug-14
4929 Imperial St **
$ 6,875,000
Aug-14
4971 Imperial St
$ 10,400,000
Aug-14
6425 Silver Ave
$ 9,360,000
Aug-14
6695 Dunblane Ave
$ 25,500,000
Oct-14
5900 Olive Ave **
$ 99,355,000
TOTAL/AVERAGE
** Sold as a development site
BURNABY SOUTH - MIDDLEGATE
Month Sold Price Sold
Address
$ 4,700,000
May-14
7110 Linden Ave
$ 3,600,000
Nov-14
6832-6844 Balmoral St
$ 8,300,000
TOTAL/AVERAGE
Price/Suite # of Units
7
$ 314,286
18
$ 191,667
18
$ 344,444
38
$ 276,316
21
$ 445,238
9
$ 235,000
30
$ 194,500
7
$ 328,571
8
$ 369,500
10
$ 231,400
29
$ 237,069
48
$ 216,667
38
$ 246,316
71
$ 359,155
352
$ 282,259
Price/Suite # of Units
30
$ 156,667
12
$ 300,000
42
$ 197,619
CONCRETE HI/MID-RISE
Price/Suite # of Units
Month Sold
Price Sold
151 E Keith Rd
North Vancouver
Mar-14
$ 25,500,000
$
289,773
88
9801 King George Blvd
Surrey
May-14
$ 48,000,000
$
180,451
266
4960 & 5050 Sanders St
Burnaby
May-14
$ 54,000,000
$
262,136
206
950 Jervis St
Vancouver
Nov-14
$ 14,083,000
$
343,488
41
$ 141,583,000
$
235,579
601
TOTAL/AVERAGE
13.40%
Trends:
Asking Price
23.96%
Cap Rate
-
-
13.64%
Vacancy Rate
Rent
Burnaby Market Insight
Concrete Hi/Mid-Rise Transactions in 2014
Address
-
%/Change
Sold by NAI Commercial Apartment Team
The City of Burnaby has three distinct sub-areas within
the Multi-family market place: Burnaby North, Metrotown,
and Middlegate (formerly referred to as Highgate). All
of Burnaby has seen limited sales in 2014 for varying
reasons. Metrotown is currently adopting a new official
community plan (OCP). The OCP will target specific areas
to allow for higher densification, such as replacing lowrise apartment buildings with high-rises, to strategically
improve the housing supply. The areas already specified
for increased density amount to half of the total apartment
building sales. Our article Land Assembly Logic found on
our website and in LandlordBC Magazine explains this
process in more detail. Higher densification can increase
the value of the land under your building to significantly
higher levels than if you are to leave it as a rental building.
Thus land owners in Metrotown typically are holding their
properties until they confirm if their land value is affected.
Middlegate has the lowest rental rates in Burnaby,
comparable to New Westminster. We sold one of the
few sales in the area, taking several months to sell at
values 25% lower than Metrotown but 14% higher than
New Westminster. This area is a good long term hold as
upzoning may occur in the longer term.
The final area is Burnaby North, with almost no sales
activity. Many of the properties in this area are held by a few
individuals who are long term holders. Overall, Burnaby is a
dynamic and evolving community that is always desirable,
and will be well worth including in your portfolio.
Disclaimer: This report contains information available to the public and NAI Commercial accepts no responsibility if this should prove not to be the case. No warranty or representation,
express or implied, is made to the accuracy or completeness of the information contained herein. The same is submitted subject to errors, omissions, change of price, rental or other
conditions, withdrawals without notice.
NAI Commercial | Suite 100 - 535 Thurlow St | Vancouver, B.C. , V6E 3L2 | 604.683.7535 | www.naiapartments.ca