To ensure delivery, please add newsletter@bisnow.com to your address book, learn how
March 27, 2014
Why Everyone Loves Campbell Heights
One of the more active industrial areas in metro Vancouver landed yet another significant transaction, and the deal had quite a few suitors.
Frontline Real Estate Services VP Garth White tells us his firm just brokered the sale of 3084 184th St in Surrey—9.2 acres of development land in Campbell Heights—for just over $4.5M. Seven offers came in from a variety of industrial users and developers, but the deal went to Cloverdale Cold Storage for $492k/gross acre. (It isn't hard keeping champagne on ice when your business is cold storage.)
Here's the property (with the help of our hot air balloon and a giant red crayon). Garth tells us the process took 60 days from listing to negotiating the unconditional transaction. The fact that the offer accepted was unconditional is very rare when buying raw industrial land, says Garth's colleague, Jordan MacDonald.
Canada's Foreign Capital Influx
Canada's highly regulated lending markets put us in a strong position after the recession—one of reasons foreign investors are paying attention. (That and poutine.) JLL's Amar Nijjar, right, who leads JLL's debt capital markets group in Canada (pictured with group director Chad Gemmell), says the Canadian property market has produced some of the highest returns globally in the last three years. US, UK, and German investors make up the bulk, but Mainland Chinese investors are quickly catching up.
One example: Credit Suisse's $200M Exchange Tower under construction downtown. Foreign investors are seeking land assembly and development opps for condominium and townhome projects, as well as significant investment in the hospitality sector. There's a particular desire for long-term, strategic holds in Western Canada, he says. Although Vancouver commercial property is considered expensive by Canadian standards, it is cheap compared to Hong Kong, New York, Paris, London, and Tokyo.
New Identity For Sun Peaks
Delta Hotels and Resorts will be stepping away from Sun Peaks Resorts when the current management contract ends April 30. Following this, one of the largest mountain resorts in Canada will go ahead with a new identity—Sun Peaks Grand Hotel & Conference Centre. Delta SVP of operations David Bird tells us it was a mutual decision; it has been responsible for operating both the hotel and more recently the adjacent Delta Residences at Sun Peaks under a management agreement with the hotel's developer and owner, SP Hotel Corp.
Call for Vancouver's Greatest Real Estate Golfers
Warmer temperatures are on the way (knock on 3 wood) and the Masters is fast approaching, so we're compiling a list of Vancouver real estate's top golfers and want to hear from you. We've got some good nominations so far, but we're looking for more! Send us your your picks, whether a short game whiz like Phil Mickelson or a zen master like Ty Webb. Fun anecdotes from the green are also welcome! Email mark.keast@bisnow.com.
Third Time's A Charm
Avison Young principal Jonathan Pearce tells Bisnow that AY being named one of Canada's best-managed companies for a third year in a row is a nod to the company's growth and evolution—it's no longer the new kid on the block. Jonathan's been with the company 20 years and has seen it grow from "12 to 14 people" to over 1,500 and 54 offices in Canada and the US. AY took the Westjet model—employees have ownership in the company, so "that level of pride is even more extreme." The award is sponsored by Deloitte, CIBC, National Post, Queen's School of Business, and MacKay CEO Forums. Edmonton-based Westcorp was named to the list for the first time, the only other commercial real estate company listed.
Always looking for story ideas, news and other industry-related announcements. Email mark.keast@bisnow.com.
