Focus on Squamish - March 2005

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Market Profile: Squamish

Population of Squamish (1985 to 2004)

Source: BC Stats

Place of Work – Squamish (2001 Census)

Place of Work	#	%
Squamish (Not at home)	3,790	51%
Other SLRD (mainly Whistler)	1,050	14%
Outside SLRD (mainly Vancouver)	985	13%
At Home	440	6%
Outside Canada	10	0%
No Fixed Address	1,095	15%
Total Employed	7,365	100%

More than 2,000 Squamish residents commute to other communities for employment. The single largest commuting destination is Whistler, which employs about 1,000 Squamish residents, followed by a series of communities within Greater Vancouver at about 900.

Housing and Development Activities

Housing Prices

Squamish				Greater Vancouver
Period	Detached	Attached	Apartment	Detached	Attached	Apartment
2001 Q1	$187,611	$155,858	$53,350	$348,445	$217,273	$157,413
2001 Q2	$194,197	$163,863	$53,596	$353,010	$219,352	$158,698
2001 Q3	$200,619	$175,693	$56,727	$355,205	$222,211	$161,631
2001 Q4	$223,525	$126,928	$62,818	$357,725	$225,859	$164,294
2002 Q1	$221,071	$154,159	$67,756	$367,435	$233,595	$170,262
2002 Q2	$222,047	$159,214	$73,627	$382,897	$242,378	$177,594
2002 Q3	$239,327	$144,088	$76,494	$387,685	$246,137	$179,811
2002 Q4	$235,070	$162,465	$84,769	$387,661	$246,270	$182,688
2003 Q1	$264,465	$189,736	$103,937	$402,112	$254,972	$188,970
2003 Q2	$281,141	$193,950	$93,540	$417,010	$265,683	$194,256
2003 Q3	$298,281	$216,330	$101,884	$429,375	$275,369	$204,692
2003 Q4	$356,051	$214,252	$102,585	$445,099	$283,150	$211,498
2004 Q1	$317,740	$224,513	$136,559	$467,564	$297,459	$224,634
2004 Q2	$310,379	$268,050	$159,480	$497,178	$317,562	$238,538
2004 Q3	$372,173	$264,002	$149,076	$506,492	$326,133	$242,810
2004 Q4	$386,782	$292,519	$98,086	$496,510	$327,298	$244,835
Average Annual Change	12%	13%	14%	18%	17%	16%

Source: Real Estate Board of Greater Vancouver

Total Building Permits

In 2003, total building permit values in Squamish were just over $36 million, the highest level since 1994 and a 128% increase over 2002. While building permits are a useful indicator of construction and development activity, they will vary considerably from year to year in smaller communities according to the number of larger projects initiated that year. Squamish has followed roughly the same pattern, although exaggerated, as the Greater Vancouver area and British Columbia as a whole since 1990.

Total Building Permits ($000s)

Year	Squamish	GVRD	BC
1990	$21,417	$3,085,912	$4,983,030
1991	$31,078	$3,007,508	$5,131,514
1992	$14,046	$3,621,858	$6,255,548
1993	$19,534	$3,466,945	$6,389,110
1994	$37,952	$3,551,905	$6,317,883
1995	$25,363	$3,136,536	$5,424,237
1996	$32,177	$3,651,567	$6,053,066
1997	$19,607	$3,316,213	$5,537,168
1998	$14,559	$2,859,755	$4,739,644
1999	$6,253	$2,643,536	$4,695,870
2000	$19,064	$2,736,832	$4,491,997
2001	$10,199	$2,983,072	$4,954,772
2002	$15,802	$3,585,292	$5,659,415
2003	$36,081	$3,677,471	$6,394,471

Source: BC Stats

Housing Starts

In 2004, there were 199 housing starts (all starts) in Squamish, more than for any year since 1996. However, the 2004 figure is less than half the high of 402 starts in 1993. The average construction value of the units in 2003 was $155,000 per unit compared to $66,000 in 1991. The number of housing starts was higher in British Columbia in 2004 than for any year since 1994

Major Construction Projects

Squamish is in the midst of rapid socio-economic transformation driven by a variety of influences, both internal and external, that are having strong impacts on the community. Current projections forecast extraordinary growth over the next decade, driven by pent-up demand for business and real estate development, and accelerated by the coming 2010 Winter Olympics and upgrading of Highway 99.

Most notably, Squamish is experiencing record levels of investment interest across a range of industry sectors, with projects underway or planned for the near future. Projects include:

1. Sea to Sky University (www.seatoskyu.ca)

Canada's first private, secular and not-for-profit university encompassing a total of 97 hectares (240-acre); campus and housing units on Squamish District Lot 512. A bridge over Mashiter Creek to access this development is nearly complete. The opening date for 200 of 600 first-phase students will be in September 2006; the maximum in future years will be 1,200 students. The municipality is processing permit applications for development of the campus as well as the abutting residential neighbourhood. Preliminary figures indicate a development with approximately 700 units.

2. Garibaldi Springs Golf Course

A masters, mid-length, championship style golf course designed by renowned architect Les Furber. The par-64 layout features tree-lined fairways, water on 14 holes including two salmon-bearing creeks, several elevated greens and tees atop a rocky ridge, and environmental areas. Two phases of townhouses located adjacent to the golf course and Tantalas Way are essentially complete. The District has approved a development permit for the pro shop and hotel that includes suites, restaurant/lounge and fitness facility.

3. Wal-Mart

Wal-Mart is proposing an 85,000 square foot store on the highway frontage of the Squamish Business Park. The project proponents are seeking municipal approvals for the development and are currently undergoing the rezoning process for the allowable square footage the of grocery space.  Council held a public hearing on the rezoning September 14, 2004 and gave a third reading to the bylaw. The development permit and adoption of the bylaw will be considered soon.

4. Factory Outlet Mall (Parallax Factory Outlet)

A current development proposes a 124,080 square foot strip centre with stand-alone restaurant on a 10-acre parcel along Hwy 99 north of the proposed Wal-Mart site. The centre will reportedly cater to retail outlets with shops for outdoor apparel, footwear, kids clothing, maternity wear, cosmetics, accessories, luggage and housewares. A tourist information kiosk is to be included in the development to promote the Outlet Mall as a gateway to leisure opportunities in Squamish.

5. District Lot 511

A 130-acre residential development site north of the Garibaldi Highlands area and east of the new Garibaldi Springs resort. The property traded in the fall of 2003 with a development application submitted in February 2004. The developer is proposing a 250 to 300 single family lots and 300 to 400 multiple family units.

6. Block R

A 25-acre multiple family development site located next to the Chieftain Mall in Downtown Squamish. The District of Squamish owns the property and negotiations are currently underway to develop the site. Preliminary plans indicate a development scheme with 400 to 450 units.

7. Sea to Sky Highway Upgrade (www.seatoskyimprovements.ca)

The Province undertook this upgrade in preparation for the 2010 Olympic Games. The proposal is to widen and straighten the highway at various points with three and four lanes, improve sight lines, adding passing lanes and reducing traffic hazards. The project extends 95 kilometres from Nelson Creek canyon in the south to the northern terminus at Function Junction in Whistler. The estimated cost of the project is $600,000,000. Slated for completion in 2009, the project will meet population growth and travel demands until 2020, with additional improvements phased in as required over approximately 20 years.

8. Garibaldi at Squamish (www.garibaldiatsquamish.com)

This proposed ski resort planned for construction 13 km north of Squamish will include ski and snowboard area boundaries encompassing 1,670 ha (4,125 acres); 176 marked trails, plus alpine bowls; snowboard park; Nordic trails. Summer season facilities will include mountain biking and hiking trails, golf learning centre, tennis centre and camping. Garibaldi at Squamish is currently undergoing the Government of British Columbia's Environmental Assessment process.

9. The Main Street Project

A proposed 250± unit multiple family residential development located between 3 rd Avenue and 6th Avenue, at the southwest edge of Downtown Squamish. The project will consist of wood frame townhomes and wood frame four storey condominiums.

10.  Downtown Waterfront & Oceanfront Development

The Squamish Waterfront Development Corporation will take over and develop the waterfront lands on behalf of the District. Located at the south end of downtown the development is expected to drive the revitalization of the downtown through public access to the water and opportunities for residential and commercial waterfront development. The Squamish Downtown Waterfront Concept Plan is a broad public consultation and design process facilitated by the Fraser Basin Council and guided by the University of British Columbia's Sustainable Communities Program. The result is a detailed waterfront design concept plan for the Howe Sound oceanfront. The final design highlights essential public infrastructure components such as water's-edge boardwalk and generous public green space.

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Projects Profile: Squamish

Grover Elliott & Company Ltd. provided professional real estate services on fourteen properties in the Squamish region in the year 2004. The properties ranged from the first retail strata lot in Squamish to proposed comprehensive developments to retail power centers. Services included appraisals for financing, negotiation, eco-gifting and exchange purposes, market overviews and absorption studies. The following is a summery of work Grover, Elliott completed in the Squamish Region.

Sea to Sky University (www.seatoskyu.ca)

• Appraisal of the development land and the lots in the completed development and an Absorbsion Analysis.
• Canada's first private, secular and not-for-profit university encompassing a total of 97 hectares (240-acres); campus and housing units on Squamish District Lot 512. A bridge over Mashiter Creek to access this development is nearly complete. The opening date for 200 of 600 first-phase students will be in September 2006; the maximum in future years will be 1,200 students. The municipality is processing permit applications for development of the campus as well as the abutting residential neighbourhood. Preliminary figures indicate a development with approximately 700 units.

Garibaldi Springs Golf Course

• Appraisal of the golf course and future development lands.
• A masters, mid-length, championship style golf course designed by renowned architect Les Furber. The par-64 layout features tree-lined fairways, water on 14 holes including two salmon-bearing creeks, several elevated greens and tees atop a rocky ridge, and environmental areas. Two phases of townhouses located adjacent to the golf course and Tantalas Way are essentially complete. The District has approved a development permit for the pro shop and hotel that includes suites, restaurant/lounge and fitness facility.

District Lot 511

• Sensitivity Analysis
• A 130-acre residential development site north of the Garibaldi Highlands area and east of the new Garibaldi Springs resort. The property traded in the fall of 2003 with a development application submitted in February 2004. The developer is proposing a 250 to 300 single-family lots and 300 to 400 multiple family units.

Block R

• Appraisal of the land with a development scheme in place.
• A 25-acre multiple family development site located next to the Chieftain Mall in Downtown Squamish. The District of Squamish owns the property and negotiations are currently underway to develop the site. Preliminary plans indicate a development scheme with 400 to 450 units.

The Main Street Project

• Appraisal for financing and exchange purposes.
• A proposed 250± unit multiple family residential development located between 3rd Avenue and 6th Avenue, at the southwest edge of Downtown Squamish. The project will consist of wood frame townhomes and wood frame four storey condominiums.

 

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Development Indicators

Building Permit Values
	Nov-04	Nov-03	% change
Canada	$5,002,000,000	$4,421,000,000	11.6%
British Columbia	$752,800,000	$534,400,000	29.0%
GVRD	$422,900,000	$373,000,000	11.8%

Housing Starts
	Jan-05	Jan-04	% change
Canada	9,633	10,177	-5.6%
British Columbia	1,909	2,284	-19.6%
GVRD	1,341	1,625	-21.2%

Housing Price Index detached
	Jan-05	Jan-04	% change
GVRD	$482,233	$461,370	4.3%
FVREB	$348,459	$312,219	10.4%
*January for the GVRD and February for the FVREB

Housing Price Index attached
	2005*	2004*	% change
GVRD	$309,798	$292,240	5.7%
FVREB	$228,205	$196,485	13.9%
*January for the GVRD and February for the FVREB

Housing Price Index apartment
	2005*	2004*	% change
GVRD	$238,523	$220,620	7.5%
FVREB	$143,295	$120,941	16%
*January for the GVRD and February for the FVREB

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Grover, Elliott & Co. Ltd. is an established real estate appraisal firm located in Vancouver, British Columbia. Our senior team of accredited real estate appraisers have extensive experience in all types of property valuation, new project analysis, consulting and forensic appraisal. See www.groverelliott.com for further information

Comments and enquiries are welcome, and may be directed to:

Larry Dybvig, AACI, P.App, MAI President ldybvig@groverelliott.com

Ryan Lucy, B.A, Editor Telephone (604) 687 5443 rlucy@groverelliott.com