THE FIFTH DIMENSION SUMMER EDITION 2022 A Comprehensive Analysis of the Metro Vancouver Multifamily Market Provided Collaboratively By:
2 THE FIFTH DIMENSION SUMMER EDITION 2022 With summer full on, we are pleased to present this Summer edition of the Fifth Dimension, presenting a concise summary of the completed second quarter of 2022 for Metro Vancouver and the Fraser Valley. Fifth Avenue is a full service, suburban market-focused residential real estate sales and development marketing organization. Combined with our associated entities Vancouver based BakerWest, Okanagan based Epic Real Estate Solutions, and Vancouver Island based Island Realm Real Estate, we are an integral part of British Columbia’s ever growing and changing new home market. The summer blockbuster story pertains to the villains of inflation and rising interest rates. The quarter began with a slow shift in buyer mentality from fear of loss to fear of making a bad decision. However, constrained supply and sustained demand remain key factors as some communities have maintained or even increased sales while others have dropped off moderately or significantly. The supporting data for this report is objectively collected and presented by renowned and renamed Zonda Urban (formerly Urban Analytics), a leading provider of advisory services on the new multifamily home market and a vital contributor to this report since 2010. What a difference a year makes? 2021 was a very different year. Prior to that do you remember our last sustained hot market – 2017 and 2018? Yes, the one where foreign buyers were falsely accused of our paradoxical housing market with rapidly increasing prices and low supply? In fact, provincial leaders were elected on the promise of eradicating what proved to be a paper dragon. It is interesting to note that back then the numbers were skewed depending on which community was being analyzed. However, as a whole, foreign ownership accounted for less than 5 percent and was estimated to be closer to 3 percent of all sales, considering this was before we had any major pandemic related impacts on our market driving a different market of uncertainty. This all changed as the market adapted and we adapted to its new barriers. With the rising number of people continuing to be able to work from home and moving out of the major cities for affordability, it doesn’t look like this trend is ever going away. Employees are finding more balance while increasing efficiencies for the employers. Having said all this, the frenzy housing market we experienced over the last 12 to 18 months has officially shifted over the last quarter. During this frenzy, foreign ownership accounted for a mere 1.0 percent of all BC home sales per the BC Ministry of Finance. In fact, foreign ownership in BC has not been over 1.5 percent since July 2020. So despite what our government was telling us, foreign buyers were not, and could not have been, a factor in BC’s hottest housing market in history that we just experienced. It is also safe to say they were not as large a factor as made out to be in any other hot market previously experienced either. We are, and always were, simply going through normal market cycles where prices are paid or justified based on supply and demand. Of course, you could make the case the length of these cycles is shortening. Seems everything in our world is moving faster every day. Now in today’s market there are communities that are more sought after than others. For example, while most of Vancouver has gone to a yellow light for development, areas such as Richmond/South Delta maintain a green light with an 18 percent increase in sales where most of Vancouver saw a decrease. The Tri-Cities also saw an increase in sales of 14 percent, with Surrey leading the way with a 19 percent increase in sales. While sales slowed in other areas, some of this was due to limited or no product on the market, while areas with a yellow light such as Vancouver have seen sales decreases despite inventory increases.
Speaking of change, more regarding interest rates hikes are anticipated to happen this year. With prime now at 2.50 percent, this means fixed mortgage rates are between 5 percent and 6 percent for most buyers depending on their credit. To protect buyers and their ability to close on the pre-sale purchases they have already made, developers are urged to ensure they have a blanket appraisal with a lender that will hold the rates for buyers through until completion. This means a 24 to 36 month or longer rate hold for low- and high-rise condominiums and 12 to 24 months for townhomes depending on the construction schedule. Helping people secure their home with confidence on their expenses will now be of the utmost importance. In addition, incentives are back. The market is now in a more competitive season even with supply constraints.
So for a short window of time, consumers have a choice of where to buy and can take some time to make their decision. This means differentiation of development projects will be critical, and it is certainly time to ensure new developments are properly marketed, represented, and sold to target markets that want the product. Consumers no longer feel the pressure to make a quick decision on their home purchase. There is time for them to process their decision. This also challenges the real estate community to reach back into their tool-kit to help buyers visualize the investment potential and opportunity. They are taking their time to ensure the decision they make is right for them and that the numbers will work for them. This means new product will need to match their needs and wants, have creative marketing and experienced sales teams, in order to deliver this to the consumer and meet the development goals. Product design, marketing and sales skills will once again matter, as we have entered a balanced market allowing consumers choices they have not had in the last 12 to 18 months. Soon the fall will be upon us and sales are there to be had and deals to offer for those who work the hardest and Enjoysmartest.the Summer Sun while it lasts! Regards, THE FIFTH
DIMENSION
WELCOME TO
Jamie Squires President & Managing Broker Fifth Avenue Real Estate Marketing LTD. jamie@fifthave.ca
TABLE OF CONTENTS WELCOME TO THE FIFTH DIMENSION 2 OVERALL MARKET SUMMARY 4-5 MARKET SUMMARIES 6-29 Vancouver Downtown 6 Vancouver West 8 Vancouver East 10 Richmond & South Delta 12 Burnaby & New Westminster 14 North Shore: North & West Vancouver 16 Tri-Cities: Coquitlam, Port Coquitlam & Port Moody 18 Ridge Meadows: Maple Ridge & Pitt Meadows 20 Surrey Central & North Delta 22 South Surrey & White Rock 24 Cloverdale & Langley 26 Abbotsford & Mission 28 LOOKING BACK & AHEAD 30 RESEARCH METHODOLOGY 31 Proud Peerage Realty Partner PeerageRealty.com
4 THE FIFTH DIMENSION SUMMER EDITION 2022
Q2 — New Home Market Metro Vancouver’s new home market began to show signs of more normalized demand and buyer urgency levels during the Second Quarter of the year, particularly in relation to the frenzied pace of sales experienced over the past 12 to 18 months. The 4,576 sales recorded in the Second Quarter of 2022 is the lowest quarterly volume of sales since the fourth quarter of 2020 (3,791 recorded sales). Sales in the Second Quarter represent a 28 percent decrease from the previous quarter and are 30 percent lower year-over-year. There were 7,493 released and unsold units at the end of the Second Quarter, which is 46 percent higher from the last quarter but down three percent from the same quarter last year. There were 474 completed and unsold new multi-family homes available at the end of the Second Quarter, which is down five percent from the previous quarter and eight percent lower Ayear-over-year.totalof2,249 High Rise sales were recorded in the Second Quarter of 2022; a 45 percent decrease from the previous quarter, and 24 percent fewer than the same quarter last year. High Rise sales accounted for 49 percent of new home sales during the quarter. There were 5,282 released and unsold High Rise units available at the end of the second quarter, a 34 percent increase from the previous quarter and a two percent decrease year-over-year. The majority of High Rise sales occurred in the Burnaby/New Westminster sub-market, which accounted for 25 percent of all High Rise sales during the quarter, with most sales occurring at projects in Burnaby. The combined High Rise sales in the Burnaby/New Westminster, Central Surrey, and Tri Cities submarkets accounted for 65 percent of sales in this sector, and 32 percent of all new multi-family home sales during the quarter.
A total of 2,842 newer multi-family homes resold in the second quarter of 2022. This figure is a 32 percent decrease from the previous quarter and a 36 percent decrease when compared to the same quarter in 2021. Comparing activity to the First Quarter of 2022, High Rise, Low Rise, and Townhome re-sales were 32, 32, and 30 percent lower, respectively. Year-over-year, the respective sectors recorded a drop in re-sales by 20, 40, and 48 percent, respectively. Overall active listings increased by 75 percent when compared to the previous quarter and increased by 39 percent relative to the same quarter last year. Active listings for High Rise, Low Rise, and Townhome product increased by 50, 134, and 83 percent, respectively when compared to the First Quarter of this year.
Notable sales activity occurred at Shape Properties’ Brentwood Tower 5 (Brentwood), Concord’s Oasis at Concord Brentwood (Brentwood), and Anthem Properties’ The Standard (Metrotown).
Q2 — Resale Market
The 1,858 new Low Rise condominium sales recorded in the Second Quarter of 2022 were 20 percent higher than last quarter but 17 percent fewer than the number sold in the same quarter last year. The increase in sales can be partially explained by an increase in the supply of this product type; 23 new Low Rise projects were launched during the quarter, which added 2,487 units to the market. The 1,441 released and unsold units is a 20 percent increase from the previous quarter. The Central Surrey/ North Delta submarket was particularly active this quarter with the addition of eight new projects comprising 942 units. This submarket also experienced the highest number of new multifamily home sales in Metro Vancouver, with 720 sold units. Notable sales activity across Metro Vancouver’s Low Rise condominium sector was noted at West Fraser Developments’ Radley (Surrey City Centre), Manse Development’s Central Living (Surrey City Centre), Fleetwood Village II by Dawson and Sawyer (Fleetwood), Moody Yards by Mosaic Homes (St. Johns), Hayer Town Centre by Hayer Builders Group (Yorkson), and Park & Maven by Jayen Properties (Clayton). A total of 469 new Townhome sales were recorded in the second quarter of 2022, which represents a 29 percent decrease from the previous quarter and a 64 percent year-over-year drop. There were 770 released and unsold Townhome units at the end of the Second Quarter, which is 54 percent higher than the previous quarter but 22 percent lower than the same quarter last year. The increase in units is due to the launch of 16 new townhome projects (476 units) during the quarter. This compares to 15 new townhome projects with 316 units launched in the previous quarter. Strong sales activity was observed at Jayen Properties’ Park & Maven (Clayton), Phase 3 of Sea and Sky (Helm) by Bluesky Properties (Squamish), and Onyx & Ivory by Vanquish Homes (Fleetwood).
OVERALL MARKET SUMMARY
In this Second Edition of the Fifth Dimension for 2022, our data collection and analysis partner Zonda Urban (formerly Urban Analytics) shares its commentary on the most recent quarter, market performance year to date, and what to expect in the upcoming quarter with respect to Metro Vancouver’s multifamily residential real estate market.
Notable projects that could launch in the Third and Fourth Quarters of 2022 include: Vancouver Downtown – Brivia Group’s CURV, Landa Global Properties and Asia Standard Development’s 1400 Alberni; Vancouver West - Solterra’s Italia, Listraor Development’s Boden, Wesgroup’s Sixteenth and Cambie; Vancouver EastWesgroup’s Ardea, Bucci Developments’ 2550 Garden Drive ; Burnaby - Keltic Developments’ O2 , Kirpal Group’s Contour, Shape Properties’ Amazing Brentwood Tower 6; North Shore - Anthem Properties’ Baden Park, Polygon Homes’ Lennox; Tri-Cities - Anthem Properties’
5 THE FIFTH DIMENSION SUMMER EDITION 2022 OVERALL MARKET SUMMARY - CONTINUED High Rise Low Rise Townhomes Total Total Q2-2022 Sales 2,249 1,858 469 4,576 Total Inventory 5,282 1,441 770 7,493 Standing Inventory 420 37 17 474 Total # of Projects 162 67 94 323 New Home Aggregates Q2-2022HighRise Low Rise Townhomes Total Total Resales 1,186 877 779 2,842 Total Active Listings 1,505 843 912 3,260 YTDSales2020 YTDSales2021 YTDSales2022 Change2021from High Rise 1,452 6,004 6,365 6% Low Rise 1,018 3,823 3,409 -11% Townhomes 1,438 3,328 1,125 -66% Total 3,908 13,155 10,899 -17% Sales Comparison Totals Q2-2022 Q2 — Observations and Opinions There was a noticeable drop in sales activity during Second Quarter of 2022 relative to the record-breaking pace of the previous 12 to 18 months. The 4,576 reported sales were the lowest number of recorded sales since the Fourth Quarter of 2020 by at least 900 sales. After raising interest rates once in the First Quarter of 2022, the Bank of Canada increased its benchmark prime rate twice more during the Second Quarter in an attempt to reign in inflation. By the end of the first half of the year, the prime rate had increased to 1.50 percent. At the time of writing, the rate has since risen to 2.50 percent after a somewhat surprising 100 basis point increase early in the Third Quarter. The Bank of Canada also signalled the likelihood for further rate increases to help reduce inflationary pressures as quickly as possible. As such, borrowing costs are likely to increase further for both new home buyers and the building industry. High prices and economic uncertainty has resulted in buyer hesitancy, as evidenced by significant drop in new condominium and townhome sales during what has historically been the year’s busiest quarter. Sales are likely to remain flat during the summer months. This drop in buyer demand and urgency combined with the uncertainty caused by higher carrying costs and rising construction costs has also led some developers to delay or postpone project launches. Further, while some developers are releasing townhome projects in smaller phases to test demand and limit the potential exposure of having too much completed and unsold inventory, builders of more comprehensive High Rise condominium projects are extending preview periods for some projects as a way to test market demand and pricing thresholds. This is likely to continue into the fall months as developers closely monitor market activity and buyer sentiment. The slower absorptions have led to more developers increasing incentive offerings in order to move inventory.
There were 7,493 released and unsold units remaining at the end of the Second Quarter, a 46 percent increase from the previous quarter. While there were 300 more units released during the quarter than in the First Quarter of 2022, the absorption rate of newly released product was much lower; 48 percent of newly released product was absorbed this quarter compared to the 71 percent absorption rate recorded at projects launched during the First Quarter.
SOCO Phase 2, Ledingham McAllister’s Alderson Gate, Marcon’s Hue; Richmond/South Delta – Ifortune’s Glitz, Westmark Development’s Camden Square, Onni’s Riva 4; South Surrey/White Rock - Gramercy Developments’ The Loop; Central Surrey/North Delta - Century Group’s Holland Parkside, Concord Pacific’s The Piano, Weststone Group’s Innovation Village, Adera’s Pura, Elegant Developments’ Elwynn Green; Langley/Cloverdale – Inspira’s Insignia, Zenterra’s Newbury, Streetside’s Emory; Abbotsford/ Mission - Pacific Hills Development’s Westminster Plateau; Ridge-Meadows - Pacific Vision Development’s La Riviere, Dema Developments’s Pine Creek Estates 2 469 TOWNHOME SALESHIGH RISE SALES LOW RISE SALES 2,2491,858 Resale Market Totals Q2 - 2022
Fifteen Fifteen by Bosa Properties recorded 14 sales in the Second Quarter of 2022
neighbourhoods. ↓
There
Amacon’s High Rise Condominium, Block, has sold 128 units since commencing sales in July 2021
**Note: The greater variation in active Sales Price Range is the result of the achievable sale value differential between comparable product in the different
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6 THE FIFTH DIMENSION SUMMER EDITION 2022 VANCOUVER DOWNTOWN MARKET SUMMARY - NEW Released Projected High Rise Low TownhomeRise Locations are approximate 0 TOWNHOME SALESHIGH RISE SALES LOW RISE SALES Active Projects Unsold Inventory Active Sales Range ($PSF) High Rise 13 ↑ 330 ↓ $1,337 - $3,300 Low Rise — — — Townhome ↔0 ↔72
New Market Highlights
The Downtown Vancouver market will have a ‘Yellow Light’ status for the Second Quarter of 2022. Sales decreased by 49 percent when compared to the last quarter, with 72 sales recorded over the quarter. Three projects accounted for 61 percent of total sales over the quarter. One project launched this quarter and released 54 units into the submarket with 26 percent of it absorbed. In the Second Quarter of 2022, 18 percent of the available inventory was absorbed in this submarket. This is a 12 percent decrease when compared to the absorption rate in the previous quarter.
The Pacific, a High Rise Condominium by Grosvenor, reported 9 sales over the quarter are 42 move-in homes in this submarket Downtown
Landa Global Properties’ 21 storey High Rise development, 1818 Alberni, launched in early-May and achieved 14 sales at an overall blended price of $2348 per square foot
7 THE FIFTH DIMENSION SUMMER EDITION 2022 VANCOUVER DOWNTOWN RESALE MARKET SUMMARY Active Listings Sold Listings ListingsActive MonthlySupply # % PSF DOM Active Sales Range (75% of sales) High Rise 244 9.4 78 96% $1,429 53 $615,000 - $2,065,000 Low Rise 6 0.0 0 0% Townhomes 2 2 3 4% $1,062 85 $1,065,000 - $1,463,000 MLS Resale Statistics (Product 10 Years of Age or Less) Average Price PSF Average Price PSF 1 Bedroom 2 Bedroom High Rise $725,436 $1,289 $1,532,696 $1,527 Low Rise 2 Bedroom 3 Bedroom Townhomes $1,463,000 $1,213 $1,180,000 $924 MLS Resale by Unit Type MLS Resale Highlights Average sales values per square foot have increased by $213 when compared with the Second Quarter of 2021 for High Rise product The number of High Rise listings have increased from 218 to 244, while High Rise resales decreased by 82 when compared to the Second Quarter of The2021average per square foot values of one and two bedroom High Rise condominiums have increased by $112 and $137, respectively, since the Second Quarter of 2021 The months of supply for resales in the High Rise market has increased from 4.1 months to 9.4 months when comparing to the same quarter last Theyearsales range has increased by $40,000 on the lower end and $720,000 on the higher-end over the past four quarters for High Rise product The average time a unit is on the market has increased for High Rise by 9 days since the Second Quarter of 2021
New Market Highlights Form, a 51-unit concrete Condominium project by Anthem which launched in early June, released 25 units and reported 12 sales at an overall blended price of $1950 per square foot Hathstauwk’s 59-unit concrete Condominium, Kitsilano Block, began sales in early April and achieved 35 sales at an overall blended price of $1814 per square foot
Oakhaus by Everglade Development is a 20-unit Townhome project that released in early May and reported 8 sales at a blended price of $1474 per square foot Polygon’s Claridge House achieved 23 sales and increased their blended price by $20 to $1800 per square foot
Winona on Cambie by Raichu Development Group is now sold out, selling their final 27 units over the ViciniquarterHomes is anticipated to release Grace, a 43-unit Townhome project, in the Third Quarter of 2022
8 THE FIFTH DIMENSION SUMMER EDITION 2022 VANCOUVER WEST Released Projected High Rise Low TownhomeRise Locations are approximate 58 TOWNHOME SALESHIGH RISE SALES LOW RISE SALES Active Projects Unsold Inventory Active Sales Range ($PSF) High Rise 36 ↑ 721 ↓ $1,188 - $2,899 Low Rise 4 ↓ 38 ↓ $1,242 - $1,560 Townhome 21 ↓ 155 ↓ $1,098 - $1,691 ↑↓ 4 ↓220 NEW MARKET SUMMARY Vancouver West will have a ‘Yellow Light’ status for the Second Quarter of 2022 as it recorded 282 sales, a 28 percent sales decrease from the previous quarter. Sales continue to be largely driven by the High Rise sector which accounted for 78 percent of total sales in the market but has dropped in sales by 33 percent this quarter. Overall absorption rates increased to 48 percent compared to 29 percent achieved in the previous quarter. The Low Rise sector saw a 71 percent decrease in sales while the Townhome sector saw a 16 percent increase in sales. Three new project launched over the Second Quarter of 2022 – two High Rises and one Townhome project – which added 104 units to the market.
9 THE FIFTH DIMENSION SUMMER EDITION 2022 VANCOUVER WEST RESALE MARKET SUMMARY Active Listings Sold Listings ListingsActive MonthlySupply # Percent PSF DOM Active Sales Range (75 percent of sales) High Rise 227 3.5 195 72% $1,337 38 $722,000 - $1,618,000 Low Rise 49 4.9 30 11% $1,248 22 $737,500 - $1,388,000 Townhomes 93 6.1 46 17% $1,277 46 $1,283,500 - $2,429,900 MLS Resale Statistics (Product 10 Years of Age or Less) Average Price PSF Average Price PSF 1 Bedroom 2 Bedroom High Rise $768,543 $1,295 $1,301,574 $1,350 Low Rise $1,013,586 $1,324 $1,168,538 $1,250 2 Bedroom 3 Bedroom Townhomes $1,446,732 $1,209 $2,100,035 $1,344 MLS Resale by Unit Type MLS Resale Highlights Total resales have decreased by 3 when compared to the Second Quarter of 2021, while total listings have increased by 10 in that same time span The average time a unit is on the market has decreased for High Rise, Low Rise, and Townhomes by 28, 15, and 4 days, respectively, since the Second Quarter of 2021 Average price per square foot sales values for High Rise, Low Rise, and Townhome units have increased over the past four quarters by $93, $161, and $139, respectively Two bedroom High Rise and Low Rise product saw increases of $101 and $197 in average price per square foot sales values when compared to four quarters ago The sales range has increased by $128,000 on the lower end and by $166,000 on the higher end since the Second Quarter of 2021 for High Rise product The Townhomes sales range has increased by $53,500 on the lower-end and by $430,000 on the higher-end over the past four quarters
The Vancouver East submarket will have a ‘Yellow Light’ status after recording 178 total sales in the Second Quarter of 2022, a decrease of 17 percent from the previous quarter. Compared to the First Quarter of 2022, Low Rise and Townhome sales decreased by 66 and 93 percent, respectively, while High Rise sales increased by 111 percent. One project accounted for 61 percent of total sales over the quarter. Total sales have been largely driven by the High Rise sector, which accounted for 75 percent of all sales in the market. The High Rise sector saw one new project launch, which released 217 units with 50 percent absorbed. The Low Rise sector saw two new projects launch, releasing 77 units into the sector over the quarter. The Townhome sector did not have any new units released during this quarter. Overall absorption rates decreased to 28 percent compared to the 61 percent achieved in the previous quarter. Market Highlights
Wesgroup released 44 out of 61 units of a Low Rise development called Ace on the Drive in midMay and achieved 20 sales at an overall blended price of $1290 per square foot
Peterson Group and Coromandel Properties launched Frame in Late March, a 217-unit concrete Condominium, and achieved 108 sales at an overall blended price of $1290 per square foot
Hudson Project is anticipated to release two Townhome projects that involves restoration of a Heritage building in the Third Quarter of 2022: the 18-unit Broadhurst & Whitaker development, and Block 1910 which has eight units ↓
The Grant by Amacon, a 33-unit wood frame Condominium launched in early June and reported 7 sales at a blended price of $1174 per square foot Clive by Nexst Developments recorded 12 sales over the Second Quarter of 2022
10 THE FIFTH DIMENSION SUMMER EDITION 2022 VANCOUVER EAST Released Projected High Rise Low TownhomeRise Locations are approximate 2 TOWNHOME SALESHIGH RISE SALES LOW RISE SALES Active Projects Unsold Inventory Active Sales Range ($PSF) High Rise 9 ↓ 290 ↑ $905 - $1,322 Low Rise 10 ↓ 134 ↑ $876 - $1,290 Townhome 5 ↔ 36 ↓ $851 - $1,263 ↓43↑133 NEW MARKET SUMMARY
11 THE FIFTH DIMENSION SUMMER EDITION 2022 VANCOUVER EAST RESALE MARKET SUMMARY Active Listings Sold Listings ListingsActive MonthlySupply # Percent PSF DOM Active Sales Range (75 percent of sales) High Rise 132 3.4 117 55% $1,128 24 $589,000 - $1,069,900 Low Rise 77 4.2 55 26% $1,048 19 $625,000 - $1,108,000 Townhomes 49 3.8 39 18% $1,047 57 $806,000 - $1,655,000 MLS Resale Statistics (Product 10 Years of Age or Less) Average Price PSF Average Price PSF 1 Bedroom 2 Bedroom High Rise $643,524 $1,142 $993,912 $1,116 Low Rise $686,159 $1,118 $935,093 $1,027 2 Bedroom 3 Bedroom Townhomes $1,177,920 $1,092 $1,414,530 $1,040 MLS Resale by Unit Type MLS Resale Highlights The average time a unit is on the market has increased for High Rise, Low Rise, and Townhomes since the Second Quarter of 2021 by 1, 0, and 25 days, Averagerespectivelypriceper square foot sales values for High Rise, Low Rise, and Townhome units have increased by $86, $105, and $82, respectively The months of supply for resales in the Low Rise market has increased from 1.3 months to 4.2 months when comparing to the same quarter last year The average price per square foot for a one bedroom and two bedroom unit in a Low Rise is up $183 and $66 since the Second Quarter of 2021 Total resales have decreased by 147 when compared to the Second Quarter of 2021, while total listings have increased by 97 in that same time span The average price per square foot for two bedroom and three bedroom Townhome units has increased by $80 and $114 since the Second Quarter of 2021, respectively
The Richmond/South Delta submarket will maintain a ‘Green Light’ rating after recording 372 sales, an 18 percent increase when compared to the First Quarter of 2022. Sales increased across all sectors when compared to the previous quarter: the High Rise sector saw sales increase by 29 percent, while the Low Rise and Townhome sectors both saw increases of 11 percent. Sales were largely driven by the High Rise and Low Rise sectors, which consisted of 41 and 45 percent of total sales, respectively. The Townhome sector recorded 14 percent of total sales. The Second Quarter of 2022 saw the release of six projects, two High Rise, two Low Rise, and two Townhome projects which released 392 units onto the market. Buyer interest has continued to include a mix of local investors and end users, with a heavier focus on end users in the latter part of the quarter.
**Note: The greater variation in Active Sales Price Range is the result of the achievable sale value differential between comparable product in Richmond and South Delta ↑ ↑
Village Phase 2, a 223-unit Low Rise project by Oris, sold 63 units over the Second Quarter of 2022 at an overall blended price per square foot of $758
Market Highlights
12 THE FIFTH DIMENSION SUMMER EDITION RICHMOND/SOUTH2022 DELTA Released Projected High Rise Low TownhomeRise Locations are approximate 52 TOWNHOME SALESHIGH RISE SALES LOW RISE SALES Active Projects Unsold Inventory Active Sales Range ($PSF) High Rise 18 ↑ 690 ↑ $930 - $1,300 Low Rise 6 ↑ 94 ↓ $747 - $1,017 Townhome 14 ↔ 161 ↑ $550 - $1,116 166 ↑154 NEW MARKET SUMMARY
Thind Properties’ High Rise development, Minoru Square, released 112 units and sold 63 units during the Second Quarter of 2022 at an overall blended price per square foot of $1,192 Prima by Anderson Square launched in April 2022 and released 101 units at an overall blended price of $1,184 per square foot
Onni Group’s Tsawwassen Landing, a 156-unit Townhome development, recorded 20 sales over the Second Quarter of 2022 at a blended price of $550 per square foot
Aquilini Group and Tsawwassen First Nation’s Boardwalk – Salt and Meadows 2, a 99-unit Low Rise development, launched sales in April and recorded 55 sales at a blended price per square foot of Hamilton$896
13 THE FIFTH DIMENSION SUMMER EDITION RICHMOND/SOUTH2022 DELTA RESALE MARKET SUMMARY Active Listings Sold Listings ListingsActive MonthlySupply # Percent PSF DOM Active Sales Range (75 percent of sales) High Rise 245 4.4 167 49% $1,038 26 $610,000 - $1,100,000 Low Rise 71 2.2 97 28% $875 17 $561,500 - $875,000 Townhomes 102 3.8 80 23% $822 23 $895,000 - $1,450,000 MLS Resale Statistics (Product 10 Years of Age or Less) Average Price PSF Average Price PSF 1 Bedroom 2 Bedroom High Rise $645,111 $1,065 $907,209 $1,005 Low Rise $559,758 $909 $753,057 $860 2 Bedroom 3 Bedroom Townhome $992,990 $824 $1,122,342 $811 MLS Resale by Unit Type MLS Resale Highlights Total resales have decreased from 549 to 344 when comparing to the Second Quarter of 2021 The lower-bound of the sales range for High Rise product increased by $45,000, while the upper-bound of the sales range decreased by $22,000 when comparing to the same quarter in 2021 The sales range of Townhomes increased by $135,100 on the lower end, while the top end price range increased by $182,000 when compared to the Second Quarter of 2021 Average per square foot sales values of High Rise, Low Rise, and Townhome units increased by $115, $117, and $113, respectively, when compared to four quarters ago Price per square foot sales values for one bedroom High Rise units have increased by $104, while one bedroom Low Rise units have increased by $137 over the past four quarters The average sales price of a two and three bedroom Townhomes increased by $225,926 and $90,110, respectively, since the Second Quarter of 2021
The Amazing Brentwood (Tower 6) by Shape Properties is anticipated to release 369 units in Summer 2022
The Standard, Anthem’s 43-storey High Rise development in Metrotown, released 75 units as part of its second phase and sold all 75 units, increasing the overall blended price per square foot to Concord’s$1,250 Brentwood High Rise Development, Oasis at Concord Brentwood (West), has sold 325 units at an average price per square foot of $1,300 since launching in February Symphony Group is anticipated to launch Moonlight Sonata, a 130-unit Townhome development in Q3-2022
14 THE FIFTH DIMENSION SUMMER EDITION 2022 BURNABY/NEW WESTMINSTER Released Projected High Rise Low TownhomeRise Locations are approximate 4 TOWNHOME SALESHIGH RISE SALES LOW RISE SALES Active Projects Unsold Inventory Active Sales Range ($PSF) High Rise 36 ↓ 1,414 ↓ $755 - $1,464 Low Rise 5 ↓ 98 ↔ $743 - $971 Townhome 2 ↔ 5 ↑ $612 - $906 ↓↓ 0 ↔572 NEW MARKET SUMMARY
The Burnaby/New Westminster submarket will retain its ‘Green Light’ status for the Second Quarter of 2022 despite sales dropping by 72 percent. Although sales have decreased, the decrease can in part be tied to declining inventory. The Second Quarter of 2022 saw 43 active projects providing a total inventory of 2,093 units; in comparison, the previous quarter had 54 active projects which had an inventory of 3,852 units. This represents a 46 percent decrease in inventory. The Low Rise and Townhome sectors saw the greatest decrease in sales as there has been a lack of new supply since February. Sales were almost entirely driven by the High Rise sector, which accounted for 99 percent of sales in the market. The large proportion of sales in the High Rise sector is due in part to the launch of three High Rise developments in Brentwood. Market Highlights
Oasis at Concord Brentwood (East) by Concord Pacific commenced sales in mid-May and sold 100 units at an average value of $1,336 per square foot. Shape Properties’ 503-unit High Rise development, The Amazing Brentwood (Tower 5), sold out at a blended value of $1,371 per square foot after launching sales in March
15 THE FIFTH DIMENSION SUMMER EDITION 2022 BURNABY/NEW WESTMINSTER RESALE MARKET SUMMARY Active Listings Sold Listings ListingsActive MonthlySupply # Percent PSF DOM Active Sales Range (75 percent of sales) High Rise 294 3.1 282 69% $1,093 29 $606,000 - $1,026,000 Low Rise 55 2.1 77 19% $902 18 $520,000 - $885,000 Townhome 45 2.6 51 12% $799 22 $787,000 - $1,289,450 MLS Resale Statistics (Product 10 Years of Age or Less) Average Price PSF Average Price PSF 1 Bedroom 2 Bedroom High Rise $649,763 $1,146 $902,499 $1,052 Low Rise $542,333 $923 $791,575 $890 2 Bedroom 3 Bedroom Townhome $907,924 $826 $1,102,677 $764 MLS Resale by Unit Type MLS Resale Highlights Total resales have decreased by 163 when compared to the Second Quarter of 2021, while total listings have increased by 70 in that same time span The average per square foot sales values of High Rise, Low Rise, and Townhomes have increased when comparing to the Second Quarter of 2021 by $121, $112, and $92, respectively The sales range of High Rise product increased by $64,000 on the lower end, while the top end price range increased by $111,000 when compared to the Second Quarter of 2021 Compared to the Second Quarter of 2021, the average price per square foot of one bedroom High Rise and Low Rise product has increased by $123 and $104, respectively The average price per square foot of both two bedroom High Rise and Low Rise product has increased by $117 over the past year The average sales price of two and three bedroom Townhomes have increased by $140,460 and $146,814, respectively, when compared to the Second Quarter of 2021
The North Shore will maintain its ‘Green Light’ status for the Second Quarter of 2022 after recording 211 sales, three more sales than the total observed in the First Quarter of 2022. Four projects launched in the Second Quarter – two High Rise developments, one Low Rise development, and one Townhome project – which released 266 units onto the market while having an absorption rate of 53 percent. 42 percent of all inventory was absorbed over the quarter, a four percent increase when compared to the absorption rate in the previous quarter. The High Rise sector was the primary driver of sales over the quarter, accounting for 71 percent of sales activity in the market. In comparison, the Low Rise and Townhome sectors accounted for 26 and four percent of sales, respectively. The primary purchasers in the High Rise sector were reported to be investors purchasing smaller units and downsizers buying higher-end luxury product. Market Highlights Hawksley, a 77-unit Concrete Condominium by Beedie and British Pacific Properties, commenced sales in late May and recorded 65 sales at a blended price per square foot of $1,400 Executive Group Development’s, Executive on the Park, started sales in May and sold 15 units over the quarter at a blended price per square foot of $1,892 Seymour Village – Lupine Walk (West), a Low Rise project by Aquilini Development, launched in early May and reported 54 sales at an overall blended value of $964 per square foot Innova by Cascadia Green Development sold 19 units over the quarter at a blended price per square foot of $1,248 Boden by Belford Properties is anticipated to launch 36 townhomes in the Third Quarter of 2022
16 THE FIFTH DIMENSION SUMMER EDITION 2022 NORTH SHORE Released Projected High Rise Low TownhomeRise Locations are approximate 8 TOWNHOME SALESHIGH RISE SALES LOW RISE SALES Active Projects Unsold Inventory Active Sales Range ($PSF) High Rise 13 ↑ 223 ↓ $990 - $1,890* Low Rise 2 ↑ 64 ↑ $965 - $1,565* Townhome 3 ↑ 9 ↑ $839 - $929↑↓ 54 ↑149 NEW MARKET SUMMARY
*Note that the large sales range North Vancouver.
is due to the price differences observed in West and
17 THE FIFTH DIMENSION SUMMER EDITION 2022 NORTH SHORE RESALE MARKET SUMMARY Active Listings Sold Listings ListingsActive MonthlySupply # Percent PSF DOM Active Sales Range (75 percent of sales) High Rise 100 4.0 75 39% $1,300 44 $650,000 - $1,920,000 Low Rise 39 1.5 77 40% $1,097 13 $655,000 - $1,250,000 Townhome 35 2.6 41 21% $994 28 $1,100,000 - $1,910,000 MLS Resale Statistics (Product 10 Years of Age or Less) Average Price PSF Average Price PSF 1 Bedroom 2 Bedroom High Rise $694,559 $1,181 $1,365,547 $1,324 Low Rise $669,695 $1,063 $1,033,866 $1,085 2 Bedroom 3 Bedroom Townhome $1,616,848 $1,064 $1,720,707 $976 MLS Resale by Unit Type MLS Resale Highlights There were 174 total listings, which is an increase of 62 listings when compared to the Second Quarter of 2021 Compared to the Second Quarter of 2021, the average time a unit is on the market has decreased for both Low Rise and Townhome units by 4 Thedaysaverage per square foot sales values for High Rise, Low Rise, and Townhomes have increased when comparing to the Second Quarter of 2021 by $111, $110, and $135, respectively The sales range increased by $73,000 on the lower-end and increased by $210,000 on the upper-end for Low Rise product since four quarters Twoago bedroom High Rise and Low Rise product increased in per square foot sales values by $255 and $128, respectively, when compared to the Second Quarter of 2021 The average sales price of two and three bedroom Townhome have increased by $294,659 and $357,580, when compared to the Second Quarter of 2021
18 THE FIFTH DIMENSION SUMMER EDITION 2022 TRI-CITIES Released Projected High Rise Low TownhomeRise Locations are approximate 19 TOWNHOME SALESHIGH RISE SALES LOW RISE SALES Active Projects Unsold Inventory Active Sales Range ($PSF) High Rise 20 ↑ 660 ↑ $819 - $1157 Low Rise 12 ↓ 143 ↑ $671 - $994 Townhome 3 ↓ 30 ↑ $800 - $829↓↑ 282 ↑406 NEW MARKET SUMMARY
The Tri-Cities will retain its ‘Green Light’ rating for the Second Quarter of 2022 after achieving 707 total sales, a 14 percent increase from the previous quarter. There were seven new project launches over the quarter – three High Rise, three Low Rise, and one Townhome project – which released 1,021 total units while having an absorption rate of 50 percent. The majority of sales across the market occurred in the High Rise sector, which accounted for 57 percent of total sales. The Low Rise and Townhome sectors accounted for 40 and three percent of sales, respectively. Compared to the First Quarter of 2022, sales in the High Rise and Low Rise sectors increased by 49 and 17 percent respectively, while sales in the Townhome sector decreased by 82 percent. The market saw an overall absorption rate of 46 percent. New Market Highlights
Ledingham McAllister’s Precidia, a 178-unit High Rise development, sold 80 units at an average blended price per square foot of $1,100 since early April Strand’s Alina sold 132 of the 246 units at an average price per square foot of $1,120 after launching in mid-June Band, a 384-unit High Rise development by Townline, commenced sales in early June and sold 84 units at an average blended price per square foot of $1,157 Chroma by Forte Living commenced sales in early May, releasing 70 units and selling 61 at an average price per square foot of $994 Mosaic Home’s Moody Yards, released and sold 160 units after being on the market for one month at a blended price of $993 price per square foot Baycrest West, a 24-unit Townhome project by Woodbridge Homes, commenced sales in mid-June at an average price of $1,349,720 and sold 12 units
19 THE FIFTH DIMENSION SUMMER EDITION 2022 TRI-CITIES RESALE MARKET SUMMARY Active Listings Sold Listings ListingsActive MonthlySupply # Percent PSF DOM Active Sales Range (75 percent of sales) High Rise 117 2.1 165 50% $988 27 $590,000 - $1,010,000 Low Rise 75 2.3 99 30% $859 19 $530,000 - $800,000 Townhome 41 2.0 63 19% $763 16 $960,000 - $1,380,000 MLS Resale Statistics (Product 10 Years of Age or Less) Average Price PSF Average Price PSF 1 Bedroom 2 Bedroom High Rise $606,012 $1,032 $870,246 $962 Low Rise $555,555 $907 $728,066 $825 2 Bedroom 3 Bedroom Townhome $895,811 $779 $1,104,691 $783 MLS Resale by Unit Type MLS Resale Highlights Compared to the Second Quarter in 2021, sales in Low Rise and Townhome product decreased by 72 and 48, respectively, while High Rise sales increased by 10 Total listings have increased by 89 when compared to the same period last year The average sales value per square foot for High Rise, Low Rise, and Townhome product have increased by $111, $110, and $135, respectively, since the Second Quarter of 2021 The lower end sales range for High Rise, Low Rise, and Townhome product has increased by $69,000, $62,100, and $185,000, respectively, since the same quarter last year The average price per square foot of a one bedroom is up by $92 and $145 for High Rise and Low Rise product compared to the Second Quarter of 2021 The average sales price of two and three bedroom Townhome has increased by $190,845 and $174,328, when compared to the Second Quarter of 2021
Market Highlights Whitetail Homes’ 125-unit Low Rise development, Podium, launched sales in early June at a blended price per square foot of $698 and sold 49 units Inspire Phase 2, a 108-unit Low Rise Condominium project by Platinum Group, sold 45 units over the quarter with an overall average price per square foot of $851 Harwest Homes’ Townhome project, Sequoia, has 4 units remaining at an average value of $656 per square foot
The Ridge-Meadow submarket will hold its ‘Green Light’ status for the Second Quarter of 2022 despite sales decreasing by 39 percent when compared to the First Quarter of 2022. Strong investor and young end-user interest was observed due to the lower entry price point in Low Rise condominium projects. The Low Rise sector registered 87 percent of all sales in the market, with two new project launches accounting for all 94 sales in the sector. With the High Rise sector recording nine sales, there is no longer any High Rise inventory in the market. The increase in unsold inventory for Townhomes is due to the launch one new project and additional releases from older projects. The lack of supply in the market has put immense pressure on pricing, increasing the upper end of the active sales range by approximately $80 per square foot in both Low Rise Condominiums and Townhomes.
Azure Group’s 16-unit Townhome project, Hillside Homes, started sales in mid-April at an average blended price per square foot value of $744 and reported four sales at the end of the quarter
Concordia Home’s 153-unit High Rise development, Highpointe, sold out at an overall blended price per square foot of $597
20 THE FIFTH DIMENSION SUMMER EDITION 2022 RIDGE MEADOWS Released Projected High Rise Low TownhomeRise Locations are approximate 5 TOWNHOME SALESHIGH RISE SALES LOW RISE SALES Active Projects Unsold Inventory Active Sales Range ($PSF) High Rise 1 ↔ 0 ↓ $597 Low Rise 3 ↓ 139 ↑ $590 - $851 Townhome 7 ↑ 40 ↑ $516 - $744↓↑ 94 ↑9 NEW MARKET SUMMARY
21 THE FIFTH DIMENSION SUMMER EDITION 2022 RIDGE MEADOWS RESALE MARKET SUMMARY Active Listings Sold Listings ListingsActive MonthlySupply # Percent PSF DOM Active Sales Range (75 percent of sales) High Rise 0 0 0 0% Low Rise 40 2.6 47 46% $699 13 $475,000 - $665,000 Townhome 52 2.8 56 54% $599 16 $780,000 - $999,999 MLS Resale Statistics (Product 10 Years of Age or Less) Average Price PSF Average Price PSF 1 Bedroom 2 Bedroom High Rise Low Rise $496,374 $729 $621,995 $688 2 Bedroom 3 Bedroom Townhome $748,500 $599 $885,015 $622 MLS Resale by Unit Type MLS Resale Highlights Total listings have increased by 68 while resales have decreased by 44 when compared to the Second Quarter of 2021 The average sales value per square foot for Low Rise and Townhome product have increased by $136 and $111, respectively, since the same quarter last year The average sales price of one and two bedroom Low Rise units increased by $107,728 and $113,657, respectively The lower and upper bound of the sales range for Low Rise product increased by $110,000 and $85,000, respectively compared to the same period last year Since the Second Quarter of 2021, the lower and upper bound of the sales range for Townhome product increased by $120,000 and $189,999, respectively Two bedroom and three bedroom Townhome units saw an increase in average price on sold units by $97,256 and $146,072 respectively, over the past year
The Surrey Central/North Delta market holds the ‘Green Light’ status after recording 1,314 sales, a 19 percent increase when compared to the previous quarter. Sales in the submarket have been largely driven by the Low Rise sector, which accounted for 55 percent of all sales. High Rise sales have decreased drastically by 46 percent, which is partially due to market conditions and peaked price points. Low Rise projects observed significant activity in the early half of the quarter due to comparatively affordable price points; however, sales activity was reported to slow down significantly in the latter half of the quarter. Market conditions worsened with continued interest rate hikes as seen in the phased project launches within the second quarter. It has been observed that buyer activity has been reduced and developers have been offering incentivized programs to counter the decrease in activity. Market Highlights
LionEstate Construction’s 38-unit Low Rise project, The 85, launched in mid-April and sold 29 while blending at $829 per square foot
Wanson Group’s Low Rise projects, Silva, launched two Low Rise buildings: the first sold all 100 units while blending at $796 per square foot, and the second has sold 36 units at $859 per square Fleetwoodfoot
Century Group’s High Rise project, Century City Holland Park, released 409 units and sold 180 units while at $1,055 price per square foot
Village 2 by Dawson & Sawyer launched two 6-storey Low Rise Condo buildings in May: the first building sold all 133 units at an average value of $866 per square foot within 2 weeks, while the second building recorded 22 sales at an average value of $854
22 THE FIFTH DIMENSION SUMMER EDITION 2022 SURREY CENTRAL/NORTH DELTA Released Projected High Rise Low TownhomeRise Locations are approximate 115 TOWNHOME SALESHIGH RISE SALES LOW RISE SALES Active Projects Unsold Inventory Active Sales Range ($PSF) High Rise 9 ↔ 870 ↑ $829 - $1,115 Low Rise 12 ↑ 270 ↑ $581 - $1,014 Townhome 13 ↑ 138 ↑ $486 - $926↑↓ 720 ↑479 NEW MARKET SUMMARY
BM Groups 264-unit High Rise project in North Delta, Walker House, commenced sales mid-June and sold 34 units, with an overall average value of $1,100 per square foot
23 THE FIFTH DIMENSION SUMMER EDITION 2022 SURREY CENTRAL/NORTH DELTA RESALE MARKET SUMMARY Active Listings Sold Listings ListingsActive MonthlySupply # Percent PSF DOM Active Sales Range (75 percent of sales) High Rise 108 4.2 77 26% $919 34 $429,500 - $676,000 Low Rise 154 4.0 116 39% $826 25 $455,000 - $675,000 Townhome 184 5.2 106 35% $631 33 $860,000 - $1,135,000 MLS Resale Statistics (Product 10 Years of Age or Less) Average Price PSF Average Price PSF 1 Bedroom 2 Bedroom High Rise $507,295 $970 $649,079 $856 Low Rise $486,878 $852 $643,841 $780 2 Bedroom 3 Bedroom Townhome $807,271 $671 $952,065 $645 MLS Resale by Unit Type MLS Resale Highlights Total listings increased by 203 while resales decreased 274 when compared to the Second Quarter of 2021 The months of supply for resales in the Townhouse market has increased from 0.7 months to 5.2 months when comparing to the same quarter last year The months of supply for resales for High Rise and Low Rise product has increased by 2.0 and 2.5 months, respectively, when compared to the Second Quarter of 2021 The per square foot value has increased for High Rise, Low Rise and Townhomes by $154, $193, and $126, respectively, when compared to four quarters ago One bedroom High Rise and Low Rise units saw an increase in average price per square foot on sold units by $182 and $187 over the year The average two and three bedroom Townhome unit have seen price increases of $200,673 and $196,995, respectively, compared to the same period last year
The South Surrey/White Rock submarket will maintain a ‘Green Light’ rating despite seeing a 47 percent decrease in sales when compared to the First Quarter of 2022. The decrease in overall sales is largely due to the lack of inventory in the Low Rise sector, as no new projects came onto the market. The inventory of Low Rise product to begin the quarter stood at 73 units, which is 79 percent lower than the available inventory entering the First Quarter of 2022. In contrast, the High Rise and Townhome sectors saw sales increases of five and 89 percent, respectively, when compared to the previous quarter. There were no High Rise launches, but three Townhome projects launched over the quarter. These launches added 91 units onto the market and recorded 24 sales, representing half of all Townhome sales over the quarter.
Market Highlights
Solterra Developments’ 97 unit High Rise project, Monaco, has sold 10 units over the Second Quarter of 2022 at a blended price per square foot of $1083
Streetside Developments’ 82 unit Townhome project, The Boroughs (Phase 2), has started sales early April and sold 22 units at a blended price per square foot of $720
Douglas Green Living – Townhomes, a 28-unit Townhome project by Panorama West, has sold 5 units after starting sales in early April at a blended price per square foot of $731
Park Ridge Homes’ 42-unit Townhome project, Fox & Aikins, released 29 units and recorded 16 sales over the quarter, achieving an overall blended value $676 per square foot Altus, a High Rise by Ovledo Properties, recorded 23 sales in the Second Quarter of 2022 and has achieved 86 sales at a blended price per square foot of $906
24 THE FIFTH DIMENSION SUMMER EDITION 2022 SOUTH SURREY/WHITE ROCK Released Projected High Rise Low TownhomeRise Locations are approximate 51 TOWNHOME SALESHIGH RISE SALES LOW RISE SALES Active Projects Unsold Inventory Active Sales Range ($PSF) High Rise 5 ↔ 66 ↓ $906 - $1083 Low Rise 3 ↓ 44 ↓ $712 - $913 Townhome 5 ↑ 53 ↑ $496 - $731↑↑ 29 ↓44 NEW MARKET SUMMARY
25 THE FIFTH DIMENSION SUMMER EDITION 2022 SOUTH SURREY/WHITE ROCK RESALE MARKET SUMMARY Active Listings Sold Listings ListingsActive MonthlySupply # Percent PSF DOM Active Sales Range (75 percent of sales) High Rise 36 3.6 30 19% $1,084 36 $798,900 - $1,765,000 Low Rise 30 2.4 37 23% $823 25 $570,000 - $825,000 Townhome 95 3.0 95 59% $642 24 $870,000 - $1,270,000 MLS Resale Statistics (Product 10 Years of Age or Less) Average Price PSF Average Price PSF 1 Bedroom 2 Bedroom High Rise $718,842 $1,003 $1,270,948 $1,072 Low Rise $601,233 $863 $783,556 $780 2 Bedroom 3 Bedroom Townhome $906,539 $676 $1,017,024 $665 MLS Resale by Unit Type MLS Resale Highlights When compared to the same quarter last year, the total number of listings have increased by 98 while resales have decreased by 146 The months of supply for resales for High Rise, Low Rise, and Townhome product has increased by 1.2, 1.8, and 2.7 months, respectively, when compared to the Second Quarter of 2021 Average per square foot sale values for High Rise and Low Rise product has increased by $145 and $163, respectively when compared to the Second Quarter of 2021 High Rise and Low Rise product have seen a decrease in average days spent on the market, averaging 38 and 14 fewer days on the market One and two bedroom Low Rise units saw an increase in average price per square foot on sold units by $127 and $130 over the past year Two and three bedroom townhome product saw an increase in average sales price of $203,366 and $184,667, respectively, compared to the same quarter last year
26 THE FIFTH DIMENSION SUMMER EDITION LANGLEY/CLOVERDALE2022 Released Projected High Rise Low TownhomeRise Locations are approximate 75 TOWNHOME SALESHIGH RISE SALES LOW RISE SALES Active Projects Unsold Inventory Active Sales Range ($PSF) High Rise 1 ↔ 15 ↑ $975 Low Rise 7 ↑ 402 ↑ $789 - $925 Townhome 12 ↑ 78 ↑ $423 - ↓$834↓ 6442 NEW MARKET SUMMARY
Jayen Properties’ Park & Maven, a 233-unit Low Rise building, started sales in May and sold out all 150 released units at the end of the quarter, achieving an overall blended value of $879 per square foot
Market Highlights
The Langley/Cloverdale submarket will maintain a ‘Green Light’ rating after recording 523 total sales, a 20 percent increase when compared to the First Quarter of 2022. Sales over the quarter were predominately in the Low Rise sector, who’s 442 sales represented 85 percent of all sales in the submarket. This also represents a 38 percent increase in sales in the previous quarter. There were five Low Rise projects that launched over the quarter, which added 802 units onto the market while achieving an absorption rate of 50 percent. Two of these projects combined to release 410 units while recording 304 sales. The High Rise and Townhome sectors recorded one and 14 percent of sales, respectively. There were no new High Rise Launches, while three new Townhome projects launched over the quarter, releasing 92 units and recording 58 sales.
Young Earth Developments launched 72 Crossroads, a 3-storey concrete project that released 21 units in the Second Quarter of 2022 and subsequently sold 6 units at an overall blending price of $975 per square foot
Apcon Group’s 156-unit Low Rise project, The Hive 2, sold 66 units after starting sales in early June at an overall price per square foot of $859 Wedgemont, a 38-unit Townhome project by Wesmont, sold 22 units after starting sales late March at a blended price of $771 per square foot
Hayer Builders Group’s 177-unit Low Rise project, Hayer Town Centre, started sales in April and sold 154 units by the end of the quarter, achieving an overall blended price of $925 per square foot
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27 THE FIFTH DIMENSION SUMMER EDITION LANGLEY/CLOVERDALE2022 RESALE MARKET SUMMARY Active Listings Sold Listings ListingsActive MonthlySupply # Percent PSF DOM Active Sales Range (75 percent of sales) High Rise 0 0.0 0 0% Low Rise 188 3.0 188 54% $764 19 $488,000 - $770,000 Townhome 158 3.0 158 46% $619 22 $820,000 - $1,099,900 MLS Resale Statistics (Product 10 Years of Age or Less) Average Price PSF Average Price PSF 1 Bedroom 2 Bedroom High Rise Low Rise $508,630 $833 $669,407 $731 2 Bedroom 3 Bedroom Townhome $818,363 $649 $950,646 $621 MLS Resale by Unit Type MLS Resale Highlights Resales for Low Rise and Townhome product decreased by 119 and 158, respectively, when compared to the Second Quarter of 2021 Total listings increased by 101 when compared to the same quarter last year The sales range increased by $150,000 on the lower-end and increased by $200,000 on the upper-end for Townhome product since four quarters ago Average price per square foot values rose for Low Rise condominiums by $155 and rose by $105 for Townhomes when compared to this quarter last year The average price per square foot value for one and two bedroom Low Rise units rose by $183 and $129 when compared to the Second Quarter of 2021 Since the Second Quarter of 2021, the months of supply for Townhome product has risen from 0.7 months to 3.0 months
Market Highlights
Jem, a 97-unit Low Rise project by Quanterra Developments Ltd, released 11 homes with one bedroom units starting at $449,900 and two bedroom units starting at $599,900 Montvue, a Low Rise development by Parcel 7, released its remaining inventory and achieved 24 sales with just 5 units remaining, blending at $776 per square foot
Amacon’s Townhome project, Mckenzie Mews, sold its last remaining unit over the quarter and achieved an average unit price of $895,000.
The Peak at Mountain View Townhomes by Mann Group released 42 homes with an average price of $1,530,000 and achieved 5 sales
The Abbotsford/Mission market will hold its ‘Green Light’ status for the Second Quarter of 2022 despite the decrease in sales by 81 units. Like other Fraser Valley markets, buyer activity slowed down in the latter half of the quarter as evidenced by two projects which launched at different times. One Low Rise project released at the end of the First Quarter of 2022 has 92 percent of its inventory absorbed, while another Low Rise project which launched in mid-June only released limited inventory to test the market. A third project has delayed its launch to Fall 2022. Unsold Inventory increased by 61 units, with one new Townhome launch accounting for 70 percent of it. With the lack of available inventory and slowed market conditions, the Abbotsford/Mission submarket is on the verge of transitioning into a ‘Yellow Light’ status at the end of the Second Quarter of 2022.
28 THE FIFTH DIMENSION SUMMER EDITION ABBOTSFORD/MISSION2022 Released Projected High Rise Low TownhomeRise Locations are approximate 22 ↓ TOWNHOME SALESHIGH RISE SALES LOW RISE SALES Active Projects Unsold Inventory Active Sales Range ($PSF) High Rise Low Rise 2 ↓ 15 ↑ $776 Townhome 6 ↑ 46 ↑ $297 - $662 24 ↓0 NEW MARKET SUMMARY
A master-planned community, Rail District by Infinity Properties, had a soft release of the Townhomes and sold 5 units which blended at $650 per square foot; the remaining inventory has been held back for an official sales launch in Fall 2022 when the sales center will open on site
29 THE FIFTH DIMENSION SUMMER EDITION ABBOTSFORD/MISSION2022 RESALE MARKET SUMMARY Active Listings Sold Listings ListingsActive MonthlySupply # Percent PSF DOM Active Sales Range (75 percent of sales) High Rise 2 0.0 0 0% $0 0 Low Rise 59 3.3 54 57% $691 17 $434,900 - $650,000 Townhome 56 4.1 41 43% $539 28 $712,500 - $898,000 MLS Resale Statistics (Product 10 Years of Age or Less) Average Price PSF Average Price PSF 1 Bedroom 2 Bedroom High Rise Low Rise $451,479 $725 $601,388 $666 2 Bedroom 3 Bedroom Townhome $712,399 $557 $834,364 $537 MLS Resale by Unit Type MLS Resale Highlights Total listings increased by 44 while total resales decreased by 86 when compared to the Second Quarter of 2021 Over the past four quarters, the lower bound of the sales range for Low Rise product has increased by $27,400 while the upper bound of the sales range has increased by $90,000 Price per square foot sales values for Low Rise condominiums are up $163 and price per square foot sales values for Townhomes are up $83 from the Second Quarter last year The average days spent on market for Low Rise product has decreased by 10 days, while Townhome product has increased by 13 days The average Low Rise price per square foot has increased by $124 for one bedroom condominiums and by $144 for two bedroom condominiums when compared to the same quarter in 2021 The average price per square foot two and three bedroom Townhome has increased by $57 and $84, respectively, when compared to the Second Quarter of 2021
As projected, the Second Quarter of 2022 has seen the market balance and normalize alongside the rising interest rates. Further anticipated interest rate increases for the remainder of 2022 are anticipated by the Bank of Canada that may further slow our market before it starts to increase again.
30 THE FIFTH DIMENSION SUMMER EDITION 2022
Notincreases.tomention the increased permitting, DCC, and CAC costs being implemented by many city halls as we speak, this means prices may dip a bit more but there is not room to go down much further. Therefore, we predict that we are close to reaching a stabilized market in terms of prices over the remainder of 2022. Because of this inelasticity in price, absorptions may slow even further in some areas until the demand can outweigh the current supply at those prices.
When will immigration start to have an impact on our market again? It was missing for all of 2021. How long will this current last? If you have a view you would like to share and/or questions you would like to discuss please contact Jamie at jamie@fifthave.ca.
Based on previous market cycles, we predict this to happen in Spring or Summer of 2023 when the market should theoretically begin to increase again as it has with previous cycles. With all these changes in the market occurring we will ask again, how housing policy may affect this year’s municipal election in October? What will the impact of the election be on our housing supply in each city? We saw near unprecedented change over the last election cycle with many city councils elected to stop or slow development that helped lead to the record-breaking price inflation over 2021 and the first quarter of 2022. Will housing be a major factor in who you elect? It should be.
Wages will need to increase, increased fuel costs equate to increased transport and delivery costs for materials, all lead to product cost
LOOKING BACK & AHEAD
Looking Back Hindsight is always 20/20, but we can say we saw the market slowdown coming. When those that have experienced multiple market cycles saw townhomes in Langley selling for about $1.6M plus GST it felt like the peak and it was just that. Not long after sales started to slow. More developments came to market and starting price points dropped and/or incentives started to be introduced. From decorating allowances to the latest one-dollar deposit to purchase at one Thosedevelopment.thatarenew to the industry seem to have felt that the sky was falling. This was and is not the case, this is the market normalizing or balancing. In fact depending on which neighbourhood you are selling, the pace, absorptions and prices may be stable. Other areas where prices simply escalated too high and too fast for the market to absorb are seeing the pace of sales slow. Some price decreases, when looked at month to month seem huge, but when looked at year to date are not as dramatic as we think. There was room for prices to go down and this was obvious to the most experienced. How much room is yet to be seen? Realistically with rising costs due to inflation and our rising rates, there probably isn’t as much room as the doomsday believers may think. Last issue, we asked how housing policy would influence the municipal election this Fall. We discussed the market being based on supply and demand. The demand is coming even with supply, or not as strong as the supply in some neighbourhoods, so prices are remaining level or seeing a dip. Some neighbourhoods continue to have supply scarcity and demand outweighing the supply with prices that have either leveled off or are still increasing, albeit at a slower rate. We are not able to assess how housing policy will affect this year’s municipal election yet, but we will be able to see it in the next issue. Looking Ahead Looking ahead, we see further interest rate increases from the Bank of Canada to battle inflation over the remainder of 2022. We see the prices that we have watched fall over the last quarter stabilizing as costs will have to align with price in the end. Costs are rising and will continue to rise in the foreseeable future in line with inflation.
WHY ZONDA URBAN?
Zonda Urban (formerly Urban Analytics) has been retained by Fifth Avenue Real Estate Marketing Ltd. to provide aggregate data on the multifamily residential real estate market in the Vancouver Metropolitan.
Anyone who knows us knows we love to talk real estate. Let’s chat about how we can help you with your project or set you up with a subscription to NHSLive.
Zonda Urban (Formerly Urban Analytics) (604) zondaurban.com569-3535 Michael Ferreira Principal, Advisory Zonda michael@urbananalytics.caUrban
The primary method used to collect information is a personal visit to each project being actively marketed. In addition to collecting current sales information, Zonda Urban representatives engage onsite sales staff to determine additional relevant information such as incentive offerings, traffic trends and active buyer profiles. In all instances, active sales range quoted in tables is defined as “The per square foot sales range in which 75 percent of sales of this product type occurred”
Jon Bennest Vice President, Product Development Zonda jon@urbananalytics.caUrban
Zonda Urban (Formerly Urban Analytics) been monitoring the new multi-family home market in Metro Vancouver and beyond since 1994. In addition to providing clients with the most current and accurate information on actively selling and contemplated new condominium and townhome projects in Vancouver, Toronto, Ottawa, Calgary, Edmonton and Victoria on the market-leading NHSLive data product at nhslive.ca, Zonda Urban is also the leading provider of advisory services on the new multi-family home market in these Zondamarkets.Urbanalso monitors the purpose-built rental apartment market, residential land transactions, and commercial property transaction data. Contact sales@zondaurban.com and/or advisory@zondaurban.com to learn more about these products and services.
Multifamily Project Data – New Home Sales
The methodology used to collect the data was as follows: General Parameters Metropolitan Vancouver refers to the area from West Vancouver to Abbotsford. The focus of this study is limited to the multifamily market.
Zonda Urban is Metropolitan Vancouver’s leading source for analytical interpretation of relevant real estate market data, trends and strategic recommendations.
For the purposes of this publication, Zonda Urban contacts various municipal planning departments along with developers (and/or their representatives) of proposed new developments to determine the anticipated timing of their approval and marketing launch.
Multifamily Project Data – Resale The resale market provides an important barometer from which to assess demand and determine pricing for new home projects. Accordingly, Zonda Urban closely monitors the resale market for multifamily homes in order to identify trends that are relevant to the new home sector. However, the breadth and depth of product for sale can create findings that are less than helpful to the new home developer As a result, Zonda Urban recommends studying only product that is aged ten years or newer and valued at less than $1.2 million. While it could be argued that limiting the analysis to newer product (i.e. five years or newer) would be more relevant to the new home sector, we believe this would limit the sample size and potentially skew the data towards a specific type of product available in a small number of specific buildings/projects. In all instances active sales range quoted in tables is defined as “The active sales range in which 75 percent of sales of this product type occurred”.
31 THE FIFTH DIMENSION SUMMER EDITION 2022 RESEARCH METHODOLOGY
32 THE FIFTH DIMENSION SUMMER EDITION 2022 CEO W. Scott Brown Address 8-15243 91st Avenue Surrey, BC V3R 8P8 Phone Number 604.583.2212 Email scott@fifthave.ca Website fifthave.ca This document has been prepared by Fifth Avenue Real Estate Marketing Ltd. and BakerWest Real Estate Incorporated with data provided by Zonda Urban for advertising and general information only. Fifth Avenue, BakerWest, and Zonda Urban make no guarantees, representations or warranties of any kind, express or implied, regarding the information including, but not limited to, warranties of content, accuracy and reliability. Any interested party should undertake their own inquiries as to the accuracy of the information. E.&.O.E. Metropolitan Vancouver: West Vancouver to Aldergrove. Excludes Chilliwack, and Mission. Resale Data: MLS sold for attached product (High Rise, Low Rise, and Townhomes) built within the last ten years for units valued less than $1.2 million. Single family sales are excluded from the report. This publication is the copyrighted property of Fifth Avenue Real Estate Marketing Ltd. © 2022. President Jacky Chan Address 1480-1500 West Georgia Vancouver, BC V6G 2Z6 Email jacky@bakerwest.com Website bakerwest.com President & Managing Broker Jamie Squires Address 8-15243 91st Avenue Surrey, BC V3R 8P8 Phone Number 604.583.2212 Email jamie@fifthave.ca Website fifthave.ca
