604 replies to this topic

[Mike K.]

Hmm, that I don't know for sure. But I can find out.

[UDeMan]

anyone know the prices for the Skyhome townhouses?

[Mike K.]

Starting at $735k.

[Mike K.]

Vic West's harbourfront Railyards community offers homebuyers a rare opportunity to purchase a new-build townhome in the region's urban core. The Railyards, underway for over a decade, is nearing completion with two phases remaining once the currently underway Horizon condominium complex (fronted by a limited collection of three-level Sky Home townhomes, pictured at-centre) is built.

 

Demand for townhomes surges as Victorians look to 'middle ground' of housing

http://victoria.citi...und-of-housing/

A limited supply of new-build townhome inventory has left Victorians scrambling to secure what has become an in-vogue housing option in the Capital Region.

Dominated by high-density condominiums and low-density suburban single-family-dwellings, Victoria’s new-build housing efforts are overwhelmingly focused on supplying opposite ends of the market spectrum, leaving townhomes – a middle ground of the industry with less than 10% of total sales – in short supply.

“Over the last two years we’ve seen a real spike in demand for rowhouse-style units,” says Joe Sopp of Le Fevre and Company, the developer of Vic West’s Railyards community.

“Couples outgrowning a traditional condo and downsizers eager for more space than what a one or two-bedroom condo may accommodate are increasingly attracted to product like the Railyard’s Sky Homes, and with opportunities to buy this form of housing being as limited as it is, demand is only fuelled.” [Full article]

 

 

[Kapten Kapsell]

Given the success of townhomes in the Railyards, does LeFevre have additional "SkyHomes" planned for the next phase...?

[thundergun]

^ Mike had said they're expecting 4 sky homes as part of the second phase of the Horizon. As for the building on the corner, I think it is geared towards a taller condo building. Although I'm sure the skyhomes will be nice, to me they are less appealing than the previous townhouses there - you have to pay into the condo building's higher strata fees, you have to use the parkade instead of having your own entry and there's a bit less of a neighbourhood vibe than the rowhomes. 

 

I've noticed construction on that new building has really slowed (same with Madrona in Dockside Green). Only a couple of workers on site these days - unless things pick up, the summer 2017 move-in dates are likely to become autumn 2017.

[FirstTimeHomeCrier]

 

Demand for townhomes surges as Victorians look to 'middle ground' of housing

 

 

I'm not sure that the Skyhomes really count as "middle ground" housing. You can get a small SFH in a neighbourhood like Burnside for less than $735.

[Mike K.]

Middle ground as in urban housing with more space than a condo, but without the upkeep needs of a single-family home.

[Kapten Kapsell]

I still hope that provincial regulations will eventually change to permit freehold row housing of the type that exists in Ontario (and other cities like Chicago and New York).  This would offer another type of middle ground for those who would enjoy row housing without the maintenance fees associated with a strata.  The closest thing we have to that comes in the form of strata duplexes; these usually don't charge maintenance fees but title is still strata.

[LeoVictoria]

Demand for townhomes surges?   Hmmm..  Townhouse sales are down 33% from April of last year.   Yes partially due to reduced inventory, but where's the evidence that demand is surging?  A developer said so and wants to sell his townhouses?

[phx]

I still hope that provincial regulations will eventually change to permit freehold row housing of the type that exists in Ontario (and other cities like Chicago and New York).  This would offer another type of middle ground for those who would enjoy row housing without the maintenance fees associated with a strata.  The closest thing we have to that comes in the form of strata duplexes; these usually don't charge maintenance fees but title is still strata.

What regulation prohibits that?  It seems more likely to be a municipal zoning issue.

[Mike K.]

Demand for townhomes surges? Hmmm.. Townhouse sales are down 33% from April of last year. Yes partially due to reduced inventory, but where's the evidence that demand is surging? A developer said so and wants to sell his townhouses?

Market-wide sales are down 1/3 from last year, and yes, because of a lack of inventory and not due to a lack of demand.

That aside, pre-sales (I.e. what developers are selling) are not included in MLS stats, and what developers are saying is inventory is in high demand. Which makes sense given the rise in detached housing prices and the appeal of a townhome unit (location, larger multi-level units, less expensive compared to a new-build detached home, and inclusive of parking, oftentimes with a private garage+driveway).

[LeoVictoria]

Market-wide sales are down 1/3 from last year, and yes, because of a lack of inventory and not due to a lack of demand.

That aside, pre-sales (I.e. what developers are selling) are not included in MLS stats, and what developers are saying is inventory is in high demand. Which makes sense given the rise in detached housing prices and the appeal of a townhome unit (location, larger multi-level units, less expensive compared to a new-build detached home, and inclusive of parking, oftentimes with a private garage+driveway).

 

Maybe.   The claim that townhouses are the hottest segment isn't really supportable.   SFH sell a bit faster, and condos have the lowest months of inventory.  Condos also increased in price by the most from last year.   

This is more a case of guy that sells product saying product is a hot commodity.

 

Sure, anything with 4 walls is selling in this market, but townhouses aren't the hottest segment.

[Mike K.]

There's nothing in that article stating townhomes are the hottest segment of the market, but as Mike Janes said, it's the tightest market within a tight market. Considering townhomes represent only 10% of overall sales I'm not sure how one can take exception with that statement.

[LeoVictoria]

There's absolutely nothing in that article stating townhomes are the hottest segment of the market.

You mean other than the part that says exactly that.
"Janes says. “And the fact that these units represent the tightest market within a tight market means prices will continue to face upwards pressure.”

[Mike K.]

Gosh golly, Leo, you sure are making a mountain out of a molehill 

 

Townhomes are the tightest market of an already tight market. They represent the smallest (1/10th) segment of housing inventory, and buyers are starting to wake up to the potential of townhomes. I'll leave it at that. I'm not sure if I have the energy to get into yet another fist-a-cuff on here.

[VicHockeyFan]

You spelled fisticuffs wrong.

[Mike K.]

Tough crowd out here tonight.

[LeoVictoria]

Market tightness is measured by MOI and DOM not percentage of sales. Not here to argue just pointing that out.
CTV phoned me saying they heard about a big surge in townhouse demand.. I said huh? If anything the story is a shift to condos where sales are steady despite a broad based decline in the overall sales. Condo prices are up 25% over last year, the most of any segment.

Edited by LeoVictoria, 02 May 2017 - 08:13 PM.

[Mike K.]

And CTV also called Mike Janes, who said, as he did during my conversation with him, that homebuyers priced out of the urban core's single-family homes are starting to look to townhomes as serious options. A year ago they wouldn't have been considered. Duplexes are also in-vogue.

 

It's ok to look at the market through different lenses. There's no one right answer here, and HHV serves as a poignant example of how market interpretation is what you make it.