605 replies to this topic

[Mike K.]

No idea what’s going on. It doesn’t look like it’ll have occupancy until 2023 at this point, though, if it starts at any time in 2020.

It’ll be three years this fall from the time the project design was unveiled to the public, and at that time construction was expected to start by 2019: https://victoria.cit...commercial-dev/

[Glen]

What builders would proceed with upscale buildings in Victoria at this time or in the near future?

 

What's going on..........with any future builds

 

- a city council that wants to demand market value suites (Aragon/CSV) and in many new builds to come.  I think Aragon did what builders must do, stand firm!! Sorry BEN.

- a provincial government that taxed out of province buyers (still Canadians) Smart move Horgan and team, that cash cow is long gone now for sure. 

 

COVID

 

- a pandemic that will keep herds of tourists and prospect investor/owners on the sidelines for 1-2 years minimum.

- an economy/country that now sees 1 in 3 25-40 olds having lost jobs or having incomes slashed dramatically.

- a large group of renters not being able to pay rent

- many small businesses gone forever.....it is already a small downtown core

- a centerpiece of Victoria, Beacon Hill Park becoming a campground as far as people reading the news outside of BC

- a government without any long term planning for the homeless, now purchasing hotels without any thought about the repercussions, again something a tourist driven city like Victoria can ill afford.  Savvy tourists and Investors read the news!  Weapons offences at Paul's Motor Inn, Syringes on railings at Beacon Hill Par, City workers refusing assignments in Parks.   Victoria, the Garden City, a destination of "Enchantment" many have written.  I hope this Mayor is up for the challenge!

 

 

 

- building will likely resume after the market readjusts in the next 12-18 months after loosing 15-20%.  Then builders will evaluate if Victoria can provide profits from building?

-

 

 

 

 

Cranes won't be visible for too much longer

[Promontory Kingpin]

Word on the street is that this development is going to collapse in the coming months - the developer could likely claim that it’s hearsay but many will likely conclude that will be the most probable outcome which will come from an email sent directly from the developer in the not to distant future.

These folks just plain and simple wanted too much money for small units - many w/o parking...

[n_eclipse]

Even if the building is over 50% sold you think it will fold still? Where's this word on the street about it collapsing?

[Mike K.]

Do we know for sure it’s over 50% sold-out?

[n_eclipse]

Yup. Told by the Main salesperson when I purchased mine.

[Mike K.]

Ah, very good. Did they tell you when they expected construction to start, or what they expected the completion year to be?

[Rob Randall]

The Bambu project on Fisgard (now The Union) sold about 140 of 161 units before the project stalled in 2006.

[n_eclipse]

This fall. I guess I can inquire about what is going on. Curious where the word on the street came from.

[Mike K.]

Right, I have not heard anything to that effect. Sometimes rumours just spread and there's not much you can do.

 

In any case, if they plan to start this fall we'll know soon enough.

[Glen]

Keep dreaming they will dig

[Glen]

of the possible 50% that have signed........

- how many will now be able to close due to the possible banking qualifications in a pandemic?

- people that had signed to purchase already and owning properties are seeing their current properties ready to deflate.  Will you qualify for a larger mortgage????

- how many will forfeit deposits knowing the market is sinking and how low will it go?

 

Even the current parking lot will likely loose cash flow.  This is affordability in progress.

[n_eclipse]

Yeah but you’ve already paid your deposits and a project takes 2-3 years for completion, what does that have to do with a bigger mortgage besides rates going up? Should have calculated on what you paid and mortgage payments to begin with before signing papers on a new property of a presale? The market will always fluctuate no doubt, whether it goes up or down during the 3 years is yet to be determined but it’s not like the price of each unit will change from the purchase that the original owner has bought and agreed upon? Bit confused about your last post?

[Promontory Kingpin]

Yup. Told by the Main salesperson when I purchased mine.

Take a look at League Assets. Back in the day if you were to walk into the ponzy scheme of a show room for “Skye” the main salesperson would tell you that sales were through the roof. They attempted to back that statement with a bogus chart behind the front counter that had a bunch of sold magnets draped over unit numbers. We all saw what happened to League Assets...

But who knows, maybe the Triads have a much more established organization.

[n_eclipse]

Word on the street is that this development is going to collapse in the coming months - the developer could likely claim that it’s hearsay but many will likely conclude that will be the most probable outcome which will come from an email sent directly from the developer in the not to distant future.

These folks just plain and simple wanted too much money for small units - many w/o parking...

Wondering where you heard this? Totally understand that fake statements from the seller is possible.

Edited by n_eclipse, 12 August 2020 - 02:53 PM.

[Mike K.]

of the possible 50% that have signed........
- how many will now be able to close due to the possible banking qualifications in a pandemic?
- people that had signed to purchase already and owning properties are seeing their current properties ready to deflate. Will you qualify for a larger mortgage????
- how many will forfeit deposits knowing the market is sinking and how low will it go?

Even the current parking lot will likely loose cash flow. This is affordability in progress.

It’s not quite that dire.

[Mike K.]

Wondering where you heard this? Totally understand that fake statements from the seller is possible.

I can’t help but think the same disease that permeated throughout the Wade thread is now expanding to this project. I haven’t heard anything about a project cancellation for Pearl and I have my ears to the ground.

If they’re at 50% sold, there’s no reason to nix the project, and if anything it shows there’s a healthy volume of interest while half of the units are retained and can be sold as construction progresses.

[Kapten Kapsell]

I can’t help but think the same disease that permeated throughout the Wade thread is now expanding to this project. I haven’t heard anything about a project cancellation for Pearl and I have my ears to the ground.

If they’re at 50% sold, there’s no reason to nix the project, and if anything it shows there’s a healthy volume of interest while half of the units are retained and can be sold as construction progresses.

Not to mention that some developers like Mosaic Group pre-sell relatively few units before they start construction (like the Jukebox). Mosaic likely didn’t require a construction loan as they probably had enough liquidity to proceed without one, but assuming that Triad will require financing they are probably close to the level of sales they need to move ahead with construction.

I think that the Pearl will offer an amazing location and the unit mix means that they aren’t going to be as reliant on Air B n B investors which is (admittedly) a down market at the moment...

[Mike K.]

I don’t think a new building can accommodate AirBnB, legally speaking. Only buildings that had transient zoning at the time of the purge and which had active AirBnB inventory were permitted to continue operating as such.

Pearl has had a very long selling period but I don’t think there’s anything going on that would result in the project not going forward.

Having said that, have they applied for their DP yet?

[Jackerbie]

I don’t think a new building can accommodate AirBnB, legally speaking. Only buildings that had transient zoning at the time of the purge and which had active AirBnB inventory were permitted to continue operating as such.

Pearl has had a very long selling period but I don’t think there’s anything going on that would result in the project not going forward.

Having said that, have they applied for their DP yet?

 

DP was issued a while ago. The BP is listed as "On hold" on VicMap.