western investor may 2012 section b

27 SASKATOONHITS OVERDRIVE“Saskaboom” developers gun into the fast lane

$ 4 . 2 9 M A Y 2 0 1 2 V o l . 2 7 / I s s u e 5INTERIOR B.C. • ALBERTA • SASKATCHEWAN • MANITOBA SECTION

7 GET BACK TO THE OKANAGANOld inventory eaten up as buyers feast on recreational bargains

13 INVEST 101:FINDING MONEYHow to get backing when banks get tough and cash-flow slows

17 HELLUVA FUTURE IN ‘HATMedicine Hat was well prepared for plunge in its natural gas prices

▲

Paul Leier, Cavailier Enterprises, in Saskatoon’s first luxury hotel: “this city has changed forever.”

PUBLICATIONS MAIL AGREEMENT 40069240

RETURN UNDELIVERABLE CANADIAN ADDRESSES TO CIRCULATION DEPARTMENT:

102 EAST 4TH AVENUE, VANCOUVER, B.C. V5T 1G2

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RIVERBEN

D - 760 M

AYFAIR ST

Kamloops, BC

411 Brink St. FOR SA

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shcroft, BC

For Sale

For Sale or

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Professional, Personal, Health Services, C

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1,937 sq.ft: $387,400$242,000

$721,600

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Possible to add 4-6 residential units to increase annual income

$219,000

LIFESTYLE PROPERTIES

SPECIAL SECTION • A13

B2 Interior British Columbia www.westerninvestor.com MAY 2012 WESTERN INVESTOR

www.sopasquare.comMIKE GEDDES*

SOPA SQUARE

List Price: $2,900,000

MULTI TENANT INDUSTRIAL PENTICTON

List Price: $10 M & $5.5 M

DEVELOPMENT SITEKELOWNA NORTH

Reduced to: $1,695,000Highway 97 @ 43rd Avenue, Vancouver

JEFF HUDSON* www.bcip.ca

DOWNTOWN VERNON

List Price: $15,000,000Chad Biafore & Marshall McAnerney*

HYDE MOUNTAIN GOLF COURSE


247 BRIDGE STREET, PRINCETON


230 CARION ROAD, WINFIELD


KAMLOOPS WAREHOUSE


955 TIMMINS STREET, PENTICTON

JACK SHABBITS & ERIC WEBER*

Indoor Car & Truck Wash w/ C-Store

1940 UNDERHILL ( SCHOOL DISTRICT 23 KELOWNA )


DOWNTOWN KELOWNAMULTI FAMILY DEVELOPMENT SITE


Colliers InternationalCentre GroupCommercial RealtyKelowna, B.C.250.763.2300

www.colliers.com/kelowna

Colliers InternationalCentre Group Real Estate ServicesKamloops, B.C.250.372.7000

OKANAGAN BEST WESTERN

$ 3,300,000

SOUTHERN ALBERTA

$ 4,100,000

RAMADA

$ 3,249,000

TREMENDOUS RESORT

$ 2,200,000

OKANAGAN LIQUOR STORE

$ 999,000

MOTELS

$ 219,000

$ 599,000

$ 779,000

$ 695,000

$ 499,000

$ 498,000

$ 490,000

$ 519,000

$ 439,900

$ 899,000

$ 1,200,000

$ 1,275,000

OKANAGAN GROCERY

$ 529,000!

REVELSTOKE

$ 895,000!

MOBILE HOME PARK

$ 649,000

OKANAGAN LIQUOR STORE

$ 2,475,000

VERNON B.C.

$ 1,228,000

To view photos on these and other opportunities visit our website www.syberrealty.com

:eciffO 250-862-8100 Fax: 250-984-0803

MOTEL, HOTEL & BUSINESS CONSULTANTS MEMBER of the Canadian I.C. & I Council

201-1449 St . Paul St., Kelowna, B.C. V1Y 2E5

Syd Berisoff Agent/Broker

[email protected]

Larry BerisoffAssociate Broker

[email protected]

Jody L. Miller

[email protected] Real Estate Corporation

McLaughlin Commercial Group - RE/MAX Commercial - RE/MAX Kelowna

20+ YEARS OPERATING RESTAURANTWEST KELOWNA, B.C.

Turn-key location available. Highway frontage and great exposure. Dining room

has approx. 40 seats. Equipment and inventory are included within the price!

Asking: $39,900.00 + HST MLS®

PRIME DEVELOPMENT SITES WINFIELD TOWN CENTRE

FULLY SERVICED & READY TO BUILD

2.93 Acres - Lots 1 & 2 $ 3,399,000 1.31 Acres - Lot 1 $ 1,699,000 1.62 Acres - Lot 2 $ 1,699,000 0.90 Acres - Lot 3 $ 1,000,000 2.67 Acres - Lot 4 $ 3,250,000

6.5 Acres – Asking: $6,500,000,00 + HST

MLS®

(Plus DLC – Latecomer Charges)

APPROXIMATELY 115.68 ACRESLAND ASSEMBLY IN NORTH GLENMORE/

UNIVERSITY DISTRICT

Minutes from Kelowna’s International Airport. One side abuts golf course in Quail Ridge.

Gravel Pit is a permitted use!

70.80 Acres - Lot D $5,318,000 15.63 Acres - Lot 1 $1,315,800 11.62 Acres - Lot 9 $ 962,200 9.10 Acres - Lot 10 $ 773,500 8.98 Acres - Lot 8 $ 763,300

This assembly comprises 5 lots that can be purchased individually or as a complete

package.

Asking: $9,132,800.00 MLS®

SEARS WEST KELOWNA LOCATION

Gorgeous, new 12,000 SF distribution and highway exposure location. Turn-key pack-age available with one of the best names in the business. Inventory is paid for by Sears and therefore there are no inventory costs!

Asking: $325,000.00 + HSTExclusive Listing

Ken McLaughlin, B.Comm. - 250.870.7845

LEASE OFFERINGS INDUSTRIAL

- Kelowna 1,569 - 7,295 SF New Tilt-Up - West Kelowna

RETAIL/OFFICE - Kelowna 1,990 SF Downtown Kelowna

- West Kelowna 1,100 - 3,300 SF Main Floor Shell Units - Vernon - Lake Country

SERVICE COMMERCIAL - Kelowna

WEST KELOWNA INDUSTRIALLAND & BUILDING FOR LEASE

Approx. 6,000 SF building footprint.Approx. 1.22 acres with the ability for outdoor

storage. 4 x 10’x14’ Overhead doors, 600

reception area, and washrooms.

Asking: $5,000.00 per Month + HST & NNN

NORTH GLENMORE COMMERCIAL DEVELOPMENT OPPORTUNITY

Approx. 3.32 acres with C9 zoning. Currently being operated as a mobile home

residences. Neighbouring proposed Glenmore Rd. to UBCO bypass.

Asking: $3,300,000.00 Exclusive

INDUSTRIAL STRATA UNIT AVAILABLE

SF on the mezzanine level.Zoned I2. 2 Exclusive loading docks and 1 -

10’x14’ overhead door. Multiple improvements already in place!

Asking: $355,000.00 + HST MLS®

SERVICE COMMERCIAL STRATA UNIT

Located near Reid’s Corner and 5 minutes away from Kelowna’s International Airport.

Zoned C10. Approx. 1,700 SF with multiple

boardroom. 1 x 14’x12’ Overhead door.

Asking: $299,900.00 plus HST MLS®

Your First & Last Call!

Kris McLaughlin - 250.870.2165

PENDING

PENDING

6 0 4 - 6 6 9 - 8 5 0 0 o r 1 - 8 0 0 - 6 6 1 - 6 9 8 8 f a x : 6 0 4 - 6 6 9 - 2 1 5 4 i n f o @ we s t e r n i n ve s t o r. c o m w w w. w e s t e r n i n v e s t o r . c o m 1 0 2 E a s t 4 t h A v e n u e , Va n c o u v e r , B . C . V 5 T 1 G 2

FEATURES27

Chic “The James” is first luxury hotel in boomtown

7 Old condo inventory fire-saled to make way for future

Download a PDF of all our Regional Roundups online at www.westerninvestor.com

17 Medicine Hat moves past plunge in natural gas prices

COLUMNS11 13 23 30

On the coverPaul Leier, president of Cavalier Enterprises, relaxes in Saskatoon’s first boutique luxury hotel, The James. Photo: Cindy Moleski

2–11

12–26

27–30

31



www.premierhotelsandmotels.com

Super 8 Motel 40 units, 27 built in 06, 13 older rms complete Reno. Built above stan-dards with 2 bedrooms, L/Q, and a private deck. Office with breakfast area. Variety of rooms some with full kit all with queen or king beds. Built above standard. Hard wired. $4.2M The Oldest Working Guest Ranch in Canada was on the trail to the gold rush and has the log buildings to prove it. Situated on the banks of Green Lake, BC. The heart of the ranch consists of “old west” style log accommodations plus a new main lodge built in 2010, and other log buildings house the saloon, theatre, general store, 25 guest cabins, museum, jail, blacksmith shop, workshop, barns and hay shed. Very good numbers. Call for details 20 Room 4 Star Resort with full service 75 seat log restaurant, putting green golf course, situated on 60 acres overlooking Kootenay Lake. Balfour Golf and Country club locat-ed adjacent to the Resort. Breath taking views of the mountains and lake from your private balcony and the restaurant patio. Becoming known as the place to hold your wedding in the Kootenays. Asking $2.5M Great starter, 15 Unit Motel on .62 acre with 2 bdrm living quarters in desirable sunny south Okanagan area called Penticton. this property has on going upgrades. It is situated next to a medium rise condo project, which offers all kinds of possibilities. This 72 Room Motel is large enough to be franchised. Newly renovated pool and 4700sq ft 180 seat restaurant with many upgrades which makes this an ideal stop over for the Bus tour industry and travellers. Below Appraisal Six year old attractive 6000 sq ft Concrete Block Building with National tenant. Building sits on 0.61 acres with private paved parking lot. Great Okanagan investment with national tenant and trouble free T/Net lease. Price $869,000 Clinton, BC 4 acre, 26 bay mobile home park can be increased to 27 bays. Approximately 30 years old with all services underground including municipal water and sewer. 26 pads are rented as of May 1, 2012. Asking $474,000

Kamloops 30 Units In Two Buildings also separate office with large living quarters. Outdoor pool property in good shape. Asking $1.7M

Jerry Dombowsky 1 877 717 1886Premier Canadian Properties

DEVELOPMENTAL LAND AND

GOLF COURSE FOR SALEIN THE BEAUTIFUL

BC INTERIOR

162 Acres 9-Hole Golf Course Club House Residence Trades Considered

BEST-WEST REALTY LTD.250.554.4511

Dwight Vos250.371.7992

Tracy Mackenzie250.318.2938

PRICE REDUCED

BUSINESS AND INVESTMENT OPPORTUNITIES

– Suitable for investor or owner/operator. Includes land & buildings.

– 9 bedrooms, 7 bathrooms on spacious lot. Built in 2008. Has all amenities needed. Well-priced at

– 6100 sf bldg. Large yard – 2 Tenants – 8.5% Cap – Future Highrise expansion

– Hwy Frontage – Secure Yard

COMMERCIAL BUILDINGS

DWIGHT VOSphone: (250) 554-4511

toll free: 1-866-456-0577 BEST-WEST REALTY LTD. KAMLOOPS

email: [email protected]

REDUCED TO $799,000 (sold in 2007 for $1,000,000)

Approx mortgage payment on $520,000 is < $3,000/mo.

Sicamous, BCMulti-Unit Residential

Email: [email protected] orcall: 1-800-658-2345

* Financing available O.A.C.

Done Deals editorial feature will highlight deal flow in Western Canada.

Show the market what is moving and who is moving it. The monthly report will highlight major (basically 50K square feet or more; or land deals of $2 million or more) commercial real estate transactions that have closed within the last 30-45 days in Western Canada.

www.westerninvestor.com 1-800-661-6988

Please send us the following information:

FRANK O'BRIEN Editor

Please forward this information directly toFrank O’Brien, Western Investor Editor at [email protected].

DONE DEALS

14 apartment condominiums to be built to complete the 38-unit Valley Vista on a two-acre sloping property. Excellent view of Shuswap Lake from one side, forest on the other. One-bedroom, 600 sq. ft., two four-plexes and a six-plex. Some suites are level entry. Can be rented. Quiet pets welcome. Modulars built by SRI Homes in Kelowna. Foundations are ready and waiting for the two four-plexes. All services and driveways are in.

SALMON ARM, B.C.Reduced to $459,000

SALLY SCALES [email protected] or 250-833-2129

Call the

marketing your franchise?

1-800-661-6988

(604) 669-8500

westerninvestor.com

SELL1-800-661-6988

Selling your business? Western Investor Business Opportunity pages

are organized geographically so read-ers can find the opportunity they want.

WESTERN INVESTOR MAY 2012 www.westerninvestor.com Interior B.C./Business Opportunities B5

Well maintained, 12 year old, privately owned arena centrally located in the Tournament Capital of Canada. With a fully licensed and established lounge, this rink is exposed to thousands of registered youth and adult hockey/fi gure skaters. This is a turnkey operati on awaiti ng a passionate owner/operator. The facility runs at near capacity during lucrati ve peak/winter season, as well as yielding year-round revenue during summer camp and tournament programming. An extensive list of assets will be available for both lounge and rink on request.

Call: 250-377-4282 or Email: [email protected]

For Sale

Located in the heart of Radium Hot Springs. Comes with attached 2 storey living quarters. Over $250,000 spent on renovations in the last year.Owner will finance with $350,000 down payment.

Contact: BILL [email protected]

250-347-2439

20 Room Motel

$750,000

$1.6 Million101 North Star Road, Quesnel, BCLooking for a life change? This is a rare opportunity to own this popular Gold’s Gym franchise and property located in the growing City of Quesnel. This is a well established and profitable business operating since 1986. Entrepreneur’s franchise 500 Magazine has ranked Gold’s Gym in the top 100 franchises in the world for the last five years. 12,000 square foot building built new in 2007 on an one acre property. Property is assessed at over $950,000, business includes over $600,000 in equipment.

GOLD’S GYM FOR SALEBusiness and Property

604.435.9477

FABULOUS BUSINESS OPPORTUNITY• Showing sales over 2 million• Long established & growing pool business• Prime location! Huge chemical sales, installation

& maintenance of pools & hot tubs, opening/closing of pools

Fantastic business, 1st time offered for sale!1st class operation!

Exclusively offered by DINO GINIPERSONAL REAL ESTATE CORPORATIONRealty Executives of the OkanaganEmail: [email protected]

250-861-5122

OKANAGAN – B .C . INTER IOR I N V E S T M E N T O P P O R T U N I T I E S

VADIM KOBASEWC O M M E R C I A L R E A L E S TAT E S P E C I A L I S T

250-492-2233 / 1-800-567-6770RE/MAX FRONT STREET REALTY, PENTICTON, B.C.

CHRISTINA LAKE CAMPGROUND

75 Sites with Full & Partial Services4.91 Acre Nicely Treed PropertyClose to large public beachEasy access off Highway 3Full facilities including poolExceptionally well maintainedOperates May 1 to September 15Perfect for semi retired coupleAsking Price $699,000

Option 1 Business Only Lease Land & Buildings9.5% Rate of Return Asking Price $1,899,000

Option 2 Business plus Land & Buildings. 7.7% Rate of Return Asking Price $4,199,000

VERNON SELF STORAGE BUSINESS OPPORTUNITYYOUR CHOICE OF TWO PURCHASE OPTIONS

PRIME FARM-HOLDING LANDOSOYOOS

exposure l Highway 3 frontage

agritourism businessAsking Price $1,695,000

DEVELOPMENT SITEDUPLEX - SINGLE FAMILY

GRAND FORKS

Zoned for single family or duplex lots Civil engineering done for 9 lot single family subdivisionAsking Price $299,000

FIRST TIME ON THE MARKET IN OVER 20 YEARS !

Town Homes with Storage…for all your Toys!Lakeshore Drive, Osoyoos - Only 5 Homes Left

BUSINESS FOR SALE NEAR CHASE, BCEstablished October 2010

A unique shavings mill business manufacturing premium quality shavings from BC’s surplus pine. The material is compressed into industrial sized packages and is widely distributed. Supply agreements pending. Owner is ready to sell. Business has had strong sales since the first of the year. Turnkey operation.

$700,000 and take over financing. Excellent time to enter!

Ron at 250.804.3305

(250) 231-5222 (CELL)

(250) 368-5508 (FAX)www.cbcworldwide.com www.coldwellbankertrail.com

COLDWELL BANKER COMMERCIAL WORLDWIDE

HOTEL, LIQUOR STORE, RESTAURANT $499,000

COURT ORDER SALE

DRY CLEANER $89,000NICELY EQUIPPED.

THE ONLY ONE IN THE CITY.

LIGHT INDUSTRIAL BLDG $425,000

4 LARGE LOADING DOORS. OFFICES & MEZZANINE.

DEV. PROPERTY $595,000

600 FT OF HWY FRONTAGE FOR AUTO DEALER & BODY SHOP.

FURNITURE AND APPLIANCE BUSINESS

INCLUDING 35,000 SQ FT BUILDING,

PRIME LOCATION, OWNERS WANT TO RETIRE

$1,995,000

1ST TRAIL REAL ESTATE LTD.

MIDWAY STORAGE

$1,290,000NICELY LOCATED

EXCELLENT SHAPE100% FULL

GREAT SELECTION OF TENANTS

MILANOS PIZZA $169,000THIS TAKEOUT IS ESTIMATING

"400,000" IN 2012.QUALITY INN 48 ROOMS

RESTAURANT$2,190,000

NICELY LOCATED AT THE CROSSROADS OF

THE KOOTENAYS.GOOD VOLUME.

TRAIL MOTELMH + RV PARK

$895,000THIS IS A GREAT OPPORTUNITY WITH VERY

STEADY INCOME.

GREAT BUSINESS

LARGE CONSTRUCTION PROJECTS


OSOYOOS

COMMERCIAL INVESTMENT VINEYARD - SPECTACULAR VIEWS

CELL: 250.498.9886 TF: 866.495.7441www.allantaylor.ca [email protected]

RE/MAX REALTY SOLUTIONS

OSOYOOS

Incredible ViewsCorner Lot

$469,000 $2,388,000

COMMERCIAL BUILDING 6-BAY WAREHOUSE

Lakefront Lake Views

$799,000 $845,000

PROFITABLE BUSINESS GREAT OPPORTUNITY

2 Business in 1 Lakeshore Drive

$230,000 $2,995,000

ALLAN TAYLORALLAN TAYLOR

LAKESHORE LOT• $1,200,000• Sloping Lakeshore lot on quiet no thru street• 150 ft. licenced dock (2008)• Ideal spot located on Okanagan Lake• www.okanaganlands.com

COLD WINE AND BEER STORE• $1,500,000• Lumby’s only private wine, beer and liquor store• Good location• Room for expansion of store or other service

retail development• Excellent investment showing stable long

term sales• Contact Norm Brenner at 250-549-9401• More details at www.okanaganlands.com

PUB • $800,000• Highly visible highway location• Lumby’s only privately owned pub• Licensed to seat 127• Ideal for family business• Dormant wine and beer store license may be

purchased separately• Well managed and in above average condition• More details at www.okanaganlands.com

LAKESHORE ESTATE LOT• $1,600,000• Spectacular 21 acre lake shore estate lot

overlooking Kalamalka Lake.• Private boat moorage and Boltess Creek

running through the property.• Call Norm Brenner for all the details:

250-549-9401• www.okanaganlands.com

LAKESHORE ESTATE LOT• $1,750,000 • 7.9 acre lakeshore estate property.• Fantastic view overlooking Kalamalka Lake.

Moorage in place.• Located in area of other estate properties.• 30 mins to Kelowna airport. 10 mins to Predator

Ridge Golf Course.• Contact Norm Brenner for details

250-549-9401 or go to www.okanaganlands.com

NORM BRENNER PERSONAL REAL ESTATE CORPORATION

[email protected]

www.okanaganlands.com

K A M L O O P S B C Building/Land Opportunity

Ken McClellandRE/MAX Kamloops

www.keninkamloops.com

Hurry on this building and land in an excellent location across from a major Kamloops retailer. 37000 sq. ft. lot with great parking, 12,000 ft. main plus 5000 ft. up, comprehensive C-6 zoning allows many uses, priced for quick sale at $899,000, currently vacant.

3000sqft main floor commercial space and two partially finished residential suites upstairs waiting for someone to finish the renovations. MLS K4100066

Commercial building in the heart of downtown Fernie, BC

$588,000$588,000

Abe Martens RE/MAX Elk Valley 250-430-1070

O K A N A G A N O P P O RT U N I T I E S

Cell: 250-864-9140 Toll: 1-800-367-3339 [email protected] www.timdown.caRE/MAX Kelowna Westside

Tim Down AACI, P. App, CAE, RI(BC)"Professionalism You Can Trust"

Investment PropertiesAcreages Court Ordered Sales

“Representing Buyers looking for Apartment, Manufactured Home Park and Mini-Warehouse Properties”

S I C A M O U S , B C1/2 Acre lot on Shuswap Lake at Sicamous, B.C. 3700 sq. ft. house with 4 bedrooms, 2 baths, sauna, 4000 sq.ft. of deck, double

detached garage and double carport, beautiful location and landscape, with private boat dock. Offered for $ 925,000.00 Fully furnished as well.

Thiry Kelemen 780-831-8804 [email protected]

For Further Information and Details, Call

RE/MAX GRANDE PRAIRIE

WESTERN INVESTOR MAY 2012 www.westerninvestor.com B7

Vernon B.C. Investment Opportunity

Phone: (250) 307-3737 [email protected]

Brand New Quality Built 2 & 3 Bedroom Luxury Condos

Ready for Possession Life is good at

Starting $214,900

For full details contact:

ROSS PRIEST (Owners’ Consultant)

(250) [email protected]

One of Southeast BC’s Most Successful Family Owned & Operated Dining In & Catering

Will Sell Building as an option6500 Sq Ft Modern Building

FAMILY RESTAURANT

BUSINESS FOR SALE

East Kootenay, BC$1,200,000

REGIONAL ROUNDUP End of HST sparks recreational revival in Kelowna and across Central Okanagan

Please see Confidence page B8

SUSAN M. BOYCE

WESTERN INVESTOR

ometimes called the “Land of Peaches and Beaches,” the Central Okanagan is home to a thriving wine

industry, a diverse array of four-season recre-ational opportunities and a temperate climate blessed with plenty of sunshine. Small won-der generation after generation has consid-ered this part of British Columbia a vacation wonderland.

Although hard hit by the economic downturn of 2007-08, today Kelowna and the Central Okanagan are claiming a renewed sense of optimism; and, while some industry insiders temper it to “a cautious optimism,” many are clearly excited and enthusiastic about the year ahead.

“In 2010 the City of Kelowna undertook a comparative study of 15 major cities, and Kelowna not only came in second in the num-ber of building permits issued but, more impor-tantly, we came in second in the dollar value of permits issued,” said Corie Griffiths, business development officer for the Central Okanagan Economic Development Commission.

“The Canadian Federation of Independent Business also named us the number one place for entrepreneurs in B.C. and one of the top places in Canada,” Griffiths said, adding she believes the area’s many creative, tech-savvy businesses are significant drivers of these results. “We have a unique asset base that com-municates globally, and it’s this creative class that’s one of our greatest strengths.”

While Griffiths acknowledges Kelowna’s median housing prices may appear high, she stresses there’s a significant difference in the cost of owning a home in the Central Okanagan versus an equivalent dwelling in Vancouver.

“It’s important to recognize that 44 per cent of the people who own a home within the

Kelowna CMA do not have a mortgage.”The recently revealed HST transition rules

have also had an immediate and dramatic impact on the Okanagan’s stalled condo/resort market.

“The new $850,000 HST rebate threshold on recreational properties and second homes locat-ed outside the GVRD and CRD was like draw-ing a bull’s eye around the Okanagan and the area surrounding Victoria on Vancouver Island, then marking them with a “buy here” sign, said a delighted Renee Wasylyk, president of the Kelowna chapter of the Urban Development Institute and CEO of Troika Group. “Since the announcement we’ve seen the activity in sales centres explode. The ripple effect is huge. We’ve written more contracts this March, after the threshold was raised, than in the previous four Marches combined.”

And it’s not only out-of-town buyers who are getting out their chequebooks and getting off the fence.

“I believe now is the perfect time to buy into the Okanagan market,” said Vince Taylor,partner at Pilothouse Real Estate Inc., the company that masterminded the wildly suc-cessful one-day receivership sellout at Tuscany Villas.

“The fabulous lakes, pristine mountains and unparalleled lifestyles that our various com-munities have to offer have not gone away,” he added. “Tuscany Villas was an indication Kelowna buyers are still out there and are anxious to stay in the community they love … if given good options. I think Tuscany repre-sented a turning point in awareness of market conditions and signalled a turn in the Okanagan market in general.”

Taylor adds it’s his view the cause of the past few years’ decline is “glaring and obvious

with hindsight. The collapse of the U.S. mar-ket and U.S. dollar, the collapse of the Alberta tarsands business and corresponding erosionof the Calgary and Edmonton cash pipeline toB.C.’s recreational markets, and over-heated prices.

Now, we’re seeing the U.S. slowly rebound,Alberta again in full swing and prices in Vancouver exceeding the highs of 2007 – thisall bodes well for the Okanagan.”

However, he cautions new developments will need to respond to customer needs andability to pay.

“Grade A waterfront still costs between $7,000 and $10,000 per foot in the CentralOkanagan. A million dollars for 100 feet doesn’t sound like a depressed market to me.”

Randy Shier, principal of the MissionGroup, agrees. “Nothing has changed aboutthis destination. We hit an economic downturnand many Canadians put the decision to pur-chase on hold – especially the Albertans who were put off by the HST. Now we have transi-tion rules in place, they’re coming back. I’d estimate the Alberta market is now 5 to 10 percent of our business.”

Shier also notes there are exceptional values to be found for those who act now. “Unlikeother urban markets that have posted year-over-year pricing gains, Kelowna has held relatively stable. But we’re on the cusp now. More traffic in sales centres translates into more offers. We’re already seeing existing inventory dwindling and predictions suggestsupply from 2007-08 will soon be completelyabsorbed.”

He adds that for the first time in some yearsMission Group is totally sold out of condomin-ium product, although it has two new town-house projects underway: Winsome Hill and Dwell.

Paul Fabris, senior market analyst withCanada Mortgage and Housing Corp. inKelowna, predicts the local housing mar-ket can expect to see modest housing-price

Wineries and Okanagan Lake at Westbank near Kelowna: ranked among top spots for Canadian investors.

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from B7gains throughout 2012 and into 2013. “The 2011 resale market picked up, plus we’re see-ing higher levels of migration and personal employment.”

Rising employment is one of the factors Wasylyk says is fuelling the resurgence of con-sumer confidence. “Yes, we were lacking in that area, but no more. There’s a renewed opti-mism. Businesses are firing on all cylinders, especially those tapping into the global markets – businesses like Reidco Metal Industries, who went from eight to 85 employees in less than a year. One of our own companies, Rise and Run, has shown a 25 per cent increase in our gross revenues so far this year. Let’s face it: when you start seeing more people getting jobs and/or people with jobs getting raises, it translates directly into renewed consumer con-fidence.”

Two of the newest employment superstars are Kelowna General Hospital (KGH) and Kelowna International Airport.

Pumping $880 million into the local econo-my is an ambitious P3 addition to KGH. The project includes a new 360,000-square-foot patient-care tower with a new emergency department located on the ground floor that’s four times the size of the existing facility. KGH will also become home to a 34,000-square-foot clinical academic campus of the University of BC Medical School, which it’s hoped will encourage the next generation of doctors to train and, more importantly, stay

Population 106,700Area population 120,000 Average house price $456,000Prime lakefront per foot $7,000-$10,000Web page: www.kelowna.ca

within the Central Okanagan when they take up practice. Interior Health will gain more space and be able to consolidate services.

Arguably even more significant is Phase 2, the International Heart and Surgical Project. This will be the province’s first full cardiac center located outside the Lower Mainland or Victoria. When operational, the centre is anticipated to create a minimum of 80 new jobs, increase the survival rate of heart-attack victims to 98 out of 100 and reduce the wait time for angioplasty surgery from almost four days to 12 hours or less. For people who live in Kelowna and the surrounding area it will also eliminate the expense, stress and poten-tially life-threatening time delay of travelling to Vancouver for surgical procedures.

Ranked the ninth-busiest airport in the country, Kelowna International Airport is in the midst of an ongoing multimillion-dollar makeover succinctly named the “Drive to 1.6 Million Passengers Program.”

“We are currently at 1.39 million passengers, but we expect to reach 1.6 by 2015 or 2016 and this program will ensure our assets are ready to handle that growth,” said Sam Samaddar, airport director, noting that overall traffic for the first two months of 2012 was already up 4 per cent over 2011 levels.

The program will see $50 million invested over five years. Now underway, with a com-pletion estimated for September 2012, Phase 1 will see a new customs hall and increased footprint for the arrivals area of the airport’s international area. Phase 2 will increase the

outbound baggage system, improve the self-service options and incorporate new ways toreduce energy consumption, including a geo-thermal system. The final phase will furtherincrease the domestic arrivals level.

“Is now a good time to buy a home or a sec-ond home in Kelowna? Absolutely,” Wasylyksaid. “This is a pivotal period in a fantastic mar-ket. Purchase prices are great, interest rates arelow and, if you don’t buy now, you’re miss-ing out on an opportunity that’s unlikely to berepeated. It’s just that simple.”◆

5

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Asking $950,000 STEVE

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Reach potential buyers with money to spend. Western Investor readers have higher than average household income and a real interest in real estate.

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Recreational Real Estate LIFESTYLE PROPERTIES www.westerninvestor.com WESTERN INVESTOR

Investment OpportunityAvondale - Crystal Gardens Lake CommunityNewly remodeled home, 1870 square feet, 3 bedrooms plus den, 2 baths, prime location near shopping and freeway access, would make for a great vacation home or could rent for $1000-$1075 as an investment property.For Sale: $112,500

Contact us to start your portfolio today. Here are twelve of the homes we’ve sold over the past few months which are all within a 30 minute drive from downtown Phoenix. We even offer property management for our clients.

Phoenix AreaAverage Sales Price per Square Foot

ARMLS Residential - All Areas and Types

ARIZONA Investment Property For SaleACQUIRE REALTY 623-853-7765Toll

Ste. 305 Avondale, AZ 85323

Sold Price: $51,900Rent: $850City: Tolleson

Square Feet: 1,423

Sold Price: $52,00Rent: $825City: Phoenix

Square Feet: 1,343

Sold Price: $60,300Rent: $895City: Glendale

Square Feet: 1,278

Sold Price: $60,500Rent: $825City: Goodyear

Square Feet: 1,159

Sold Price: $61,500Rent: $925City: Avondale

Square Feet: 1,197


Square Feet: 1,255

Sold Price: $64,000Rent: $850City: El Mirage

Square Feet: 1,495

Sold Price: $64,000Rent: $785

Square Feet: 1,574


Square Feet: 1,435


Square Feet: 1,343

Sold Price: $87,000Rent: $995City: Laveen

Square Feet: 1,763

Sold Price: $105,000Rent: $1,150City: Goodyear

Square Feet: 2,277

Acquire Realty is family owned and operated with over 30 years of Real Estate experience. Contact us for Foreclosure or Short Sale Listings in Phoenix, Scottsdale, Fountain Hills, Surprise,

find your vacation home or investment property.

erhaps the strongest evidence of a recovery in the Kootenay recre-ational market is the sale of ranch-

sized acreages at the exclusive Ranches at Elk Park just outside of Radium Hot Springs. Prices range to nearly $3 million – and that is just for the land.

“We have sold two lots and we have holds on two others,” said Rudy Nielsen, founder and president of Niho Land & Cattle Company, which is marketing the ranches through its sub-sidiary LandQuest Realty.

Prices roam from $9,000 per acre for small parcels to around $2,100 per acre for 400-acre and larger ranches.

The 3,500 acres at Elk Park, a gated ranch community and perhaps the only one in B.C., are divided into 16 ranches, from 36 acres to 480 acres.

The two lots that sold – one to a retired Edmonton oil executive – are both in the 100-acre size, as are the two with pending sales.

The Ranches at Elk Park are what Nielsen calls a “rare collection” of recreational private estate properties. The ranches are framed by Kootenay National Park and the Columbia Valley and prices range from $390,000 to $2.95 million for 200 plus acres with a lake.

“This is a very exclusive opportunity,” said Nielsen, 70, B.C.’s most prolific land dealer. In the last 40 years, he’s put together thousands of successful real estate deals, involving tens of thousands of acres, from small plots to ocean islands, to entire town sites and huge farms

and ranches. “There’s nothing else like this in British Columbia. South of the border, in places like Montana, similar ranch-style communities are far less pristine and their prices are much steeper.”

Calgary-based Schickedanz West, the owner of the Ranches project, is adding a com-prehensive amenity centre outside the access point with fitness facilities and a private own-ers’ lounge, Nielsen said. He credited owner Fred Schickedanz for having the vision and patience to create “one of the best recreation-al ranch developments I have seen in a long time.”

Nielsen said buyers are a mix of permanent residents and seasonal owners who plan to

RECREATION FEATURE Wealthy investors corral exclusive acreages at Ranches at Elk Park in Kootenays

WI STAFF

WESTERN INVESTOR

eventually retire to the property. They share an common appreciation of nature, outdoor adventure, horse-back riding, hobby ranching and getting away from it all, “without going too far or spending too much.” Some of the ranches are lakefront, others have valley views and all have the security and privacy only big money can buy: there is only one access road and it is protected by a controlled locked main gate.

The success of Elk Park is likely cheered by other land and recreational vendors in the Kootenays, especially since it heralds the return of Alberta investors.

In 2007, Albertans were big in the Kootenay

area, grabbing more than 2,000 residentialproperties and more than 600 plots of vacantland, with the Columbia Valley figuring large.With the BC/Alberta border so close to Calgary,the Kootenays were a natural lure. Then the oil-fueled global economy stalled and Albertanswent quiet; in 2010 Albertan purchases were off by more than 70 percent or 756 sales of residential properties. However, with the globaleconomy swinging back and oil now north ofUS$100 a barrel Nielsen expects a resurgenceof Alberta buyers into the Kootenays.

“Our sales team says the number and quality of calls coming out of Alberta has increased substantially, compared to anytime from mid-2008 to late 2010, “ Nielsen said.

A recent survey by the Royal Bank fore-casts Alberta will lead the entire country in economic growth this year and next, and like-ly into the next decade. One telling stat: theaverage weekly wage in Alberta is $1,036 a week, almost one-third higher than the rest ofCanada.

And Albertans traditionally look to B.C. forrecreational property.

“You can golf, ski, and catch a large rainbow trout, all in one day in the Kootenays,” Nielsensaid. He notes that the ski hills of Panorama Ridge near Invermere and the amenities ofFairmont Hot Springs are close by Elk Park,with almost two-dozen golf courses within a30-minute drive.

Nielsen said The Ranches will attract a selecttype of buyer.

“The price range is for individuals with a pioneering spirit ready to embrace a rare oppor-tunity to own their own private ranch right atthe foot of the Rocky Mountains.”◆

Ranches at Elk Park: 200 acres with a private lake listed for $2.95 million.

Phot

o: L

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uest

www.westerninvestor.com WESTERN INVESTOR Recreational Real Estate LIFESTYLE PROPERTIES

®

www.bobplowright.com [email protected]

Why Harrison? Nestled against Southwestern British Columbia’s mag-nifi cent mountains and the sandy beaches of Harrison Lake, Harrison Village is your local destination fi lled with a rich history and natural wonders, including our world famous BC Hot Springs. Known for its leisurely days and friendly ways, offering nature, art, entertainment shopping and food.

Overwhelming Views

$1,888,000 Virtual tour at www.6565-rockwell.ca

FOR SALE AUTOMOTIVE PARTS STORE KITIMAT, B.C.

Gerri Saunders (250) 632-2107 (250) 632-6638

Virtual tour at www.annabelyoung.comANNABEL YOUNG Offi ce: 604-888-0786

Cell: 604-961-7541 Email: [email protected]

Far from the Madding Crowd

- Exquisite property features the best of the West Coast

- Water Front -1.84 acres of high water front

- Custom designed house infused with southern light

- Spectacular views of the Gulf Islands- Live year round or have a

weekend retreat and haven- MLS® F1118274 $1,075,000

REALTY (02) LTD.

Approximately 80 minutes northeast of Winnipeg on the Bird River. This classic lodge is world famous for trophy bear and deer hunting. Located 1/4 mile from a Department of Transportation certified airport runway. Suitable for church camp, corporate retreat, training centre or private retreat. Commercial kitchen. Games room, sauna & conference room. Thirteen bedrooms, sleeps 27 plus master bedroom & ensuite. Approx. 6900 sq. ft. on +/-2 acres. Asking $1.85M.

FOR SALE - On Bird River, MB

204-928-5008

Recreational Real Estate ADVERTISING FEATURE:

• Limited spaces • 4-colour ads • Special rates

WESTERN INVESTOR MAY 2012 www.westerninvestor.com Northern British Columbia B9

SOLD

RE/MAX Centre City Realty

Each offi ce is independently owned and operated

GEORGE Weinand 250-960-9556

KEN Goss 250-565-7653

— Your PRINCE GEORGE Commercial Professionals —

2977 Ferry Ave.FOR SALE – 0.8 Acres on corner of Ferry Ave. & Ospika Blvd. C-6 zoning.

www.pgcommercial.ca

THINK REAL ESTATE...The Best Investment on Earth

490 Carson Ave. – Quesnel, B.C. BUSINESS/BLDG/LAND - 3,609 sq ft main fl oor 120 seat restaurant specializing in authentic English fi sh & chips. 1,559 sq ft second fl oor living accommodations, may be converted to a banquet facility plus 2,227 sq ft basement.

‘Wee Chippie Fish & Chips Seafood” BUSINESS FOR SALE – QUESNEL, B.C. Very successful 120 seat main fl oor restaurant, specializing in authentic English fi sh & chips. Inventory to be purchased separately.

5075 Domano Blvd.FOR LEASE – Prime College Heights RETAIL/OFFICE space. Visually desirable location. Net Lease.

2342 Westwood Dr.FOR LEASE – Highly visible 2,371 sq ft prime retail /professional offi ce space. Abundant parking, property has been completely updated.

Lot #1 AtwoodFOR SALE – proposed new subdivision. 17 – 4 Acre+ high quality rural residential lots. 78.8 Acres total. Within 14km of the Westgate Shopping Plaza.

9080 Penn Rd.FOR LEASE – 25,660 sq ft quality warehouse located in the Danson Industrial Park.

9368 Milwaukee WayFOR SALE – 31,640 sq ft major fabricating/manufacturing facility (28’ ceilings). Located on 3.74 Acres, fenced yard, cranes, quality offi ces.

1550 – 1st Ave.ONE OF A KIND OPPORTUNITY. 3 concrete block warehouse on 3 Acres. 44,080 sq ft total space. Well maintained with 11 loading doors, 13 O/H doors, 3 phase power & highway access.

4350 Handlen Rd.COURT ORDERED SALE – 5,525 sq ft concrete block building on.99 Acres. Zoned C-6.

'Sketchley Automotive'Business FOR SALE – Fully equipped automotive repair business. Owner retiring after 34 years of business. Equipment replacement value $150,000.00. Leased premises.

760 Kinsmen Pl.FOR LEASE– New fi rst-class building in prime location. Ready for occupancy September 2012. Main fl oor 4,300 sq ft available and daylight basement 2,000 sq ft. Zoned C-4.

1437 N. Fraser Dr. – Quesnel, B.C.COURT ORDERED SALE – 38.5 Acre property. 604 sq ft stand along offi ce. Main 3,498 sq ft concrete block 4 bay truck shop, with 1,628 sq ft addition attached. A 2,160 sq ft storage building with a 648 sq ft wood frame storage shelter. A sand/gravel business historically operated from this site, however no licensing permits have been confi rmed.

1108 Boundary Rd.FOR LEASE & SALE – 9,000 sq ft cement block building on 2 Acres, fenced compound. 3-Phase Power.

SOLD

B10 Northern British Columbia www.westerninvestor.com MAY 2012 WESTERN INVESTOR

NORTHEAST BC REALTY Ltd. Phone 250 785 4115

“Investing Our Energy In The North”

Located at 10220 101 Avenue Fort St John BC V1J 2B5 www.NEBCRealty.com F: 250 785 4120

RON RODGERS - OWNER / MANAGING BROKER Email: [email protected]

NEBC ©2010—2012

$134,900 City Center Commercial Lot (services at lot line) 73.5’x122’ Ideal multi-use property MLS® N4505054 Fort St John

$482,500 Multi-Residential Lot (up to 25 units) 146.6’x150’ close to major public and commercial amenities MLS® N4505280 Fort St John

$468,000 5.73 acre Industrial Land (great location for office/yard) Close to City amenities LESS CITY TAXES! Modular on site. MLS® N4505213 Fort St John

$468,000 83’x120’ Commercial Lot HIGHLY VISIBLE Along Main Street Dawson Creek. Close to WalMart, Gaming Center, Retail Strip Malls & more. MLS® N4504965 Dawson Creek

$589,000 39,200sf Commercial Lot (just under 1 acre) Excellent corner location along highway entrance to community. Exclusive Chetwynd $1.68 Million 3.01 Acre Commercial Land & Business along Alaska Highway frontage. WITHIN CITY LIMITS! (Rare find) MLS® N4504968 Fort St John

NEW REGIONAL HOSPITAL &

RESIDENTIAL CARE SITE

Opening June 2012

36.36 Acre Land

High Density Residential Development

Opportunity

Asking $1.45 Million

MLS® V4022639 Fort St John

#133128: NEW STRIP MALL has 4 available spaces left for lease, 1,750 sq ft each. Great location on 8th street between Tim Horton’s & The Brick. Lease rates start as low as $16/sq. ft.Start your business here. Strip mall is 10,000 sq. ft.

Also for sale at $1,800,000

FOR SALE OR LEASE 5040 sq ft building on busy

Alaska Ave. Many uses, drive thru availability, lots

of parking, next to government liquor store. Owner

will consider dividing building into two rental units.

Priced at $795,000 or $16.00 per sq ft to lease.

FOR LEASE 3200 SQ FT SHOP with an additional

1680 sq ft of office are on upper floor. 2 doors 12x14

into 40x40 shop. Zoned M2 (light industrial) on .23 of

an acre. Asking $16.00/sq ft.

#131876, 130050, 131875 - HIGHWAY

COMMERCIAL/INDUSTRIAL LAND Situated across

from the EnCana event centre, Chances casino and new

Holiday Inn this is a very desirable location. Total of

three lots each approx 4.5 acres each, excellent visibility

and access. Priced at $450,000 - $500,000 each

#135870: HIGHWAY FRONTAGE - Great visibility on

this. 1.077 acre Industrial lot located on highway #2, all

City services available. New developments in this area

and this is the only lot left for sale along the highway

Asking $159,000

L A N D

#129635: RESIDENTIAL DEVELOPMENT LANDS, one parcel of 25 acres on the north west edge of Dawson Creek for sale, superb location for residential homes, the timing is right as we need more residential lots for our busy market place. Asking $625,000

#129877: ONE ACRE OF MULTIPLE RESIDENTIAL LAND suitable for 37 unit apartment or condo complex. Across from the hospital in a prime residential area of Dawson Creek. $179,000

#127836: SUBDIVISION FOR MOBILE HOMES! Total of 39 mobile lots are possible on this 4.6 acres, zoning in place, some services are already in, 3 lots have been subdivided. Call for more info. Asking $300,000#127441: 80 ACRES OF INDUSTRIAL LAND with highway frontage, railway tracks, water and sewer in the City of Dawson Creek. Asking $31,250 per acre

#135241: COMMERCIAL LAND NEXT TO THE GOLF COURSE. Great location and potential! 10.33 acres that are zoned C-3 (highway commercial) between the driv-ing range and regional district offices, close to a large campground. Lots of options, borders the Alaska High-way. $1,800,000

WILL BUILD TO SUIT - AIRPORT ONE ACRE LOTSDeveloper has 3 one acre lots in a row at the airport with highway frontage...will build a 5000 - 7,000 sq, ft. pre-engineered steel shop, provide a graveled and fenced yard with a 5 year lease starting at $ 14.00 per sq. ft. for the shell. Also willing to build and sell to tenant. One lot now leased and sold. Only 2 left!

#127066: LOCATION, LOCATION, LOCATION 0.74 acres at the intersection of 17 Street and Alaska Highway. Ideal location for strip mall, service station, etc. $295,000

RE/MAX DAWSON CREEK REALTY 1-888-214-5871DAWSON CREEK COMMERCIAL EXPERTS

D A W S O N C R E E Kwww.dawsoncreekrealestate.ca

TOM MORAN [email protected]

LLOYD SMITH [email protected]

#129952 - FOR SALE OR LEASE Multi purpose building with 2 units now leased leaving 11,000 sq ft. available. Upgrades include updated roof and furnacesAsking price is just $397,000

#130029 RETAIL STOREFRONT on 102nd Ave. for sale, 3500 sq. ft on a corner location, paved parking, good visibility can be used for offi ce, retail, or your own small business. Owner will consider leasing as well. Reduced to $119,000 as is

#130010 - WELDING / MACHINE SHOP for sale Includes 12’ door, 13’ ceilings, 3 phase power, 23o Volt/400 amp service. Gravel yard, 100 sq. ft. offi ce with shower & bathroom. Fire hydrant, 2 overhead cranes. $220,000

#129257: THE SOUTH PEACE UNITED CHURCH IS FOR SALE. OVER 11,000 SQ. FT. - Sanctuary, hall, kitchen, offi ces, and support services. Excellent corner location, zoned commercial, very good condition, ready for an offi ce or residential conversion. $495,000

#133401 - BUSINESS OPPORTUNITY located on the east side of Dawson Creek. Belsum Auto Recyclers Ltd has a proven track record and shows a good return. In-cludes 6.5 acres of prime industrial land on Hwy #49, a heated main shop with 3200 sq.ft. and an adjoining 2400 sq. ft. building used for stripping vehicles. Lots of inventory, and equipment includes 3 forklifts and a skid steer. Asking $1,200,000 for the land, buildings, and turnkey business with inventory.

#130083 - Popular new restaurant (Brown’s Social Club) now open and Pizza Hut coming soon, lots of parking.

#129953 - RETAIL BUILDING Great location on

10th St over 3,000 sq ft on main and additional

3,000 sq ft on second floor, located next to Scotia

Bank. Ground floor now leased out to only video rental

company in Dawson Creek. Asking price of $375,000

#132673 - In the centre of the City close to the traffic

circle on Alaska Highway...1.55 acres of flat land with

all new services to the property and bordered by 8th

street and the paved roadway to the new apartment

building. Excellent location, commercially zoned, will

builld to suit. $290,000

SOLD

SOLD

SOLDElaine Kienzle250 563-8769www.elainekienzle.com

For Sale or Lease $575,0009630 sf on 3 levels, separate entrancescompletely refurbished since 2006ideal for retail, design & professional offices

Prince George

Don’t miss this opportunity . . .Invest in a waterfront lifestyle today!Zoned for rec/res development - not in the ALR

26 acres, approx 1450’ of lakefront $295,00055 acres, approx 1650’ of lakefront $495,000

Riverfront Townhome site $500,0001.76 acres - approx 263’ of riverfrontzoned RM1 - multiple residentialpreliminary drawings for 13 townhomes

Prime, high profile location $739,000Hwy access near Costco & Future Shop3664 sq ft building on 1/2 acre lotzoned M3 - Business Industrial

7.32 ac along the Nechako River $545,000zoned res - not in the ALR - subdividableapprox 460’ of riverfront, nicely treedeasy access to downtown & UNBC

For sales or leasing inquiries please contact:

Tel: Fax:

DONNAANDNYLA.CA

D A W S O N C R E E K

Well established Towing and Recovery business in Dawson Creek BC. "Exceptional Towing & Recovery Ltd." 150 X 150 Chainlink fenced, grave/asphalt compound, 1 bay heated garage, dispatch/offi ce unit w/services, storage shed. Zoned M-2 Light Industrial. All Equipment included with list available upon request.

MLS® 134219 Price $895,000 For more info call: Nyla Lepine & Donna Cooper

250-784-4044 [email protected]@remax.net DAWSON CREEK REALTY 250-782-8181 “independently owned and operated”

Mobile Home Park FOR SALE

Fort St John, BC

100% occupied• 90 pads• Gross 359,000• Net 225,000•

$2,890,000

[email protected]

CALL 604-725-4872 or 250-826-2284

EMAIL: [email protected]

20-25%+ ROI/Cash on Cash!

8-Plex for Sale - $549,900

Turn Key, fully managed unbelievableInvestment opportunity in

KITIMAT!THE NEXT FORT MAC!

WESTERN INVESTOR MAY 2012 www.westerninvestor.com Northern British Columbia B11

Remax Action Realty 1991 [email protected]

[email protected] Toll Free : 1-888-785-5520

FORT. ST. JOHN

The Power Of Partnership!

KATHY MILLERCURTIS ROBINSONPERSONAL REAL ESTATE CORPORATION

IDEAL FOR SMALL BUSINESS!

9610 - Sikanni Road2,000 sq. ft. bay w/front reception, offi ce & Mezz.

Shop consists of radiant heat, 14’ overhead doors, main door & fl oor drain. If you need 4000 sq ft the adjoining 9612 - Sikanni Rd. (N4505287) is also available. $14.00/ sq. ft. + NNN - MLS# N4505336

FOR SALE OR LEASE

PROSPECT PARK LOCATION

10711 - 91st Ave Updated offi ce space, new windows, doors and updated forced air furnace. 1100 sq. ft. of offi ce space attached to 3250 sq. ft. of shop. + 6500 sq. ft. of additional shop space available. $15.00/sq ft + NNN - MLS# N4505100

5.238 ACRES IN A GREAT LOCATION!

Lot 11 - 87A AvenueM-2 zoning, easy access to the East bypass road make this a great place to build a shop and set up business.$1,128,750 MLS# N4505220Lot 12 also available $1,128,750 MLS# N4505221

1850 SQ FT LEASE SPACE

8219 – 100 AvenueThis building has great access from 100th Street with easy

access parking. There are well established businesses in the building bringing traffi c to the location. 1850 square feet includes washroom/shower facilities.$15.00/ sq. ft. + NET - MLS# N4505244

INVESTMENT GEM!

4717 - 51 St., Chetwynd

Fully occupied w consisted ROI to the owner. Contains established businesses & a fully furnished 2 bdrm apart. Torch on roof in 1999 & new fi re system in Jan. 2011. $1,200,000 - MLS# N4504915

PROSPECT PARK LEASE SPACE10407 Beaver RoadSteel span bldg features over 11,750 sq ft of combined

shop/offi ce space, & 11,250 sq ft of cold storage. Located in Prospect Park on a paved street with great access to the Alaska Highway.$15.00/sq. ft. + NNN MLS# N4505179

MUFFLER & AUTO REPAIR BUSINESS $145,000

7000 SQ FT SHOP$575,000

27 ACRES RESIDENTIAL $650,000

9.14 PRIVATE AIRSTRIP $400,000

31.34 ACRES HIGHWAY FRONT $1,500,000

HOUSE & SHOPSExtremely revovated house $950,000

Fort St John

RICK “C” WALTERS [email protected]

www.rickcwalters.comRE/MAX ACTION REALTY

Jumbo ski resort wins B.C. approval The proposed and long-debated $1 billion

Jumbo Alpine Ski Resort development 57 kilometres west of Invermere in the West Kootenays has won approval from the prov-ince, confirms Steve Thompson, minister of forests, lands and natural resource opera-tions .

“After more than 20 years of comprehensive and exhaustive reviews, it was time to make a decision. I approved Jumbo Glacier Resort’s master development agreement after review-ing all of the relevant documentation and meeting with both First Nations and the pro-ponent,” said Thomson in a statement.

The province says the project will attract $900 million in investment and create 750 permanent jobs.

Once complete, Jumbo will feature up to 23 lifts, a 3,000-metre-high gondola and a ski village with more than 6,000 units. The resort will be comparable in size to Silver Star in Vernon or about one-tenth the size of Whistler Blackcomb.

Oberto Oberti, the architect behind the proposal, hopes to have the first phase up and running within two years.

Victoria landlords reluctant to sell Interest rates may be low, cash readily

available and buyers lined up, but owners of Victoria rental apartment buildings are not eager to sell in a city with a tight 2 per cent vacancy rate.

That’s a synopsis of the Victoria multi-residential market, according to Colliers International’s recent apartment investor overview.

“And it pretty much applies to all com-mercial real estate product segments – office,

retail, industrial and multi-residential apart-ment – there’s just not enough product to satisfy demand,” said Ken Cloak, Colliers Victoria associate vice-president and multi-family specialist.

The Colliers report noted that last year there were 12 apartment-building sales for total sales of $46 million, down from 2010’s 22 sales totalling $98.5 million. The 10-year average is around $56 million.

“The only meaningful thing about that is we didn’t see any portfolio trades in 2011,” said Cloak.

Of the 12 large sales last year, the biggest was the 72-unit Westside Apartments (now Olympic View Terrace) at 885 Craigflower Road, which sold for $7.9 million in October. Other big sales included the 64-unit Quadra Villa at 2835 Quadra Street, sold for $6.7 mil-lion in June, and the 43-unit Don Quadra at 3244 Quadra Street, sold for $5.3 million.

Cloak said the only thing helping the vacan-cy issue is investment in condominium proj-ects. He said investors are buying now while interest rates are low and renting the suites.

Metro consumers split on housing Forty-six per cent of consumers in the

Lower Mainland think this spring is a good time to buy a home, according to a recent REW.ca consumer confidence survey done by Mustel Research Group. However, 42 per cent of consumers disagree, the sur-vey discovered.

A combination of record-low mortgage rates and record-high home prices has skewed the traditional active spring market, leaving local consumers split on where the market is head-ing.

Of those who don’t think it is a good time to buy, nearly half cite high home prices and 17 per cent expect prices to correct downward in the months ahead.

Meanwhile, a 56 per cent majority of respondents believe now is a good time to sell a house or condo in the Metro market. Of this group, 18 per cent point to high prices as the reason to sell this spring, and 17 per cent believe there will be a market correction that

Powell River residents and current and pensioned mill employees are

waiting to hear the fate of the town’s largest employer as Catalyst Paper Corp. seeks a $395 million restruc-turing plan. Catalyst has been under Companies’ Creditors Arrangement Act (CCAA) creditor protection since late January.

Catalyst, whose restructuring plan faced a creditor vote in late April, has already shut down its pulp mill in Campbell River and is seeking court approval to sell its remaining B.C. mills in Powell River and Crofton to the highest bidder, if the restructuring plan fails.

Retired salaried employees of Catalyst stand to lose a substantial portion of their pensions if the company’s plan fails.

The company and its noteholders have put forward a sales and investor solicitation process, which includes a “stalking horse bid,” rumoured to be from a bond holder. This means some noteholders are prepared to become the new owners – and sellers – of the company.

“All of us hope very strongly that Catalyst management is able to sail through this credi-tor protection and continue their operations,” said Jim Donnelly, who was the investment recovery manager at the Powell River division before he retired in 2007. “If they do, then this is not a problem to any of us.”

But if the company doesn’t sail through, Donnelly added, “Our pensions are at risk.”There are between 1,000 and 1,100 salaried Catalyst pensioners affected by this, including

about 200 living in Powell River.“We’re all hoping that [the] company can make it through this,” he said. “But, if it doesn’t,

the fact remains there are about 1,000 people who stand to lose 40 to 50 per cent of their pension income.”

The Superintendent of Pensions has allowed Catalyst relief from making regular contribu-tions to the salaried pension plan for several years, Donnelly explained, because the company has pleaded it was in a difficult financial position. “What that’s done is run down the value of the pension plan, to the point where it’s $73.5 million underfunded,” he said.

Donnelly pointed out that the City of Powell River’s mayor and council and the previous mayor and council should be recognized for tax relief to Catalyst and trying to make the business climate better. Catalyst now has about 300 employees, down about 50 per cent from a decade ago.

Concerns about Catalyst’s future have affected the housing market, confirmed Warren Behan, a veteran Powell River realtor. “Prices have been falling now for four years,” he said. As an example, he pointed to a current Coast Realty listing of an oceanview home in the Westview area priced at $225,000. “You can buy waterfront homes here for less than $500,000,” he said. “There are terrific bargains.”

Powell River’s troubled Catalyst pulp mill.

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eak

will result in dropping prices.Consumer uncertainty is reflected in this

year’s sales figures: housing sales are below

the 10-year average for the first quarter in both Greater Vancouver and the Fraser Valley.◆

B12 Alberta www.westerninvestor.com MAY 2012 WESTERN INVESTOR

Price per unit $27,217 Total List price $6,750,000

www.colliershskmultifamily.com

PHOENIX, ARIZONABELLA SOL - APARTMENT COMPLEX* Two story apartment community built in 1985* 248 rental units - unit mix 50% one bedrm, 50% two bedrm* Construction - wood & painted stucco* $1,000,000+ in capital improvements* Buildings are individually metered for electricity* Financing Available* Convenient to transporation, shopping & schools

Colliers HSK Multifamily SpecialistsDir +1 602 222 [email protected]

Trevor KoskovichAssociate Vice President

Price per foot $37.00

Edmonton area SALE/LEASEBACK - $9,300,000

20 YEAR LEASE with family run business for 66 YEARS with a CAP RATE of 8.7%

Investment package together with summarized STRONG financial statements available to qualified buyers providing confidentiality agreements- Principals ONLY

Contact Jim Barkwell or Chad Snow at NAI Commercial Real Estate (780) 436-7410

NAI Commercial Real Estate Inc.

4601 - 99 Street, Edmonton AB T6E 4Y1

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Why Harrison? Nestled against Southwestern British Columbia’s mag-nifi cent mountains and the sandy beaches of Harrison Lake, Harrison Village is your local destination fi lled with a rich history and natural wonders, including our world famous BC Hot Springs. Known for its leisurely days and friendly ways, offering nature, art, entertainment shopping and food.

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Approximately 80 minutes northeast of Winnipeg on the Bird River. This classic lodge is world famous for trophy bear and deer hunting. Located 1/4 mile from a Department of Transportation certified airport runway. Suitable for church camp, corporate retreat, training centre or private retreat. Commercial kitchen. Games room, sauna & conference room. Thirteen bedrooms, sleeps 27 plus master bedroom & ensuite. Approx. 6900 sq. ft. on +/-2 acres. Asking $1.85M.

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204-928-5008

Recreational Real Estate LIFESTYLE PROPERTIES www.westerninvestor.com WESTERN INVESTOR

Investment OpportunityAvondale - Crystal Gardens Lake CommunityNewly remodeled home, 1870 square feet, 3 bedrooms plus den, 2 baths, prime location near shopping and freeway access, would make for a great vacation home or could rent for $1000-$1075 as an investment property.For Sale: $112,500

Contact us to start your portfolio today. Here are twelve of the homes we’ve sold over the past few months which are all within a 30 minute drive from downtown Phoenix. We even offer property management for our clients.

Phoenix AreaAverage Sales Price per Square Foot

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Square Feet: 1,278

Sold Price: $60,500Rent: $825City: Goodyear

Square Feet: 1,159


Square Feet: 1,197


Square Feet: 1,255

Sold Price: $64,000Rent: $850City: El Mirage

Square Feet: 1,495

Sold Price: $64,000Rent: $785

Square Feet: 1,574


Square Feet: 1,435


Square Feet: 1,343

Sold Price: $87,000Rent: $995City: Laveen

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Acquire Realty is family owned and operated with over 30 years of Real Estate experience. Contact us for Foreclosure or Short Sale Listings in Phoenix, Scottsdale, Fountain Hills, Surprise,

find your vacation home or investment property.

erhaps the strongest evidence of a recovery in the Kootenay recre-ational market is the sale of ranch-

sized acreages at the exclusive Ranches at Elk Park just outside of Radium Hot Springs. Prices range to nearly $3 million – and that is just for the land.

“We have sold two lots and we have holds on two others,” said Rudy Nielsen, founder and president of Niho Land & Cattle Company,which is marketing the ranches through its sub-sidiary LandQuest Realty.

Prices roam from $9,000 per acre for small parcels to around $2,100 per acre for 400-acre and larger ranches.

The 3,500 acres at Elk Park, a gated ranch community and perhaps the only one in B.C., are divided into 16 ranches, from 36 acres to 480 acres.

The two lots that sold – one to a retired Edmonton oil executive – are both in the 100-acre size, as are the two with pending sales.

The Ranches at Elk Park are what Nielsen calls a “rare collection” of recreational private estate properties. The ranches are framed by Kootenay National Park and the Columbia Valley and prices range from $390,000 to $2.95 million for 200 plus acres with a lake.

“This is a very exclusive opportunity,” said Nielsen, 70, B.C.’s most prolific land dealer. In the last 40 years, he’s put together thousands of successful real estate deals, involving tens of thousands of acres, from small plots to ocean islands, to entire town sites and huge farms

and ranches. “There’s nothing else like this in British Columbia. South of the border, in places like Montana, similar ranch-style communities are far less pristine and their prices are much steeper.”

Calgary-based Schickedanz West, the owner of the Ranches project, is adding a com-prehensive amenity centre outside the access point with fitness facilities and a private own-ers’ lounge, Nielsen said. He credited owner Fred Schickedanz for having the vision and patience to create “one of the best recreation-al ranch developments I have seen in a long time.”

Nielsen said buyers are a mix of permanent residents and seasonal owners who plan to

RECREATION FEATURE Wealthy investors corral exclusive acreages at Ranches at Elk Park in Kootenays

WI STAFF

WESTERN INVESTOR

eventually retire to the property. They share an common appreciation of nature, outdoor adventure, horse-back riding, hobby ranching and getting away from it all, “without going too far or spending too much.” Some of the ranches are lakefront, others have valley views and all have the security and privacy only big money can buy: there is only one access road and it is protected by a controlled locked main gate.

The success of Elk Park is likely cheered by other land and recreational vendors in the Kootenays, especially since it heralds the return of Alberta investors.

In 2007, Albertans were big in the Kootenay

area, grabbing more than 2,000 residentialproperties and more than 600 plots of vacantland, with the Columbia Valley figuring large.With the BC/Alberta border so close to Calgary,the Kootenays were a natural lure. Then the oil-fueled global economy stalled and Albertanswent quiet; in 2010 Albertan purchases were off by more than 70 percent or 756 sales o fresidential properties. However, with the globaleconomy swinging back and oil now north ofUS$100 a barrel Nielsen expects a resurgenceof Alberta buyers into the Kootenays.

“Our sales team says the number and quality of calls coming out of Alberta has increased substantially, compared to anytime from mid-2008 to late 2010, “ Nielsen said.

A recent survey by the Royal Bank fore-casts Alberta will lead the entire country in economic growth this year and next, and like-ly into the next decade. One telling stat: theaverage weekly wage in Alberta is $1,036 a week, almost one-third higher than the rest ofCanada.

And Albertans traditionally look to B.C. forrecreational property.

“You can golf, ski, and catch a large rainbow trout, all in one day in the Kootenays,” Nielsensaid. He notes that the ski hills of Panorama Ridge near Invermere and the amenities o fFairmont Hot Springs are close by Elk Park,with almost two-dozen golf courses within a30-minute drive.

Nielsen said The Ranches will attract a selecttype of buyer.

“The price range is for individuals with a pioneering spirit ready to embrace a rare oppor-tunity to own their own private ranch right atthe foot of the Rocky Mountains.”◆

Ranches at Elk Park: 200 acres with a private lake listed for $2.95 million.

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uest


We are looking for 1st or 2nd mortgage lending opportunities for:

Single and multi-family residential developments

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Construction / land servicing

Bridge loans

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403-681-7512www.rockypark.ca

BUSINESS & INVESTMENTS

MOTEL IN SUNDRE * Asking: $2.49M * SALES: $752,047 * NOI $366,681 * 25 UNITS * 17 VLT’S

MOTEL IN ST. PAUL * Asking: $1.08M * Sales: 358,231 * NOI: 236,484 * 53 Units

MOTEL IN MOSSLEIGH * Asking: $599,500 * Sales: $160,000 * 17 Units + 14 RV parking stalls

GROCERY STORE IN OYEN * Asking: $1.29M * Sales: $2.6M * Living quaters included

GROCERY STORE IN BIG VALLEY * Asking $325,000 * Sales $700,082 * NOI: $103,583 * Only one in the village

STRIP MALL IN CARSELAND * Asking: $2.2M * NOI: $140,400 * Building size: 12,600 sqft

RETAIL BUILDING IN CALGARY * Asking: $669,500 * NOI: 35,800

LAUNDROMAT + DRY CLEANING IN ROCKY MOUNTAIN HOUSE * Asking: $324,900 * Sales: $293,501 * NOI: $144,480 * 12 Washers, 13 Dryers * Size: 3,164 sqft * Rent: $4,176

CALGARY & AREAProperty & Business

OpportunitiesLiquor Store (Business)

Gross sales: $2.3M (2011)Gross margin: 23%Location: High traffic strip mall in Calgary Asking: $790,000

Liquor Store (Property & Business)Gross sales: $3M (2011)Gross margin: 17% Location: 2hrs from CalgaryAsking: $1.55M

Liquor Store (Business)Gross sales: $1.5MGross margin: 20%Location: 30 min from CalgaryAsking: $499,000

Grocery Store (Property & Business)

Gross sales: $1.4M Gross margin: 30%45min from CalgaryB/D size: 8,000 sq.ft.Asking: 1.5M

Mi Jin Graham CCS [email protected]

f you have invested in real estate in Canada over the past decade, whether purchasing 20 units or just your own res-

idence, it would have been hard to go wrong. Home prices doubling in most major mar-kets since 2000 have helped mask what could have been glaring investing errors. But most economists now predict flat or even declin-ing markets in the short term.

Adding to this is the fact that mortgage financing has become increasingly difficult. The reality is that, while less than 5 per cent of residential real estate is purchased as an income property, about two-thirds of all defaults and mortgage fraud come from this segment. As CMHC gets closer to its $600 billion insurance cap and volatility increases globally, financ-ing for investors will continue to decrease. And thanks to BMO and its 2.99 per cent pro-motional rate earlier this year, profitability on mortgages has decreased as mortgages have started to become banks’ loss leader. Placing a mortgage on your rental property has a much lower chance of bringing lenders new oppor-tunities to cross-sell on higher-margin prod-ucts like bank accounts and credit cards. It is likely that you are either already their client or you have relationships with multiple lenders already (as most investors will find becomes a necessity). In short: time to pucker up if you want $300,000 for that next investment.

If you are interested in investing in real estate it is imperative that you understand how banks finance investment properties, and how to get yourself prepared.

First, it is important to understand how banks qualify your first rental purchase and how it differs from financing your residence.

Most Canadians are qualified for their own mortgage based on their credit, down payment and most importantly their income. To deter-mine how much you qualify for on a personal mortgage, take 40 per cent of your gross annual income and divide that number by 12 to get a monthly figure. Subtract any current loans and liabilities to get the total amount you can qualify for on a monthly basis for the property taxes, strata fees, heating and mortgage pay-ment.

Example: A salaried employee earning $60,000 in income with a monthly car loan of $350/month. $60,000 x 0.4 = $24,000. $24,000/12 = $2,000. $2,000 - $350 = $1,650 in combined mortgage, tax, strata fees and heating expenses per month.

Qualifying for a rental property isn’t as simple. It surprises many to learn that most banks will only use a small portion of the rental income to help qualify your acquisitions. Most banks use what is called a “50 per cent add-to-income” method of calculating rental income.

Here’s the math on $1,000 in monthly rent: $1,000 x 50% = $500. $500 is added to your income, and 40% of your income is used to carry debts. So $500 x 40% = $200 of borrow-ing power. Based on today’s rates, $1,000 in rental income qualifies a borrower for about $40,000 on a mortgage.

The problem with the “add-to-income” method is this: not just the first rental pur-chase is tough, but each subsequent purchase gets tougher. As it is almost impossible for the rent to cover the expenses, each rental prop-erty becomes a loss on paper that your income needs to carry.

On top of this, instead of the minimum 5 per cent down available for personal residence purchases, the down payment was increased to

20 per cent for investment purchases in March 2010.

Lenders have varying programs available for investors so it is advised to speak to a mortgage broker who can access the multiple lenders.

Because of the roadblocks placed in front of investors, the initial setup is vital to purchasing multiple investments.

Make sure you arrange your personal resi-dence mortgage properly and, if you don’t own a residence already, buy one. Your own home is usually the best and most expensive invest-ment in your portfolio and will usually see the largest appreciation. This is important because your residence is not subject to taxes (capital gains) upon sale and is usually the hub for your investing career.

To set up your financing properly, you should make sure that you have extended your amortization as long as possible for the lowest minimum payment (but make sure to negotiate good pre-payment privileges). The low minimum payments will help qualify you for future purchases, but make sure you still utilize the lump-sum option to get off the nev-er-never plan. Your mortgage should also be a re-advanceable mortgage, which allows you to

borrow back the principal you have paid downon your mortgage via a secured line of credit(LOC) or other mortgage portions.

Remember that you can use your line ofcredit against your residence to use for down payment on a rental property. This is a greatway to borrow 100 per cent of the investment (20 per cent from the LOC and 80 per cent on the property). The interest portion of the pay-ments is a tax deduction on both the borroweddown payment and the mortgage you place on the rental.

Once your residence is set up, it’s time to start analysing real estate and making acquisi-tions.

The biggest mistake you can make is assuming that property values will go up. If you buy cash-flow-negative property based on it appreciating you may be stuck selling the property at a lossor worse. If you invest in cash flow the onlyway to lose in real estate is if you are forcedto sell the property. If it is putting money in your pocket each month, you can wait until themarket recovers to sell and ensure you make a profit on your investment.

Most investors are advised to do a lot of net-working, connecting with professionals who specialize in working with investors and per-haps joining large investment networks like the Real Estate Action Group in Vancouver. It’s always cheaper to learn from other people’s mistakes than your own.

When analyzing potential property, a free cash-flow analysis spreadsheet is available fordownload at www.mortgagesforinvestors.ca. Don’t be afraid to put an offer in on a goodproperty if your preliminary research looks good. You will always learn more from theexperience than by reading books.

In summary, the only way to make money in real estate is to take action.◆

Kyle Green works with Vancouver-based Mortgage Alliance Meridian Mortgage Services, specializing in investment real estate.Contact him at 778-373-5441 or [email protected].

INVESTING101 Finding money and making more in today’s tough lending market for rental investors

Audience First-time investors Lesson Arranging financingInvestment Rental propertiesStrategy Buy for cash flow, sell for profitBest advice Take action

INVESTING101

Kyle Green, Vancouver-based mortgage broker and investor


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email:[email protected]

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60, Lounge 30, with 3 VLTs & 2 cash machines. A very profitable operation. Full line of stainless steel equipment & recently upgraded fixtures. Living quarters as part of premises. ASK $565,000.

≥ VIKING Viking Hotel, a renovated and up graded operation. 12 guest rooms, a managers suite, tavern, & restaurant. Owner retiring. ASK $159,000.

≥ ANDREW, AB Liquor store. 2064 sqft. Brick finished bldg. on main street. (Former ALCB) Financials available to qualified buyers. ASKING $285,000.

CALGARY, ABSpringbank 160 Acres

Dan Silvester 403-705-8039

• 3000 sq ft character office space - Victoria Park• 4000 sq ft Penthouse office space - 17th Ave S.W. Calgary• 2175 sq ft West Downtown Office Condo For Sale $761,250• 6000 sq ft Industrial Building N.E. Calgary $1.3M• Floral Shop Downtown For Sale $79,900• Buyer Representation for Alberta Multi-Family Properties• Buyer Representation for Golf Course & Resort Development

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RESORT: Asking $4.0mil60 Acres in Rocky Mountain, 6 months open

MOTEL: Asking $1.49mil51 Rooms, Sale $500,000 in Vegreville, AB

MOTEL: Asking $3.79mil 38 rooms in Edmonton

MOTEL: Asking $1.79mil45 rooms in Pincher Creek

CAR WASH: Asking $2.95milSale $600,000 I hour from Edmonton

Thomas Koh (CIR) 403-680-9827

[email protected]

For further information, please call:Duncan MacLean Richie Bhamra [email protected] [email protected]

403 750 0800 403 303 4569

CBRE Limited, Real Estate Brokerage

FOR SALE: Retail Investment PropertyMain Street Centre, Airdrie, AB

Isaac Shaikh Urban Property Inc

Calgary, Alberta

403-918-8932

Bottle Depot For Sale

Southern Alberta town Trading population 13,000 people

Price, Financials available

To Serious Buyer Call 403-918-8932

For SaleAdjacent to Highway #1 in Medicine Hat, Alberta

PARCEL ONE:4.74 Acres – Fenced – Gravel compacted 6000 square ft. sprung tent with two roll away doors. GOOD LOCATIONAsking: $780,000

PARCEL TWO:6.55 Acres – Bare land - Services to property lineGREAT LOCATIONAsking: $849,000

Rod WilsonROYAL LEPAGE Community Realty

BUS: (403) 528-4222CELL: (403) 548-0156TOLL: 1-888-526-0911OFFICE: (403) [email protected]

www.medicinehatrealesate.net

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Management Office, Retail, Industrial

SALES AND LEASINGLand, Investment

SALES

FOR SALE

For more information or to view, please contact:

RYAN [email protected]

p: 403-290-0178 f: 403-262-1314

opportunity.

on the second floor.

in Kensington area.

OWNER USER OFFICE BUILDING

429 11TH STREET NW

FOR SALE

224 15TH AVENUE SW


DAN [email protected]


RICHARD [email protected]

p: 403-290-0178 f: 403-262-1314

Proximity to 17th Avenue SW, one

shopping and commercial districts, provides convenient access to various amenities.



DAN [email protected]


p: 403-290-0178 f: 403-262-1314

premises located on a prominent

vibrant 4th Street SW Residential/

FOR SALE

505 21ST AVENUE SW


LOCAL EXPERTISEMATTERS


DOUG [email protected]

FOR SALE

(REAL ESTATE ONLY)

RESTAURANT PROPERTY

estate offering, not an offering for the business within.

place.

WWW.BARCLAYSTREET.COM

FOR SALE


GEORGE [email protected]

p: 403-290-0178 f: 403-262-1314

restaurants, Saddledome, Stampede

developments (Sasso, Vetro, Nuera and Stampede Station).

appeal.

MIXED-USE COMMERCIAL BUILDING

BERNARD CALLEBAUT BUILDING

NEWLISTING

FOR SALE


GEORGE [email protected]

p: 403-290-0178 f: 403-262-1314

Serves the sporting population and benefits from its close proximity to Genesis Place Sporting Facility.

MULTI-TENANT RETAIL PLAZA

BIG SPRINGS PLAZA

NEWLISTING


PEACE RIVER, ALBERTA FOR SALE: COMMERCIAL BUILDING

Presently leased - some Vacancies available.37,000 sq. ft. on 2.99 acres. Includes commercial Kitchen, banquet roomplus smaller offices.Many upgrades and renovations. Downtown location - plenty of parking. Offered for $2,500,000

Thiry Kelemen 780-831-8804 [email protected]

For Further Information and Details, Call

RE/MAX GRANDE PRAIRIE

NORTHERN ALBERTA FULL SERVICE HOTEL FOR SALE

81 rooms and suites - on 12.5 acres.Highway frontage - lots of parking.76 seat coffee shop, 135 seat dining room, 80 seat pub, 160 seat Sports Bar with VLT’s.2 homes for staff housing. Offered for $16,000,000

4110 - 79 Street NWCalgary, Alberta

10,250 Sq. Ft. Office Building

Calgary OfficePhone: (403) 214-2344 FAX: (403) 214-0244

BUILT ON THE POWER OF OUR NETWORK. OVER 375 OFFICES WORDLWIDE.

Shane OlinTel: (403) 708-9086

[email protected]

FOR SALE

602 - 12 Avenue SECalgary, Alberta

7,000 Sq. Ft. Downtown Site

97 Prairie Place SECalgary, Alberta

4.7 Acres Industrial Development Site

Jim CourtneyTel: (403) 291-8873

[email protected]

Shane OlinTel: (403) 708-9086

[email protected]

Jim BalfourTel: (403) 291-8860

[email protected]

Tim AndersonTel: (403) 291-8866

[email protected][email protected]

Jim BalfourTel: (403) 291-8860

[email protected]

Tim AndersonTel: (403) 291-8866

[email protected][email protected]

HOTEL - FULL SERVICE

Southeastern Alberta

facilities

5 MOTELS PRICED UNDER $700,000

the cost of an average home in Calgary

BUILDING FOR SALE

FOR SALE

Westmount Village Phase 1Okotoks, Alberta

24,175 Sq. Ft. Shopping Centre

SHOWROOM/WAREHOUSE BAY FOR LEASE

Bay D, 4301 - 9 Street SE, Calgary

FULL SERVICE MOTEL

In Dynamic Good Sized Western City

Saskatchewan

$195,000

$350,000 $285,000

$495,000

Ray @ 403-627-8084

FOR SALE BY OWNER Southwest Alberta

DUSTY SMITH TEAMSUTTON LANDMARK REALTY / RED DEER, AB

CENTRAL ALBERTA CAMPGROUND OPPORTUNITIES

LAKEFRONT! 403-347-0744

KACIKEWIN CAMPGROUND & CABINSOnly 40 min. west of Edm. 10.00 +/- Fully treed acres. 89 beautiful lakefront sites. Fully rented last 9 yrs. Store/Manager's residence. Room for expansion! Large sandy beach area. Located west of Alberta Beach on Lac Ste. Anne.

$3,250,000

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REGIONAL ROUNDUP Medicine Hat looking to the future as natural gas price plunges to a decade low

Please see Wind power page B19

DAVE HUSDAL

WESTERN INVESTOR

lberta’s oil-centric recovery hasn’t sparked the economies of the prov-ince’s traditional natural gas hubs,

but the “Gas City” of Medicine Hat is boldly planning for a bright tomorrow, despite gas prices plunging to decade lows.

As of press time, natural gas was trading at US$2 for 1,000 cubic feet, the lowest level since January of 2002 and far below the 2011 peak of $4.85.

But this southeast Alberta service centre is looking past the current gas cycle – it has seen them before – to 50 years down the road. The city, after all, has a 4.6 per cent unemployment rate (the Canadian average is 7.2 per cent) and remains a muscular trading and transport hub with two military training bases.

Rudyard Kipling once quipped Medicine Hat had “all hell for a basement,” but it may also have a helluva future.

And it’s a future based primarily on help-ing real estate investors by cutting red tape and delays on projects, especially industrial and high-density residential developments.

“We’re hoping to produce a much more sim-plified land-use bylaw with a much simpler and hopefully less expensive manner of … getting through the system,” explained Chris Reddy,the city’s new general manager of planning, building and development.

Reddy, who moved to the ’Hat from Fort McMurray, understands a little about moving building activity along.

His department is currently working through the introduction of a new municipal develop-ment blueprint for the city, as well as the new land-use bylaw. The overarching MDP, known as the Medicine Hat Plan, has already been to the city’s planning commission and will now undergo scrutiny from the public and city coun-

cil. It may well pass from talk to action this year.

The document focuses on expanding indus-trial development in the city, as well as adding residential density.

“We’re going to put a lot more emphasis on the industrial sector, the area around the Canadian Fertilizer site, as our future employment growth area,” Reddy explained.

The area immediately around the fertilizer plant site in the city’s north end is not likely to attract housing or retail but is seen as vital for industrial businesses, everything from manu-facturing to staging yards for the energy and transportation sectors.

Industry-wise, there’s been a silver lining for Medicine Hat in the cloud of lagging gas prices. Multinational giant Enerflex re-opened

its mothballed Medicine Hat methanol plant last year because lower gas prices improved the plant’s competitiveness.

The Medicine Hat Plan envisions a greener city with more than 100,000 residents in 2060 – up from 60,000 today. The plan also calls for more compact neighbourhoods, “sensitive infill,” greater reliance on “alternative energy, from solar and wind” and the usual utopian-style boilerplate. But it backs up the platitudes with some hard numbers and a respect to mar-ket realities.

The housing-density scheme envisions up to 17 homes packed into each hectare – twice the current average in Alberta cities – but Reddy admits this could be a hard sell in a car-loving Prairie city that covers more than 11,200 hect-ares.

“Market demand will have a say in how neighbourhoods are built or redeveloped,”Reddy said.

Still, he notes, some of the city’s existing subdivisions already sport housing densities higher than that benchmark.

Medicine Hat should have no problem meet-ing demand for land, at least for the short term. “Right now we’re in the enviable position ofhaving enough lots in inventory and approved for about 2,600 more people,” with landalready zoned to accommodate up to 10,000more, Reddy said.

While the ’Hat hasn’t boomed by Alberta stan-dards, it saw a 21.8 per cent hike in population for the 10-year period ending in 2009, or an average growth rate of about 2.2 per cent.

Much of the city’s population growthhas come from people moving in from Saskatchewan, which is very closeby, bu tcity officials wonder if that will continue as the Saskatchewan economy continues toimprove.

The biggest growth pressure in MedicineHat has been on the south end of the city, withresidential and commercial developments partof the mix. They’ve both led to some conges-tion along the Trans-Canada Highway (TCH)through the city, but the province has announcedplans to build a long-awaited interchange at the TCH and Dunmore Road, and that’s seen as a big plus in the battle against traffic problems in the southeast. The project is going to tender in2012, with completion likely in 2014.

The provincial government is also spendingto redevelop the city’s existing regional hospi-tal, under an ongoing $200 million budget.

Meanwhile, CFB Suffield and British Army training bases pump an estimated $60 million into the local economy each year.

The long-planned redevelopment of MedicineHat’s historic downtown has been largelya miss to date, something Reddy is quick to

TOP: Medicine Hat sees population swelling by 10,000 each decade for the next 40 years. And it has the land to handle it. INSET: British Army AS90 tank in training exercise at CFB Suffield near Medicine Hat.

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K L403-894-0534

www.keith lees.com

OFFICE COMPLEX1400 sq.ft. with 4 offi ces that have been completely remodelled.Good active location, close to major mall.Zoned I-B RETAIL/OFFICE MALL2000 sq.ft. Off street parking. Minimum reno's needed. Vacant.Zoned C-G VACANT LOT.68 Acres, Building plans approved. In large retail area.Zoned C-H

ETHBRIDGE P R O P E R T I E S

INDUSTRIAL LANDw/BUILDING FOR SALE

Asking $2,532,500 - Ponoka, Alberta11.55 acres, 8 individual lots with a 5000 sf unfi nished

panelized structure on Lot #10 (Lot #10 - 15 are 6 contiguous lots; Lots 19 & 20 are 2 contiguous lots)

Located at 49th Street and 60th Avenue in the north Industrial Park within the town limits.

Site is provided with all municipal services, and a railway spur connection to the main CPR line between Calgary and

Edmonton. Recent rail crossing was completed by town of Ponoka.

Excellent manufacturing site or stage area for Oil Sands or other Northern Industrial projects.

Lots are for sale individually or as a whole parcel. Owner may sell entire parcel within the Corporation with tax loss advantage to purchaser. MLS# C1019384, C1019385, C1019387, C1019388, C1019389, C1019390, C1019391 and C1019392

Mary Yuen-Sears, RealtorSUTTON GROUP - CANWEST

#1, 555 Hawkwood Blvd NW, Calgary, AB T3G 3K2

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If you’re a property management owner look-ing to retire, cash out or reduce hours, we want to talk to you. We seek to grow, have cash, and are experts at tax-efficient, flexible options.

Keith McMullen 403-228-4303 [email protected]


INVESTMENT SALES

PRIME WEST EDMONTON LAND – RA7

CONTACT JEFF McCAMMON / DOUG BAUER OR DUSTIN BATEYKO

QUESNEL, BRITISH COLUMBIA

$2,950,000

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CHRISTOPHER KAMPHIUSor RAPHAEL YAU

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COMMERCIAL CONDOS

CONTACT BURKE [email protected]

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+/- 0.947 ACRES: in Valemount, BC. Zoned C3

(Service Commercial) ................................ $49,500

+/- 1.05 ACRES: in Valemount, BC. Zoned HC

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+/- 3.84 ACRES: Fronting St.Albert Trail, Zoned

IB (Industrial Business) ........................ $3,500,000

+/-13,812 SQ FT: 8204 – 106 AVENUE

………. .......................................................$495,000

+/- 0.31 ACRES: high visibilty location on 111

Avenue .......................................................$610,000

CONTACT JEFF MCCAMMONOR DOUG BAUER

WESTLOCK MALL, WESTLOCK, AB

CONTACT DAVID COONEY / DOUG FOGG OR HOWARD McCANN

DUGGAN MALL, CAMROSE, AB

MULHURST BAY CROSSING

INDUSTRIAL BUILDING FOR SALE

CONTACT JEFF McCAMMON OR DOUG BAUER

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CONTACT DOUG FOGG OR MARK McCANN

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CONTACT IAN NEWMAN

FORT MCMURRAY, AB

CONTACT DOUG RAE

MERRITT, BRITISH COLUMBIA

CONTACT [email protected] or

[email protected]

FORMER WAL-MART, MEDICINE HAT

CONTACT HOWARD OR MARK McCANN

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CUSHMAN & WAKEFIELD EDMONTON2300 Sunlife Building, 10123 - 99 Street, Edmonton, AB T5J 3H1

[email protected]

PENDING

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For further information, contactGary & Renée Anderson

Hospitality Sales SpecialistsDirect: 780-432-1408

[email protected]

Carton Realty Ltd.Office: 780.444.6605

HOTELOPPORTUNITIES

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STRIP MALLS, HOTELS & MOTELSAVAILABLE IN ALBERTA!

Call SammyEMPIRE REAL ESTATE GROUP

780-906-6652

WHITECOURT AREA, ALBERTAHAUSER'S HARD NINE

GOLF COURSE MLS® 26721 $999,900Own your own private golf course! Located 30 minutes from Whitecourt & Barrhead on the corner of Hwy 18 & Hwy 757. This nine hole golf course is now available for sale. There is a club house and a a personal log home. A year round business opportunity with nature trails and 10 campsites. Some equipment also included that helps maintain the property. An added benefi t is the property can be subdivided. This is a one in a lifetime opportunity.

OFFICE INDUSTRIAL MLS® 27129 $899,000

• Triple A tenant rating for another 4 years! Renewable 5 year term.

• Excellent investment. Good rate of return & AAA tenants.

• Offi ce - 1440 sq.ft Bay 1 - 1040 sq.ft Bay 2 - 3000 sq.ft. • Total Space - 6000sq. ft. plus mezzanine 2000 + sq.ft.

PAUL CHAUVET 780-268-3949

[email protected]

KATHY WAUGH 780-779-7248

[email protected]

PAUL CHAUVET 780-268-3949

[email protected]

EXIT REALTY RESULTS Whitecourt, Alberta

780-779-0090 www.paulandsue.ca

RED DEER, ALBERTACONDO DEVELOPMENT PROPERTY

PRIZE LOCATION ON PARK – ZONED FOR 65 UNITS $2,500,000

DOWNTOWN COMMERCIAL SITEBUILDING: 8,972 SQ.FT. ON .51 ACRES

PAVED PARKING, LOADING DECK $1,500,000

BUCK LAKE, ALBERTA100 FT. WATERFRONT, TREED, ALL SERVICES

EXCELLENT RETREAT $325,000

LACOMBE, ALBERTADEVELOPMENT PROPERTY DOWNTOWN – 34 ACRES

COMMERCIAL/BUSINESS PARK/INDUSTRIALREADY TO DEVELOP $2,500,000

RCR COMMERCIAL REALTY CORP.CALL GERRY OR BRAD

403-342-7700 or 403-302-9111 (Cell)www.rcrrealestate.com

Prime Real EstateSylvan Lake, Alberta

Call CARL STEPP cell: 403-358-9300www.sylvanlakehouseguy.com

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Pizza Business, Restaurant/Bar Business, Land & Building across from the Beach.

from B17acknowledge.

“There’s been a lot of dancing around, but the numbers haven’t been right [for investors], and we need the growth to spur it on,” he said of the potential downtown makeover.

The city thought it had landed a developer to move ahead with a major office and mixed-use development on what’s known as the Glanville site downtown, but that fizzled this spring when River City Development Corp. nixed a plan for a seven-storey tower on the vacant site near City Hall.

Mayor Norm Boucher called the setback unfortunate, but said development of the prop-erty “remains a high priority of council, and we will discuss the next steps in ensuring its development.”

The collapse of the project signalled there’s not sufficient appetite for Class A office space priced higher above existing lease rates in the city right now.

March did bring some positive news for the region’s alternative energy industry – approv-al of a major transmission line to hook up the Wild Rose wind-generation projects being developed by Calgary-based NaturEner. The approval moves two large wind-power proj-ects in surrounding Cypress County closer to reality.

Retail action is focused on the south end of town, where merchants have been willing to pay rents in the $25-to-$30-per-square-foot range annually for the right locations.

Population 61,097 Median detached house price $257,000Projected 2012 housing starts 150Apartment rent (2 bdrm) $695/ monthUnemployment rate 4.6 per centWeb page www.medicinehat.ca

Jeff Lanigan, the new president of the Medicine Hat Real Estate Board , sees a steady upturn in the housing market. After a tough year in 2011, he said, there’s freshdemand in the sector right now, with home prices edging up early in 2012. In the first threemonths home sales were up 23 per cent to 334 units, and total sales values jumped an impres-sive 22.5 per cent to $81.1 million.◆

Brooks

U.S.A.

MEDICINE HAT

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[email protected]

604-669-85001-800-661-6988

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Pick up your copy at your local newsstand or subscribe and we’ll mail it right to your door.

Check out our media kit on-line at westerninvestor.com for more information or call us at 604-669-8500.

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City of WetaskiwinEconomic DevelopmentP.O. Box 6210Wetaskiwin, Alberta T9A 2E9 www.wetaskiwin.ca

For Details Contact:RONALD HOLLAND (780) 361-4404Edm Dir: (780) [email protected]


Break Out of the Box

Call 780.361.6231 or visit WWW.JEDIALBERTA.COM

City and County of Wetaskiwin, Town of Millet

Land...red tape…business costs…they can have any transportation & logistics business feeling boxed in.

Get your business freedom back 30 minutes south of Edmonton, where red tape is a bad word, there’s affordable land to spread out on, business costs are competitive, a nose to the grindstone workforce has your back thick or thin, and there’s easy access to major rail, road, and air linkages. Home Hardware chose us as its distribution hub for western Canada; Santa Clausconsidered us.

n Tumbler Ridge, where houses sold for $25,000 a decade ago, it is hard to find one now for $200,000 as three coal

mines hit their stride.In Fort St. John, gas and oil plays have driv-

en house prices up 15 per cent in the past year, and long-suffering Kitimat could be poised for a pipeline-fuelled housing boom.

It is expectations that northern B.C. will drive most of the province’s growth during the next decade that has sparked a real estate revival. But some warn the north could be a minefield for investors.

Real Estate Investment Network CEO Don Campbell said it makes sense to invest in rental properties in towns like Fort St. John and Dawson Creek because of area mega-projects, high rental rates and relatively low vacancy.

But he said investing in homes in other parts of the north, such as Prince George and Kitimat, is riskier because few of the planned mega-projects have been confirmed.

A March Canada 1 Credit Union report projected that strong demand for coal, natural gas and copper would spur development across B.C.’s north in the next few years and drive a more robust economic growth than Metro Vancouver’s.

Campbell agreed with the report. He said B.C.’s north provides some of the best real estate investing opportunities in the province.

But he cautioned that investors could get caught up in speculation.

“We saw that happen in the leadup to the Olympics,” Campbell said. “Everybody ran to Squamish because they thought it was next to Whistler. The thing they didn’t understand was that there’s no mountain there for skiing.”

Speculation over northern B.C. mega-projects and job creation includes the possibilities that:

•Enbridge Inc. will win approval to build its $5.5 billion Northern Gateway pipeline from the Alberta oilsands across northern B.C. to a new marine terminal in Kitimat;

•BC Hydro’s $8 billion Site C dam project in northeast B.C. will be approved;

•eight mines generating $3.5 bil-lion in economic activity will open following the $400 million electrification of Highway 37; and

• high demand for coal from China’s steel-makers will continue to keep three Walter Energy Inc. metallurgical coal mines near Tumbler Ridge running near capacity.

But there are red flags waving: • the Northern Gateway pipeline threatens to

be derailed by loud and local opposition: every major town council along the B.C. route, plus most native bands and environmentalists, are strongly against it. As well, TransCanada Corp. has presented an alternative pipeline option that would link the Alberta oilsands to Quebec refineries and Atlantic ports; and

• Walter Energy, the Alabama-based mining giant that bought Western Coal last year for

FEATURE Coal, gold and energy speculation lure investors to Northern B.C., but some see trouble ahead

GLEN KORSTOM/WI STAFF

WESTERN INVESTOR

$3.3 billion, has seen its share values cut in half since then as the price of coal has plunged.

Yet real estate investors are salivating at the prospect of new jobs creating a population boom and a housing crunch.

At the end of 2011 the price for an average detached home in Fort St. John was $323,608. By March, according to BC Northern Real Estate Board statistics, that price was 15 per cent higher at $372,143.

Fort St. John realtor Mitch Collins said the community’s small size adds to housing-price volatility and that home values have actually risen about half that 15 per cent figure.

He added that even if BC Hydro’s proposed

Site C dam hits snags, investing in the regionmakes sense.

“We’re just seeing the tip of the iceberg.There are major projects that are moving for-ward right now that will have dramatic impact. That’s why there’s a lot of people investing in this region.”

Maple Ridge chiropractor Matt Boser start-ed buying multi-family properties in natural gas-rich Dawson Creek in 2008. He now owns 20 units in Dawson Creek and nearby Fort St.John, where a $297.9 million hospital is underconstruction.

All of Boser’s homes are rented. The averageone, he said, brings in about $2,500 per monthin rent whereas his mortgage, taxes, propertymanagement expenses and utility costs areabout $2,100.

“The mortgages are being paid down every month [in Fort St. John and Dawson Creek],”Boser said. “There’s positive cash flow, and the value of the properties are going up. That’sthe key. You don’t want to buy a place that has great cash flow but is going down in value.”

In Kitimat, average house prices have shot upfrom $142,000 in the first quarter of last year to $170,103 as of March 31 of this year, but houseprices in Prince Rupert have fallen from twoyears ago, as they have in Prince George.

Chris Mapson has experienced that fall. Heand his wife lived in Prince George between2007 and 2010, then moved to Kelowna.

They had bought a home in Prince George for $329,000 in 2007 but were unable to sell if for$290,000 in mid-2010. After showing the home65 times and getting no offers, they decided to rent it because the cash flow was more thantheir cost to rent a place in Kelowna.

The experience has left Mapson skeptical about home prices spiking across the north.

He said there are pockets of northern B.C. that are great places in which to own property,but investors should do their homework and not be lulled into a sense of false security byprojections.

“There are spin doctors who are cooking itup and northern economic development people who are spinning it one way,” he said. “There’s a lot of smoke and mirrors.”◆

This Fort St. John house sold recently for $579,000.

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Community Price March 2011 Price March 2012

Prince George $242,936 $241,704Prince Rupert $171,909 $168,907Fort St. John $308,622 $340,207Fort Nelson $321,845 $344,050Terrace $220,213 $200,926Kitimat $142,137 $170,103

Source: BC Northern Real Estate Board


Val ToffoliPhone: 780-707-9395

REALTY EXECUTIVES POLARIS4107 - 99th Street, Edm, AB T6E 3N4

Selling Edmontonsince 1987

APARTMENT BUILDINGS:

2 Units – Full Side by Side Bi-Level Duplex. Great West End Location. Needs some TLC & Priced Accordingly! ONLY

12 Ste Character Bldg. Central McDougal. Over 6.5% cap rate. Some upgrades.

!

20 Stes – Great Central Location – Extensive Upgrades – Lge Stes – Excellent Mix – 10 Yr Assumable Mtg – 2nd VTB Mtg possible.

WANTED: APARTMENT BUILDINGSHave Qualified Buyers Ready to Purchase!

Waterfront Pub & Detached Liquor Store

Land, buildings and businessPrince Rupert, BC $2,500,000

BC’s fastest growing super port city

JOHN JOHNSON Tel: 604-319-2504Fax: 604-463-5287

PRUDENTIAL STERLING REALTY LTD.

For Lower Mainland Pub Opportunities call:

PUBS For Sale FOR SALE Vegreville Garden Inn

Lance Frazier, Broker [email protected]

Carolyn Bull, Associate [email protected]

Toll Free:1 855 421 1488 dtzbarnicke.com

44 Room Motel on 7.69 Acres

Excellent opportunity to acquire this 44 room motel in Vegreville Alberta. The lodge contains a 200 seat restaurant , 75 seat lounge with 10 VLTs and a nightclub. Price $2,590,000

RICK D. JENKINS780-990-6120 cellEmail: [email protected]

POLARIS REALTY Commercial Realtor

INVESTMENT PROPERTIESFOR SALE!

42 UNIT APARTMENT in Leduc, near 50% twos and threes. 1981. Balconies above grade- 6 cap

2 ACRES on Ellerslie Road in Edmonton, busy south side corridor. Now being rezoned to DC2 for commercial, retail usage development- $2,170,00082 ACRE PARCEL adjacent to commercial corridor along St Albert Trail. Proposed land use concept to Mixed Use for Residential/Commercial/Business-$12,300,00068 FULLY SERVICED MOBILE HOME VACANT TITLED LOTS located within a modern Mobile Home Park in High Level, AB. MLS # E1014318 Price slashed to $975,000-PENDING

I need investment properties for all ICI categories. Looking for apartments, commercial/retail buildings,

industrial properties etc.

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w w w.RemaxComm.ca

BUSINESS ONLY

Edmonton’s Business & Investment Specialists

Lebanese Restaurant - Bus. Only. Great Location - $495,000

CALL AYAZ OR SAM AT 780.641.1320

INVESTMENT Centre 16 - Spruce Grove Retail Building - $1.6M Jasper Avenue Commercial Condos - 1789 SF and 2216 SF. With

tenants. Well maintained. Ample parking. Priced to sell! 1789 SF - $579,000 2216 SF - $699,000


MULTI-FAMILY2 x 9 Units - Strathcona - $2,300,00013 Units - Eastwood Strata Titled - $1,300,00015 Units - Glenwood - $1,500,00022 Units - Central McDougall - Contact For Pricing

CALL MIKI O’REE OR SEIF AT 780.641.1338Bottle Depot Businesses - 4 Locations in AB. Call For Info BOTTLE DEPOT BUYING & ORIENTATION - BOOK NOW!

***CERTAIN CONDITIONS APPLY***N Edm Coffee Franchise - Business Only - $215,000Auto Wash w/Land & Bldgs - Prime location in NE Edm - $2.99M

CALL RAJAN NULLIAH 780.441.5419

Self Storage Facility - 177 Units + 100 RV on 3.88 ac. - $1.9M

CALL MIKI O’REE AT 780.641.1338

CALL RAJAN NULLIAH 780.441.5419


Nisku Commercial Land - 2 Lots Left! Zoned CS - PENDINGLAND


20,000 SF+ OFFICE/RETAIL SPACEFort Road Centre - $16.00/SF

LEDUC PLAZA LEASE SPACE6250 - 50 Street Leduc - 5 Units Left!

JASPER AVE CONDOS W/TENANTS1789 SF - $579,000 2216 SF - $699,000

Wok Box Franchise - Two locations in Red Deer. May be purchased individually or together. North - $309,000 South - $394,999

Worth Your Buck - Dollar Store. Riverbend Sq. - $125,000 + Inv

CALL MIKI O’REE OR SEIF JIWAJI AT 780.641.1338

Office or Retail Space - Up to 20,000 SF available. Fort Road Centre. 13415 Fort Road. Retail or office uses. $16/SF Plus Op

LEASING

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LEDUC PLAZA - 5 Units Left! 1100 SF to 5500 SF. Join Quiznos, Second Cup, Pizza Hut, Sleep FX and more! - $20/SF Plus Op

CALL SAM NARAYAN AT 780.641.1320

7.93 ac C3 Zoning on Hwy 13 opp. of Airport $799,000

1.97 ac Industrial land in Stony Plain fully serviced ready to build warehousing etc. $580,000

Free Standing Strip Mall in Lloydminster $555,000

4 Plex in Evansburg (Sold)

Newly built SXS duplex in Edmonton Rent both sides or live in one & rent the other $334,900 ea side

Newly built 1350 sq bi-level in Athabasca $299,900

Marble Slab Ice Cream in Edmonton $240,000

Goldy Singh Empire Real Estate Group 780 499 8500 [email protected]

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$58,000 housing lots hit market The prospect of finding a more affordable

place to build your dream home in the Highway 2 corridor between Edmonton and Calgary recently improved in the commu-nity of Didsbury.

A developer there is now offering single-family lots in the range of $58,000 (including GST), down from around $95,600.

The lots are in what’s known as Phase 4 of the Valarosa Crossing subdivision, a six-phase project being developed by Terra Sar Developments.

Didsbury, which has grown to a population of more than 4,000, is situated just west of Highway 2 about 40 minutes north of Calgary International Airport. It’s the first commu-nity north of Airdrie, Calgary’s largest source of commuters.

Didsbury has been rated in the past as one of Alberta’s top-five growth communities, an honour the town trumpets on its web page.

East Village Project marks milestoneRedevelopment of Calgary’s East Village

(EV) neighbourhood by the Calgary Municipal Land Corporation (CMLC) recently marked another significant mile-stone.

The city-owned CMLC opened a $2.4 mil-lion experience centre in late March. The 8,000-square-foot centre will showcase planned developments in East Village, includ-ing those ready for construction in the former slum area that’s located just east of the heart of downtown.

The EV experience centre is described as a hybrid. It combines a visitor information cen-

tre that highlights the East Village story and the neighbourhood’s evolution with a sales centre showcasing the residential units and stylings of the neighbourhood’s “pioneering developers.”

“The partners chose to adopt a destination-style approach to promoting East Village,” said CMLC chairman Lyle Edwards.

Interested buyers are able to choose from among a variety of developments planned along RiverWalk, the Bow River and Fort Calgary.

Prices in one of the first highrises expected to be finished, a 191-unit building from Fram+Slokker, range from about $193,000 to $640,000.

Building permits post increase The first two months of the year produced

a notable increase in building-permit activity in Alberta’s capital.

The City of Edmonton granted permits for just over $441.3 million in construction in January and February of 2012. That’s a healthy increase of about 29.2 per cent from 2011, according to city statistics.

Things were similar in Calgary, taking out one mega project at the airport that was approved in early 2011.

According to City of Calgary figures, the city issued permits worth $609 million for the first two months of 2012, including permits for 838 new residential units. That’s an 88 per cent hike in new residential units over the same period last year.

Developer fees ruled illegalThe fallout from a key court decision in

November 2011 is starting to show up in how some Alberta municipalities collect fees from the development industry.

The Town of Canmore ceased collecting recreation levies from developers in early 2012, thanks to an Alberta Court of Appeal decision in a case involving the Town of Okotoks and a developer in that community.

The race for space in Edmonton’s office market is expected to heat

up very soon thanks to a resurgent oilpatch and the demand it is placing on office space in Alberta’s capital. The result: rents could increase by up to 20 per cent.

According to Avison Young, while office vacancy actually jumped slightly in Edmonton for the first three months of 2012 to 9.7 per cent from 9.5 per cent, the fundamentals of the economy point to increased space demand.

“As [drilling] rig activity increases, administrative office requirements for energy compa-nies grow, in addition to those for construction, engineering and professional service firms, which supply the energy sector,” Avison Young noted in its 2012 Q1 Edmonton Office Report. “With strong rig activity expected to continue in Alberta, we are forecasting sustained demand for office space and consistent increases in lease rates.”

There was net negative absorption in the first-quarter office market in Edmonton, accord-ing to Avison Young’s figures, though that was linked primarily to the suburban and govern-ment sectors of the market.

Energy and pipeline companies such as Enbridge have been very active. In just over six months Enbridge has swallowed up over 223,000 square feet of space in three different buildings in the city’s financial district, where asking base rents for the best space are in the $25-per-square-foot range.

Enbridge’s space acquisitions have financial-district landlords looking at rent hikes in the range of 20 per cent, according to Avison Young. Without the pipeline giant’s pickups in early 2012, the downtown financial district vacancy rate would have been 2 per cent higher in the first quarter.

Avison Young is predicting a “healthy and robust” Edmonton office market in the near term.

“Tenants should prepare for rising rental rates, and landlords can expect existing tenancies to expand while developers capitalize on market demand and build new office buildings, beginning in the suburbs,” Avison Young predicted.

Edmonton’s office rents could rise 20 per cent.

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The court essentially ruled that Okotoks was imposing off-site levies not allowed for under the province’s Municipal Government Act (MGA), and that those levies were not obtained under a voluntary agreement between the developer and the town.

The issue was summed up in a circular from the prominent Alberta municipal law firm of Fraser Milner Casgrain.

“The result for now is that these sorts of [non-voluntary] levies [for recreation facili-ties, engineering reviews, water licences] are no longer legally permissible,” the firm said.

The court found “that a municipality can-not use its natural person powers in a coercive fashion such as this and has no lawful author-ity to impose payment of offsite levies which are not specified in Section 648 of the MGA.”

While Canmore has ceased collecting recre-ation levies in the short term, the Bow Valley Builders and Developers Association, which represents the local development community, says it will continue to pay such levies in the long term, acknowledging their benefit to the community.◆

– Compiled by Dave Husdal

Contact us for a free information package!

PRIMEHIGHWAYCOMMERCIAL

146.5 ACRES RIVERFRONT ON N. SASKATCHEWAN

ROBYN C. PROPP 780-499-1961PROPP AGENCIES LTD [email protected]

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Prime commercial location on Industrial Road features 5200 sq ft on the main floor including retail area and large shop area at rear. Upper mezza-nine is 2700 sq ft of open storage area and offices. The CIM zoning allows most commercial operations and the prime location close to the corner of Quartz & Industrial Roads ensures great visibility for your business. MLS #6959 $800,000

126 Industrial Road Whitehorse, Yukon

For further information and tours please contact:

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Sano Stante | 403-289-3435RE/MAX Real Estate Central

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Website: www.sanostante.com

Retail/Medical/Professional BuildingHigh visibility retail/office 2200sf single level building on a 3,175 sf lot. Perfect for owner-user retail, professional service or medical. Ver-satile building for a multitude of uses. Tenant will lease back at $19 /sf net, which makes this a great invest-ment as well. 830 Edmonton Trail NE

$735,000

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INVESTMENT OPPORTUNITIESTRUMPETER POINTE VANCOUVER ISLAND, BC

COUNTY OF RED DEER, AB CAMPBELL RIVER, BC

TWO GREAT Investment Opportunities in Grande Prairie, Alberta

ß 70.65 acres only minutes away from cityß A great mixture

of trees and rolling hillsß Perfect place to

build a dream home!

Acreage Subdivision development

ß All the hard work has been done in this

potential development

Investment Sale!

$549,000

$849,800

SHANE ZEYHA (780) [email protected] www.keyz.ca

TWO GREAT Investment Opportunities in Grande Prairie, Alberta

ß 10.5 acres property zoned Manufactured Home Community

ß Vacancy in Grande Prairie is extremely low, people are looking for lower priced homes

ß Basically in town and paved to the front of the lot

Each office is independently owned and operated.


Great opportunity to develop on sites zoned R4 (High Density Residential). Adjacent to adult living community and near the Hos-pital & Health Centre. 1.4 acre site $499,000 or 0.76 acre corner site $ 200,000.

RE/MAX WETASKIWIN 2007780 352 9241

DEVELOPMENT OPPORTUNITY

CALL RANDY PLANT 780 361 9215

OUTSTANDING BUSINESS!

Complete business package ready for a new owner. Building, inventory, fi xtures, coolers and delivery van.

MARBLE SLABC R E A M E R Y

This is a rare opportunity to acquire an established business in a high volume location.

RE/MAXEdmonton

ZAK MIMOUNI 780-604-4001

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COMMERCIAL REAL ESTATE, FRANCHISES & BUSINESS OPPORTUNITIES IN WESTERN CANADA

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Larry Melanchuk, Associate Broker

Cell: 780.826.0100 www.coldlake.info

TF: 1.800.707.8374 A Division of Cold Lake 2000 Realty. Independantly owned & operated.

RE/MAXCold Lake

2000

$2B Expansion at Cold Lake oilsandsTake advantage of the economic spin offs

R3 SITE FOR 14 - 4 PLEXS AT $798,000

75.05 ACRES DEVELOPMENT LAND COLD LAKE NORTH $1,050,000

DEVELOPMENT SITE 5.08 ACRESDESIGNATED MULTI FAMILY $405,000

17.07 ACRES RESIDENTIAL SUBDIVIDSION63 LOTS ZONED R1B $770,000

7.2 ACRES ZONED HIGHWAY COMMERCIAL Services prepaid $749,900

OPPORTUNITIES

Renford Inn Motel – 112 rooms, 3.73 acres with enough land to add 60 rooms. Excellent hwy location. Sales: $1,600,000 (March yr end) List: $4,950,000Quizno’s Franchise – 5 yrs. operating - 5 yr. lease. Good rev and hwy location.Best Pub & Restaurant in Town – Excellent hwy location, centre of motel row. Sales: $1.6 Mil (end of Dec). Over 100,000 Net. 110 seat rest., 160 seat lounge, 890 seat banquet room. 6 VLT’s. Owner retiring. Asking only $327,900

[email protected]

Leo: 780-778-1207Brenda: 780-778-6678

WHITECOURT, ABCATCH THE BOOM!

RE/MAX Advantage

WCT

Brand New Offi ce/Retail MLS® #15604 - Building in Downtown Medicine Hat- 935 to 4300 sq ft- Starting at $12/sq ft + operating costs

Business & Building For Sale- Laundromat and dry cleaning business- Newer, state of the art equipment- Medicine Hat’s only solvent free cleaners.- Selling due to health reasons- $1,200,000

Envirogeotesting Business for Sale- Land, Building and Business- Selling due to health reasons $1,100,000

PETE VANDERHAM403-502-3200403-526-1111

[email protected]

RE/MAX Medalta Real Estate

Wayne Moen and John VanRiper

EDMONTON ALBERTA

Beautifully fi nished offi ce condo in great central location close to the river valley parkway system. 2476 sq.ft. on 2 levels plus a fi nished 1023 sq.ft. basement for a total of 3499 sq.ft. of usable offi ce space includes a total of 12 offi ces, board room, 2 kitchen areas, 3 bathrooms, large front reception area, and storage space. Property has 7 surface parking stalls with the possibility of leasing extra stalls. Newer shingles (October 2010), and air conditioning. 2 separate condo units with separate titles. Condo fees are $850 per month. $995,000

RE/MAX River City (780) [email protected] • www.waynemoen.com

INVESTMENTS CALGARY AREA

RE/MAX ACA REALTY

(403) [email protected] Realty

industrial building

310 acres,

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CAR WASH

60 seat CROSSFIELD – 2 – 2 acre industrial lots – for sale or leaseLarge industrial complex

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137 acresCrossfield

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279 acres

137 acres #2 highway frontage

320 acresSOLD

151 acres AirdriePRICED TO SELL79 acres

For more information on these and other properties

DON SACKETTcall


JUNE ISSUE: AD DEADLINE MAY 14Report: Motel/Hotel MarketU.S. commercial real estateWaterfront dealsFranchise NewsLifestyle Properties

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WESTERN INVESTOR MAY 2012 www.westerninvestor.com B27COVER Saskatoon’s economy leads the nation, and high-end developers are eagerly jumping on board

Please see Saskaboom page B28

FRANK O’BRIEN

WESTERN INVESTOR

askatoon-born Paul Leier, 47, presi-dent of Cavalier Enterprises Ltd.,has had a front-row view of the

city’s transformation. Now, as his company opens Saskatoon’s first ultra-luxury hotel, Leier says his hometown has shifted into a new high gear.

Some would say overdrive.With the lowest office vacancy rate in 20

years, a booming retail sector, surging job growth and an accelerating economy that puts Alberta’s biggest city in the dust, Saskatoon is among the fastest-growing cities in Canada. In fact, according to some analysts, the only city that can match Saskatoon’s stride is Regina.

The Conference Board of Canada’s spring metropolitan outlook puts Saskatoon on top in the country for 2012 with gross domestic prod-uct growth of 3.6 per cent, followed by Calgary at 3.5 per cent and Edmonton at 3.2 per cent.

When Saskatoon recently commissioned consultants to look at the future, even the most bullish of its residents were likely surprised. Basically, the experts told the city to forget about its go-slow past and get ready for a fast-forward future.

Vancouver-based MDX Development’s 215-page report forecasts:

•a population increase of 100,000 people within 16 years, to 350,000;

•a 40 per cent increase in office space to 6.8 million square feet;

•a 7.5 million-square-foot increase in indus-trial demand, to 22.3 million square feet;

•3.1 million square feet of new retail space; and

•at least six more new hotels.“This city has changed forever,” said Leier.

“We have reached a new plateau.”He says it was spike in housing prices and

stars that gave him his first signal of a seismic shift in Saskatoon’s economy. For years, he said, $100,000 would have been considered a high price for a Saskatoon house. “Then, suddenly, new-home prices were $250,000 or more.”

This March the average resale house price was $318,946, up 9 per cent from a year ago according to the Saskatoon Region Association of Realtors (SRAR). Sales in the first quarter of this year were up 14 per cent from the same period in 2011. Most notable: sales of houses priced in the $450,000 to $500,000 range soared 243 per cent in March compared with March of 2011, said SRAR executive officer Jason Yochim.

The economic uplift is also seen in what Cavalier Enterprises – which includes three Leier bothers – has just opened: a high-end boutique hotel, where south Saskatchewan River-view suites go for up to $329 per night. The building was created through the upscale renovation of a Leier-owned apartment site. “The calibre of The James sets it apart from all other hotels in Saskatoon,” said Leier, “It is a testament to the strength of the local economy and the type of traveller the city now attracts.”

These travellers include engineers, invest-ment bankers and other high-rolling resource executives riding Saskatchewan’s current pot-ash, mining and oil boom, he said.

The province, however, does not appear to be in a boom but, rather, at the beginning of a per-haps decades-long upward trajectory.

Saskatchewan has the world’s largest pot-ash reserves – it accounts for 70 per cent of world sales – and prices are expected to soon hit record levels of around US$477 per tonne for a key fertilizer product with intense global demand.

Saskatchewan expects its oil revenues to

climb to $1.6 billion in 2012, up $129 million from 2011, on forecasts for higher prices and production, mostly from the giant “sweet crude” Bakken oilfields. It is estimated Saskatchewan also has two billion barrels of heavy oil locked in its untouched oilsands deposits.

In addition, the province is rich in diamonds and uranium, which have each fuelled a paral-lel exploration wave.

Little wonder then that Saskatchewan’s public debt was estimated at $3.8 billion as of March 31, its lowest level in 25 years.

Saskatoon, the largest city in the province, is where the resource boom is being felt the most. A Porsche dealer opened in 2010 and other high-end retailers are rolling into the city.

Cavalier is planning to join this rush by planting a new hotel in River Landing, now being developed as a mixed-use retail, residen-tial and entertainment enclave near downtown Saskatoon.

River Landing is divided into two phases. InPhase I, the city will be developing the former Gathercole industrial site and area east of the Senator Sid Buckwold Bridge and south of 19th Street. Phase 2 will include parcels of land alongthe riverbank bounded by the bridge to the eastand Victoria Park to the west, the former A.L.Cole Power site, and a number of old city elec-trical buildings and adjacent properties.

Overlooking the river in the downtown, River Landing represents the most significantundeveloped real estate lands in the province, according to the city.

Victor Majors Investment Corp., Tonko Realty Advisors Ltd. and Cavalier are lead-ing the development. The team’s vision is for a 10-storey hotel – to be developed by Cavalier– residential towers up to 27 floors, retail space and a 17-storey office tower, all around a cen-tral plaza. Public amenities also include the

TOP: Saskatoon’s first ultra-luxury hotel, The James, opened this year. INSET: Paul Leier, president of Cavalier Enterprises: “[Saskatoon has] reached a new plateau.”

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B28 Saskatchewan www.westerninvestor.com MAY 2012 WESTERN INVESTOR

from B27

Remai Art Gallery of Saskatchewan and a centre for performing arts and riverside walk-ways.

The office space will be welcomed in Saskatoon, according to Colliers International, which notes the city’s overall office vacancy rate has fallen to around 2.2 per cent, the lowest level in at least two decades.

Tom McClocklin, president of Colliers McClocklin Real Estate Corp. , said the vacancy in all asset classes will remain low in 2012, rental rates will be stable or even rise and development will continue in industrial, retail and office sectors.

“Demand for office space has been excep-tional as existing tenants in Saskatoon require additional space and many new companies related to the resource and engineering sectors locate to our city,” McClocklin said.

SNC Lavalin, Golder Associates and K+S Potash Canada are all in, or moving into, new spots downtown, he noted.

Besides new space, renovated buildings are acquiring major clients. Some major trans-actions include WorleyParsons Ltd. leas-ing two floors in the Birks Building, Stuart Olson Dominion occupying the Arthur Cook Building on 24th Street East and Canpotex expanding its space by 30 per cent in the Scotia Bank Building.

In the industrial sector, Saskatoon rental rates

Population 272,000Rental vacancy rate 2.6 per cent Class A Office vacancy rate 1 per centUnemployment rate 6 per centWeb site www.sreda.com

are expected to stabilize at $12 per square foot for new construction and $9 to $11 per square foot for existing space. About 500,000 square feet of industrial space were added in 2011, and speculative construction continues, according to Colliers. Industrial land prices now range up to $400,000 for a fully serviced acre.

All of the new construction has created an employment boom in the city and across the province. Saskatchewan’s ConstructionSector Council reports the province’s con-struction jobs have increased by almost 70 per cent since 2001, from 23,000 construction workers to 37,500 workers in 2011.

Industry leaders now predict that new hous-ing construction and renovation work in the province will likely continue at a steady pace until 2020.

Despite its strong economy, Saskatoon contin-ues to offer incentives to those building rental housing, in recognition of one of the lowest rental vacancy rates in Canada.

Under the Saskatoon’s New Rental Construction Land Cost Rebate Program, a developer can receive a $5,000 capital grant for every rental unit created, plus a five-year incremental property tax abatement.

“I think the incentives and the tax holiday that the city is offering definitely brought us in early into Saskatoon,” developer Sean Roy, CEO of B.C.-based Broadstreet, told the CBC. “But Saskatoon itself has a 2.6 per cent vacancy rate and it was a community that we

looked at as a target.”Broadstreet accounts for nearly half of the

most recently built apartments in Saskatoon.This is the biggest gain in rental construction

since the 1970s, according to Alan Wallaceof Saskatoon’s planning and development ser-vices branch.

The typical rent for a two-bedroom suite,$1,200 per month, puts the Broadstreet proj-ects on the higher end of the rental market.But they’re being snapped up in what is nowCanada’s go-to city for young professionals.◆

SASKATCHEWAN

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U.S.A.

Man

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ReginaMoose Jaw

Swift Current

Yorkton

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FOR SALE

Phone: 306-783-1777Four Seasons Realty Ltd

SASK MOTEL FOR SALE

Ajit Matharu 306-581-3130Email: [email protected]

HOMELIFE CRAWFORD REAL ESTATE

REGINA CONNECTION!

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MOTELS22 unit Bonnyville

24 unit Drayton ValleyBOOMIN oil and Gas area!

24 Agassiz - great opportunity - revenue up!

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7100 sq ft retail on major street in Regina $789,900

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WESTERN INVESTOR MAY 2012 www.westerninvestor.com Saskatchewan B29

,

High volume Shell Gas Station, store and restaurant with 3.5 acres land on Trans Canada Highway. Located on #1 in Sask. Easy access for large trucks. Asking $1,250,000 PRICE REDUCED

For more information, call:

LILY STEWART 306-750-1153RE/MAX of Swift Current

Farm & Acreages Specialist - Call for info www.SaskLand4Sale.com

GRAIN LAND INVESTMENT

OPPORTUNITIES25% DOWN BALANCE MORTGAGE (OAC)

Call today for your opportunity

Ed Bobiash Farm & Acreage Specialist

306-222-7770 [email protected] www.SaskLand4Sale.com

RE/MAX Saskatoon

Shell Lake Gravel Land MLS® 399171 $1,199,000 Investment 136.94 acres just west of Shell Lake with gravel reserves. Seller has exposed aggregate for visual inspection. Seller has hired Resource Management International and buyers have access to an Electromagnetic Conductivity EM31 report.

SE Perimeter Investment MLS® 401141 $2,200,000 160 acres for investment opportunity SE corner of Saskatoon 1 mile from city limits. New perimeter highway will border SE corner of the land. Major urban development close to this land.

White Fox Hotel

ANDY EVERTON Sales Agent1-306-921-9396 Colleen Ratcliffe 1-306-921-8637RE/MAX Keystone Realty1-306-752-8470

Melfort SK

85 seat beverage room• off sale• 25 seat covered deck• VLT’s• 2000 sq ft main fl oor living quarters• 5 guest rooms• 10 min drive from Nipawin, SK• Services large recreational area•

110 seat restaurant• 40 seat lounge• Fully equipped• Parking• Very close to RecPlex and College• $299,000•

MLS® #419375

Restaurant in Tisdale, SK

MENT

ICR Commercial Real Estateicrsaskatoon.com

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INVESTMENT OPPORTUNITY2410 22nd Street, Saskatoon, SKAvailable Lease Space: 63,101 sq. ft. Land Size: 5.1 acres Annual Net income: $1,150,000.00 (2013 est.)Sale Price: $13,750,000.00Contact: Jim Woytiuk

INVESTMENT OPPORTUNITY 2174 Airport Drive, Saskatoon, SKBuilding Size: 28,663 sq. ft. Land Size: 1.33 acres Sale Price: $4,500,000.00

Contact: Jim Wotiuk

FOR SALE - GREAT LOCATION3062 Millar Ave, Saskatoon, SKBuilding Size: 18,546 sq.ft. Land Size: 38,332 sq. ft. (0.88 acres)Sale Price: $2,750,000

Contact: Stacy Dybvig

“Saskatchewan’s largest commercial real estate company”

INVESTMENT OPPORTUNITY 701 - 45th Street, Saskatoon, SKLand Size: 321.5’ x 445.9’ = ±143,356.8 sq. ft. Building Size: ±89,817 sq. ft. Net Income: $673,627.50 AnnuallySale Price: $8,200,000 (8.2 Cap)Contact: Ken Kreutzwieser

- Three bays with 10,800 sf to 32,400 sf contiguous space

- 28 foot ceiling heights- Dock and grade level doors- Over 30,000 sf compound- Immediate Highway #1 access

INDUSTRIAL SPACE FOR LEASEGreat Plains Industrial Park, Regina SK

Contact:Jeff Sackville306.359.9799www.avisonyoung.com

BUSINESS & LAND Maple Creek, SK

FOR SALE

Call 306.741.4373www.weswood-opportunity.com

FURNITURE STORE

Furniture store, established, profi table, 11 years in business. Fantastic reputation.

Located in Historic building.

LENDER DIRECT FOR MB, SK & AB PROPERTIES

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REACHQUALIFIED

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B30 Manitoba www.westerninvestor.com MAY 2012 WESTERN INVESTOR

Century-21 Westman.comBrandon, MB

Direct Line: 204-729-5074 Email: [email protected]

GROCERY STORE: 10,000 SQ. FT. 2 MILLION IN SALES, NEARLY NEW EQUIPMENT, STEADY CLIENTELE, GOOD LOCATION, GROWING TOWN. PRICE $999,000MOTEL: TRANS CANADA HIGHWAY, FLAG MOTEL, WITH RESTAURANT, 60 ROOMS, SALES MILLION PLUSHOTELS: I HAVE RURAL HOTELS STARTING AT $299,000. GOOD FAMILY BUSINESS.MOTEL: 12 ROOMS WITH LARGE LIVING QUARTERS AND A RESTAURANT LOCATED IN WINDMILL COUNTRY. PRICE $499,000RESTAURANT: CHINESE BUFFET LOCATED IN OIL COUNTRY. OWNERS WANT TO RETIRE. PRICE $299,000

BRANDON, MANITOBA

“WE HAVE RESTAURANTS, GAS STATIONS, GROCERY STORES, INVESTMENT PROPERTIES, FOR SALE AND IF WE DO NOT HAVE IT WE WILL FIND IT.”

FOR SALE

227 Stratified Rental Units

Chris Wieser [email protected]

604-687-7331

www.avisonyoung.com

Douglas McMurray [email protected]

Avison Young Commercial Real Estate (B.C.) Inc

Upscale In Ferno’s Bistro expands Winnipeg’s first family of fine French

food is expanding.In Ferno’s Bistro, a mainstay in French-

speaking St. Boniface for the past decade, has opened a second location in primarily English River Heights.

Chris Kirouac and his father, Fern, have partnered in the new location, continuing a family tradition that dates back more than three decades.

Fern Kirouac Sr., Chris’ grandfather, bought the Red Lantern in 1980 and La Vieille Gare three years later. Chris said many of In Ferno’s regular clients came from outside of the French neighbourhood anyway, so he didn’t see a problem moving into an English-speaking community.

There will, however, still be some French-serving staff in the new location so longtime patrons can be served in their native tongue.

“We’re still a French restaurant,” he said.

Ad agency signs Spiers The latest recruit to McKim Cringan

George is one of the best-known ath-letes to come out of Manitoba in many years.

The Winnipeg-based advertising agency has brought Adam Speirs, a two-time winner of the Manitoba Amateur who played a decade on the Canadian tour, on board as an account co-ordinator.

“Business and golf go hand in hand, don’t they?” he said.

When the 33-year-old decided it was time to hang up his golf spikes, one of his long-time sponsors, Drew Cringan – a partner in his new firm – convinced him to pass along his resume.

Peter George, the firm’s CEO, said Speirs brings a world of experience from the school of hard knocks. Plus, having an employee who has rubbed shoulders with golf’s greats is pretty cool, too.

“He needed to raise money and sponsor-ships for his career. He has made connections on his own with the business community to raise money.”

“Adam has competed in the U.S. Open twice. I’ve never had anybody working for me who has done that,” he said.

Manitobans are “sports crazy” If it wasn’t official before, it is now –

Manitobans are sports crazy.There were more tickets sold to professional

sporting events in the province in the past 12 months than in any year in the province’s history.

Nearly 1.3 million fans were scanned in – turnstiles seem to have become a thing of the past – to see the Winnipeg Jets, the Winnipeg Blue Bombers and the Winnipeg Goldeyes. The previous high of less than 1 million tickets sold was set nearly two decades ago.

The reborn NHL franchise led the way with a sold-out MTS Centre for 41 home games, good for more than 660,000 butts in chairs. The Bombers had the best year in their his-tory, too, selling out eight consecutive regu-lar-season games and one playoff game, for a total of more than 325,000.

The American Association’s Goldeyes, meanwhile, led their minor league in atten-dance with more than 286,000 fans taking in 50 regular-season games and a pair of playoff contests.

The unprecedented fandom for the city’s sports teams, however, has had a correspond-ing negative impact on attendance in the arts. The Winnipeg Symphony Orchestra, Royal Manitoba Theatre Centre, Manitoba Opera, Winnipeg Art Gallery and Royal Winnipeg Ballet all saw their attendance fall this past winter season.

The Jets, meanwhile, are sold out for the next two years.

The weather bomb of 2010 is final-ly receding from the minds of

Manitobans. The two-day October storm whipped up

near-tidal waves that pounded the shore-lines of Lake Winnipeg and threatened to swallow many of the most valuable cottages in the province.

Not surprisingly, the bottom of the market subsequently fell out as many cot-tage owners were forced to stem the tide by erecting revetments to prevent further damage.

As the hysteria has died down, the market for lakefront cottages has rebounded, according to Melodie Ateah, owner of Ateah Realty Ltd.

“It was a rough couple of years. People had to fix up their properties but I’m finding [the storm] isn’t as much of an issue now. We’re starting to move lakefront lots,” she said.

Lakefront cottages in communities such as Victoria Beach, Lester Beach and Hillside Beach are listing from $169,999 to $939,900.

Ateah cautions that not every cottage is out of danger as there are still some erosion prob-lem areas at Victoria and Lester beaches. Unfortunately, that comes with the territory.

“There is that risk when you buy lakefront. There are always going to be erosion issues with lakefront cottages because of the water and the slumpage of the land,” she said.

Conversely, things are quiet on the lake’s hotel front. There is still hope that a buyer can be found for the Radisson Hecla Resort, a 90-room hotel in Gimli on the west shore, which was placed into receivership two years ago. Despite millions of dollars in upgrades, it failed to attract enough patrons and catering business outside of the summer months.

Lake Winnipeg cottage prices have recov-ered. This one is priced at $750,000.

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Rentals snapped up downtown Portage Avenue has always been bustling

with people in downtown Winnipeg but it has been restricted to street level – until now.

Twenty of 75 apartment units in the refurbished Avenue and Hample buildings are now occupied and the developers are optimistic the rest will be leased out shortly. Typical rent for a one-bedroom is $925 per month.

All the apartments have one interesting feature – tiny balconies overlooking Portage Avenue, right across the street from the MTS Centre, the home of the Winnipeg Jets and

the centrepiece of a more-than-$600-million revitalization of downtown Winnipeg called the SHED (sports, hospitality and entertain-ment district).

The latest project designed to attract Winnipeggers to live downtown is the brain-child of brothers Mark and Rick Hofer. They were helped along by $3.8 million in finan-cial assistance from the city, the province and CentreVenture Development Corp., Winnipeg’s downtown development agency.

The units range from 400 square feet to more than 1,000 square feet.

The $12.4 million conversion was unveiled just days after demolition began of the nearby Wild Planet and A&B Sound buildings, which will make way for a new 15-storey hotel tower.◆

– Compiled by Geoff Kirbyson

1-800-661-6988


WESTERN INVESTOR MAY 2012 www.westerninvestor.com Franchises B31

Carstar among top franchises

Carstar Automotive Canada Inc. was named one of Canada’s 50 best-managed

companies for 2011 by Deloitte. The Hamilton, Ontario-based company, with more than two-dozen locations in Western Canada, primarily across Alberta, was rec-ognized for its comprehensive management, staffing and technical strategy.

“We are very honoured to receive this award,” said Sam Mercanti, Carstar president and CEO, who passed on thanks to his fran-chise partners for “their involvement in help-ing us achieve this milestone and for their ongoing contribution in the improvement of our business.”

Canada’s 50-best-managed companies is a national awards program recognizing firms that have established world-class business practices. Winners were honoured at the annual awards gala in Toronto last month.

Other national franchise winners for 2011 include A&W Canada and White Spot Canada.

Carstar franchise costs vary depending on level of services; a breakdown in prices was not made available as Westerm Investor was going to press.

News, views and updates on Canada’s franchise industryA new low-cost tobacco retail concept has proven a

cash-flowing franchise in Airdrie and Olds, Alberta, and is set to expand across Western Canada, according to Ed Alfke, chairman of Cheap Smokes & Tobacco. Alfke, founder of Rent-A-Wreck, said Cheap Smokes could be a similar franchise sleeper.

“I am amazed at the sales volume. I have never seen a franchise achieve $1.2 million in its first year of sales in a town, like Olds, with a population of just 9,000,” Alfke said, adding that the Olds outlet was hitting sales of $140,000 per month after just 10 months in operation.

The Cheap Smokes franchise, owned by Lisa and Jeff Lawrence, is a simple concept: undercutting competition on prices to draw in customers and then upselling with smoking accessories and higher-priced cigars.

In Alberta, a pack of 25 major brand-name cigarettes costs an average of $11.32, with a carton of 10 usually selling for more than $100. Cheap Smokes sells a carton for $88.50.

“Our pricing structure makes us just a bit lower than Superstore and much more competi-tive then 98 per cent of the other locations [where] you can purchase smokes. However, the biggest difference is we are specifically servicing our smoking customers and have built a happy place just for them,” Jeff Lawrence said.

This may be a key advantage; in most of Canada smokers have become a social pariah, though Health Canada estimates that 21 per cent of the adult population still lights up.

Alfke said a Cheap Smokes & Tobacco franchise would cost about $25,000 and “is an ideal investment for a small-town market.”

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Cheap Smokes proves an Alberta cash cow.

Nurse Next Door moves into U.S. Vancouver-based Nurse Next Door

Home Care Services will be opening two locations in the U.S., one in Medford, Oregon, and one in Fort Collins, Colorado, this year.

John DeHard, co-founder of Nurse Next Door, said, “We’ve worked very had to find the right partners to launch our initial U.S. franchise locations. We’ve built a very suc-cessful model in Canada and we’re excited to bring this success to the U.S. market.”

The company plans to open 15 to 20 more locations in the United States in 2012, while continuing its growth in Canada. Nurse Next Door was recently named among BC Business magazine’s 2011 best companies to work for in B.C.

“All of the new franchise locations will bring a unique caring experience into their clients’ homes and also create jobs for local residents,” said co-Founder Ken Sim.

A Nurse Next Door franchise costs between $85,000 and $120,000 and has an initial fran-chise fee of $30,000.

PropertyGuys.com aims at Calgary Discount realtor PropertyGuys.com is

pushing hard into the Calgary residen-tial real estate scene, says president and CEO Ken LeBlanc. Although we have a couple of great franchise operators in Calgary already, we don’t have enough coverage yet to be a true force in this rapidly growing industry.”

From its beginnings in Moncton, New Brunswick, 12 years ago, PropertyGuys.com

Carstar president Sam Mercanti (centre) with members of the Carstar executive team.

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currently serves over 600 communities across Canada.

PropertyGuys.com has a new franchise open every 13 days on average, LeBlanc said. A franchise costs between $40,000 to $70,000.

Tim Hortons aims for 700 new outlets in CanadaThere’s room in the market for 700 more

Tim Hortons in Canada, the chain’s CEO told investors recently, a finding he admit-ted could surprise some observers.

“You might think that with our strong market share there might be limited oppor-tunity for growth in Canada. That is simply not the case,” said Paul House, speaking at

the Raymond James Annual Institutional Investors Conference in Orlando, Florida, last month. “We believe that there is an opportu-nity for 4,000 locations in Canada.”

Tim Hortons now has 3,295 restaurants in Canada, 714 across 10 U.S. states and five in the United Arab Emirates.

Last year, Tim Hortons Inc. stock went into a tailspin and the company was criticized for expanding too quickly after the sudden departure of Donald Schroeder as president and CEO.

But House said Tim Hortons plans to open between 155 to 175 new locations in Canada and up to 100 full-serve restaurants in the U.S. in 2012. At the same time it wants to increase same-store sales by 3 per cent to 6 per cent in Canada and the U.S.

A Tim Hortons franchise costs from $430,000 to $480,000 to start.◆

– Compiled by Kevan O’Brien

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