Archive for January, 2005

Scientists create cells that can harness sun’s rays

Monday, January 10th, 2005

Sarah Staples
Sun

Canadian scientists have made a discovery that could become a catalyst for new generations of “battery-less” consumer electronic devices and the long-awaited solar-hydrogen economy.

They have created paintable plastic solar cells that are the first to harness the sun’s invisible, infrared rays, and could deliver up to five times the power of the most advanced photovoltaic cells today.

The plastic solar cells would be exponentially cheaper and easier to manufacture than similar material made of traditional semi-conductors like silicon, and more efficient than previous plastic solar cells that until now had managed to capture only the visible portion of the spectrum.

The material dissolves into a liquid without losing any of its performance, and may be painted onto walls or windows, sprayed on clothing, or printed onto rolls of paper.

Hydrogen-powered automobiles coated with solar cells, for example, could covert enough energy into electricity to continually recharge a car battery so it could run longer, said Ted Sargent, a University of Toronto physicist and holder of a Canada Research Chair in Emerging Technologies, who was one of the inventors.

Devices from PDAs and iPods to cellphones coated with the solar cell plastic would automatically recharge themselves, eliminating electrical chords and battery packs.

“The one thing that’s not wireless about all the wireless devices we have, is the way we power them; solar energy is literally wireless power,” said Josh Wolfe, a managing partner at the venture capital firm Lux Capital, in New York. “Everything you can think of will be different; from batteries to electricity bills, to the way devices themselves are manufactured.”

The invention solves a basic problem of energy efficiency that is the last important barrier to mass commercialization of solar energy.

Photovoltaic cells have traditionally been made from silicon crystal wafers that need to be individually cut and smoothed into shape — an expensive, time-consuming process relegating them to niche purposes, such as powering space vehicles.

Plastic cells were first designed in the 1990s and companies since have been refining methods of manufacturing them cheaply by printing them onto large rolls, like newsprint.

But normal plastic absorbs only visible rays within the blue-red range 400 to 700 nanometres — billionths of a metre — in wavelength, a region that accounts for only half of the energy in sunlight.

The Canadian version is the first to cull power from the visible spectrum plus the invisible infrared, a deep garnet region some 700 nanometres to 10 microns in wavelength.

With minor fine-tuning, the new plastic is expected to convert 30 per cent of solar energy into electricity — a five-fold improvement over current nano-engineered solar cells.

The material is an electricity-conducting polymer mixed with nano-sized crystal particles called “quantum dots.” The mix was painted onto glass, plied with electrodes and blasted with infrared light — methods that allowed electrons to escape from the quantum dots and then be harvested almost instantaneously.

“We’ve tapped the other half of the sun,” Sargent told CanWest News Service.

Peter Peumans, a professor of electrical engineering at Stanford University in California, called it, “a very important demonstration” that will yield solar cells “on order of magnitude cheaper than silicon, with the same or better performance as [current] plastic,” within a decade.

The plastic is also adaptable for medical use. A characteristic of infrared light is that it penetrates up to 10 centimetres inside human flesh, so one option would be to coat digital-camera chips with the plastic in order to create a low-cost, portable diagnostic scanner for detecting cancer, said Peumans.

By mid-century, “solar farms” consisting of photoconductive plastic rolled across unpopulated expanses of desert could conceivably generate enough low-cost, “clean” energy to supply the entire planet’s power needs, said Sargent.

But to affordably replace coal-fired or nuclear-generating stations, the average cost of converting sunlight into power must drop to six cents US per kilowatt-hour, from 25 to 50 cents US per kilowatt hour, according to Michael Rogol, an expert in solar power economics from the Massachusetts Institute of Technology.

Products nearest to market will be the most consumer-oriented items, such as energy-saving plastic sheeting that could be unfurled onto a rooftop to supply heating needs, or solar cell window coatings that could let in enough infrared light to power home appliances, Rogol said.

The discovery was reported Sunday in the prestigious nanotechnology journal Nature Materials.

© The Vancouver Sun 2005

Hot real estate market to cool

Sunday, January 9th, 2005

Royal LePage: HOMES: Largest increase seen in condominium market

Eric Beauchesne
Province

CREDIT: The Canadian Press The real estate market is expected to favour the buyer in 2005, claims Royal LePage.

OTTAWA — The average selling price of a detached bungalow in the final quarter of last year was a record high of more than $250,000, a major real estate firm reported Friday.

Royal LePage expressed surprise at the strength of what it said was still a seller’s housing market as 2004 drew to a close but predicted a cooler and more balanced market this year.

“The end of the year traditionally signals a slowdown of housing market activity, however the major markets demonstrated surprising strength in the fourth quarter, as average prices rose, year-over-year,” Royal LePage Real Estate Services reported.

“Most markets remained in the seller’s favour, however buyers experienced more equal conditions toward the end of 2004 which are expected to continue into 2005,” it said.

The steepest increase in prices from a year earlier was for condominiums, which were up 7.3 per cent to an average of $172,185 in December, followed by standard two-storey homes, which were up 6.3 per cent to $302,107, and detached bungalows, up 5.8 per cent to $251,238.

While all were record highs, Royal LePage said the “trend in 2004 was toward a stabilization of average price gains.”

And this momentum is expected to slow and the market will deliver smaller but more sustainable price gains that are typical of a balanced housing market, said Phil Soper, head of Royal LePage Real Estate Services.

That means that the time it takes to sell a home will increase this year as sellers adjust to the smaller increases, he said.

“There will be a little bit of a disconnect between sellers’ expectations and buyers’ expectations,” he said.

Housing prices, which rose by about six per cent on average across the country over the past year should increase at about half that pace this year.

Prices in Vancouver and Ottawa should be somewhat greater than the national average, Montreal and Toronto should match the average, and smaller centres, such as Regina and Halifax, will likely trail those in the big cities.

In the final quarter the steepest price increases were in Vancouver, then Victoria and Winnipeg, all of which posted double-digit gains from a year earlier.

© The Vancouver Province 2005

Vancouver leads nation in price gains, Royal LePage survey says

Saturday, January 8th, 2005

REAL ESTATE I An average two-storey home rose nearly 12 per cent in value in 2004

Michael Kane and Eric Beauchesne
Sun

Greater Vancouver led price gains in 2004 in a national real estate market that showed unexpected strength in the fourth quarter, a major real estate firm reported Friday.

The region ended 2004 with the average two-storey home up 11.9 per cent from a year earlier to $524,833.

Royal LePage expressed surprise at the strength of what it said was still a seller’s market across the country as the year drew to a close, but predicted a cooler and more balanced market this year.

Prices, which rose by about six per cent on average across the country over the past year, should increase at about half that pace this year, said Phil Soper, head of Royal LePage Real Estate Services.

Calgary and Edmonton are expected to see the steepest gains, thanks to Alberta‘s hot oil-rich economy, while Vancouver and Ottawa are expected to be somewhat greater than the national average.

The steepest price increases of 2004 were in Vancouver, then Victoria and Winnipeg, all of which posted double-digit gains from a year earlier.

In West Vancouver, the price of a standard two-storey home rose by 20 per cent year-over-year to an average of $720,000 as of Dec. 31.

Victoria condominium prices increased by about 13 per cent to an average of $170,000 and Winnipeg bungalows rose 10 per cent to an average of $177,679.

While more inventory will mean a more balanced market in 2005, strong consumer confidence and good job opportunities will continue to support Vancouver area prices, Bill Binnie, broker-owner of Royal LePage North Shore, said Friday.

He noted that interest rates remain near historic lows and suggested it would take at least a two-percentage-point increase in rates to dampen mortgage borrowing. The Bank of Canada recently put rate increases on hold in an attempt to slow the surging dollar.

Binnie, who has offices in Vancouver and North Vancouver, said interest in the downtown condo market remains strong, despite expectations that rising vacancy rates in the rental market will lead to more investors offering their units for sale and softer prices.

While the end of the year traditionally signals a slowdown of housing market activity, Royal LePage said the major markets demonstrated surprising strength in the fourth quarter.

Soper said the number of homes on the market was increasing across the country but the momentum of the market that built up over the past several years continued to keep prices at record-breaking levels in many cities.

While most markets remained in the seller’s favour, more equal conditions are expected to prevail in 2005 with smaller but more sustainable price gains that are typical of a balanced housing market.

This means that the time it takes to sell a home will increase this year as sellers adjust to the smaller increases, Soper said. “There will be a little bit of a disconnect between sellers’ expectations and buyers’ expectations.”

While the housing market’s strength and duration has surprised many, Soper noted that both private and public sector analysts say there is no housing bubble, unlike housing booms in the 1980s which were marked by rampant speculation.

“The market is so different from the market of the 1980s that the general consensus, and not just those of us in the industry, but from government economists and financial institutions, is that there are few parallels and we are not in a bubble situation.”

Townhouse trailblazers

Saturday, January 8th, 2005

VANCOUVER I Brix pioneers makeover of eastside industrial stretch

Michael Sasges
Sun

CREDIT: Mark van Manen, Vancouver Sun Display in The Brix showroom gives buyers an immediate overview of the attractive ambience

The intimations of gracious family living possible at the east Vancouver townhouse development of Brix occur in equal measure inside and outside the presentation centre.

The trailer display promises, for example, that either granite or marble will top the cabinetry; that hardwood and porcelain tile and 32-ounce broadloom will be under foot; that stainless steel will enclose the appliances; that frosted glass will announce egress.

The streetscape promises the sticky fingers of youngsters will soon enough be all over that glass and marble and stainless: The Brix block dead-ends at a stately Edwardian, Lord Selkirk elementary school.

False Creek renters Victor Cuevas and Julia Brown found these charms convincing enough to buy a Brix townhouse as their first home.

He’s a 31-year-old native of El Centro, Calif. She’s a 27-year-old native of Victoria. They moved to Vancouver from Victoria five years ago and are recently married.

Owners and operators of the Rain Boutique and Salon at Second and Fir — “think hair salon, apothecary, clothing store” — they also live above the shop, in a loft.

“We invested in a place where we will enjoy living and grow as a family” Julia reports of their Kensington-Cedar Cottage future. “We invested in a place where we will enjoy living and grow as a family. We would like to have a dog and kids one day; hence the appeal of having an elementary school just down the road and a park two blocks away.”

“The Drive” to the south offers “amenities” that have been part of their Vancouver lives since their arrival in the city.

“It has most of our favourite restaurants in the city, and it’s got a great community feel to it,” Victor says.

“… We chose the neighbourhood for the closeness to Commercial Drive, Trout Lake and the prospect that the neighbourhood will continue to grow into a unique and comfortable community with like-minded individuals and families.”

“Like-minded” is a movable feast. All Brix buyers share at least one quality, however, and that’s a venturesome or pioneering sensibility.

The two blocks of Commercial Street between Victoria Drive and Selkirk elementary are lined with buildings containing light-industry enterprises. Those two blocks are surrounded, however, by block after block of single-family homes.

At city hall the two blocks have been “let-go” candidates for at least 15 years, an industrial neighbourhood the city is prepared to surrender and see transformed into an residential neighbourhood.

They received MC-1 zoning approval in 1996, approval which permits four-storey construction and a mix of commercial, industrial and residential occupancy. The zoning also restricts building uses at grade to industrial and commercial uses.

Brix will put residences at grade. “There appears to be very little demand for ground-level commercial,” reports a 2003 report from city hall staff to council, a report that recommended the MC-1 zoning be amended to “all residential.”

The Brix townhouses will be located on two properties across the street from each other.

CREDIT: Mark van Manen, Vancouver Sun

Up from False Creek, Julia Brown and Victor Cuevas are anticipating starting a family in their new neighbourhood of Kensington-Cedar Cottage and a to-be-built townhouse in the Brix development. ‘We invested in a place where we will enjoy living and grow as a family,’ says Julia, surrounded by some of the stone-and-stainless features that are standard at Brix.

 

The first phase is on sale now, 38 three-storey townhouses and one-storey “garden flats.” (Twenty-two have been bought.) The second phase will probably be released this quarter.

Commercial Street itself is undeniably a work in progress,” another Brix buyer, Chris Townsend, comments.

“One has to be a bit of a visionary to appreciate the potential that street has. It has a wonderful approach — a wide boulevard feel on a gentle rise, which is anchored by the elementary school.

“Once new residential developments emerge on that street and neighbouring streets, and a coffee shop pops up here and there, it will be quite a dynamic place.

“Keep in mind, however, that the culturally diverse hotspot of Commercial Drive is just minutes away.”

Cameron McNeill of McNeill and Craik Real Estate Solutions, the project’s marketer, suspects that only about 18 months separate the current Commercial Street from the ”dynamic” buyer Townsend is anticipating: There’s just too many land transactions going on nearby not to see the inevitability of the residential future on Commercial Street. (Developer inquiries started City Hall on the road to “all residential.”)

There’s a refreshing next-best-thing realism to McNeill’s advocacy of Brix: It is not a detached-single-family home development, but it is a single-family-home development and it is not occurring in a westside neighbourhood, but it is occurring in a “character neighbourhood less than a 15 minutes’ drive from downtown.”

”The over-all Commercial Drive area in the last five years has become really, really popular,” he says.

”That coupled with the economics of real estate in greater Vancouver have meant prices have increased a lot [in Kensington-Cedar Cottage].

”A single-family home in this area, if it is a character home, is very expensive. So what the developer envisioned here was a product that filled the niche between the condo and the single-familly home.

”It wasn’t going up an elevator, down a hallway and through the front door. What this particular product provides is a sense of your own front yard, your own front door, your own home . . . .”

Yaletown homeowner Townsend bought a “courtyard” townhome, three storeys, two bedrooms, two bathrooms, two terraces, a den and a top-storey deck. “Who wouldn’t enjoy that?”

The 12-year Vancouver resident reports he was looking for an investment, and not a new home, when he visited the Brix presentation centre.

“… I was so impressed by the structure — it’s a very modern townhouse complex with clean lines, over-sized frosted-glass door entries — by the finishings and the layout that I couldn’t help but be drawn to the idea of living there myself.”

Chris considers the Brix neighbourhood “probably … one of the city’s best kept secrets.”

Trout Lake itself is very picturesque and quiet. It’s hard to believe that this spacious, tranquil park is less than a 15-minute drive from downtown. Further, nestled on inclining streets are some heritage-style homes; even homes built using the design vernacular of the ’70s and ’80s look appealing because of the attention to landscaping and the overall appeal of the streetscape.”

CREDIT: Mark van Manen, Vancouver Sun

The luxurious fittings at The Brix are evident throughout, as in the stylish bathroom.

CREDIT: Mark van Manen, Vancouver Sun

Display in The Brix showroom gives buyers an immediate overview of the attractive ambience.

CREDIT: Mark van Manen, Vancouver Sun

Display in The Brix showroom gives buyers an immediate overview of the attractive ambience.

 

Victor and Julia also bought a three-storey townhouse. “We need enough room for an at-home office, future children and entertaining guests,” Julia says of their eventual step up, from their current 800-square-foot loft to a 1,250-square-foot townhouse.

The standard features in the homes were also important, the stainless-steel appliances and hardwood floors and granite countertops, the juliette doors, the terraces or patios.

“The Brix development definitely appealed to our tastes,” Victor reports. “Julia is a minimalist, and doesn’t like clutter and I love the warmth of wood. So the combination of clean lines, wood and a great layout is what we were looking for.”

They’d been looking near the University of B.C. and along Main and Cambie streets when they came across Brix.

“We felt that they were too costly for a minimal amount of space,” Julia reports.

“To us, luxury can be offered with nice features, more useable space and a good price.”

Chris Townsend, too, was impressed by Brix’s more-bang-for-your-buck qualities.

“These homes will be beautiful, but just as important, they will be functional,” he says.

“There is no wasted space, lots of in-house storage, plus a separate storage locker. Once these homes are built, and the area further developed, these homes will most certainly see a sharp increase in value.

“If you are a savvy real estate buyer, you will immediately see the potential. For people who want a fabulous home with much more space than what is commonly offered and at an affordable price, Brix is it.”

BRIX AT COMMERCIAL

Sales centre address: 3705 Commercial (between East 22nd and Stainsbury)

Sales centre hours: Saturday — Thursday, noon to 5 p.m.

Telephone: 604-873-5050

Web: www.brixliving.com

On offer: Ground-level flats (one only still available) and three-storey townhouses, 741 to 1,248 sq. ft., two bedrooms or two + den

Prices: $299,900 for the flats, $359,900-$393,900 for the townhouses

Developer: Pacific Rim Property Developments Ltd.

Warranty: Marathon 10 (structural)-5 (building enveloper)-2 (workmanship)

© The Vancouver Sun 2005

Vancouver zones out industry at its own peril

Saturday, January 8th, 2005

Bob Ransford
Sun

Has our focus on creating a modern metropolis distorted our vision of a “complete community”? It seems as though our objective of creating a better living environment in the Lower Mainland is largely focused on developing a more diverse range of housing opportunities, while at the same time creating higher quality, more welcoming public spaces.

The focus on these twin goals is beginning to threaten another essential component of a complete community — places where people work.

Vancouver city Coun. Sam Sullivan sounded the alarm bell on this subject a few weeks ago when he pointed to the amount of industrial land in Vancouver that has been converted to residential uses in recent years.

According to Vancouver‘s Planning Department, about 1,600 acres of industrially zoned land remains within the city today, down from 2,570 acres that were zoned and largely used for industrial purposes in 1960.

You only need to look at a few of the largest urban re-development projects in the city to quickly grasp the essence of Sullivan’s warning.

Start in the stunning Coal Harbour neighbourhood, where waterfront residential towers occupy the rail yards and docklands once dominated by the CPR and every kind of industry related to international shipping and rail transport.

Move to False Creek– the historic home to a full range of heavy industries that lined the shores on both sides of what is now one of the most beautiful urban waterways in the world surrounded by dense inner-city housing and a public continuous waterfront walkway.

Then there is the old Carling O’Keefe Brewery site in Kitsilano, a large industrial site now home to a mixed-use neighbourhood that is slowly expanding south along Arbutus Street.

The Canadian White Pine mill site in the southeast corner of the city on the shores of the Fraser River is currently in the active planning stage for re-development.

There’s the Finning tractor site on Great Northern Way, now home to an emerging multi-institute post-secondary education campus.

The list goes on and on and it isn’t just restricted to the City of Vancouver.

Richmond has seen a huge transformation of its once industrial waterfront in Steveston to accommodate popular new high density housing. Maple Ridge, Fort Langley, North Vancouver –they’ve all recently converted large industrial sites to new residential neighbourhoods.

It is unpopular to argue with the kind of urban renewal that takes what most view as bleak and often polluted waterfront areas and transforms them into naturally beautiful, active public places. I’ve advocated many times in the recent past for development that activates our waterfronts and invites people to enjoy gathering and interacting with each other and with the environment.

But we often forget that job-creating industries originally located on places like waterfronts because that is where they needed to be.

We also often forget that Greater Vancouver is the hub that supports a resource-based economy that still dominates most of rural British Columbia. That resource-based economy relies upon the transportation sector and many heavy industries for its survival. The Greater Vancouver area provides that lifeline.

It is trendy to talk about transforming our city so that it can adapt to the “new economy” and the “information age”, which really means relegating the ugly, noisy, heavy industries and resource-based processing to cheaper land further away from the city.

It means creating squeaky-clean, quiet passive places devoid of things like noisy float planes and smelly exhausts from diesel engines on trucks and tugs.

But, it also means creating places where the only jobs are service-oriented jobs and likely in much lesser numbers than those created by durable-goods-producing industries.

Complete communities are places where people can live, shop, play and yes, in most cases, work.

We need to ensure that our focus on creating a better living environment keeps in sight the need to develop a complete community.

Bob Ransford is a public affairs consultant with Counterpoint Communications Inc. He specializes in urban development issues. He is a former real estate developer and serves as a director of the Urban Development Institute — Pacific region.

© The Vancouver Sun 2005

Home sales slipped slightly, expect active ’05

Friday, January 7th, 2005

Market in Vancouver was hottest on record for past 15 years

Province

It was a very good year, but not quite a record one for Greater Vancouver home sales last year.

The year started out at a record clip but around June, buyers backed off and a much steadier market emerged over the past six months, giving buyers more time to make buying decisions.

Year-end numbers released yesterday show prices posting healthy increases across the region and although the market has steadied, this year should be another active one.

The Real Estate Board of Greater Vancouver saw overall sales slip by four per cent last year to 36,258, compared to 37,817 in 2003.

Despite a return to a more steady market, board president Andrew Peck said it was still a fantastic year. To put it in perspective, 2004 was one of the hottest years on record for real estate sales over the past 15 years.

“Consumers have confidence that our economy will remain strong. Interest rates remain very low, which still provides lots of opportunities for buyers to enter or move up in this market,” he said.

“Real estate as an investment continues to be an attractive option in Greater Vancouver,” he added.

It was a similar picture in the Fraser Valley where sales declined slightly from 2003’s 18,351 sales to 18,167. More expensive homes pushed total dollar volume of sales in 2004 in the valley to $5.3 billion, an increase of 12 per cent.

Prices moved upward across the Valley.

“What is amazing is the increase in value for Fraser Valley homeowners,” Fraser Valley Real Estate Board president Moss Moloney said. “Obviously, buying a home in the Valley is a smart investment.”

In Vancouver, the benchmark price of a single detached home rose 10 per cent in 2004 to $496,980, an apartment rose by 14.9 per cent to $246,550 and an attached home rose 17 per cent to $329,520.

The average sale price of a single-family detached house in the Fraser Valley rose 15.6 per to $348,018 in 2004 from $301,121 in 2003.

Townhouses sold for an average $220,450, an increase of almost $30,000 or 15.7 per cent from 2003. The average apartment rose from $122,691 to $136,704 in 2004.

– – –

MEDIAN HOME PRICES

Single Family Detached Townhouse Apartment

Dec. 2004 Dec. 2003 change Dec. 2004 Dec. 2003 change Dec. 2004 Dec. 2003 change

Abbotsford $280,000 $247,000 13.4% $215,500 $159,900 34.8% $112,500 $91,750 22.6%

Burnaby $445,750 $435,000 2.5% $297,000 $279,000 6.5% $197,400 $169,900 16.2%

Coquitlam $399,900 $365,000 9.6% $280,000 $208,000 34.6% $162,400 $152,000 6.8%

Delta – South $434,000 $379,000 14.5% n/a n/a – n/a n/a

Delta North $313,000 $291,000 7.6% $198,000 $156,000 26.9% $90,000 $133,500 -32.6%

Langley $335,000 $310,000 8.1% $229,000 $202,000 13.4% $148,900 $125,000 19.1%

Maple Ridge – Pitt Meadows $330,000 $314,900 4.8% $187,250 $179,000 4.6% n/a n/a

Mission $230,000 $211,000 9.0% $132,000 $165,500 -20.2% $50,500 $85,000 -40.6%

New Westminster n/a n/a – n/a n/a – $171,000 $152,000 12.5%

North Vancouver $544,900 $489,000 11.4% $368,000 $341,000 7.9% $227,250 $193,000 17.7%

Port Coquitlam $342,000 $323,000 5.9% $285,750 $217,000 31.7% $147,000 $115,000 27.8%

Richmond $430,000 $397,000 8.3% $306,000 $275,000 11.3% $170,000 $193,000 -11.9%

Sunshine Coast $257,250 $249,000 3.3% n/a n/a – n/a n/a

Surrey $355,000 $317,500 11.8% $218,000 $188,500 15.6% $145,350 $117,000 24.2%

Vancouver East $429,000 $378,000 13.5% $347,650 $273,800 27.0% $186,500 $138,000 35.1%

Vancouver West $805,000 $733,000 9.8% $492,450 $385,000 27.9% $279,750 $255,000 9.7%

West Vancouver – Howe Sound $850,000 $845,000 0.6% n/a n/a – n/a n/a

White Rock $443,000 $415,000 6.7% $265,000 $296,000 -10.5% $199,000 $179,000 11.2%

Source: Real Estate Board of Greater Vancouver; Fraser Valley Real Estate Board

© The Vancouver Province 2005

Market abruptly started cooling off July 2004

Friday, January 7th, 2005

Last year saw record prices, near-record sales volumes

Michael McCullough
Sun

The Lower Mainland experienced another banner year for real estate sales in 2004, with record prices and near-record sales volumes, year-end sales figures confirm.

Both the Greater Vancouver and Fraser Valley real estate boards released December and whole-year sales figures from the Multiple Listing Service on Thursday.

A total of 36,258 homes changed hands in Greater Vancouver, down four per cent from the 2003 record of 37,816.

The benchmark price for a detached house (representing a typical home in the region) rose exactly 10 per cent for the year, to $496,980. Benchmark prices for townhouses and condominiums rose 17 and 14.9 per cent respectively, to $329,520 and $246,550.

In the Fraser Valley (including Surrey, Delta and White Rock), there were 18,167 home sales, down slightly from 2003’s record of 18,351. The dollar volume of sales rose 12 per cent, however, to $5.3 billion.

The average price of Valley houses rose 15.6 per cent, while townhouses rose 15.7 per cent and condos, 11.4 per cent.

But the statistics belie what were really two different housing markets in the first and second half of 2004. January to June saw frenzied buying as new sales records were set in each of February, March and April. Beginning in July, sales activity abruptly cooled and price increases were tempered by a rise in new listings.

“We started the year in a really hot sellers market and we ended it trending to a more controlled market where there was more product available to the consumer,” said Fraser Valley Real Estate Board president Moss Moloney.

In the Fraser Valley, there were just 3,850 resale listings on the market in June. That inventory gradually rose to 6,000 in December, Moloney noted.

And though interest rates remained at or near 40-year lows throughout the year, the backlog of buyers waiting to get into the market dissipated, said George Pahud, first vice-president of the Real Estate Board of Greater Vancouver.

“The pent-up demand that was fed by low interest rates was satisfied,” he said. As a result, Pahud does not foresee the same kind of price increases in 2005 that the market witnessed in 2003 and 2004.

Once again, West Vancouver was home to the most expensive homes in the region, with house prices benchmarked at $873,190, townhouses at $692,270 and condos at $415,510.

In Greater Vancouver, house prices rose fastest on the Sunshine Coast, where the benchmark was $283,630 in December, up 15.9 per cent since a year ago. Townhouses appreciated most quickly on Vancouver‘s west side, where the benchmark value was $507,590 in December, up 37.3 per cent from a year earlier. Port Moody boasted the biggest hike in benchmark condo prices, up 26.2 per cent to $216,800. East Vancouver apartments were close on Port Moody’s heels, up 25.2 per cent year-over-year to $190,970.

In the valley, White Rock was the preferred address, with houses averaging $516,137 in December, townhouses averaging $301,894 and condos, $263,019. The seaside suburb also had the fastest-appreciating condos, which rose 42 per cent in value since December 2003.

Abbotsford enjoyed the steepest rise in detached house and townhouse prices year over year. Houses rose 14.5 per cent to $305,361, while attached units were up 31 per cent on average to $223,481 in December.

Taking sales over the entire year, Mission had the greatest average price increase for Fraser Valley houses, up 19.2 per cent over 2003, while in Langley townhouses went up 26.3 per cent and condos, 28.6 per cent.

Looking forward into 2005, Moloney expects the market to stay favourable to sellers, though buyers will have more to choose from, and will drive harder bargains.

[email protected]

HOME PRICES APPRECIATE, SALES VOLUME SLOWS:

The Lower Mainland’s real estate market showed explosive growth in 2004, however the red-hot market cooled slightly compared to 2003 in terms of sales volumes. Here’s a comparison between 2004 and 2003:

GREATER VANCOUVER PRICES

*$246,550

+14.9%

Condominium

Sales volume:

16,051 units sold

+8.1%

$329,520

+17%

Attached home

Sales volume:

5,610 units sold

-4%

$496,980

+10%

Detached home

Sales volume:

14,597 units sold

-14.8%

FRASER VALLEY PRICES

$136,704

+11.4%

Condominiums

$220,450

+15.7%

Townhouses

$348,018**

+15.6%

Detached home

DECEMBER DETACHED HOUSING SALES:

Units Sold Change from last month Average sale price Change from last year

BURNABY NORTH 43 -3 $495,600 $24,600

BURNABY SOUTH 32 -10 $456,900 $27,600

COQUITLAM 88 -9 $427,000 $44,400

DELTA SOUTH 27 -9 $459,200 -$26,000

MAPLE RIDGE 58 -48 $345,500 $22,600

NEW WESTMINSTER 14 -7 $394,500 $56,800

NORTH VANCOUVER 66 -40 $571,400 $29,100

PORT COQUITLAM 32 -11 $339,100 $9,200

PORT MOODY 8 -11 $410,600 -$92,800

RICHMOND 106 -17 $474,100 $32,100

SQUAMISH 14 6 $348,400 $7,300

SUNSHINE COAST 31 -21 $300,000 $24,300

VANCOUVER EAST 141 -22 $454,100 $55,200

VANCOUVER WEST 103 -10 $924,100 $48,200

WEST VANCOUVER 50 -2 $1,091,000 $57,000

Source: Rebgv. fvreb. mls

© The Vancouver Sun 2005

 

Microsoft targets computer viruses

Friday, January 7th, 2005

Sun

Microsoft Corp., whose popular Windows software is a frequent target for Internet viruses, is offering a free security program to remove the most dangerous infections from computers.

The program, with monthly updates, is a step toward plans by Microsoft to sell full-blown antivirus software later this year.

Microsoft said Thursday that consumers can download the new security program from the company’s website — www.microsoft.com — and that updated versions will be offered automatically and free each month. It will be available starting Tuesday.

Also, Microsoft offered Thursday a free program to remove “spyware,” a category of irritating programs that secretly monitor the activities of Internet users and can cause sluggish computer performance or pop-up ads.

Ryan Purita, senior security consultant with Vancouver‘s Totally Connected Security Ltd., slammed Microsoft for producing software that is susceptible to virus attacks and so drives the anti-virus market.

“Viruses are caused by flaws in Microsoft software, spyware is caused by flaws in Microsoft,” he said. Instead of creating its own anti-virus solutions, Purita said Microsoft should be asked: “How about you get your programmers to code secure software so we don’t have to worry about anti-virus?”

Companies like Sophos, an international network security company with North American headquarters in Vancouver, will be in competition with Microsoft only if the new anti-virus services are extended to businesses as well as consumers. Unlike Symantec and McAfee, which offer consumer products as well as business solutions, Sophos caters only to the corporate crowd.

Catherine Ducharme, director of corporate communications for Sophos, said it is too early to determine what effect the Microsoft announcement could have a Sophos‘ business.

“We don’t know anything about what the product is or who the product is targeted at,” she said. “From Sophos‘ point of view, our focus is exclusively on providing protection to business. We don’t know if it is competition for us. It’s a little speculative right now.”

© The Vancouver Sun 2005

BC to boost threshold on homeowner grants

Wednesday, January 5th, 2005

Sun

VICTORIA — The B.C. government is proposing to increase the homeowner grant threshold.

Finance Minister Colin Hansen says legislation to be introduced during the February budget is in response to a significant increase in assessed property values.

He says rising property values create concern for a number of people — especially seniors on fixed incomes — who stand to lose some or all of the grant.

The threshold for unreduced grants would rise to $685,000 from $585,000, allowing some 21,000 homeowners to receive the full grant in 2005.

The phase-out rate would also be cut by 50 per cent to $5 per $1,000 of assessed value above the threshold.

The basic grant entitles a homeowner to a maximum reduction in residential property taxes of $470.

An additional grant of $275 is also available to those over 65, permanently disabled or eligible to receive certain war veterans’ allowances.

© Broadcast News

BC property values soar

Wednesday, January 5th, 2005

Assessments rose by 17%, the largest increase since 1992

Michael McCullough and Joel Baglole
Sun

The value of real estate soared by 17 per cent across B.C. last year — the largest annual increase in more than a decade.

The B.C. Assessment Authority sent assessments to 1.75 million property owners across the province Tuesday and most will record substantial gains.

The total value of the assessments on taxable real estate rose to $581 billion, up 17.4 per cent from $495 billion last year. The assessments reflect the estimated value of homes, commercial properties and farmland as of July 1, 2004.

“In most urban areas we’ve seen major increases,” said John Barry, manager of community relations for the B.C. Assessment Authority. “The province as a whole had a pretty hot real estate market.”

You would have to go back to 1992 to find the same 17-per-cent increase in assessed values provincewide, Barry said.

But for some property owners, the increases could be a mixed blessing. Those whose assessment increases by more than the average in their municipality could wind up carrying more of the tax load. And unless it changes the rules again — as it did last year — the province will start clawing back the homeowner grant for owners of residential properties assessed at more than $585,000.

While traditionally pricey areas such as Vancouver, Victoria and Kelowna saw big increases this year, so did cities such as Prince George and Kamloops.

David Baxter, executive director of the Vancouver-based Urban Futures Institute, a demographic and economic forecasting agency, said the sharp rise in property values is due to a booming provincial economy that has spurred income gains, and the current low-interest-rate environment.

“With declining interest rates, you can buy a more expensive house,” he said.

“And if everyone goes out and buys a house, it pushes prices up.”

The changes in assessed value vary according to location and property type. Waterfront and view homes appreciated the most in 2004. Lakefront property values in the Okanagan Valley, for example, rose as much as 50 per cent, said the Assessment Authority.

“A 50-per-cent increase is the norm for lakefront land,” said Jim Inverarity, the area assessor for the Okanagan Region. “Some properties on the water doubled in value.”

The assessment on the average condominium or townhouse in downtown Vancouver jumped 24 per cent to $320,000 in the 12 months to July 1, 2004, while a west-side house averaged $806,000, up 16 per cent from $695,000 in 2003.

Around the Lower Mainland, increases averaged 10 to 25 per cent, with even higher increases for waterfront lots on the Sunshine Coast, strata properties in North Vancouver and view homes in White Rock.

Among Lower Mainland municipalities only Whistler saw declines — although marginal — in values. The average cost of a two-bedroom apartment in Whistler fell 0.9 per cent to $660,000 from $666,000 on July 1, 2003.

Elsewhere in B.C., active oil, gas and mining industries helped property values in the north recover after several years of decline. And, property values continued to soar on Vancouver Island.

People continue to find Victoria a very desirable place to live,” said Brian Hawkins, area assessor for B.C.’s capital region. “We’ve got a very hot real estate market here.”

Property assessments in Victoria and the surrounding area, including the Gulf Islands, rose 18 to 25 per cent during the survey period, the largest 12-month rise in the past three years, said Hawkins. In some areas of Victoria, estimated residential property values jumped by more than $100,000.

Baxter said he expects property values and house prices in B.C. will rise in tandem with inflation over the coming three years. He said the major risks to the property market outlook are a downturn in the provincial economy and a rise in interest rates.

“I see a stable scenario. I’m reasonably confident, but not bullish,” he said. “Prices will continue to rise, but not as fast as we’ve seen.”

Assessors calculate the value of a property based on factors including recent sale prices for similar properties, and, in the case of commercial properties, revenue generation. Still, the figures remain an estimate. When property is sold, it’s worth what a buyer will pay.

Although the assessments are primarily used by municipal governments to set property taxes, an increase in value does not necessarily mean a major tax hike in 2005, said Barry.

“We’re reporting what the market is showing. The local governments set the tax rates,” he said.

However, owners whose homes rose in value faster than the municipality as a whole will likely see themselves paying proportionately more in 2005. For some, the boom in assessed values also threatens to reduce or eliminate the annual homeowner grant.

The provincial government pays a basic grant of $470 to almost every owner of a home worth up to $585,000 to help cover their municipal property taxes. Victoria pays an additional $275 to seniors, the disabled and people receiving veterans’ benefits. But for every $1,000 over the $585,000 threshold, the government reduces the grant by $10 — meaning people with homes assessed at $632,000 or more receive nothing ($659,000 in the case of homeowners eligible for the additional grant).

Last year, however, then-finance minister Gary Collins boosted the clawback threshold on homeowner grants from $525,000 to $585,000 to account for the increase in home values in 2003. As a result, according to the ministry, 95.5 per cent of B.C. homeowners received the full basic grant in 2004. Finance Minister Colin Hansen will examine the increases this year with an eye to making appropriate adjustments, a ministry spokesman said.

MAJOR REASSESSMENT:

B.C.’s booming real estate sector is boosting the province’s assessment rolls, driven by rising house prices and new construction.

2004 Assessment roll $495 billion

2005 Assessment roll $581 billion

UP 17%

NEW CONSTRUCTION AND DEVELOPMENT:

2004: $10.8 billion

2005: $13 billion

UP 20%

Source: Vancouver Sun

© The Vancouver Sun 2005