Falling rents

[wtm]

Very interesting developments these days west of denman in the west end. Normally at this time of year, i.e., start of the summer, very few vacancies are posted. Take a walk in the this hood tomorrow -- I saw close to TWO DOZEN vacancy signs today -- studios, one bedrooms, two bedrooms, even a 3 bedroom place. Either tenants becoming owners or people leaving the city because they lost their jobs?

I have lived down here off and on for 10 years -- I have NEVER seen this many vacancies in this neighbourhood. Rents will be dropping in this area, pretty savvy landlords down here, they do not like empty suites.

[Strataman]

It really doesn't matter what anyone says, unless you are involved daily in the rental market in a wide variety of buildings your anecdotal experience is irrelevant. I am exposed to well over 2000 rentals in YALETOWN as a service company for the strata corps. The rents are dropping and have dropped substantially. 30 % is the average vacancy rate in a couple of dozen towers in Yaletown. I have no idea what the rest of the GVRD is like because I am not in a dozen buildings every day. If you want to argue tell me that you are in a dozen buildings in Yaletown EVERY day, day after day, month after month!

[kansai_92]

It really doesn't matter what anyone says, unless you are involved daily in the rental market in a wide variety of buildings your anecdotal experience is irrelevant. I am exposed to well over 2000 rentals in YALETOWN as a service company for the strata corps. The rents are dropping and have dropped substantially. 30 % is the average vacancy rate in a couple of dozen towers in Yaletown. I have no idea what the rest of the GVRD is like because I am not in a dozen buildings every day. If you want to argue tell me that you are in a dozen buildings in Yaletown EVERY day, day after day, month after month!

Thanks Strataman.
It's nice to have this kind of feedback from someone who's so involved in the rental market.

I'm starting to see vacancy signs around the Broadway/Cambie corridor now.
These are older rental stock. One of my colleagues live in one and his rent is an amazing $775/month for around 750sf. He's surprised to see vacancies popping up as well.

[RJB]

Very interesting developments these days west of denman in the west end. Normally at this time of year, i.e., start of the summer, very few vacancies are posted. Take a walk in the this hood tomorrow -- I saw close to TWO DOZEN vacancy signs today -- studios, one bedrooms, two bedrooms, even a 3 bedroom place. Either tenants becoming owners or people leaving the city because they lost their jobs?

I have lived down here off and on for 10 years -- I have NEVER seen this many vacancies in this neighbourhood. Rents will be dropping in this area, pretty savvy landlords down here, they do not like empty suites.

I've seen a lot of vacancies lately too. I agree that there is a lot more vacancies compared to the last few years. March/April always seems to have a spurt in vacancies though, so it's hard to tell if this is a long-term change.

[Johnny Horton]

I was on Powell Street near Nanaimo Street. In front of an apartment building was a "no vacancy" sign. Maybe all the "hoity toity" Renters are moving to the east side.

[thinktom]

I have noticed more 'for rent' signs around.

But you people better listen up for a TRUE sign of the Apocalypse. THE REAL DEAL.

Are you ready and sitting down......?

Yesterday.......my plumber called me looking for work. My PLUMBER!! This guy hasn't called me EVER. Not once in 9 years. I usually call him for clients who are doing renos and he laughs and tells me he's too damn busy for me...(and then he bills me $75.00 for the phone call . )

Forget lawyers, investment advisors, whatever.....If plumbers are looking for work, we're hooped.

Tom

PS-All joking aside, I'm sure most plumbers are still busy, as are my contractors, but it was a little odd.

[Strataman]

thinktom

PS-All joking aside, I'm sure most plumbers are still busy, as are my contractors, but it was a little odd.

Last year I was looking for an industrial electrician experienced in Digital Controls, I hired a good man from Manitoba but I only had six applicants. I need another one now so I advertised in specialist circles again and I have to date (5 days) 132 applicants! I don't know if I can read them all.

[registered]

Yesterday.......my plumber called me looking for work. My PLUMBER!!

The same contractor I threatened to drop from a job in December because they were too busy to show up now calls weekly for work. It's ugly out there, and only going to get worse.

[Agitprop]

If landlords, both commercial and residential, aren't prepared for a dire scenario of 50% drop in revenue, they are living in a fool's paradise. MY husband and I are bracing for 100% drop, or complete cessation of income--we're in full bunker mode, have been preparing for the mother of all downturns for several years, after we started reading about the derivatives and credit default swap market, a few years back. It's quite possible it won't get that bad, but you are simply lousy at business, haven't accessed the situation adequately, wishful thinker, etc...if you haven't entertained the possibility that it could.

[Thompson]

If landlords, both commercial and residential, aren't prepared for a dire scenario of 50% drop in revenue, they are living in a fool's paradise.

Nothing wrong with your preparation. But if you are really expecting a 50% drop in residential revenue, you are not looking for any "correction" but a "revolution".

[Lost Soul]

If landlords, both commercial and residential, aren't prepared for a dire scenario of 50% drop in revenue, they are living in a fool's paradise.

Nothing wrong with your preparation. But if you are really expecting a 50% drop in residential revenue, you are not looking for any "correction" but a "revolution".

Why? Will you landlords be pulling out the pitchforks to demand a bailout?

[Thompson]

If landlords, both commercial and residential, aren't prepared for a dire scenario of 50% drop in revenue, they are living in a fool's paradise.

Nothing wrong with your preparation. But if you are really expecting a 50% drop in residential revenue, you are not looking for any "correction" but a "revolution".

Why? Will you landlords be pulling out the pitchforks to demand a bailout?

Why? I will enlighten you when you found your "soul" if you have any..

[Johnny Horton]

Why? Will you landlords be pulling out the pitchforks to demand a bailout?

gawd...arent we a.n.g.r.y.?

[MultipleOffer]

Just secured a commitment for Feb 2010 for over $10k 1bedroom furnished new construction in YT.
Also, just rented out a gastown loft for $1400/mo 1yr lease
both about 650sf.
If i can find a tenant for woodwards upon completion i'm on a roll!

[MultipleOffer]

p.s. that 10k pays the mortgage for all of 2010.