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unicas
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We no longer live in Vancouver. We live on the planet

Tue May 20, 2014 5:52 pm

“We no longer live in Vancouver. We live on the planet.”

With that remark, renowned Vancouver realtor Bob Rennie attempted to explain the evolution of this city’s exasperating housing market.

He made the comment last week to a conference of the Urban Land Institute, an organization representing realtors and developers who intimately understand what the condo guru was referring to.

Vancouver’s real estate market, just like markets in many attractive cities, has become globalized.

Reinforcing Rennie’s characterization, the latest issue of The New Yorker magazine is calling Vancouver one of the world’s new “superstar cities” — on par with London, Paris and Milan.

“A torrent of capital from wealthy people in emerging markets (in China, Russia, the Middle East and Latin America) ... has flowed into the real-estate markets of big cities in other countries, driving up prices and causing a luxury-construction boom.”

Vancouver is one of those cities. And so, locals seeking a roof over their heads no longer are bidding only against other locals. They are confronting a global marketplace, with all the challenges that implies.

Without question, Vancouverites are having difficulty adapting, with some complaining bitterly about foreign buyers making housing unaffordable for many.

Among those particularly demonized, due to their numbers, are buyers from China.

But, according to Rennie, that criticism is unfair.

The realtor points to research from University of B.C. geographer Dan Heibert which shows, locally, there can be as many as 24 different ethnic groups in small community clusters of just 650 people. In other words, globalization of Vancouver’s real estate market reflects far more than any single group of foreigners.

Further, Rennie asserts, when the top 20 per cent of the market, representing the highest-priced homes, is set aside, the remaining stock of property is affordable for locals.

Indeed, a bigger proportion of young people in Vancouver own property than in Toronto.

Nevertheless, emails I receive suggest a simmering resentment against those perceived to be driving up local housing prices, as well as unhappiness with a growing number of properties left vacant by owners who are presumed to be foreign.

Other major cities in prosperous democratic countries are suffering the same growing pains as this city.

“Foreign buyers dominate London’s luxury housing market,” reads a BBC News headline dated April 11.

The report states a global real estate consultancy, Knight Frank, compiled figures showing between June 2011 and June 2013, nearly 70 per cent of the buyers of “new builds” in central London were not British. And almost half of such buyers were not even living in the United Kingdom.

The BBC item quotes one Londoner: “There’s no way normal Londoners can live here. No way.”

The New York Times, on April 15, reported: “A seemingly insatiable demand for luxury condos in Miami, created in part by wealthy Latin Americans, has caused land prices to soar, making affordable housing projects harder to build anywhere close to downtown.”

Sound familiar?

According to The New Yorker article, Vancouver “has found itself at the heart of one of the biggest trends of the past two decades — the rise of a truly global market in real estate.”

The magazine observes the city, lacking major industries or a profile as either a high-tech centre or cultural hub, while “beautiful ... is not an obvious global superstar.

“Instead, Vancouver’s appeal consists of comfort and security, (offering) social and political stability ... and long-term protection against climate change.”

There is no housing bubble in Vancouver, writes James Surowiecki, rather “wealthy foreigners are rationally overpaying, in order to protect themselves against risk at home

http://www.vancouversun.com/opinion/col ... story.html
 
westcoastfella
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Re: We no longer live in Vancouver. We live on the planet

Tue May 20, 2014 7:49 pm

“Instead, Vancouver’s appeal consists of comfort and security, (offering) social and political stability ... and long-term protection against climate change.
What "long term protection against climate change" does Vancouver provide,that other places do not?
 
jimtan
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Re: We no longer live in Vancouver. We live on the planet

Tue May 20, 2014 8:07 pm

“Instead, Vancouver’s appeal consists of comfort and security, (offering) social and political stability ... and long-term protection against climate change.
What "long term protection against climate change" does Vancouver provide,that other places do not?
Absolutely true. Just compare with California and the American sunbelt. :mrgreen:
 
westcoastfella
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Re: We no longer live in Vancouver. We live on the planet

Tue May 20, 2014 9:43 pm

“Instead, Vancouver’s appeal consists of comfort and security, (offering) social and political stability ... and long-term protection against climate change.
What "long term protection against climate change" does Vancouver provide,that other places do not?
Absolutely true. Just compare with California and the American sunbelt. :mrgreen:
being in better shape than somewhere else does not make Vancouver immune to something that is global in nature. Or do you think that Vancouver - the same Vancouver that has a shoreline on the ocean, is on a major fault line, and is within 500 miles of several active and dormant volcanoes - will escape whatever global changes are coming?

Again, what long term protection does Vancouver offer, that other places do not?
 
reallyreal
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Re: We no longer live in Vancouver. We live on the planet

Wed May 21, 2014 9:44 am

Do people actually pay attention to what Bob Rennie says?
 
jimtan
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Re: We no longer live in Vancouver. We live on the planet

Wed May 21, 2014 2:07 pm

Yes
 
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WhipMaster
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Re: We no longer live in Vancouver. We live on the planet

Wed May 21, 2014 2:14 pm

Really real:
Do people actually pay attention to what Bob Rennie says?
..... He might know a thing or two..... :mrgreen:

Would you rather listen HomelessinSD? Or VREAA? Or taipan, or VBlog,?.....those cork suckers have been awful quiet lately. Or how about Rofina, he has superior risk assessment abilities which allow him to see the future. Or how about Austin, he has his Class 4 drivers license. :mrgreen:
Hoo~Cudda~Not~Nod~ed????? :-)
 
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instigator
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Re: We no longer live in Vancouver. We live on the planet

Wed May 21, 2014 2:23 pm

in other words,

"the world lives here"

this is what some of us have known since the birth of Vancouver
 
rofina
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Re: We no longer live in Vancouver. We live on the planet

Wed May 21, 2014 3:40 pm

I find it hilarious that Bob Rennie is regarded as such a local expert.

The guy sells condos for a living, his business is dependent on condo sales. Do you really think he would ever say anything that would potentially harm his business?

Second, Bob can't get his story straight.

Just a short few years ago he was the one saying its locals buying here, he said its only a negligibly small portion of foreigners buying local property. Its all in ink somewhere, straight out of Bobs mouth.

I think he's a brilliant man, I think he's a brilliant business man, I think he's a great salesman, but I don't think he's a great advisor unless your name is Peter Wall.
 
reallyreal
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Re: We no longer live in Vancouver. We live on the planet

Thu May 22, 2014 7:33 am

Really real:
Do people actually pay attention to what Bob Rennie says?
..... He might know a thing or two..... :mrgreen:

Would you rather listen HomelessinSD? Or VREAA? Or taipan, or VBlog,?.....those cork suckers have been awful quiet lately. Or how about Rofina, he has superior risk assessment abilities which allow him to see the future. Or how about Austin, he has his Class 4 drivers license. :mrgreen:
I don't listen to anybody but myself.

Vancouver Sun on December 4, 2013 (http://www.vancouversun.com/business/Ci ... story.html):

"Of the 737 residential units in the Olympic Village, only 55 remain unsold, Rennie said."

Vancouver Sun on April 28, 2013 (http://www.vancouversun.com/business/Aq ... story.html)

"the city had just sold the remaining 67 condos in the former Olympic athletes village to Aquilini Group for $91 million"

Where did the extra 12 units appear from? Maybe Bob Rennie can explain. Either way ... I don't care. I don't trust people I catch in lies.
 
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WhipMaster
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Re: We no longer live in Vancouver. We live on the planet

Thu May 22, 2014 8:25 am

Good point. :D
Hoo~Cudda~Not~Nod~ed????? :-)
 
reallyreal
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Re: We no longer live in Vancouver. We live on the planet

Thu May 22, 2014 8:39 am

I'm pretty sure the difference has to do with the rental units and Rennie playing games with what was "available" - using semantics.

It reminds me of something a politician would do - how much do we trust them?
 
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WhipMaster
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Re: We no longer live in Vancouver. We live on the planet

Thu May 22, 2014 9:02 am

Yup, you bring up a very good point. So does Rofina. Bob Rennie's definition of what a "local" is a little fawked. :mrgreen:
Hoo~Cudda~Not~Nod~ed????? :-)
 
Waldo
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Re: We no longer live in Vancouver. We live on the planet

Thu May 22, 2014 9:08 am

“Instead, Vancouver’s appeal consists of comfort and security, (offering) social and political stability ... and long-term protection against climate change.
What "long term protection against climate change" does Vancouver provide,that other places do not?
not just climate change risk. Think about the risk for political instability, socio-economic risk (poverty, crime), social welfare (unemployment), etc.
I guess you don't see these as being important unless you're at risk yourself.
Canada provides a nice protective bubble that we all enjoy.
 
westcoastfella
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Re: We no longer live in Vancouver. We live on the planet

Thu May 22, 2014 10:58 am

“Instead, Vancouver’s appeal consists of comfort and security, (offering) social and political stability ... and long-term protection against climate change.
What "long term protection against climate change" does Vancouver provide,that other places do not?
not just climate change risk. Think about the risk for political instability, socio-economic risk (poverty, crime), social welfare (unemployment), etc.
I guess you don't see these as being important unless you're at risk yourself.
Canada provides a nice protective bubble that we all enjoy.
They are important, and I'm not questioning Rennie's claim that Vancouver offers comparatively strong social/political stability. There is no denying that Canada is one of the better countries in the world in which to live for those reasons.

Buuuuuuut - what long term protection against climate change does Vancouver offer, that other places do not? Anything? Jim, after a resounding YES, you've gone silent (which is unusual when it comes to climate change...), anything from you?

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