Newsletter: May 2012
There were a total of 19 sales reported in the month of March with a total value of $60,138,950. Retail building sales accounted for 4.9% of the total, industrial buildings 7.3%, office buildings 0%, apartment buildings 41.4%, special buildings 0% and vacant land 46.4%.
Sales data has been provided by RealTrack, Inc. For more information visit http://www.realtrack.com or call 1-877-962-9033
There were two transactions in the RETAIL market with a total value of $2,920,000. The largest transaction within the sector was the sale of 184-198 Rideau Street. The property was purchased by NRML Real Estate Inc. from Alfrey Investments Limited for $1,745,000 or $175/sf. It is improved with a three-storey retail/office building.
There were three INDUSTRIAL building sales during the month of March with a total value of $4,420,000. 165 Colonnade Road represents one of the three transactions. The property sold to 2319678 Ontario Inc. from 969240 Ontario Inc. for $1,800,000 or $82/sf. It is improved with a single-storey industrial building. The building features two drive-in doors and a clear ceiling height of 12 feet. The building was vacant at the time of sale and is to be occupied by the purchaser.
There were no OFFICE sales during the month of March.
There were five transactions in the APARTMENT market with a total value of $24,882,500. The largest transaction was for 324 Cambridge Street North which was purchased by Conres III GP Number One Inc. from Private Individuals for $13,500,000 or $72,193/unit. It is improved with a seven-storey, 187-unit apartment building that was constructed in 1965 and expanded in 1968. The building consists of 96 bachelor, 88 one-bedroom and 3 two-bedroom units. Each unit features a concrete balcony and electric baseboard heating. Sam Firestone and Aik Aliferis of Primecorp Commercial Realty Inc. were the listing agents with regards to this transaction.
The next largest transaction was for 270 Somerset Street West. The property sold to Saickley Enterprises Ltd. from 931895 Ontario Inc. for $8,700,000 or $138,095/unit. It is improved with an older, 11-storey, 63-unit apartment building. The building consists of 22 bachelor, 31 one-bedroom and 10 two-bedroom units. Each unit is afforded their own balcony. The building also features a rooftop pool and gas fired heating and air conditioning system.
There were no transactions in the SPECIAL building market.
There were nine vacant LAND transactions during the month of March for a total consideration of $25,916,450. Of the nine transactions, there were four residential land sales, two commercial land sales, one rural land sale, one future growth land sale and one institutional land sale. The largest transaction was for a 16,318 square foot parcel of vacant land located at 505 Preston Street. The property was acquired by Claridge Homes from Imperial Oil Limited for $9,022,000 or $553/sf of site area. The rectangular shaped parcel located on the northeast corner of Preston Street and Carling Avenue was the former site of a fuel station. The site has since been cleared and is reported to have been remediated to the residential standard. The purchaser proposes to develop the property with a 42-storey residential condominium building. Tom Brethour of DTZ Barnicke was the broker with respect to this transaction.
The next largest transaction was for an 89.669 acre tract of future growth land located at 425 Huntmar Drive. The property sold to West Ottawa Land Holdings (2) Inc. from Private Individuals for $9,000,000 or $100,369/acre. It is reported that the purchaser acquired the property for its development with retail, office and industrial uses in the next two to five years.
Another significant land transaction is the sale of a 6.023 acre parcel located on the south side of Cambrian Road, east of Greenbank Road. The property was acquired by the Ottawa Catholic District School Board from the City of Ottawa for $2,338,950 or $388,336/acre. The site is vacant and is to be developed with a single-storey, 48,852 square foot elementary school.
Another land sale was the sale of 1830 & 1840 Merivale Road. The property was purchased by Gencon Capital Resources Inc. from Canadian Tire Real Estate Limited for $2,000,000 or $25.50/sf of site area. It is improved with an A&W restaurant that is on a land lease. The purchaser also constructed a new Mark' s Work Warehouse store at the west end of the site.
The local unemployment rate as reported by Statistics Canada for the month of March rose to 6.2% from 6.0% in February and 5.7% in January. The provincial rate for March however fell to 7.4% from 7.6% in February. The national overall unemployment rate also saw a decrease to 7.2% from 7.4% a month prior.
According to CMHC's news release, the number of residential units under construction during the month of March decreased 5.9% year over year to 4,460 units. Housing Starts for the month fell 42.4% from 583 units in 2011 to 336 units in 2012. Year-to-date however, housing starts have increased 3.5%, from 1,096 units in the first three months of 2011 to 1134 units in the first three months of 2012.