Can the Lower Mainland take a cue from New York?

The real estate market has left Vancouver increasingly unlivable, with high prices pushing residents out of the places they call home.

It’s an idea that you hear often these days. But not one that’s regularly said out loud by those in charge of pricing and selling homes.

So when Jamie Squires, the president of Fifth Avenue Real Estate Marketing, sent The Current an opinion piece declaring that the Fraser Valley needed to preserve mixed-income neighbourhoods in part to counter Vancouver’s increasingly unaffordability, we wanted to learn more.

This issue has been edited for clarity and concision.

FVC: Why did you write this piece, what's the purpose? And what were you thinking when you went through that process?

Squires: I was just looking at everything, based on my experience, and everything I've seen in the industry, and reading the news, I just felt it was something that should be written and said. It kind of shows the pros and cons of everything that we are doing and going through as a community as a whole… Because, you see these articles that are pro-development, and you see the anti- and there's no real middle ground that really kind of just says what it is.

FVC: Can you describe what that middle-ground is, as you see it?

Squires: Without development, you can't have any growth because development is the future: it creates housing as older housing gets older or unusable, especially if it's unmaintainable at some point in its age and lifespan. So there's replacing existing housing.

Our population is growing, it's a sought after place to live, people want to be here. [Metro Vancouver is], or is becoming, what I would call a large metropolis: so something like New York or London. We have a large port—our port is actually bigger than the one in Manhattan. So looking at Manhattan is a good example, because it's on the same continent, it's just on the other coast. You know, we have a bigger trading span on the Pacific Rim than they do on the Atlantic.

So eventually, we will be bigger. And generally—[it’s] supply and demand—so the more people want to be here, and the little land that we have, it's inevitably going to get more expensive. And how do we work that into our development planning early so we are not developing everybody out and [so we are] creating livable spaces for everybody within the community.

So if you go back to the Manhattan example, it's really expensive, the locals don't really live in Manhattan unless they have that sub-lease rent…. The majority of people working there aren't living there. They're in the suburbs, or what we would call Metro Vancouver here; some of them are even in another state, and they can actually just take the subway and from New Jersey.

So what we're lacking here, I would say, to make it more affordable, for people to be able to reach the city and still have affordable living, is a proper rapid transit infrastructure. Ours barely touches the cusp, it should really be going from probably Hope and Chilliwack, all the way into downtown Vancouver. And right now our rapid transit barely gets over the bridge to Surrey, it's expanding just to Langley City. But it's going to be quite a few years before even that line’s ready. So there needs to be more branches and more lines to bring people into the major city centers that are more supposed to be commerce or working areas and not so much living areas.

FVC: I was interested in speaking to you because obviously you're involved in marketing and selling homes and I'm hoping you have some insight into kind of those dynamics because one of the things I've written about is how the further east you go the lower the prices are. What do you see as the Fraser Valley’s role in the Lower Mainland housing ecosystem going forward here? And what role do you think it needs to play in this?

Squires: I would say the Fraser Valley is the housing epicenter for all of Metro Vancouver. It has the most land that could be developed, you can create nice town centers, so people don't have to drive or commute as much, especially if we get that rapid transit in. There's lots of work everywhere. And… our development industry is a huge industry for a province that [employs many], whether it's from interior design to architectural to all the trades that actually end up building it, and to the developers, to … caterers in the food industry, so everyone's benefiting.

At the same time, we need to make sure with the job creation that [there]’s a balance. Costs are rising, interest rates are up, which puts the prices up, demand puts the prices up, because you can't build [homes] as fast. So you're trying to slow that demand and then still give everyone pay increases.

Certain things are in your control as a developer, and certain things were not even as a buyer. So interest rates: no one can control that. And that's raising costs on both sides: for the builders and buyers…. You want to make sure when we're looking at the planning process that … you create a community where people bond and get together

FVC: You write about the need to preserve mixed income neighborhoods, which I think everybody would agree on. But how do you do that in this day and age where housing is so expensive and any development—any new builds—are essentially going to be quite expensive just because of the sheer cost of housing. So how do you create those mixed income neighborhoods?

Squires pointed to federal and provincial programs that subsidize building affordable homes. She also highlighted density bonus programs in various communities, wherein developers are permitted to build larger projects in exchange for promises to set aside a certain number of units to be rented at below-market costs.

Squires: Every city or municipality is different. So for example, Port Moody, every building [must have affordable units] or they aren't getting development permits. In Langley Township, I believe they are doing it and working [affordable housing] in, but it's for density bonus. So if you want these extra units, you'll have to give so many towards this [affordable housing] program, and it's different in every city.

It would be nice, maybe if the province, since they're going to give all these communities quotas, made sure that it's a mixed quota.”

Not long after our conversation, the province did set home-building quotas for a handful of BC municipalities. Within housing targets—which bring benefits if municipalities achieve them or the threat of a loss of approval programs if they don’t meet them—the province also set out recommended levels of housing according to bedroom size and affordability.

FVC: Do you think that programs that require certain amounts of housing to be designated as affordable, should they follow a Port Moody model, where they should be incorporated into every development, or should it be [optional]?

Squires: “It should be based on size, because there's certain developments that are too small, where it wouldn't be viable. A 20- or 30-unit condo building probably couldn't afford to do one of those programs. At the same time, if you have 100 units, do 80,and use, you know, 20 of them for affordable.

FVC: The challenge that I've heard developers say, and it makes sense, is that the amenities and all these things that are useful for the community are needed and also they cost money, and end up actually costing developers and then that influences the home prices. How do you see that balance being struck, so that homes can be built and ideally sold for as low as cost as possible, while still making sure that these places have parks and things like that?

Squires: So there are certain amenities that we actually normally recommend developers don't do, especially in the Fraser Valley, because we know that they end up costing more in the end or become hard to maintain.

So like things like pools, those are bad. Pools cost a lot of money, they break down, someone breaks a glass, that's a huge cost to the strata, (which is all the homeowners) right on top of your regular stuff. So we try to avoid things like that. But low-cost amenities like a small gym or yoga space with a stretch bar. Those things, they're easy to maintain, they're durable, they don't cost a lot. The outdoor space is the same thing—probably your lower cost depending on how you landscape them. So you work closely with the landscape architects in the original design to make sure they're easy-to-maintain kinds of spaces. It helps keep your strata fees and your maintenance costs down for the life, but also gives the community amenities that are required.

FVC: You've been doing this for quite a while. Have you seen the behavior and buy behavior change—what people are buying or where people are coming for when they're buying, or where people are going when they're buying in the Fraser Valley—change in the last 10 years?

Squires: If anything, it's just more activity in the Fraser Valley versus the Vancouver side. And I think that, again, has a lot to do with affordability when you're in Vancouver, Burnaby. There's not a lot of land left, it's a lot of infill, infill sites are more expensive to build than a clear site, right. Whereas the Fraser Valley just has more clear sites so it's a little bit cheaper, at least to get started. Plus your land is a little cheaper. Everything else is pretty much the same cost.

So that's kind of where the savings are right: in the cost of the land and the cost of having to clear it as much. Taking trees out is a lot less expensive than taking an old building out and replacing it.

Shaping Tomorrow’s Communities: The Future of Urban Planning in Vancouver’s Fraser Valley

By Jamie Squires

As Vancouver’s Fraser Valley regions continue to evolve, so does the challenge of crafting livable and sustainable communities that cater to the needs of residents while preserving the unique natural beauty of the area. Urban planning is no longer just about constructing; it’s about cultivating relationships between people, infrastructure and the environment. The future of urban planning in the Lower Mainland hinges on embracing innovation, fostering community engagement, and prioritizing sustainability to create truly livable communities.

The Current Livability of Vancouver

For the second consecutive year, Vancouver proudly claimed the fifth spot in the global livability index, a testament to its exceptional quality of life. The Global Livability Index takes into consideration an array of factors that intricately shape the essence of truly livable cities. This encompasses 30 qualitative and quantitative variables falling into five vital categories: stability, health care, education, infrastructure, culture and environment. Renowned for its progressive values and commitment to its citizen's well-being, the Lower Mainland shines in prominence in areas such as healthcare, education and infrastructure. However, beneath the veneer of this admirable progress, a complex disjunction has recently emerged. Certain local businesses are grappling with the disheartening reality to permanently close their doors as they find themselves being pushed out of specific areas they have previously called home. The bitter truth lies in the shadow cast by the high crime and rental rates that plague some regions. Despite Vancouver’s accolades across the Lower Mainland, safety concerns loom, casting a shadow on the livelihoods of small business owners.

This incongruity sheds light on the multifaceted nature of any society, where progress and challenges coexist. As Canada basks in the glory of livability, it’s vital to recognize that the journey to true prosperity involves addressing these other complex issues head-on. Striking a balance between societal achievements and localized struggles is the key to forging a path toward holistic well-being for all citizens.

The Real Estate Market’s Impact on Livability

In the Fraser Valley, the dynamic interplay between the real estate market and urban livability has created a landscape of opportunities and challenges. The region's real estate market has helped propel economic growth, invigorating neighbourhoods with modern developments and improvements to infrastructure. Rising property values have paved the way for wealth creation and economic prosperity, driving innovation and job creation across many sectors.

However, this vibrancy comes with a flip side. Vancouver’s renowned livability is under strain as the real estate market contends with mounting challenges such as inventory shortages, increased demand and ongoing interest rate hikes. Through the Lower Mainland’s strong allure, it has become a magnet for residents and investors alike, intensifying demand for housing. Vancouver’s housing demand, while a testament to the area’s attraction, has also led to housing affordability becoming a pressing concern throughout the wider Fraser Valley and Lower Mainland, as skyrocketing property and rent prices make it increasingly difficult for many to secure stability.

As the Lower Mainland navigates these challenges, a recalibration of urban planning and housing policies is essential, focusing on equitable access to housing, fostering mixed-income neighbourhoods, and promoting sustainable growth. By leveraging lessons of the past while embracing innovative solutions, the Fraser Valley can carve a path to preserving its livable essence while adapting to the evolving demands of a dynamic overarching landscape.

Fostering Inclusivity and Community Resilience Amidst Urban Evolution

While dealing with the intricate interplay among livability, economic expansion, and housing needs, Vancouver’s Lower Mainland encounters a pivotal moment in its quest for all-encompassing well-being. The complex challenges arising from the frenzied pace of the real estate market and the ever-shifting population landscape emphasize the necessity for a well-rounded approach, preserving the city’s magnetic appeal while also laying emphasis on the inclusiveness and durability of the community.

Amidst the towering skyscrapers and lush green spaces, there lies a growing concern that the rapid urban evolution might inadvertently erode the sense of community that many hold dear. The displacement of local businesses due to soaring rent rates, coupled with the unaffordability of housing for a significant portion of the population, has the potential to fragment the city’s social fabric.

To counter this trajectory, the Fraser Valley must embrace a multi-pronged approach that nurtures inclusivity and bolsters community resilience. A focal point must be the preservation of mixed-income neighbourhoods, where individuals from diverse socioeconomic backgrounds can live side by side, sharing experiences and forming bonds that transcend economic divides.

Community engagement also emerges as a cornerstone of this strategy. Inviting the voices of residents, local businesses, and community organizations to actively participate in shaping the region’s development, to ensure that policies and initiatives reflect the actual needs and aspirations of the people they affect. Collaborative decision-making not only strengthens the bond between citizens and their city but also fosters a sense of ownership and responsibility for the Lower Mainland’s future as a whole.

Furthermore, fostering community resilience involves creating spaces that encourage social interaction, recreation and cultural exchange. Parks, community centers, and even public art installations become vital conduits for forging connections and nurturing a sense of belonging.

As the Fraser Valley stands at the crossroads of progress and preservation, the true measure of its success lies in its ability to ensure that growth enhances rather than diminishes the qualities that make the area an exceptional place to call home. By weaving inclusivity, community engagement and sustainability into the fabric of urban planning, the Lower Mainland can navigate the challenges of today while charting a course toward a harmonious and thriving future for all.