The export of coal from Prince Rupert continues to go from strength to strength. Whilst the record breaking figures for 2010 are great news, the forecast looking forward shows both stability and growth.
Dennis Blake, the senior manager at Ridley, said the company is marking the “single busiest month in our history” this December.
By December 14, said Blake, the company had already shipped 600,000 metric tonnes of metallurgical coal, thermal coal and petroleum coke. He projected that another 1 million metric tonnes of product would be shipped through the terminal for the rest of December.
Blake also predicted the annual total for 2010 would be 8 million metric tonnes — almost double the total amount shipped in 2009 of 4.2 million metric tonnes.
The reason for the increase, said Blake, is twofold. First, there has been a huge increase in demand from China for Ridley’s products. And second, the other terminals in B.C., in the Lower Mainland, are at or near capacity. Ridley is the prime benefactor of those two trends.
The record-breaking year was predicted by Ridley Chair Bud Smith & Minister of State for Transport Rob Merrifield during a press conference held at the terminal on August 17. By that time, the terminal had already shipped 3.9 million metric tonnes for 2010.
Last year, the terminal brought in revenues of $25 million. According to Ridley Terminal Inc.’s 2009 annual report, demand for its products is expected to grow until at least 2014.
Monday, December 20, 2010
Thursday, November 4, 2010
Speculation mounts following good news week for Canpotex
The story so far; Multi-Billion dollar organisation Canpotex plans to build a new export terminal in Prince Rupert to ship their product to the Asian markets. Then the recession turns up and everything gets put on the back burner as international demand for potash collapses. Then, The largest member of Canpotex, The Potash Corporation of Saskatchewan became the target of a hostile takeover bid from Australian mining company BHP Billiton.
This week saw three announcements that can only be viewed as positive.
Firstly, the Canadian government, after a huge amount of pressure from every Province, blocked the potential sale to the Australian company. Secondly, Canpotex announced a $2.2 Billion sale to Sinofert of China. Thirdly, Canpotex announced a three year contract with Tata Chemicals of India at an undisclosed price but obviously worth a large sum of money.
So, the threats to the future of Canpotex have been removed and they are once again seeing demand rise for their product and are writing new business with the Asian market.
Given this hat-trick of glad tidings the question remains; will Canpotex announce that they will begin construction in Prince Rupert? I don't know for certain but the conditions to do so have never looked as favourable as they do right now.
This week saw three announcements that can only be viewed as positive.
Firstly, the Canadian government, after a huge amount of pressure from every Province, blocked the potential sale to the Australian company. Secondly, Canpotex announced a $2.2 Billion sale to Sinofert of China. Thirdly, Canpotex announced a three year contract with Tata Chemicals of India at an undisclosed price but obviously worth a large sum of money.
So, the threats to the future of Canpotex have been removed and they are once again seeing demand rise for their product and are writing new business with the Asian market.
Given this hat-trick of glad tidings the question remains; will Canpotex announce that they will begin construction in Prince Rupert? I don't know for certain but the conditions to do so have never looked as favourable as they do right now.
Tuesday, October 12, 2010
Real estate activity report quarter 3
96 properties worth $16.5 million changed hands so far this year compared with 82 properties worth $13.8 million to the end of September, 2009. Of the 80 single family homes that have changed hands so far this year, half sold for less than $177,000 ($178,000 in 2009) and on average, took 127 days to sell (138 days in 2009). The average sale price for single family homes YTD is $189,815. At the end of September there were 257 properties of all types available for sale through MLS® in the Prince Rupert area, compared with 241 last September.
Friday, October 1, 2010
Economic good news from Prince Rupert Port CEO
Don Krusel, President and CEO of Prince Rupert Port is very confident about the future of both the port and the city of Prince Rupert. This is what he had to say about the year 2010 so far and also provides a sketch of what the future holds for our amazing city:
2010 a turning point for the Port of Prince Rupert
The Port of Prince Rupert experienced one of its best years in recent history in 2009 and 2010 is unfolding to be an even better year. We were very pleased to be able to stand before the community at our Annual Public Meeting in June and share our outstanding performance, financial success and exciting plans for the future.
As our Board of Directors Chair Dale MacLean noted at the public meeting, the Prince Rupert Gateway has, in just three short years, transformed from a regional port into a global gateway for transpacific trade. This is evident in the substantial year-over-year increase in container volumes through the Fairview Terminal: from 36 per cent of the terminal’s capacity in 2008, to 53 per cent in 2009 and a projected 72 per cent by the end of 2010.
The Board Chair also noted that our success is due to the commitment and collaborative efforts of the partnership we have with CN, Maher Terminals and the International Longshore and Warehouse Union workers. We have become a formidable force, along with COSCO and the CKYH Alliance, which we have to continue to strengthen if we want to realize our full potential. We must also thank our other important port community partners, from the trucking and transloading businesses to the tug and piloting operations, who are working diligently with us to offer our shipping customers unparalleled, world-class services.
Of course, the Port of Prince Rupert is not just about handling containers. All terminals are contributing to our overall strong performance. Prince Rupert Grain is having another good year and its reputation as the highest throughput grain terminal in Canada has been further enhanced with the “Grain Handler of the Year” award from the Canadian Wheat Board. Ridley Terminals is experiencing the best year in its history and is planning for future growth and expansion. We congratulate the management and staff of both terminals for their significant accomplishments.
More importantly, all terminals and other port operations are significantly contributing to the economic prosperity and well-being of the people and communities in the region and along the northwest transportation corridor. The Economic Impact Study commissioned by the Port Authority and released in April show the Port of Prince Rupert is responsible for 2,700 full time jobs and $150 million in wages annually. Our plans currently underway to grow and expand the port to include additional terminals, logistics parks and other services will create many more jobs and business opportunities.
In addition, our recent financial success is finally giving us the opportunity to reinvest in our local communities’ economic and social well-being as well as the environment. The Community Investment Fund is based on a percentage of the Port’s net income generated from the previous year’s revenues.
The Port Authority is looking forward to many years of continued financial success for the Port of Prince Rupert to help our communities prosper and grow.
Don Krusel
President & CEO
Prince Rupert Port Authority
2010 a turning point for the Port of Prince Rupert
The Port of Prince Rupert experienced one of its best years in recent history in 2009 and 2010 is unfolding to be an even better year. We were very pleased to be able to stand before the community at our Annual Public Meeting in June and share our outstanding performance, financial success and exciting plans for the future.
As our Board of Directors Chair Dale MacLean noted at the public meeting, the Prince Rupert Gateway has, in just three short years, transformed from a regional port into a global gateway for transpacific trade. This is evident in the substantial year-over-year increase in container volumes through the Fairview Terminal: from 36 per cent of the terminal’s capacity in 2008, to 53 per cent in 2009 and a projected 72 per cent by the end of 2010.
The Board Chair also noted that our success is due to the commitment and collaborative efforts of the partnership we have with CN, Maher Terminals and the International Longshore and Warehouse Union workers. We have become a formidable force, along with COSCO and the CKYH Alliance, which we have to continue to strengthen if we want to realize our full potential. We must also thank our other important port community partners, from the trucking and transloading businesses to the tug and piloting operations, who are working diligently with us to offer our shipping customers unparalleled, world-class services.
Of course, the Port of Prince Rupert is not just about handling containers. All terminals are contributing to our overall strong performance. Prince Rupert Grain is having another good year and its reputation as the highest throughput grain terminal in Canada has been further enhanced with the “Grain Handler of the Year” award from the Canadian Wheat Board. Ridley Terminals is experiencing the best year in its history and is planning for future growth and expansion. We congratulate the management and staff of both terminals for their significant accomplishments.
More importantly, all terminals and other port operations are significantly contributing to the economic prosperity and well-being of the people and communities in the region and along the northwest transportation corridor. The Economic Impact Study commissioned by the Port Authority and released in April show the Port of Prince Rupert is responsible for 2,700 full time jobs and $150 million in wages annually. Our plans currently underway to grow and expand the port to include additional terminals, logistics parks and other services will create many more jobs and business opportunities.
In addition, our recent financial success is finally giving us the opportunity to reinvest in our local communities’ economic and social well-being as well as the environment. The Community Investment Fund is based on a percentage of the Port’s net income generated from the previous year’s revenues.
The Port Authority is looking forward to many years of continued financial success for the Port of Prince Rupert to help our communities prosper and grow.
Don Krusel
President & CEO
Prince Rupert Port Authority
Thursday, September 23, 2010
Long awaited Pulp Mill sale almost announced
Three groups that have been at loggerheads over the future of Prince Rupert’s harbour have put aside differences, at least for now, to enter in to an exclusivity agreement with the City of Prince Rupert to negotiate a purchase of the Watson Island site.
According to a press release put out by the City earlier this afternoon, the Metlakatla Development Corporation, Lax Kw’alaams and the Prince Rupert Port Authority have begun a joint venture and are “considering the acquisition of the Watson Island site from the City of Prince Rupert.” With due diligence and a feasibility study, the whole process could take anywhere from six months to a year, states a press release put out by the City.
The key for the City is that it will no longer be required to pay for the maintenance costs at the old mill site during the length of the deal: in exchange for exclusivity rights, the joint venture will pay for the maintenance costs at Watson Island, states the press release. Maintenance, minus the external costs for security on site, has come with a $600,000-plus price tag since the city took ownership fo the site in September 2009.
The tripartite agreement between the Prince Rupert Port Authority and Tsimshian nation leadership in Metlakatla and Lax Kw’alaams appears to signal a warming of the cool relations between the stakeholders, who have yet to sign a protocol agreement that would set out the formal relationship between both sides – a fact that has frustrated aboriginal leadership in the past.
According to Shaun Stevenson, the Port’s vice president for marketing & business development, the deal was not of the Port’s making. “We were approached by representatives of the Coast Tsimshian to consider this opportunity and thought it was a good project to explore,” explained Stevenson in an email. “Through our broader dialogue with First Nations groups, the concept of joint ventures figures prominently as a strategic opportunity to create economic development and opportunity in the community and region.“
The deal could prove to be a testing ground for both stakeholders to see how well they can work together.
“For the PRPA, if the acquisition proves of value, this could be an opportunity to pilot Joint Venture businesses with First Nations groups, acquire another asset to support the growth and expansion of the Port, creating more economic opportunity for the community and region,” stated Stevenson in the email.
While the deal is slated for six months to a year, it could go longer depending on the needs of the new partnership.
A peculiarity of the Wednesday afternoon announcement was that it was not publicized by the partners of the joint venture, but by the City through a press release. Mayor Jack Mussallem said the city wasn’t intending to jump the gun on this announcement, but that it was important to let the community know as soon as possible the City had entered in to an exclusivity deal.
“We are getting a lot of enquiries regarding the site and we wanted people to know that there is now a group that is looking at it and make residents aware who that is,” said Mussallem.
Mussallem also said CN was never the transportation firm that he alluded to in previous articles published regarding the mill site. It appears that firm was indeed the PRPA, who have replaced the North American Indian Charter of Shipping and Trade Inc. as the main partner in place to make the purchase.
While Prince Rupert has put the mill on the auction block for $13 million, the PRPA may yet have other ideas as to the value of the site. In his email, Stevenson said the Port will now move forward with a due diligence process that will include completing a physical and environmental assessment of site, identification and assessment of the business opportunities that could be accommodated on the property to determine its utility, and development potential to the joint venture partners. From all this information, they will work a determination of value.
(With thanks to George T Baker of Muskegnews.com)
According to a press release put out by the City earlier this afternoon, the Metlakatla Development Corporation, Lax Kw’alaams and the Prince Rupert Port Authority have begun a joint venture and are “considering the acquisition of the Watson Island site from the City of Prince Rupert.” With due diligence and a feasibility study, the whole process could take anywhere from six months to a year, states a press release put out by the City.
The key for the City is that it will no longer be required to pay for the maintenance costs at the old mill site during the length of the deal: in exchange for exclusivity rights, the joint venture will pay for the maintenance costs at Watson Island, states the press release. Maintenance, minus the external costs for security on site, has come with a $600,000-plus price tag since the city took ownership fo the site in September 2009.
The tripartite agreement between the Prince Rupert Port Authority and Tsimshian nation leadership in Metlakatla and Lax Kw’alaams appears to signal a warming of the cool relations between the stakeholders, who have yet to sign a protocol agreement that would set out the formal relationship between both sides – a fact that has frustrated aboriginal leadership in the past.
According to Shaun Stevenson, the Port’s vice president for marketing & business development, the deal was not of the Port’s making. “We were approached by representatives of the Coast Tsimshian to consider this opportunity and thought it was a good project to explore,” explained Stevenson in an email. “Through our broader dialogue with First Nations groups, the concept of joint ventures figures prominently as a strategic opportunity to create economic development and opportunity in the community and region.“
The deal could prove to be a testing ground for both stakeholders to see how well they can work together.
“For the PRPA, if the acquisition proves of value, this could be an opportunity to pilot Joint Venture businesses with First Nations groups, acquire another asset to support the growth and expansion of the Port, creating more economic opportunity for the community and region,” stated Stevenson in the email.
While the deal is slated for six months to a year, it could go longer depending on the needs of the new partnership.
A peculiarity of the Wednesday afternoon announcement was that it was not publicized by the partners of the joint venture, but by the City through a press release. Mayor Jack Mussallem said the city wasn’t intending to jump the gun on this announcement, but that it was important to let the community know as soon as possible the City had entered in to an exclusivity deal.
“We are getting a lot of enquiries regarding the site and we wanted people to know that there is now a group that is looking at it and make residents aware who that is,” said Mussallem.
Mussallem also said CN was never the transportation firm that he alluded to in previous articles published regarding the mill site. It appears that firm was indeed the PRPA, who have replaced the North American Indian Charter of Shipping and Trade Inc. as the main partner in place to make the purchase.
While Prince Rupert has put the mill on the auction block for $13 million, the PRPA may yet have other ideas as to the value of the site. In his email, Stevenson said the Port will now move forward with a due diligence process that will include completing a physical and environmental assessment of site, identification and assessment of the business opportunities that could be accommodated on the property to determine its utility, and development potential to the joint venture partners. From all this information, they will work a determination of value.
(With thanks to George T Baker of Muskegnews.com)
Thursday, September 16, 2010
More investment announced for Port
Stockwell Day, the Minister for the Asia Pacific Gateway was in Prince Rupert on September 15th to make an important and unique announcement. A new $3.5 million investment will be made in the port which will enable all container ships to access shore power. This will be the only port in Canada with this facility. There are two major benefits to this new arrangement;
1. Ships will no longer have to keep their engines running to supply power to on-board systems whilst loading and unloading. This will save the shipping lines' money which makes Prince Rupert Port even more attractive to international shippers.
2. As the engines will be off, there will be a considerable environmental advantage as air and marine pollution is expected to be severely reduced.
The port is now operating at 80% capacity and it is surely only a matter of time until the powers that be have to begin breaking ground on the expansion of this huge Canadian success story.
1. Ships will no longer have to keep their engines running to supply power to on-board systems whilst loading and unloading. This will save the shipping lines' money which makes Prince Rupert Port even more attractive to international shippers.
2. As the engines will be off, there will be a considerable environmental advantage as air and marine pollution is expected to be severely reduced.
The port is now operating at 80% capacity and it is surely only a matter of time until the powers that be have to begin breaking ground on the expansion of this huge Canadian success story.
Friday, August 13, 2010
The market is in an interesting place at the moment. July and August are traditionally slow in Rupert as families head South for the the sun and thoughts are mainly away from real estate. The hope is that once families return from their summer holidays with the kids that the market will pick up. This is what normally happens.
I am presently working on a new advertising medium that I hope to run in early september. This will replace the considerable advertising that I lost when the Daily News closed down. The hope is that the timing will coincide with the return to school and also any announcements that are made regarding Ports, Pulp Mills and Potash.
The rumour factory has been going full tilt lately and nearly all of it has been positive but until we get an actual announcement or three the market remains fairly static.
This year is much better than last; sales volume is up by 50%; but it needs to be remembered that 2009 was particularly awful.
The number of listings on the market remains high; there are presently 156 residential properties on the market. This means that we are still in a buyer's market. Sales are happening however; in fact the average sale price has risen by 5% on 2009.
My conclusion is that the market is now off life support and is in the convalescence stage of recovery. A natural uplift is expected in September with, we all still hope, a very sudden uplift in activity caused by economic announcements being made.
I remain optimistic that a bright future awaits Prince Rupert.
I am presently working on a new advertising medium that I hope to run in early september. This will replace the considerable advertising that I lost when the Daily News closed down. The hope is that the timing will coincide with the return to school and also any announcements that are made regarding Ports, Pulp Mills and Potash.
The rumour factory has been going full tilt lately and nearly all of it has been positive but until we get an actual announcement or three the market remains fairly static.
This year is much better than last; sales volume is up by 50%; but it needs to be remembered that 2009 was particularly awful.
The number of listings on the market remains high; there are presently 156 residential properties on the market. This means that we are still in a buyer's market. Sales are happening however; in fact the average sale price has risen by 5% on 2009.
My conclusion is that the market is now off life support and is in the convalescence stage of recovery. A natural uplift is expected in September with, we all still hope, a very sudden uplift in activity caused by economic announcements being made.
I remain optimistic that a bright future awaits Prince Rupert.
Monday, July 19, 2010
Prince Rupert realty bucks downward trend
After a slow 2009 the market in Prince Rupert continues to outpace other Northwest communities. In the first six months of 2010 71 properties sold in Prince Rupert compared to 44 in 2009. In dollar terms, $13.7 million compared to $7.4 million in 2009. The median price is $187,000 with average days on the market coming in at 141. At the end of June there were 262 properties on the market.
Prince Rupert is the only community in the Northwest to have seen an increase in sales this year. Terrace fell from 134 in 2009 to only 94 in 2010 while Kitimat saw a small decrease from 48 to 45. There were also fewer homes listed at the end of June 2010 then there were at the end of June 2009; in Terrace there are 316 properties listed, up from 281 in June 2009 and Kitimat jumped markedly from 128 to 160.
The interesting question is: why? Why has Prince Rupert's real estate market improved by 61% over a 12 month period? Why has the surrounding communities markets not followed suit, indeed headed in the opposite direction?
My answer is this; opportunity and getting ahead of the competition. Prince Rupert stands on the threshold of an unprecedented economic boom and savvy investors from the Lower Mainland and Alberta particularly have been arriving in town and cherry-picking some prime real estate before the announcements are made because that is when the greatest value can be realised.
Folks in Prince Rupert sometimes fail to look at the City from an outsiders point of view. The outsiders are looking and seeing value at every turn, the locals are, to a certain extent, burdened by memories of potential booms in the past that never quite materialised.
Real estate has no memory. It is only concerned with economic fact or possibilty, not with history.
This buyers market is coming to an end.
Prince Rupert is the only community in the Northwest to have seen an increase in sales this year. Terrace fell from 134 in 2009 to only 94 in 2010 while Kitimat saw a small decrease from 48 to 45. There were also fewer homes listed at the end of June 2010 then there were at the end of June 2009; in Terrace there are 316 properties listed, up from 281 in June 2009 and Kitimat jumped markedly from 128 to 160.
The interesting question is: why? Why has Prince Rupert's real estate market improved by 61% over a 12 month period? Why has the surrounding communities markets not followed suit, indeed headed in the opposite direction?
My answer is this; opportunity and getting ahead of the competition. Prince Rupert stands on the threshold of an unprecedented economic boom and savvy investors from the Lower Mainland and Alberta particularly have been arriving in town and cherry-picking some prime real estate before the announcements are made because that is when the greatest value can be realised.
Folks in Prince Rupert sometimes fail to look at the City from an outsiders point of view. The outsiders are looking and seeing value at every turn, the locals are, to a certain extent, burdened by memories of potential booms in the past that never quite materialised.
Real estate has no memory. It is only concerned with economic fact or possibilty, not with history.
This buyers market is coming to an end.
Tuesday, July 6, 2010
Good news, bad news cycle continues in Rupert
First, the good news. Coast Tsimshian Resources (CTR) have agreed a deal with Chinese company Xinyixinrun Plywood Manufacturing to sell 193,000 cubic metres of logs and custom cut lumber over the next year. This doubles the company's turnover overnight and is projected to create 150 new jobs in Prince Rupert and Terrace.
Also, Canada and China have signed a formal agreement establishing Approved Destination Status between the two nations. This allows easier access into China from Canada and vice versa. Chinese visitors to British Columbia are expected to increase by 15% next year, good news for both business and tourism.
The bad news is that after 100 years The Daily News, Prince Rupert's only daily newspaper is closing its doors. The ownership has changed hands with the new owners, Black Press, immediately announcing its intention to close the paper down. It cannot be mere coincidence that Black Press owns the only other newspaper in town, a weekly publication called The Northern View.
The loss of The Daily News will be keenly felt in the community and I hope that some accomodation can be reached that means we continue to have our local paper. Alas, the global depression that has engulfed print media over the last ten years appears to have claimed another victim.
Also, Canada and China have signed a formal agreement establishing Approved Destination Status between the two nations. This allows easier access into China from Canada and vice versa. Chinese visitors to British Columbia are expected to increase by 15% next year, good news for both business and tourism.
The bad news is that after 100 years The Daily News, Prince Rupert's only daily newspaper is closing its doors. The ownership has changed hands with the new owners, Black Press, immediately announcing its intention to close the paper down. It cannot be mere coincidence that Black Press owns the only other newspaper in town, a weekly publication called The Northern View.
The loss of The Daily News will be keenly felt in the community and I hope that some accomodation can be reached that means we continue to have our local paper. Alas, the global depression that has engulfed print media over the last ten years appears to have claimed another victim.
Tuesday, June 1, 2010
Joint venture with BCSPCA
As of June 1st 2010 I am extending my existing Charitable Donation Scheme to the General Public. I recently began offering members of the RCMP, Coastguard, Canada Border Services Agency, Northern Health Authority and the Fire Department a donation of $250 to a charity of their choosing for using my Realty services, either as a buyer or a seller.
From now on, I will donate $250 to the Prince Rupert branch of the BCSPCA for every completed home sale I handle. I have supported the BCSPCA for the last seven years with my quiz nights at the Moose and this is my way of giving back to an organization that is in dire need of additional funding.
There are no strings attached to this offer. If you find a home as a buyer using my services or sell a home with me as your Realtor then BCSPCA will receive $250.
All of the monies raised stay in Prince Rupert for the benefit of Prince Rupert’s citizens, two and four legged.
From now on, I will donate $250 to the Prince Rupert branch of the BCSPCA for every completed home sale I handle. I have supported the BCSPCA for the last seven years with my quiz nights at the Moose and this is my way of giving back to an organization that is in dire need of additional funding.
There are no strings attached to this offer. If you find a home as a buyer using my services or sell a home with me as your Realtor then BCSPCA will receive $250.
All of the monies raised stay in Prince Rupert for the benefit of Prince Rupert’s citizens, two and four legged.
Tuesday, May 4, 2010
Potash industry in startling recovery
The link below is very interesting for anyone interested in the overall outlook for the potash industry.
To summarise; potash has rapidly returned to profit after the recession. Future investment plans are being revisited. We still await good news for Prince Rupert but this economic news about potash can only bode well.
http://www.potashcorp.com/news/949/
To summarise; potash has rapidly returned to profit after the recession. Future investment plans are being revisited. We still await good news for Prince Rupert but this economic news about potash can only bode well.
http://www.potashcorp.com/news/949/
Friday, April 23, 2010
Indications remain positive for Rupert economy as Prince Rupert Port Authority announces record first quarter and new industrial investment begins
Good news. Prince Rupert Port Authority has announced record traffic numbers for the first quarter of 2010. The port handled 87% more traffic in the first three months of 2010 compared to last year. Overall, container traffic in 2009 increased 46% against an industry average drop of 15%. Government also rejoiced at this North Coast success story as the total tax collected from these efforts was $35 million last year alone. Plans for further expansion are already well advanced as the Port looks towards a long term target of diversifying the present operations into bulk handling, general cargo and a state of the art logistics centre by 2020. In terms of jobs, the port has so far created 2,720 full time jobs (1,300 in direct operations) and has a long term target of a staggering 9,100 by 2020.
There can now be no doubt that this project is here to stay and will provide long term prosperity for Prince Rupert and its citizens.
Spin off industries are now beginning to evolve as evidenced by the activities out at the industrial park. The old sawmill site is now home to a new debarker which will greatly increase the range of log sizes that will be available to the export market. With the world economy recovering from the recession this is another positive example of a Rupert company looking towards the future with optimism.
News concerning the Pulp Mill and Canpotex is now eagerly awaited.
There can now be no doubt that this project is here to stay and will provide long term prosperity for Prince Rupert and its citizens.
Spin off industries are now beginning to evolve as evidenced by the activities out at the industrial park. The old sawmill site is now home to a new debarker which will greatly increase the range of log sizes that will be available to the export market. With the world economy recovering from the recession this is another positive example of a Rupert company looking towards the future with optimism.
News concerning the Pulp Mill and Canpotex is now eagerly awaited.
Wednesday, April 7, 2010
Prince Rupert Transportation Links - benefits to business
An interesting report detailing exactly how the various transportation options available operate within Prince Rupert and beyond. Vital information for anyone planning to invest in Prince Rupert's growing future. Please follow the following link and find the report entitled Prince Rupert Transportation Links Profile.
www.predc.ca
www.predc.ca
Tuesday, March 30, 2010
Real Estate Update March 30th 2010
Hurry up and wait.
There is, as usual, three types of news; Good News, Bad News and No News.
The good news is that the market has picked up in the last couple of weeks. We have gone from stagnant to trickling in very short order. We are a long way from raging busy but at least there are signs of life at last.
The bad news is that interest in investment properties remains low. A few tentative enquiries from out of town but nothing that has led to any activity. This is true for residential property such as duplexes and commercial property both storefront and otherwise. Everyone appears to still be waiting for the good news regarding Ports, Potash and Pulp Mills.
The No News is regarding Ports, Potash and Pulp Mills.
No News about the second phase of Prince Rupert Port going ahead.
No News about Canpotex investing in Prince Rupert.
No News about the bids for the Pulp Mill.
This means that the associated industries that would spring up to support these major projects are also on hold awaiting confirmation of one, some or all of the above.
If we do get all three announced this year I imagine I will be having a very busy time!
As things develop I will update you and my blog.
Many thanks,
Keith Lambourne
There is, as usual, three types of news; Good News, Bad News and No News.
The good news is that the market has picked up in the last couple of weeks. We have gone from stagnant to trickling in very short order. We are a long way from raging busy but at least there are signs of life at last.
The bad news is that interest in investment properties remains low. A few tentative enquiries from out of town but nothing that has led to any activity. This is true for residential property such as duplexes and commercial property both storefront and otherwise. Everyone appears to still be waiting for the good news regarding Ports, Potash and Pulp Mills.
The No News is regarding Ports, Potash and Pulp Mills.
No News about the second phase of Prince Rupert Port going ahead.
No News about Canpotex investing in Prince Rupert.
No News about the bids for the Pulp Mill.
This means that the associated industries that would spring up to support these major projects are also on hold awaiting confirmation of one, some or all of the above.
If we do get all three announced this year I imagine I will be having a very busy time!
As things develop I will update you and my blog.
Many thanks,
Keith Lambourne
Monday, March 29, 2010
How does HST affect Real Estate?
The BC government announced on July 23, 2009 that BC would harmonize its 7 percent PST with the GST to create a 12 percent HST on most GST-taxable goods and services provided in BC.
The HSTs will generally apply to the same tax base as the GST, with some exceptions.
The HST will be federally administered by the Canada Revenue Agency (CRA). GST/HST registered businesses will only be required to file one GST/HST return and there will be one audit.
How will Sales Tax Harmonization affect Real Estate transactions?
The sales tax treatment of GST registered REALTORS® services will change. GST registered REALTORS® will be automatically registered for the HST. Rather than REALTORS® commissions being subject to GST at the rate of 5 percent, REALTORS® commissions for services in Ontario and British Columbia will generally be subject to HST at the rates of 13 and 12 percent respectively.
When will the HST Apply to REALTORS® Services?
As mentioned, HST will generally apply to the same tax base as the current HST. Also, GST registered REALTORS® will be automatically registered for the HST. As a result, REALTORS® will apply HST to the fees for their services that are currently subject to GST.
Still, GST/HST registered REALTORS® will need to take into account the province in which their services are performed and the timing of their services during the transitional period for purposes of determining whether GST or HST applies.
Place of Supply
At the date of writing this article, Ontario and BC have not published the technical rules explaining how a GST/HST registrant is to determine if a good or service is supplied in or outside Ontario or BC. However, based on the rules that were implemented for sales tax harmonization in Quebec and BC, we can make some reasonable assumptions about how the place of supply of REALTORS® services will be determined for Ontario and BC HST purposes.
The HST will likely apply to REALTORS® services based on the location of the real property to which the REALTORS® services relate. For example, Ontario HST will apply to a REALTORS® commission for services in respect of a house sale in Ottawa, Ontario.
Transitional Rules
Ontario and BC recently released general transitional rules for the HST. These rules explain how HST will apply to transactions that straddle the start-up date. For purposes of the following discussion, it is assumed that a REALTORS® commission becomes due or is paid when the property is sold or leased.
The HST would generally apply to REALTORS® services to the extent, expressed as a percentage, that the services are performed on or after July 1, 2010. However, if 90 percent or more of the services are performed before July 1, 2010, the HST will not apply.
For example, a REALTORS® services are performed from June 1, 2010 to July 2, 2010 with the sale of the property closing on July 2, 2010. The REALTORS® commission becomes due at that time of closing. More than 90 percent of the REALTORS® services were performed before July 1, 2010. In these circumstances, the GST at the rate of 5 percent will apply to the REALTORS® services.
In another example, a REALTORS® services are performed from May 1, 2010 to July 31, 2010 with the sale of the property closing on July 31, 2010. The REALTORS® commission becomes due at that time. In this case, two thirds of the services were performed from May 1, 2010 to June 30, 2010 and one third of the services were performed from July 1, 2010 to July 31, 2010. The REALTORS® will charge GST on two thirds of the amount charged for the services and HST on the remaining third.
Will REALTORS® Recover the HST they Pay on their Costs?
REALTORS® will generally be able to claim ITCs for the HST on their purchases on the same basis as the current GST system.
What is the Impact of HST on Real Estate Transactions?
The HST treatment of real estate transactions will generally follow the current GST treatment of real estate transactions. Sales of used residential housing and long-term rentals of residential housing will be exempt for HST purposes. Sales of new residential housing will be subject to HST and will qualify for GST, HST, and transitional rebates (subject to certain thresholds and maximum amounts). Sales and rentals of commercial real property will be subject to HST.
The HSTs will generally apply to the same tax base as the GST, with some exceptions.
The HST will be federally administered by the Canada Revenue Agency (CRA). GST/HST registered businesses will only be required to file one GST/HST return and there will be one audit.
How will Sales Tax Harmonization affect Real Estate transactions?
The sales tax treatment of GST registered REALTORS® services will change. GST registered REALTORS® will be automatically registered for the HST. Rather than REALTORS® commissions being subject to GST at the rate of 5 percent, REALTORS® commissions for services in Ontario and British Columbia will generally be subject to HST at the rates of 13 and 12 percent respectively.
When will the HST Apply to REALTORS® Services?
As mentioned, HST will generally apply to the same tax base as the current HST. Also, GST registered REALTORS® will be automatically registered for the HST. As a result, REALTORS® will apply HST to the fees for their services that are currently subject to GST.
Still, GST/HST registered REALTORS® will need to take into account the province in which their services are performed and the timing of their services during the transitional period for purposes of determining whether GST or HST applies.
Place of Supply
At the date of writing this article, Ontario and BC have not published the technical rules explaining how a GST/HST registrant is to determine if a good or service is supplied in or outside Ontario or BC. However, based on the rules that were implemented for sales tax harmonization in Quebec and BC, we can make some reasonable assumptions about how the place of supply of REALTORS® services will be determined for Ontario and BC HST purposes.
The HST will likely apply to REALTORS® services based on the location of the real property to which the REALTORS® services relate. For example, Ontario HST will apply to a REALTORS® commission for services in respect of a house sale in Ottawa, Ontario.
Transitional Rules
Ontario and BC recently released general transitional rules for the HST. These rules explain how HST will apply to transactions that straddle the start-up date. For purposes of the following discussion, it is assumed that a REALTORS® commission becomes due or is paid when the property is sold or leased.
The HST would generally apply to REALTORS® services to the extent, expressed as a percentage, that the services are performed on or after July 1, 2010. However, if 90 percent or more of the services are performed before July 1, 2010, the HST will not apply.
For example, a REALTORS® services are performed from June 1, 2010 to July 2, 2010 with the sale of the property closing on July 2, 2010. The REALTORS® commission becomes due at that time of closing. More than 90 percent of the REALTORS® services were performed before July 1, 2010. In these circumstances, the GST at the rate of 5 percent will apply to the REALTORS® services.
In another example, a REALTORS® services are performed from May 1, 2010 to July 31, 2010 with the sale of the property closing on July 31, 2010. The REALTORS® commission becomes due at that time. In this case, two thirds of the services were performed from May 1, 2010 to June 30, 2010 and one third of the services were performed from July 1, 2010 to July 31, 2010. The REALTORS® will charge GST on two thirds of the amount charged for the services and HST on the remaining third.
Will REALTORS® Recover the HST they Pay on their Costs?
REALTORS® will generally be able to claim ITCs for the HST on their purchases on the same basis as the current GST system.
What is the Impact of HST on Real Estate Transactions?
The HST treatment of real estate transactions will generally follow the current GST treatment of real estate transactions. Sales of used residential housing and long-term rentals of residential housing will be exempt for HST purposes. Sales of new residential housing will be subject to HST and will qualify for GST, HST, and transitional rebates (subject to certain thresholds and maximum amounts). Sales and rentals of commercial real property will be subject to HST.
Monday, February 15, 2010
Why should I invest in Prince Rupert?
There is an old adage for Stock Market investment; buy on the rumour, sell on the news. The majority of my previous blogs deal with the potential large scale investments that will, if they all succeed, herald a new beginning for Prince Rupert.
This blog serves as a brief summary of the facts as they stand today.
1. Prince Rupert Port Authority. Prince Rupert's new port has been a great success. In 2009, whilst every port on the West Coast of Continental North America lost volume, Prince Rupert increased theirs by 45%. The owners, Maher Terminals are already planning an expansion programme that should begin in 2011. The port has two major advantages; 38 hours closer sailing time to Asia and the third deepest natural harbour in the World.
2. Canpotex. Canpotex, a multi-billion dollar company that exports potash around the World, is considering locating a new export facility in Prince Rupert. If they choose Prince Rupert the immediate benefit to the local economy will be in construction but the real benefit is the long term employment once the site is operational. It is felt that if Canpotex chooses Prince Rupert other companies will follow.
3. Watson Island Pulp Mill. The Pulp Mill has not been operational for ten years. The City of Prince Rupert now own it and have put it up for sale for $13M. They have had six bids and are in the process of deciding which one to accept.
4. Buyer's market. Prince Rupert is still a buyer's market for Real Estate but signs are that this is changing. The amount of property on the market has decreased markedly in the last four months due to two significant factors;
the speculation has resulted in the renovation properties up to $100,000 being bought by Flippers; people are waiting for the announcements regarding these investments to be confirmed before listing their properties in order to realise a better sale price.
Conclusion: There is a best case, medium case and worst case scenario;
Best Case: All of the potential investments happen and the local Real Estate market booms.
Medium Case: Only one of the investments happen and the local Real Estate market increases substantially from its low.
Worst Case: None of the investments happen and Prince Rupert carries on as it presently is.
Opinion: There is too much interest from too many major players for Prince Rupert not to have a bright future. The fact is that if we can attract one big name the rest will assuredly follow.
This blog serves as a brief summary of the facts as they stand today.
1. Prince Rupert Port Authority. Prince Rupert's new port has been a great success. In 2009, whilst every port on the West Coast of Continental North America lost volume, Prince Rupert increased theirs by 45%. The owners, Maher Terminals are already planning an expansion programme that should begin in 2011. The port has two major advantages; 38 hours closer sailing time to Asia and the third deepest natural harbour in the World.
2. Canpotex. Canpotex, a multi-billion dollar company that exports potash around the World, is considering locating a new export facility in Prince Rupert. If they choose Prince Rupert the immediate benefit to the local economy will be in construction but the real benefit is the long term employment once the site is operational. It is felt that if Canpotex chooses Prince Rupert other companies will follow.
3. Watson Island Pulp Mill. The Pulp Mill has not been operational for ten years. The City of Prince Rupert now own it and have put it up for sale for $13M. They have had six bids and are in the process of deciding which one to accept.
4. Buyer's market. Prince Rupert is still a buyer's market for Real Estate but signs are that this is changing. The amount of property on the market has decreased markedly in the last four months due to two significant factors;
the speculation has resulted in the renovation properties up to $100,000 being bought by Flippers; people are waiting for the announcements regarding these investments to be confirmed before listing their properties in order to realise a better sale price.
Conclusion: There is a best case, medium case and worst case scenario;
Best Case: All of the potential investments happen and the local Real Estate market booms.
Medium Case: Only one of the investments happen and the local Real Estate market increases substantially from its low.
Worst Case: None of the investments happen and Prince Rupert carries on as it presently is.
Opinion: There is too much interest from too many major players for Prince Rupert not to have a bright future. The fact is that if we can attract one big name the rest will assuredly follow.
Multi-Billion Dollar company looks to invest in Prince Rupert
Canpotex – The story so far
Who are Canpotex? Canpotex is the marketing arm of the three largest potash producers in Canada – Agrium, Mosaic and The Potash Corporation of Saskatchewan.
What is potash? Potash is a naturally occurring mineral that is primarily used in fertilizers.
What is the market? Huge. The worth of these three companies is measured in the Billions. Asia and particularly China is a massive importer of potash.
What has Canpotex got to do with Prince Rupert? The Asian market for potash is already large but is forecast to expand as the Chinese economy continues to grow. Potash is used to grow food so demand is always in existence. Canpotex has plans to expand its West Coast shipping capacity to meet this demand. They have been looking at two possible solutions;expanding an existing site in Vancouver or building a new terminal in Prince Rupert.
Why would Canpotex choose Prince Rupert over Vancouver? Surely expanding the existing site in Vancouver would be cheaper than constructing a new facility in Prince Rupert? According to Canpotex, the costs of expansion in Vancouver are roughly the same as the costs of building a brand new facility in Prince Rupert. Prince Rupert has several advantages over Vancouver:
1. Prince Rupert is 38 hours closer sailing to Asia than any other West Coast port in continental North America.
2. Prince Rupert has a very skilled and very loyal work force. My opinion is that labour can be sourced in Rupert that would stay with Canpotex for a long time. In Vancouver the job market is much larger so workers tend to change jobs more often. I believe that the benefits of worker loyalty will form a significant part of Canpotex’s decision making process.
3. Prince Rupert’s pool of skilled workers is already high, however the recent closure of the Eurocan Pulp Mill in Kitimat has put an additional 500 skilled workers into the local area jobs marketplace.
4. A public meeting was held at the local theatre six months ago where representatives from Canpotex, CN Rail and Prince Rupert Port Authority answered questions about the proposed site in Prince Rupert. The capacity of the theatre is 700. 700 people showed up with an overwhelming show of support for the project. The citizens of Prince Rupert are firmly behind this project and will do all they can to ensure its success.
5. An understanding has been reached between Canpotex, Provincial and Federal Government and First Nations that resolves all land issues enabling Canpotex to proceed with the project in Prince Rupert.
The original timetable discussed at the public meeting gave a date of December 2009 as when an announcement would be made regarding the location of the new facility. This announcement has been delayed, probably due to the volatility of the post-recession world economy.
Conclusion: The introduction of a large operation like Canpotex to Prince Rupert will be a massive boost to our city. Not only will there be an influx of jobs as a direct result of their entry into Prince Rupert but the message will be sent to the world marketplace that Prince Rupert is open for business. The extraordinary success of Prince Rupert Port proves to the world that big business can operate effectively, efficiently and profitably from our wonderful city and as the public meeting showed, the residents of Prince Rupert are ready to welcome Canpotex with open arms. I am hopeful that the extensive list of benefits that Prince Rupert possesses will be sufficient to persuade Canpotex to locate their new facility here.
Who are Canpotex? Canpotex is the marketing arm of the three largest potash producers in Canada – Agrium, Mosaic and The Potash Corporation of Saskatchewan.
What is potash? Potash is a naturally occurring mineral that is primarily used in fertilizers.
What is the market? Huge. The worth of these three companies is measured in the Billions. Asia and particularly China is a massive importer of potash.
What has Canpotex got to do with Prince Rupert? The Asian market for potash is already large but is forecast to expand as the Chinese economy continues to grow. Potash is used to grow food so demand is always in existence. Canpotex has plans to expand its West Coast shipping capacity to meet this demand. They have been looking at two possible solutions;expanding an existing site in Vancouver or building a new terminal in Prince Rupert.
Why would Canpotex choose Prince Rupert over Vancouver? Surely expanding the existing site in Vancouver would be cheaper than constructing a new facility in Prince Rupert? According to Canpotex, the costs of expansion in Vancouver are roughly the same as the costs of building a brand new facility in Prince Rupert. Prince Rupert has several advantages over Vancouver:
1. Prince Rupert is 38 hours closer sailing to Asia than any other West Coast port in continental North America.
2. Prince Rupert has a very skilled and very loyal work force. My opinion is that labour can be sourced in Rupert that would stay with Canpotex for a long time. In Vancouver the job market is much larger so workers tend to change jobs more often. I believe that the benefits of worker loyalty will form a significant part of Canpotex’s decision making process.
3. Prince Rupert’s pool of skilled workers is already high, however the recent closure of the Eurocan Pulp Mill in Kitimat has put an additional 500 skilled workers into the local area jobs marketplace.
4. A public meeting was held at the local theatre six months ago where representatives from Canpotex, CN Rail and Prince Rupert Port Authority answered questions about the proposed site in Prince Rupert. The capacity of the theatre is 700. 700 people showed up with an overwhelming show of support for the project. The citizens of Prince Rupert are firmly behind this project and will do all they can to ensure its success.
5. An understanding has been reached between Canpotex, Provincial and Federal Government and First Nations that resolves all land issues enabling Canpotex to proceed with the project in Prince Rupert.
The original timetable discussed at the public meeting gave a date of December 2009 as when an announcement would be made regarding the location of the new facility. This announcement has been delayed, probably due to the volatility of the post-recession world economy.
Conclusion: The introduction of a large operation like Canpotex to Prince Rupert will be a massive boost to our city. Not only will there be an influx of jobs as a direct result of their entry into Prince Rupert but the message will be sent to the world marketplace that Prince Rupert is open for business. The extraordinary success of Prince Rupert Port proves to the world that big business can operate effectively, efficiently and profitably from our wonderful city and as the public meeting showed, the residents of Prince Rupert are ready to welcome Canpotex with open arms. I am hopeful that the extensive list of benefits that Prince Rupert possesses will be sufficient to persuade Canpotex to locate their new facility here.
Six bids for defunct Pulp Mill meet $13.5M asking price
The City of Prince Rupert, who took over ownership of Watson Island Pulp Mill in Port Edward following Sun Wave's inability (or unwillingness) to pay their outstanding property tax bill, have received six offers to purchase that meet the $13.5M asking price.
Details of the bidders are a closely guarded secret although Lax Kw'alaams Band has made their involvement public knowledge.
The site, one of the few deep water harbourages in North America with direct docking access to land plus a railway line going into the middle of the site, is situated 15 highway kilometres from the new port development in Prince Rupert. The hope of the citizens of Prince Rupert and Port Edward is that whoever the City eventually sell the site to it will provide some long-term, well paid permanent jobs. The old Pulp Mill employed 650 people in its prime and whilst it is probably overly optimistic to assume that that many jobs will be created by whatever new enterprise buys the site, the fact that six bids have been received surely bodes well for future employment.
The City of Prince Rupert is still poring over the respective bids and are 100% leak free on who the bidders are.
The interest in this sale is not restricted to the citizens of Prince Rupert and Port Edward. Speculative purchases of property which have dried up in the last two years are beginning to pick up again as investors realise that in order to achieve the best return on investment they have to buy on the rumour and sell on the news.
With the Watson Island Pulp Mill sale in the pipeline and continued optimism surrounding the potential investment in Prince Rupert by Canpotex, what other companies that we have not heard about are in the background waiting to take advantage of all the geographical advantages that Prince Rupert has to offer?
Details of the bidders are a closely guarded secret although Lax Kw'alaams Band has made their involvement public knowledge.
The site, one of the few deep water harbourages in North America with direct docking access to land plus a railway line going into the middle of the site, is situated 15 highway kilometres from the new port development in Prince Rupert. The hope of the citizens of Prince Rupert and Port Edward is that whoever the City eventually sell the site to it will provide some long-term, well paid permanent jobs. The old Pulp Mill employed 650 people in its prime and whilst it is probably overly optimistic to assume that that many jobs will be created by whatever new enterprise buys the site, the fact that six bids have been received surely bodes well for future employment.
The City of Prince Rupert is still poring over the respective bids and are 100% leak free on who the bidders are.
The interest in this sale is not restricted to the citizens of Prince Rupert and Port Edward. Speculative purchases of property which have dried up in the last two years are beginning to pick up again as investors realise that in order to achieve the best return on investment they have to buy on the rumour and sell on the news.
With the Watson Island Pulp Mill sale in the pipeline and continued optimism surrounding the potential investment in Prince Rupert by Canpotex, what other companies that we have not heard about are in the background waiting to take advantage of all the geographical advantages that Prince Rupert has to offer?
Tuesday, February 2, 2010
2009 real estate statistics for Northern BC
Residential Activity
Resale housing activity in the area served by the BC Northern Real Estate Board posted the first increase in sales in 10 quarters in the fourth quarter of 2009.
Home sales numbered 852 units in the fourth quarter, jumping 33 per cent from year-ago levels. This is the largest increase in more than five years, and is a result of strong gains in all three months of the quarter, particularly the 65 per cent increase in December.
Seasonally adjusted activity was up 15 per cent on a quarterly basis (seasonal adjustment removes normal seasonal fluctuations). Building on two consecutive increases, seasonally adjusted activity now stands 51 per cent above the low from the beginning of the year.
Annual home sales activity declined 10 per cent from 2008, numbering 3,618 units.
Active listings declined year-over-year in the fourth quarter. Combined with a sharp rebound in sales activity, this resulted in a tighter market for single detached homes compared to the fourth quarter of 2008.
With a tighter market in almost all areas served by the BC Northern Real Estate Board, homebuyers took less time to shop.
The median sale price for single detached homes was $230,000 in the fourth quarter of 2009, four per cent above year-ago levels. This is the highest median price for the fourth quarter period.
Median sale prices rose on a year-over-year basis in Prince George, Fort St. John, 100 Mile House, Williams Lake, and Smithers, and were down from year-ago levels in all other areas. The median sale price remains highest in Fort St. John.
In Prince Rupert the median sale price of a residential house in Qtr 4 2009 was $163,000, down from Qtr 4 2008's figure of $176,750. The consensus of opinion is that the bottom of the market has now been reached and that this years buying season will see a return to a balanced market from a buyer's market.
Resale housing activity in the area served by the BC Northern Real Estate Board posted the first increase in sales in 10 quarters in the fourth quarter of 2009.
Home sales numbered 852 units in the fourth quarter, jumping 33 per cent from year-ago levels. This is the largest increase in more than five years, and is a result of strong gains in all three months of the quarter, particularly the 65 per cent increase in December.
Seasonally adjusted activity was up 15 per cent on a quarterly basis (seasonal adjustment removes normal seasonal fluctuations). Building on two consecutive increases, seasonally adjusted activity now stands 51 per cent above the low from the beginning of the year.
Annual home sales activity declined 10 per cent from 2008, numbering 3,618 units.
Active listings declined year-over-year in the fourth quarter. Combined with a sharp rebound in sales activity, this resulted in a tighter market for single detached homes compared to the fourth quarter of 2008.
With a tighter market in almost all areas served by the BC Northern Real Estate Board, homebuyers took less time to shop.
The median sale price for single detached homes was $230,000 in the fourth quarter of 2009, four per cent above year-ago levels. This is the highest median price for the fourth quarter period.
Median sale prices rose on a year-over-year basis in Prince George, Fort St. John, 100 Mile House, Williams Lake, and Smithers, and were down from year-ago levels in all other areas. The median sale price remains highest in Fort St. John.
In Prince Rupert the median sale price of a residential house in Qtr 4 2009 was $163,000, down from Qtr 4 2008's figure of $176,750. The consensus of opinion is that the bottom of the market has now been reached and that this years buying season will see a return to a balanced market from a buyer's market.
Tuesday, January 26, 2010
More upbeat economic news for Prince Rupert
If you are unfamiliar with the City of Prince Rupert allow me to paint a short picture for you.
Prince Rupert is situated on the North West coast of British Columbia in Canada. Ten years ago the largest employer closed leaving the city in a perilous position. The population declined from 17000 to 10000 as people left looking for work.
Three years ago the New Container Port of Prince Rupert opened. Taking advantage of the gifts geography provided (Prince Rupert is 38 hours sailing closer to China than any other West Coast port in North America) the Port of Prince Rupert has gone from strength to strength.
In 2009, during the worst recession in living memory, Prince Rupert Port Authority saw a staggering increase in container traffic of 45.9%. Plans are well advanced to expand the port and the much vaunted second phase is scheduled to begin construction in 2011. In addition, the CEO of PRPA, Don Krusel, is in ongoing talks with a variety of businesses about setting up shop here in Prince Rupert.
Given the turbulent recent history of this incredible city it is gratifying that the boom years appear to be returning to the North Coast.
The recession had the same effect on Real Estate prices in Prince Rupert as they did everywhere else; prices are 15-20% lower than their high two years ago. This high is nowhere near the elevated prices of Vancouver and the rest of the lower mainland - the average selling price in 2009 for a detached house was $173,500. These bargain rates are not forecast to be available for long.
More detailed information is available all over the place but a good place to start, unsurprisingly, is my website which has links to the City of Prince Rupert and a whole host of other information sources. www.realestateprincerupert.com
Prince Rupert is situated on the North West coast of British Columbia in Canada. Ten years ago the largest employer closed leaving the city in a perilous position. The population declined from 17000 to 10000 as people left looking for work.
Three years ago the New Container Port of Prince Rupert opened. Taking advantage of the gifts geography provided (Prince Rupert is 38 hours sailing closer to China than any other West Coast port in North America) the Port of Prince Rupert has gone from strength to strength.
In 2009, during the worst recession in living memory, Prince Rupert Port Authority saw a staggering increase in container traffic of 45.9%. Plans are well advanced to expand the port and the much vaunted second phase is scheduled to begin construction in 2011. In addition, the CEO of PRPA, Don Krusel, is in ongoing talks with a variety of businesses about setting up shop here in Prince Rupert.
Given the turbulent recent history of this incredible city it is gratifying that the boom years appear to be returning to the North Coast.
The recession had the same effect on Real Estate prices in Prince Rupert as they did everywhere else; prices are 15-20% lower than their high two years ago. This high is nowhere near the elevated prices of Vancouver and the rest of the lower mainland - the average selling price in 2009 for a detached house was $173,500. These bargain rates are not forecast to be available for long.
More detailed information is available all over the place but a good place to start, unsurprisingly, is my website which has links to the City of Prince Rupert and a whole host of other information sources. www.realestateprincerupert.com
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