Interest Rates Low for Q3 in Vancouver, BC
commercial real estate blog vancouver bc, commercial real estate vancouver bc
Vancouver Crushes the Rest of Canada with the Highest Hotel Prices
Tags:
(Posted on Apr 16, 2016 at 01:00PM by Michelle Bogle)
British Columbia’s hotel market is hot right now – so hot, that it’s putting other provinces to shame with its nation-leading, strong transaction activity of $612 million – a property sales spike of 216%.Â
Â
Our province is also home to the highest “per-key†prices in the country with an average sale price of $269,400 per room. This figure is more than doubled that of neighbouring Alberta.
Â
In 2015 alone, there were a number of record breaking hotel transactions – including the $180 million purchase of the Fairmont Hotel Vancouver and the $290 million sale of the Westin Bayshore. The Bayshore transaction is unique, as it is widely considered a land transaction. The hotel and its six-acre Coal Harbour site were bought by residential developer Concord Pacific.
Â
What is contributing to this success? For one, asset appreciation has played a large role with Vancouver’s real estate values experiencing rapid growth. The lower Canadian dollar has also increased tourism within Vancouver, which has created more demand within the hospitality asset class.
Â
The outlook for the Vancouver hotel market continues to stay positive. Overall, hotels will remain a thriving asset class in 2016, thanks to Canada’s awareness on the global scale for attracting travelers (individual, business and group) and the interest of cross-border investors, who are honing in on major urban markets.
Â
For more information on Vancouver’s hospitality asset class, please contact our office to speak to our skilled team of advisors.
Â
Powered by Webstager