New sales gain steam in spring

While sales at new multi-family developments in the Calgary area are down from the same months in 2017, activity rallied from the previous quarter.

For new townhomes, and apartment-style condos at both wood frame and concrete developments in the Calgary area — which includes Airdrie and Cochrane — there were 811 sales combined, between March 1 and the end of May, says Urban Analytics. This is the second quarter of the market research and advisory firm’s reporting period for the year.

Activity from last quarter surged 28 per cent from the previous three months, when there were 634 multi-family sales.

“It’s consistent with trends in Calgary where you see that the second quarter of the year is typically stronger,” says Kimberly Poffenroth, vice-president of business development and market analysis for Urban Analytics. “Buyers come out of the winter months and start looking at their options once again.”

Launches also played a role, including, among others, new releases in the south with Auburn Rise by Logel Homes, the north with August by Avi Urban, Skyview Landing by Carlisle Group, and Sage Hill Park by Brad Remington Homes, and the inner-city with The Annex by Minto.

“I think the number of launches was appropriate to where the market is at right now,” says Poffenroth. “The new product that was launched lately has come in at appropriate price points and appropriate unit mixes, which is a positive sign to see in the market. (They’re) not projects that we’re worried about being absorbed.”

Multi-family sales last quarter slid from 934 year over year, but outpaced totals from the same time in 2016 and 2015, where there were 715 and 792, respectively.