Becoming a major player
Once just a fraction of the market, condos are here to stay
Oh, how the times have changed. It wasn’t that long ago that condominiums were just a bit player on the Ottawa scene.
As little as a decade ago, they barely scraped together five per cent of the new home market. But Ottawa has grown up and condos have joined the big boys.
In an effort to find out which floor plans were the most popular last year, more than 30 builders were polled to offer up their top sellers. Of the 28 who responded, there was an almost even split between condos, townhomes and single-family homes, a result that mirrors the new-home sales numbers gathered by industry analyst Ron Desjardins.
Those three housing types each had about 30 per cent of the market in 2012, says Desjardins, vicepresident of PMA Brethour. For condos, it’s a coming of age. “In the last two years, they’ve really captured a third of the Ottawa new-home market — quite a change,” says Desjardins.
It’s a bit of a snowball effect, he says, and a reflection of the change in our demographic that began in the late ’90s, with immigrants more familiar with living in a denser environment and young professionals attracted by the high-tech sector who were looking for lifestyle rather than living in the suburbs.
But it wasn’t until roughly four years ago that condos “really got going,” reaching about 15 per cent of the market.
“It’s been growing steadily ever since to where it is today.”
Overall, there were 4,027 newhome sales last year, which was down considerably from previous years, he says. But the condo market mostly held its ground with 1,166 units sold versus 1,533 last year (that’s a drop of one percentage point to 29 per cent).
“Our new-home market started off flat in January and never really recovered except for maybe in October and November; we had a little bit of a blip when we had some strong condo sales, especially Minto@lansdowne and Upperwest.”
Desjardins says that in the central area in particular, lower numbers can be partly attributed to a supply issue (or fewer condo releases) compared to the year before. There are about 35 active projects in the marketplace today, “which is significant,” he says. He expects another small decline for 2013.
Although consumer confidence is up and there are “a ton of first-time buyer opportunities out there” — 90 per cent of people under age 25 are renters as well as 62 per cent of those in the 25-34 age group — he notes that recent changes to mortgage rules make it harder for firsttime buyers, the ones often attracted to condos, to qualify for mortgages.
And the prediction that baby boomers will sell their big homes in the suburbs and flock to downtown condos?
“All the research tells us that the 55-plus stay in place for five to 10 years. The vast majority stay in place until health drives them out,” he says. “If people think that the vast majority of that boomer market’s going to move, that’s not going to happen. But more and more will.”
Nevertheless, condos, he says, are “here to stay.”
In the second of three parts, here are the condo designs that were the most popular last year.
LAMB, SOBA
Brad Lamb’s ultra-modern SoBa project at Bank and Catherine streets launched in October with the Toronto-based developer on hand to get things started. Two months later, close to 40 per cent of the 240 units had been sold.
The most popular plan so far? A wide and shallow one-bedroom plusthat’s also a corner unit and features two balconies.
“In all, you have over 39 feet of windows on the east side of the unit and over 13 feet of windows on the south side,” says spokesman Ryan Spencer.
The 730-square-foot unit offers nine-foot exposed concrete ceilings, a European-style kitchen and a blend of engineered hardwood, ceramic and porcelain tile on the floors. Half of the units featuring this floor plan have sold so far, Spencer says.
DOMICILE
Vice-president of marketing and sales David Chick just couldn’t narrow it down to one choice.
“To say that one model over another sells better is a bit of a difficult question because so many other factors are involved,” he says. (It’s an issue many of the builders had, especially because floor plan options are not as flexible as they are in a low-rise subdivision.)
The best he could do was note that sales last year were split 60 per cent in favour of two-bedroom units to 40 per cent for one bedroom at Domicile’s three top projects: The Kavanaugh; one3one and hõm. And he offered some observations on what buyers are being drawn to, including large terraces, one-bedroom-plusden layouts (especially where there is generous dining space and a spacious bedroom), the ability to combine units and good storage space.
URBAN CAPITAL CENTRAL 2, HIDEAWAY
Going with what worked well at its Central 1 project across the street, Urban Capital reproduced one particular layout in three sizes for its Central 2 and Hideaway condos at Bank and McLeod streets and “it has proved to be the bestseller yet again,” says development director Taya Cook. It’s also the layout that was chosen for the model suite built in the sales centre.
In sizes ranging from 549 to 615 square feet, the one-bedroom-plusden works for both individuals or couples, she says. The mid-size 609-square-foot version sold the most, followed by the largest, then the smallest, combining for almost 40 per cent of units sold last year.
“Great views of either the city or the building’s exterior pool retreat, along with fantastic interior finishes, make this unit a winner.”
The layout features an open-concept living area with European-style kitchen and three-panel sliding wall to either open up or give privacy in the bedroom. It starts at $265,900.
WINDMILL, CATHEDRAL HILL
For Windmill’s Cathedral Hill, location was key in determining the top seller last year. An elegant 21-storey tower and townhomes being built on the grounds of Christ Church Cathedral at Bronson Avenue and Sparks Street, the ultragreen project offers 140 units and is expected to be ready in about a year and a half.
Two floor plans in particular sold out the fastest, both on the north face of the building with unimpeded views of the Ottawa River, Parliament Hill and Gatineau, says managing partner Jonathan Westeinde.
“All our suites have fantastic views so we are having to educate buyers that the north face is not the only location in the building,” he says.
The Grande Portage is a 1,422-square-foot, two-bedroomplus den designed on a curve in the building for a unique terrace space and windows on two sides. Next door, the one-bedroom Vista also offers two walls of windows in 722 square feet. Together, they represented about 30 per cent of sales.
Cathedral Hill also features European-style kitchens, low-VOC materials and a plethora of amenities.
EQ HOMES, FOXWOOD
In Kanata, they were selling like hotcakes. EQ Homes saw such enthusiastic response when it first launched Foxwood in late 2011 that the company kept releasing units in the cluster of low-rise buildings, selling out all 96 in a mere six weeks.
It was a product and a location that had little competition, coupled with a demand for downsizing options for those who wanted to stay in the community, says marketing manager John Montpetit.
Now under construction, there will be eight buildings in all, each three storeys high with four units per floor, which means every unit is a corner unit. There’s also underground parking and elevators in all buildings, a plus for buyers.
Montpetit says it’s not so much one floor plan that stood out, it was the whole project. But although there were an equal number of units and therefore no top seller, he did note that one layout was requested the most: the Maple.
“People would camp overnight to
‘Great views of either the city or the building’s exterior pool retreat, along with fantastic interior finishes, make this unit a winner.’
TAYA COOK
Urban Capital development director
try to get that one.”
It was the largest of the plans offered, a 1,259-square-foot, two-bedroom-plus-den.
EQ Homes is offering a similar project to Foxwood in its eQuinelle development in Kemptville, known as The Masters, and will offer more low-rise condos in the recently launched Fernbank Crossing later this year.
MASTERCRAFT STARWOOD, SOHO
For Mastercraft’s signature SoHo condos, the buildings themselves are almost as important as the floor plans, says Lynsey Bennett of Bennett Property Shop Realty, which represents the builder.
Hotel-style living, fitness facilities created by award-winning body builder and trainer Dalton Brown, interior designs by Brian Gluckstein and location are all part of the offerings of the two condos the builder was selling in 2012: SoHo Lisgar and SoHo Champagne.
But if there could be just one top choice, the Bennett team pointed to one of SoHo Lisgar’s layouts, saying it represented about 20 per cent of sales. The F2 is a one-bedroom-plusden with “incredible views of downtown Ottawa and the suites available on the upper floors of the building can also see the Peace Tower,” says Bennett.
The 777-square-foot unit includes marble bathrooms, integrated appliances, hardwood flooring and extralong kitchen islands. A model suite of the F2 will be available for viewing this month, Bennett says. Prices start at $322,900 with suites on higher floors just released.
(A close second was SoHo Champagne’s one-bedroom E model.)
LINDEN DEVELOPMENTS DISTILLERY WAREHOUSE
Taking advantage of that rare occurrence in Ottawa — an old industrial building ripe for turning into urban lofts — Distillery Warehouse is the first in a series of three retro condo buildings planned for a fiveacre site at Bank Street and Walkley Road, right beside the O-Train.
At 10 storeys and 116 units, it was designed to capture both the young market and downsizers in the adjacent neighbourhood, says Bennett, who’s firm also represents this project.
“The designs are very unique,” she says. The best-selling unit, the E, for instance, is over 32 feet wide and has two master-bedroom wings in just over 1,000 square feet. Features include exposed brick walls, wideplank hardwood, stainless-steel hood fans and a breakfast bar.
“It’s extremely well priced and great value,” Bennett says, noting a starting price of $345,107. The model represented about 35 per cent of sales last year.
BROCCOLINI, THE SLATER
Downtown living at an affordable price combined with great finishes and amenities helped Broccolini’s first foray into the Ottawa condo market prove to be popular, with more than 70 of its 164 suites sold since launching in late October, says Bennett.
“The response for living downtown was phenomenal.”
She says many units sold well, but the model suite in particular, the C3, “received rave reviews” and about 25 per cent of sales.
Starting at $ 309,900, the 674-square-foot, one-bedroom-plusden offers an oversized balcony and feels bigger than its footprint, thanks to design features such as frosted glass doors for the foyer closet and adjacent laundry room, an efficient kitchen and natural daylight streaming through the wall of windows in the living/dining area and in the bedroom.
Touches like the trio of oversized metal pendant lights above the kitchen island — like almost everything in the model suite they are standard items — help give a sense of cool urban chic.
THEBERGE HOMES ALTA VISTA RIDGE
Stepping back a bit from the condo towers, Theberge Homes is building urban flats (and terrace towns) in Elmvale Acres. The four-storey building includes underground parking and is near the Ottawa Trainyards.
“This product is extremely affordable and it is attracting first-time home buyers,” says Bennett.
Prices start at $199,900 for the most popular unit, the Tillman, which accounted for about 35 per cent of sales last year. It’s a one-bedroom-plus-den with 729 square feet (including the balcony). Features include five appliances, hardwood and ceramic, contemporary finishes and nine-foot ceilings.
GREATWISE QUALICUM WOODS CROSSING
This project is all about greenery and a village-like atmosphere. What will eventually be six low-rise condo buildings sports a park and walkways, selected ground-floor suites with private courtyards and penthouses with terraces and a clubhouse with a home theatre, his and hers saunas and underground access.
The four-storey buildings include elevators and underground parking.
The best selling model has been the B2, a one-bedroom-plus-den. With balcony, it offers 747 square feet and starts at $232,236. Units feature nine- and some 10-foot ceilings, large windows and Europeanstyle kitchens.
It’s “appealing to women buyers,” says Bennett. “They love the flexibility of the open area as they can use it as a home office or secondary bedroom or private dining room.”
The B2 represented about 40 per cent of sales last year.
LAST WEEK: Top townhomes NEXT WEEK: Popular single-family homes