Canadian Pacific’s (CP) decision to demolish the gardens at Arbutus Corridor last August was met with a lot of ire and dismay from local Vancouverites. According to The Globe and Mail, however, the issue is a lot more complicated than it sounds given that CP has all rights to the land and freedom to do whatever they want with it. Perhaps the disappointment stems from the fact that the unused railway line could have been a lucrative investment for residential properties, if only the local government managed to make a deal with the rail company:
Hypothetically speaking, if the land were to be rezoned and developed for use as single-family housing, it would have an average assessed value of more than $2-billion, according to the data. That’s based on an average land value per square metre of $12,254. That’s probably never going to happen, mind you, but it illustrates the land’s worth. We won’t even bother calculating its use as multi-family or condo tower housing because that figure is in the stratosphere.
Unfortunately, what’s done is done and the properties around the ‘green corridor’ are a lot less valuable now that the lovely gardens are gone. This makes the skills of a renowned Vancouver real estate agent, like Jamie Hopper from RE/MAX Crest Realty Westside, a lot more important because it will take great effort to maximise the value of any property located in this part of the city. After all, one of the agent’s jobs is to devise ways to market a property for sale and attract scores of bids.in vancouver a turf war over very valuable real estateOne factor he or she must keep in mind is the location of the property, which is probably the biggest factor that affects home prices. If a house is located near a school, a sports centre, or major store, then it’s likely to fetch a higher selling price. The prices of nearby properties are also taken into account, mainly in order for real estate listings to determine the average price of the neighbourhood. These two fuel the frustration regarding Arbutus Corridor, because lands valued as railways are worth a lot less than residential or public spaces.That said, things will be very different if a certain house is located near a train station, like somewhere in Kerrisdale. A Dutch study published in 2006, for example, says that such a property is 25 percent more expensive than those located 15 kilometres away from a station. Applying this principle locally, this should explain why real estate agents in Vancouver always highlight the accessibility of public transportation in the properties they sell. Perhaps CP would also keep this in mind to make everyone in the Corridor happy again?(Source: In Vancouver, a turf war over very valuable real estate, The Globe and Mail, August 22, 2014)