Province moving forward on building a subway connection to Mississauga

While Mississauga commuters might be a little disappointed to hear that there are no plans to extend the TTC subway system to Square One, they might be happy to hear that plans to extend the Eglinton Crosstown Light Rail Transit project to Pearson Airport in Mississauga are still underway.

On Aug. 19, Ontario Premier Doug Ford appeared in Mississauga to announce that the government is releasing a Request for Proposals (RFP) to advance tunnelling work on the Eglinton Crosstown West Extension (ECWE).

The ECWE will extend the Eglinton Crosstown LRT, currently under construction, by 9.2 km from the future Mount Dennis Station to Renforth Drive. The province says the extension will create connections between different transit systems throughout the region.

It will provide connections to the UP Express and Kitchener Line GO train service at Mount Dennis, TTC bus services at transit stops in Toronto, and MiWay and GO bus services via the Mississauga Transitway at Renforth Drive.

The Renforth Station, located in Mississauga, is the most eastern terminus of the 18-kilometre Mississauga Transitway, a dedicated bus corridor with 12 stations. The Transitway, which runs east to west, begins at Winston Churchill Boulevard and ends at Renforth Drive.

The province said it’s also still committed to establishing a connection to Pearson International Airport, which is technically located in Mississauga.

The project has a preliminary cost estimate of $4.7 billion and is estimated to support as many as 4,600 jobs annually during the six-year construction period.

The province estimates that the ECWE project will bring 31,000 jobs within a 10-minute walk to a station and attract 37,000 daily boardings by 2041.

“Today marks another step forward in delivering modern underground rapid transit to connect people from across Toronto and Mississauga to one of the country’s largest employment centres,” said Ford in a statement.

“Working with our partners, we will reduce travel times for riders and get more vehicles off our roads, so people can spend more time with their families.”

On Aug. 20, 2020, the province will invite the selected teams from the Request for Qualifications (RFQ) process to respond to an RFP that details how they plan to design and deliver the tunnelling work for the ECWE.

Infrastructure Ontario (IO) and Metrolinx expect to award this tunnelling contract in mid-2021.

The Greater Toronto Airports Authority (GTAA) first announced plans to partner with Metrolinx to extend the Eglinton Crosstown West LRT from Renforth to Toronto Pearson Airport in late 2019.

While the Eglinton Crosstown West project is a light rail transit project, the province says there are plans to build it (or part of it) underground, hence many are referring to it as a subway.

The plan is part and parcel of a plan to turn Pearson into a major transit hub dubbed Union Station West.

The province says that to expedite work on the extension, tunnelling will begin first, followed by separate contracts for the balance of the work.

On Aug. 5, 2020, Ontario announced three teams of bidders per project were shortlisted to advance tunnelling work on the ECWE and the Scarborough Subway Extension.

The province plans to spend $28.5 billion on transit projects, with the funding directed towards the ECWE, the Scarborough extension, new Ontario Line and the Yonge North Subway Extension.

At the press conference, Ford asked the federal government to commit to helping to fund the major transit projects.

“I want to thank the province for advancing the important work needed to extend and connect the Eglinton Crosstown to Renforth Station,” said Mayor Bonnie Crombie in a statement.

“Once complete, this will serve as Mississauga’s newest east to west regional transit link and fully connect our transit system to Toronto and the GTA. It will allow for more frequent and rapid service to the Airport Corporate Centre and, eventually, Pearson Airport, which will one day be Mississauga’s Union Station West.”

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LACKIE: Toronto real estate industry going strong despite COVID crisis

If I were asked to compile a list, “Why is Toronto real estate so bananas?” has joined his buddies, “So, what are you thinking about school in September?” and “Who’s idea was it to open bars, anyway?” as my most prominently featured conversations of this pandemic summer.

While I have no clue where to even begin to answer the second two questions, the subject of Toronto real estate in the time of COVID-19 continues to be endlessly fascinating.

To quickly recap, when the pandemic lockdown first set in, I, along with pretty much all of my industry colleagues, braced for impact.

Following a record-breaking February and first half of March, April was a complete bloodbath. Houses that would have sold in multiple offers just days earlier suddenly sat, prices fell, the industry shut down.

Buyers were at home.

People were rattled, presumably by the economic fallout that was to come from these “unprecedented times,” and the market was frozen.

But then it woke back up again. And woke back up, it did.

This has been, by all accounts, the busiest summer on record. The average price of a home in Toronto is now closer than it’s ever been to $1,000,000.

Yes, $1,000,000.

And that is in the middle of a global pandemic with credible fears of a second wave to come.

And a suburban and rural exodus from Toronto driving outer markets to record levels.

Maybe it’s the pent-up demand from the spring market that never came, or possibly the fact that most people aren’t travelling this year, or maybe even the five months of social distancing that likely changed our perspectives on our living situations.

And it’s not that people are oblivious to the potential economic fallout of COVID-19 — it’s more that buyers appear confident that Toronto is a sound investment. Whatever comes next, in the mid-to-long-term, even a 2008-style crash will really just be a blip.

So, what’s important to know?

Mortgage rates are now sub-2% in some cases. Money is essentially free.

Even with record unemployment, those who worked through the shutdown are either back in the office at least partially, or have pivoted to a work-from-home model, so people feel mostly secure.

The looming “deferral cliff” that has been so widely anticipated in the face of mortgage deferral programs ending in September is seeming like it probably won’t be the crisis we originally feared, in Toronto at least.

Do we know that the people who opted-in to payment holidays from their mortgage did so out of necessity? Or is it just as likely that many, in the face of the unknown, took advantage of deferral programs just in case.

For those who do need it, between CMHC declaring their intention to explore other options to help borrowers such as extending the program, lengthening amortization periods, and working on special repayment arrangements, and the fact that even the most doomsday forecasted correction won’t leave people upside down on their mortgage, the worst case scenario isn’t likely to pass.

So, as the summer that has been unlike any summer before starts to wind down, it will be interesting to see what happens post-Labour Day. Barring some dramatic turn of events like another lockdown, it doesn’t seem likely that the conversations will change.

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How house hunting will forever change due to the pandemic

Medical waivers. Masks. Virtual showings. Seven-figure purchases, sight unseen.

Home buying and selling has seen a head-snapping shift during the COVID-19 era, as both parties deal with the demands of physical distancing, virtual showings and previously unheard-of safety considerations.

One thing that hasn’t changed is the competition: Most major Canadian markets are as buoyant as ever after a brief slump and in defiance of gloomy forecasts about the impact the pandemic could have on real estate activity.

But the nuts and bolts of the process – how buyers and sellers interact and how realtors work with both – looks dramatically different than it did a few months ago, forcing years’ worth of sales innovation into just a few months.

Here are a few of the biggest changes:

Say goodbye to open houses
So much for perusing open houses as a weekend pastime. Physical distancing brought group showings to an abrupt halt this spring. As restrictions eased nationwide, open houses slowly started up again. In Ontario, for example, the province lifted its prohibition in most areas on July 17 as part of its Stage 3 reopening.

Still, open houses are nowhere near as common as they once were. Sellers remain wary of inviting large groups of people to traipse through their homes and some renters’ groups have spoken out against them as well.

“Before you could have upwards of two or three different agents with groups, at any given time, showing the same property,” says Darren Josephs, a Toronto Re/Max agent. “Now, the windows are 15-to-30 minutes and no overlap.”

Also, each client goes through individually, following sanitizing protocols before and after each visit. And there’s no such thing as dropping in with a moment’s notice, Mr. Josephs says.

“I think a lot of people were never entirely comfortable with open houses, especially sellers,” he says. “I think we’ll see a real long-term effect from this and more qualified showings, which tend to weed out people who aren’t serious.”

Vancouver-based independent realtor Chris Strand says there’s a “split in the realtor community” on the issue. He points out that realtors can often pick up new clients at open houses. However, he agrees that a decline in open houses – at least as we once knew them – may be one of the biggest long-term changes to emerge from the pandemic.

Better digital sales tools
The era of out-of-focus photos and sparse online listings is over, according to Patti Ross, a Royal LePage realtor in Halifax.

“You’ve always seen listings and asked, ‘Why are the photos so bad?’” she says. “We were proactive in my brokerage years ago in stepping up online marketing and building a photography and video department and it’s really paying off now.”

Realtors have also long been limited in the number of photographs they can use on listings but, from coast-to-coast, those limits have been bumped up, allowing potential buyers to get a better sense of a property before arranging a viewing.

“Our real estate board just upped our photo count from 20 to 40,” Mr. Strand says, “and we’re seeing more people hiring professional videographers and using virtual walk-through tools.”

Sometimes that means 360-degree photos tours and, for high-end properties, it can mean full-blown immersive 3D renders of a property’s interior. That can help drive more selective, qualified showings, and fewer potential buyers arranging a viewing out of curiosity, only to show up and quickly realize the property isn’t right for them.

More safety protocols
When in-person viewings do take place, safety has become a top priority. In most cases, realtors will go into homes in advance, opening every door, cabinet and cupboard for clients.

“We ask that visitors treat the house like a museum,” Mr. Josephs says. “No touching.”

Potential buyers sign waivers attesting to their lack of COVID-19 symptoms and international travel. And everyone – buyers, sellers and agents – wear masks and keep the mandated two-metre distance.

Even Ms. Ross’ photographers and videographers make sure their gear is sanitized before it enters a property and they clean it thoroughly once they leave.

Some realtors hope that better safety protocols can instill more confidence in sellers to list their homes.

Major markets nationwide are currently grappling with a serious imbalance between supply and demand, as buyers return to the market in droves, but sellers remain shy. ”

You definitely see people waiting or holding off on listing,” Ms. Ross says. “But once you talk to people and tell them about process, they feel better.”

More risk-taking
That imbalance between buyers and sellers has also made markets more competitive. In Halifax, Ms. Ross recently sold one suburban property listed at $229,000 for $55,000 over asking, after entertaining more than 30 offers. In Vancouver, Mr. Strand is seeing similar activity, as is Mr. Josephs in Toronto, where he recently sold one home for $350,000 over asking, after 26 offers.

More buyers are also signing off on purchases remotely. In June, Nanos Research conducted a poll for the Ontario Real Estate Association that revealed 42 per cent of buyers were open to buying a home even if they could only see it online beforehand.

Ms. Ross says she’s noticed more buyers willing to purchase places sight unseen. (Atlantic Canada’s current self-isolation restrictions for out-of-region travellers mean visiting the region to house-hunt is especially impractical).

“We’re doing virtual tours that allow people to shop from Ontario or Vancouver,” she says, “and walk through the house remotely.”

She’s also begun doing walk-through video tours of neighbourhoods. A video tour showcasing sports facilities and outdoor trails near one property recently helped seal the deal with one out-of-province family.

Mr. Strand is seeing the same kind of activity in Vancouver.

“We’re using FaceTime, and I’ve had potential buyers from Ontario, Alberta, and several from Hong Kong,” he says.

Mr. Strand says some of that activity may be due to the current bull market in housing. But most industry watchers, including major banks and the Canadian Mortgage and Housing Corporation, are still forecasting at least a modest decline in home prices over the coming year. As sellers re-enter the market, spiralling prices may well simmer down – good news for buyers already struggling with deteriorating affordability.

But even if markets re-balance, there seems little doubt that COVID-19 will result in lasting changes to the way Canadians buy and sell homes.

“Anything could happen in the next few months,” Mr. Strand says. “We’re all just waiting to see what sticks as we keep going through this and what goes back to the way it was before.”

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Canadian home sales, prices hit record high in July as low mortgage rates drive buyers into market

Canadian home sales and prices surged to a record high in July, as buyers flooded the market and took advantage of low mortgage rates after the coronavirus pandemic briefly slowed activity in the spring.

The number of homes sold jumped 26 per cent on a seasonally adjusted basis from June to July, according to the Canadian Real Estate Association, with Toronto, Montreal and Vancouver soaring along with surrounding regions such as Hamilton-Burlington in Ontario and Fraser Valley in British Columbia.

The seasonally adjusted home price index, an industry calculation of a typical home sold, reached a record high of $637,600 last month – up 2.3 per cent over June, the largest month-to-month increase since early 2017 when real estate markets were on a tear.

Before the pandemic struck in March, the real estate markets in Vancouver, most of Southern Ontario, Toronto, Ottawa and Montreal were showing signs of overheating, with a shortage of properties triggering bidding wars.

“What we saw in July is mainly activity delayed from the spring,” said Robert Hogue, senior economist with Royal Bank of Canada. “Lower mortgage rates also probably helped a number of first-time buyers enter the market last month and work-from-home arrangements caused some people to make a move,” he said.

With the popular five-year fixed mortgage currently less than 2 per cent, there is more demand today than before the COVID-19 pandemic.

“I am seeing more home buyers and more investors than pre-COVID,” said mortgage broker Bernadette Laxamana, president of Karista Mortgage in B.C. “With the rates being so low, it’s costing them less per month to buy and more of their payment is going to principal versus interest,” she said.

Realtors have described a spike in demand for larger properties and outdoor space, as the majority of office workers were forced to work from home. This has spurred “activity that otherwise would not have happened in a non-COVID-19 world,” said Shaun Cathcart, CREA’s senior economist.

Areas such as Niagara, London, Hamilton, Burlington and Guelph in Ontario are experiencing a spike in activity and prices. The home price index for Guelph rose 3 per cent month to month to $608,100. In Victoria, the index was up 1 per cent to $719,300.

In Montreal and region, the second-largest real estate market in the country, sales jumped 37 per cent to a record high, with robust demand in the areas surrounding the downtown core. The home price index also reached a record of $401,200 across all property types, according to CREA, 2.8 per cent higher than the previous month.

The quick recovery in the residential resale market has given developers confidence to launch new projects throughout the Greater Toronto Area, even though rental prices have softened partly because of the influx of new condos and a slump in immigration.

Although the number of new property listings is increasing across the country, it is not keeping pace with sales. Over all, the inventory of listed properties is at a 16-year low, according to CREA, driving up competition.

Economists and federal mortgage insurer Canada Mortgage and Housing Corp. have warned of numerous risks to the market. That includes banks’ mortgage deferrals, some of which are due to expire in the fall and could lead to loan delinquencies and foreclosures if homeowners are unable to resume payments.

As well, federal aid for businesses and underemployed Canadians is winding down, which could lead to more insolvencies and higher joblessness if the economy does not improve.

Toronto-Dominion Bank said the loan deferrals and federal support was helping insulate the economy from the worst effects from the pandemic and said it was “important not to extrapolate recent gains too far.”

When the support starts to wind down this fall, “this could bring significant headwinds to housing markets, particularly prices,” the bank’s senior economist, Brian DePratto, said in a note.

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Canada Home Sales Continue Surge, Rising 26% to Record in July

Canadian home sales surged to a record in July as homebuyers emerged from lockdowns.

Transactions for existing properties reached 62,355 in the month, up 26% from a month earlier, the Canadian Real Estate Association reported. Benchmark prices were 2.3% higher on the month, as pent-up demand for homes collided with extremely low inventory levels.

“A big part of what we’re seeing right now is the snap back in activity that would have otherwise happened earlier this year,” Shaun Cathcart, CREA senior economist, said in a statement.

Canada’s economy is emerging the steepest downturn since the Great Depression, fueling a renewed housing boom. Housing starts hit a two-year high last month, while the latest confidence readings show optimism about prices is rebounding.

In Toronto, the country’s largest market, sales of existing properties jumped 50% in July compared to June, and were up 29% with the same month a year ago, CREA reported. Vancouver sales increased 44% on the month and 24% from July 2019. Average prices in Toronto were 5.5% higher on the month, and up 1.5% in Vancouver.

There were just 2.8 months of inventory nationwide, the lowest level on record, CREA said.

Average prices were 9.4% higher nationwide on the month.

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Prices out of control in Toronto’s hottest real estate markets

The Greater Toronto Area neighbourhoods that saw the greatest price growth so far this year had a detached housing average value of $2.9 million, according to RE/MAX.

In its recent analysis, RE/MAX said that the localities of Annex, Yonge-St. Clair, Casa Loma, and Wychwood had a 25.7% annual increase in detached housing prices during the first half of the year.

“The areas of Yonge-St. Clair and Wychwood were recognized as being two of the top neighbourhoods to buy real estate in 2020 due to their value and the momentum of price growth,” Toronto Storeys said in its report on the RE/MAX study.

The next strongest year-over-year price growth was 18.4%, seen in the Birchcliffe-Cliffside and Oakridge areas (average prices up to around $1.1 million), as well as the High Park, Roncesvalles, Swansea, and South Parkdale areas (up to around $2.1 million).

The findings supported observations that the COVID-19 pandemic had only a relatively minute impact on activity and price growth in one of Canada’s hottest housing markets.

Data from the Toronto Regional Real Estate Board indicated that the average home sales price in the GTA went up by 16.9% annually in July to reach $943,710. The most significant growth was observed in the low-rise housing segment, especially within the City of Toronto.

“Competition between buyers continued to increase in many segments of the GTA ownership housing market in July, which fuelled a further acceleration in year-over-year price growth in July compared to June,” said Jason Mercer, chief market analyst at TRREB.

Sales activity also intensified by 29.5% compared to July 2019, for a total of 11,081 residential transactions across the GTA.

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The 5 GTA Neighbourhoods with the Greatest Rate of Price Growth in 2020

While Toronto has been known for having pricey real estate for decades now, those looking to enter the housing market for the first time can continue to expect affordability challenges for the foreseeable future due to persistently low housing supply and pent-up demand stemming from the COVID-19 lockdown.

Not to mention, for the first time ever, the average home price in the Greater Toronto Area (GTA) is now the closest it has ever been to reaching $1 million, after hitting an average of $943,710 in July. Based on the current trend in price growth, it’s within reason that the market could eclipse the $1 million average sometime this year, which is more than a little daunting for most first-time homebuyers.

According to RE/MAX, detached housing trends, home sales, and prices in the Toronto-area have been on fire this year, with many pockets of the city experiencing tremendous price growth.

In fact, the areas of Annex, Yonge-St. Clair, Casa Loma, Wychwood saw the biggest increase in detached housing values, which were up by 25.7% in Q1 and Q2 of 2020, compared to the same period in 2019, to reach a whopping $2,918,968 average. The areas of Yonge-St. Clair and Wychwood were recognized as being two of the top neighbourhoods to buy real estate in 2020 due to their value and the momentum of price growth.

 

Tied for second place, with an average price increase of 18.4%, are Oakridge, Birchcliffe-Cliffside, which saw average prices increase to $1,095,287 and High Park, Swansea, Roncesvalles, and South Parkdale, where prices reached $2,050,596.

The areas of Oakwood-Vaughan, Humewood, Cedarvale, and Forest Hill South saw prices increase by 17.7% to reach $2,371,546, with Oakwood-Vaughan also being recognized as one of the top neighbourhoods to purchase in this year.

Islington-City Centre, West-Etobicoke-West Mall, Markland Wood, Eringate-Centennial-West Deane, Princess-Rosethorn, Edenbridge-Humber Valley, and Kingsway South experienced an average price growth of 17% to reach $1,693,382.

Rounding out the top five is the west-end district of Alderwood, Long Branch, New Toronto, and Mimico, where prices rose by 16.2% to reach $1,202,176. Interestingly enough, earlier this year, Alderwood was recognized as the best neighbourhood in Toronto to put your money into a home. For those out of the loop, Alderwood is located on the west side of the city, just north of Long Branch.

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One of Toronto’s oldest malls is about to be totally transformed

The more than 60-year-old Cloverdale Mall in Etobicoke is agreeably not the most beautiful destination that the city has to offer shoppers.

But a major developer has some big plans for the property, and they’ve just released the details of the multi-building, mixed-use development due to take the place at the dated, largely one-storey shopping centre near Highway 427 and Bloor Street West.

Cloverdale’s current sprawling, flat footprint at 250 the East Mall will be upgraded to a number of condo towers offering a whopping 334,000 square metres of living space between 4,050 units, with ample green space interspersed in between them, along with a food market building, community centre and more.

The residential structures range from between 24 and 48 storeys, and circle a new “retail main street” that will have storefronts, cafes and more at ground level.

The centre of the 12-hectare site will be the glazed glass-covered Cloverdale Square, which will increase the retail space of the project to 26,000 square metres and offer even more residences in low- and mid-rise buildings.

The amenities of the site will be connected by a series of roadways and pedestrian/cyclist paths, and there will be multiple levels of both underground and above-ground parking, a neighbourhood park, rooftop greenery, courtyards and another two residential towers with at-grade retail space on the adjacent lot at 2 East Mall Crescent.

Essentially, it’s a huge, modern mini-community with more than enough features to blow the current mall out of the water.

The land owner and developer, QuadReal, along with architect Giannone Petricone Associates and landscape architect Janet Rosenberg & Studio recently submitted their comprehensive zoning applications to the City of Toronto after months of consultations with the community.

Though Cloverdale Mall has long been a staple of the west end, it’s also a relic, and there’s no doubt that many will be happy to see it go for something a lot more snazzy, practical and current.

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Traders Building Development Revised in Updated Plan

While the original application contained only a single perspective of the proposed development, located one block south of Bloor Street East, the resubmission includes several new images highlighting multiple angles of the project. Featuring architecture by RAW Design, the majority of the renderings showcase how the existing Traders Building will be partially retained to serve as the front door of the project.

While the original application contained only a single perspective of the proposed development, located one block south of Bloor Street East, the resubmission includes several new images highlighting multiple angles of the project. Featuring architecture by RAW Design, the majority of the renderings showcase how the existing Traders Building will be partially retained to serve as the front door of the project.

Although the Traders Building is not a listed or designated heritage resource, ERA Architects has determined the building qualifies for designation under the Ontario Heritage Act, citing its “design, associative and contextual value.”

The project contemplates the preservation of the principal west elevation fronting Church Street, in addition to approximately three metres of the north and south faces. The rebuild of the north and south elevations is envisioned as a “ghost facade” which reinterprets the scale, articulation and massing of the existing elevations using modern materials.

 

The revised proposal maintains a height of 201.9 metres and would contain a total of 651 units. The unit mix remains unchanged, proposing 66 studios, 319 one-bedrooms, 200 two-bedrooms, and 66 three-bedrooms.

The four-level office component, which will replace the demolished interiors of the Traders Building, has increased slightly from 10,079 m² to 10,101 m². Total residential gross floor area has also experienced a slight boost from 45,742 m² to 46,292 m². The double-height retail program at grade has decreased in size to 559 m² from 593 m².

The mid-rise residential and amenities element dividing the tower from the podium now features a more seamless design following the removal of north-facing balconies. The series of projecting balconies previously proposed have been replaced by inset balconies.

A 126.6 m² privately-owned publicly accessible space (POPS) has also been introduced along the south side of the building, a gesture to be coordinated with proposed boulevard improvements along Charles Street East. The space could include a potential patio area to support the proposed retail and restaurant uses.

A 2.1-metre-wide walkway along the east lot line will sport a unique paving pattern. The space will function as a pedestrian connection alongside the vehicular driveway, which provides access to 260 parking spaces across five underground parking levels. The project would also provide 706 parking spaces for bicycles.

Additional information and images can be found in our Database file for the project, linked below. Want to get involved in the discussion? Check out the associated Forum thread, or leave a comment in the space provided on this page.

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Your Next Look at 10-Storey Residential Development with Cascading Balconies in Thornhill

Those looking to lay down roots just outside of the city may want to consider checking out a new development coming to Thornhill. And it just so happens that new renderings of the project have since been released, giving future residents a better idea of what to expect.

Located within the Thornhill/Uplands area at 8188 Yonge Street — which is also the project’s namesake — this new build from Trulife Developments and Constantine Developments is ideal for young families looking to invest in a new place to call home that’s away from the hustle of the city.

This area of York Region is currently seeing a lot of redevelopment and is highly popular among professionals and families due to its connectivity to transit and major thoroughfares.

Once complete, the development will consist of a 10-storey, mixed-use building with 282 residential units and ground-floor retail and commercial space.

The building will house a mix of 1-bedrooms, 1+1, 2-bedrooms, 2+1, 3-bedrooms, and 3+1, catering to all lifestyles and preferences.

The units will be comprised of standard suites featuring 9-foot ceilings and private balconies; six lofts featuring 11-foot ceilings; luxury penthouse suites with private rooftop terraces, and seven townhouses at grade level with 10-foot ceilings.

The building will also feature bespoke balconies, meaning that homeowners can choose from a different balcony package (Forest, Ocean, and Garden) along with associated finishing and décor options to design the balcony to be their own.

Another big takeaway for residents is the impressive indoor and outdoor amenities, which would make ever leaving this place seem impossible.

Indoor amenities include access to the grand lobby, 24-hour concierge, security, gym and wellness centre, entertainment area with catering kitchen, guest suites, visitor parking, 6th-floor entertainment space with wrap-around outdoor terrace, library, media lounge, pet spa, kid’s play area, EV charging stations, parking and lockers (available for purchase), bike storage, and retail at grade.

As for outdoor amenities, residents will have access to the swimming pool, park, ‘infinity walkway’, lounges with BBQs, outdoor yoga and exercise space, dog park, and sun deck with cabanas.

Sales for the available units are expected to begin this fall and start in the high $400,000s.

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37-storey tower duo pitched for The Queensway and Kipling Avenue

A large commercial lot near a major Etobicoke intersection could be the future site of a high-rise residential complex.

Last week, a rezoning application was submitted to city planners to develop a set of mixed-use towers containing 1,210 residential units at 1325 The Queensway. Each rising 37 storeys, the two structures would be built on top of a six-storey podium base and supported by an 11-storey mid-rise portion, which would house an internal courtyard, daycare facilities and retail space.

The square, 0.86-hectare site is located on the southwest corner of Kipling Avenue and The Queensway, fronting onto The Queensway. A two-storey Hakim Optical store and a single-storey auto repair shop currently occupy the lot, with surface parking interspersed throughout.

Spanning over 900,000 square feet of total gross floor area, the property would be broken up into two phases, according to the architectural drawings, the first of which would focus on the eastern tower.

“The towers were situated at the rear of the site to provide The Queensway with an appropriately scaled mid-rise building that reflects an evolving urban corridor while also fostering a comfortable pedestrian experience,” explains the planning rationale, prepared by Bousfields Inc.

On the exterior of the mid-rise portion, balconies and vertical projecting elements would be included to break up the facade. Fronting The Queensway, the ground floor would contain 7,567 square feet of retail space in the northwest corner of the building, alongside 2,949 square feet of resident amenity space. A 7,190-square-foot private daycare centre would be situated in the northeast corner.

A separate, publicly-owned daycare facility covering 5,672 square feet would also be included. Together, both daycares would provide 134 childcare spaces and each would feature an attached outdoor play space, totaling 4,628 square feet.

A 10,408-square-foot central courtyard would occupy the second floor, a third of which would be reserved as an outdoor amenity area. Landscaping, seating and canopies would be implemented, with private terraces and balconies from the podium and mid-rise buildings overlooking the courtyard.

At the rear of the site, towers one and two rest atop a six-storey podium, which would provide indoor amenity space and garbage collection rooms. On the seventh floor, a large outdoor amenity area encompassing 9,213 square feet would connect the two vertical structures.

Residential units would be dispersed from the second to the 37th floors throughout the tower, podium and mid-rise building. The collection of 1,210 suites would provide 28 studios, 803 one-bedroom, 256 two-bedroom and 123 three-bedroom units. A five-storey underground parking garage would offer 1,064 vehicle spaces, alongside 903 bicycle spots, 85 of which would be located on the ground floor.

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Builders post best month for home construction in over 2 years

The Canadian home building rebound only gained momentum in July with housing starts rising to an annualized rate of 245,600 units, the highest level recorded in two-and-a-half years.

This result, released today, exceeded expert predictions by a wide margin, as single-family home construction surged across the country while Toronto and Vancouver saw a strong uptick in condo building.

In a research note published earlier today, BMO Economist Priscilla Thiagamoorthy said builders are unlikely to be “packing away those hammers anytime soon” as low interest rates and strong demand will ensure home construction remains robust for the rest of the year.

Looking further ahead, Thiagamoorthy said that home building activity will hinge on the strength of population growth, which is currently taking a hit due to pandemic-induced national immigration restrictions.

The jury is still out on the pandemic’s long-term effects on population growth and, by extension, home building. But, most market observers agree that new home construction has stayed remarkably resilient throughout the volatile year.

RBC Economist Claire Fan noted that national housing starts in 2020 thus far have put up numbers comparable to levels seen through the previous year, even as building activity was curtailed by pandemic measures introduced during spring’s first half. July’s strong performance, which saw housing starts rise 11 percent over the same time last year, was a major contributor in making up for activity lost during the spring.

While the industry is unlikely to be totally impervious to the pandemic’s ill-effects, TD Economist Omar Abdelrahman said the impact on home building so far has been relatively slight.

“[A]side from the complete pause in Quebec in April due to restrictions on non-essential economic activity, homebuilding has shown only a muted response to COVID-19, swiftly returning to pre-pandemic levels. This stands in contrast with more severe declines and more drawn-out recoveries seen in other industries,” he wrote.

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Mortgage rates hit new lows

Canadian mortgage rates are in a virtual free fall, dropping to record-setting lows with discount brokers now offering one- to five-year variable rates in the 1.64 to 1.68% range.

But the nearly free money arrives as Canadian mortgage debt is exploding and lenders are dealing with a rush of mortgage payment deferrals due to the COVID-19 pandemic.

The Bank of Canada reports that mortgage credit hit a record high in May, at $1.68 trillion, up 0.6% from April and 6% higher than in May 2019.

Mortgage deferrals, meanwhile, are also soaring. Deferrals topped 743,000 in May at Canada’s six major lenders alone.

At the start of the pandemic, the big six banks—RBC, TD, BMO, Scotiabank, CIBC, and National Bank—announced they would allow customers to defer paying their mortgage for up to six months.

According to the Canadian Bankers Association, deferrals now account for 15% of the mortgages provided at its 13 member banks, which include all the majors.

Most of the deferrals are in Quebec, at 27%, and Alberta, at 26%. Ontario accounted for 21% of mortgage deferrals, with B.C. at just 7%.

With new mortgage applications faltering, lenders have slashed lending rates.

HSBC Canada led the trend early in June when it announced a five-year fixed default-insured mortgage for 1.99%—the lowest rate ever for a five-year fixed at the time. Days later, multiple brokers were offering five-year fixed rates starting at 1.98% and even lower in some cases, with restrictive conditions.

The lowest fixed mortgage rate available as of July 2, according to rate comparison website RateSpy.com, was the one-year fixed at 1.69% for those putting down less than 20% for insured mortgages.

Even the 10-year fixed rate is reaching new lows, currently available nationally for as low as 2.84%.

“Fixed rates are dirt cheap because funding costs keep sliding,” RateSpy founder Rob McLister said. “With a bearish economic report or two, we could slide further into uncharted depths, as soon as next month.”

The lowest nationally available variable floating rate is currently 1.95%, which is prime minus 0.5%, although certain discount brokers are offering rates as low as 1.69% for default-insured mortgages.

As of July 2, intelliMortgage and Butler Mortgage, both based in Ontario, posted a 1.64% rate for one-year fixed-rate products, and a similar record low of 1.68% for their five-year variable-rate offerings.

“Canadians can expect fixed and variable rates to stay at their current historic low until the Canadian and world economy is close to fully recovered,” Ratehub.ca co-founder and CanWise Financial president James Laird said.

The Bank of Canada overnight lending rate remains at 0.25%, and the central bank has hinted it will not go lower.

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Toronto one-bedroom condo rent falls 5% to $2,083

Average rent prices for both one-bedroom and two-bedroom condos fell during the second quarter of 2020 as rental listings increased and demand fell.

According to new data published last week by the Toronto Regional Real Estate Board (TRREB), the average price for a one-bedroom condo in the GTA was $2,083, down 5 percent from the same period a year earlier. The rent price for a two-bedroom condo also fell over 5 percent to $2,713.

As the second quarter results were announced, TRREB President Lisa Patel pointed to two major takeaways from the data.

“First, COVID-19 clearly impacted the demand for rental condominium apartments, due to restrictions on showing units and job losses across many sectors of the economy,” Patel said in a media release.

“Second, we saw the continuation of the pattern experienced over the past year, with year-over-year growth in rental listings far outstripping growth in rental transactions, resulting in a much better-supplied market and a moderating pace of rent growth,” she continued.

There were 7,320 condos rented through TRREB’s MLS system during the April to June period, down nearly 25 percent compared to the same time last year. As Patel noted, listings rose significantly — up 42 percent — during the second quarter, leading to a supply and demand mismatch.

The Toronto region has long grappled with a painfully low rental vacancy rate, viewed by experts as a symptom of a chronic rental supply shortage that’s been called “the worst rental supply deficit in Canada.”

In response to the new data, TRREB Chief Market Analyst Jason Mercer said that the second quarter increase in listings is part of a “consistent trend toward balance in the GTA condominium apartment rental market over the past year-and-a-half.”

“Accelerating growth in rental listings were at the root of this trend, but the COVID-19-related drop-off in rental transactions had a marked impact as well. Increased choice led to more negotiating power for renters, resulting in year-over-year declines in average rents in the second quarter of 2020,” Mercer said.

Prime Interest rates have gone down for 1.5% this means (see below chart)

For example $700,000 condo fully financed mortgage from $ 3,308.85 went down to $ 2,743.19 = $565 /Month

Translation: about $80 lesser mortgage payment (P&I) for any $100,000 mortgage !

click here for more information 

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Basement Flooding Protection Subsidy Program

During heavy rain, the sewers can become overloaded. It is essential that homeowners take appropriate action to reduce the risk of basement flooding.

The City offers owners of single-family, duplex and triplex residential homes a subsidy of up to $3,400 per property to install flood protection devices. Eligible work includes:

  • Installation of a backwater valve.
  • Installation of a sump pump.
  • Severance and capping of a home’s storm sewer or external weeping tile connection.

Disconnecting the downspouts from your property’s eavestrough system is not eligible for a subsidy.

Eligible Work

Backwater valve

  • Installation or replacement of backwater valve.
  • Installation of alarm for backwater valve.

The available subsidy is 80 per cent of the invoiced cost up to a maximum of $1,250 regardless of the number of devices installed at the property, including eligible labour, materials, permit and taxes.

A Building Permit is required to install a backwater valve. The valve must pass inspection by the City of Toronto building inspector, in order to be eligible for the subsidy.

You must also consent at the time of the building inspection or at the request of the City:

  • To provide City access to the backwater valve to verify that installation has been completed in accordance with the requirements and conditions of the Program.
  • To the City taking photographs, video and digital images of backwater valves.

See what backwater valves look like and how they work.

Sump pump

  • Installation or replacement of sump pump.
  • Installation of alarm for sump pump.
  • Installation of back-up power for sump pump.

The available subsidy is 80 per cent of the invoiced cost up to a maximum of $1,750 regardless of the number of devices installed at the property, including eligible labour, materials and taxes.

Note: Be sure to maintain basement flooding protection devices according to manufacturer instructions. Keeping these devices in good working order is an important step in protecting your home against basement flooding. See what sump pumps look like and how and they work.

Foundation drain (weeping tile) pipe severance and capping

  • Disconnection of foundation drains (weeping tiles) from the City’s sewer system by severing and capping the underground sewer connection.

The available subsidy is 80 per cent of the invoiced cost up to a maximum of $400 including eligible labour, materials and taxes.

 

Subsidy Conditions

  • You must be the registered owner of a single-family residential, duplex or triplex property within the City of Toronto.
  • The property must not have exceeded the lifetime maximum subsidy amount for each eligible installation.
  • The subsidy is available only to existing homes, not homes in the planning stages or under construction
  • The downspouts from the property’s eavestrough must be disconnected from the City’s sewer system or you must have applied to the City for an exemption.
  • All front yard paved areas of the property, including parking pads, must comply with the City’s Zoning By-law requirements.
  • You must submit your application within one year of completion of the installation of the flood protection device.
  • Your contractor(s) and any sub-contractor(s) who performed the installation of flood prevention device(s) must possess a valid license from the City of Toronto for the installation work, at the time of installation.
  • Original invoices from the licensed contractor(s) and any sub-contractor(s) who performed the installation of the flood prevention device(s) must be provided with your application.
  • You must not have any outstanding taxes or debts owed to the City of Toronto at the time your application is processed.
  • Submitting an application does not guarantee a subsidy. Subsidies are issued on a “first-come, first-serve” basis, and are subject to annual funding approved by City Council.

How to Apply

Download the Basement Flooding Protection Subsidy Program application form.

Applying for the installation of a backwater valve and sump pump

  • You will need a Building Permit to install a backwater valve, which will be inspected by Toronto Building staff once it is installed.
  • If installing a backwater valve and sump pump, please complete and sign the Consent to Enter Form and include it with your Permit application. It will authorize Toronto Building staff to inspect and verify that both the backwater valve and sump pump have been installed according to Program requirements.
  • Installing the flood protection device(s) according to Program requirements is an important part of ensuring your eligibility for the subsidy.

For backwater valve installation, start at step 1 and for all other eligible work, start at step 3

  • Obtain a permit from Toronto Building. If installing a backwater valve and sump pump, please attach the Consent to Enter Form PDF to your permit application. Permits can be obtained from Customer Service Counters.
  • Request an inspection once installation is complete. Toronto Building staff must inspect the installation of all backwater valves. Do not enclose or cover the valve before this occurs. This inspector must be able to confirm whether the installation meets the applicable Building Code requirements.
  • Complete the Basement Flooding Protection Subsidy Program application form PDF.
  • Include original invoice(s) with your application. Invoice(s) must show an itemized cost breakdown of all work applicable to this subsidy and must be clearly marked “paid in full.” If your contractor uses a licensed sub-contractor, please also include original invoices from the sub-contractor.
  • Mail the completed application form with the required documentation to:
    Basement Flooding Protection Subsidy Program
    City of Toronto
    PO Box 15266 STN B RM B
    Toronto, ON M7Y 2W1
  • City staff will review your application and determine whether you are eligible for a subsidy. If your application is incomplete or you have not included the proper documentation, it will not be processed and all documents will be returned to you. If your application is denied, you will be notified by mail.

Selecting a Contractor

Homeowners are strongly encouraged to conduct due diligence before hiring a contractor. It is recommended you obtain a minimum of two quotes as well as references before hiring a City of Toronto licensed contractor.

Before work starts, verify that your contractor has a valid City of Toronto business license using the Business Licence Lookup tool or by phoning 416-392-6700.

If your contractor does not have a valid City of Toronto license, you will be denied funding for the work completed.

Different types of contractors are licensed to perform different types of eligible work:

Protecting Flood Prevention Devices & Your Basement

To keep your flood prevention devices in good working order, it is essential to maintain them according to the manufacturer’s directions.

When installing a backwater valve, consider including an alarm, so that you know when the device is activated. When your backwater valve is activated, it works to keep sewer water from backing up into your basement, but it also keeps wastewater from your home from flowing to the sewer. When your backwater valve is activated, any water sent down the drain (through toilets, sinks laundry etc.), may end up in your basement.

As rainstorms and power outages can accompany one another, you may also want to consider battery-power back-up for your sump pump.

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Toronto condo prices still increasing even as sales fall 50 percent

Only 3,459 condos sold across the Toronto region in the second quarter of 2020, a 50 percent decline from the same three-month period a year prior.

Despite this historic decline in sales activity, the condo resale market still managed a 5.1 percent price increase during the same period, bumping the average condo selling price across the GTA to $619,707.

Market activity captured by this second quarter data, released today by the Toronto Regional Real Estate Board (TRREB), is expected to be the worst affected by the COVID-19-related business shutdowns and general economic uncertainty.

While the Toronto region’s housing market mounted a strong rebound in June, it was far from enough to save the quarter. Even as the overall market improved in the final month of the quarter, market commentators noted that the condo segment was noticeably sluggish in June compared to the detached homes segment, especially in the City of Toronto.

Condo listings that hit the market in the second quarter of 2020 also declined significantly compared to the same period a year earlier, down 21.6 percent to 8,717. The connection between new listings and sales is an important one, as it links condo supply and buyer demand. If new listings start to rise at a much faster rate while sales remain depressed, prices will invariably be affected.

“It will be important to watch the relationship between condominium apartment sales and new listings as we move through the second half of 2020,” said Jason Mercer, TRREB’s Chief Market Analyst, in a media release.

“If economic recovery is sustained, the demand for condo apartments will improve. However, the prospect of stricter regulations on short-term rentals and softer rental market conditions could fuel increased listings of investor-held units. If we see more balanced market conditions, condo price growth could be more moderate compared to low-rise home types,” Mercer continued.

TRREB President Lisa Patel struck an optimistic tone when looking ahead to the late summer and early fall months. In the media release, she said condo sales are on the right track for an improvement in the third quarter with the solid showing in June indicating a trend toward market recovery.

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