Willoughby neighbourhood update
By Mike Harrison | Spring/Summer 2022
For the 6-8 months leading up to February 2022, the development land market in Willoughby was on an absolute tear with a record quantity of land transactions and land values rising as much as 20-30% in some neighbourhoods. With new homes selling as fast as they were released to market, builders were franticly purchasing land to bring as many projects to market as possible. All that came to an end in April when the government instituted the first of many interest rate increases. The market shifted almost overnight and we’re beginning to see land values pull back from the peak as builders watch the prices of new homes decline.
Despite the widespread correction, many builders and developers remain confident in the market long term and remain interested in purchasing land, albeit with far more caution and at lower values.
With all the recent land purchases came a flood of new development applications and we’ve summarized them in this report to show just how much has been happening and how many homes are coming.
Like in past reports, we’ve also provided an update on the development status of each neighbourhood in WIlloughby.
In-Stream Development Applications in Willoughby
112 total residential development applications
Development update by neighbourhood
Carvolth
It’s a flurry of construction in Carvolth as the residential development on the east side continues and the commercial development on the west side gets under way. There are only a handful of residential development sites left to develop in Carvolth.
Development applications: 7
# of single family homes: 14
# of townhomes: 183
# of condos: 1,173
Latimer
Construction continues in the southwest and northeast quadrants of Latimer; however, the northwest and southeast quadrants remain held up due to unmet servicing requirements. As a result, land values vary significantly throughout Latimer, based primarily on development timelines.
Development applications: 32
# of single family homes: 555
# of townhomes: 1,213
# of condos: 982
Jericho
We continue to see minimal activity in Jericho aside from an exciting new mixed-use project coming on the southwest corner of 80th and 200 Street.
Development applications: 2
# of single family homes: 0
# of townhomes: 0
# of condos: 335
Yorkson
With most of the land in Yorkson purchased by developers there was minimal transaction activity over the past year aside from a few sites trading between developers. The bulk of the new construction activity is and will continue to be located in the southwest quadrant.
Development applications: 30
# of single family homes: 194
# of townhomes: 860
# of condos: 868
Smith
Smith continues to sit idle, waiting for the development community to secure the prerequisite school and park site necessary for any land in Smith to develop. As a result, land values remain lower in Smith than many developable areas of Willoughby.
Development applications: 0
# of single family homes: 0
# of townhomes: 0
# of condos: 0
Williams
Williams has been unexpectedly quiet the past year with the existing development applications in the north half of the plan making slow progress to due unforeseen infrastructure challenges. The development timeline of the southern half of the plan remains undefined and that uncertainty is holding land values down for that portion of the plan.
Development applications: 7
# of single family homes: 65
# of townhomes: 569
# of condos: 0
Northeast Gordon Estate
There was minimal new development activity in North East Gordon over the past year aside from a couple new development applications on the west side. The central portion of the plan area between 207 Street and 208 Street remains undevelopable as it waits for the prerequisite stormwater detention pond but that didn’t stop a handful of investors from purchasing property in the area as a long term investment.
Development applications: 8
# of single family homes: 137
# of townhomes: 83
# of condos: 0
Central Gordon Estate
One of the most active neighbourhoods in Willoughby with servicing under way in multiple catchments, new applications being submitted and a long list of land transactions the past year. Land values jumped significantly in this area driven by both the market and by land that was previously not serviceable, becoming serviced.
Development applications: 25
# of single family homes: 64
# of townhomes: 699
# of condos: 909
For more information
Mike Harrison*
Principal, Development Land Sales
604 626 9547
*Mike Harrison Personal Real Estate Corporation
© 2023 Avison Young. All rights reserved. E. & O.E.: The information contained herein was obtained from sources that we deem reliable and, while thought to be correct, is not guaranteed by Avison Young Commercial Real Estate Services, LP (“Avison Young”)