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- 😲 Rates drop and immigration pauses
😲 Rates drop and immigration pauses
Bank of Canada slashes rates by 0.50%, Trudeau pauses immigration, Metro Vancouver housing deficit balloons, GTHA sales reach 30-year low, and more news from across Canada.
Recap Team
October 25, 2024
Good morning!☀️ Ready to kickstart your day? Take 5 minutes to recap all the major news headlines from this week.
⚡ Top Story
BoC Slashes Key Interest Rate by 0.50% to Spur Demand
The Bank of Canada has reduced its policy rate by 50 basis points to 3.75%. This decision reflects easing global financial conditions, inflation reaching the 2% target, easing shelter costs, and a soft labour market. GDP growth, residential investment, and business investment are projected to rise as demand picks up.
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🗞️ BC News
Metro Vancouver Housing Deficit Exceeds 45,000 Homes
Metro Vancouver’s housing deficit has grown to over 45,000 homes. Population growth, driven by significant immigration, is outpacing housing supply. The region’s population is expected to increase by 20% in the next decade, adding further pressure. High construction costs and borrowing rates have slowed homebuilding, exacerbating the shortfall.
Vancouver May Eliminate Some Rezoning Requirements
Vancouver staff proposes eliminating rezoning requirements for co-op, social, and supportive housing projects to accelerate their approval. The proposal would allow buildings of up to 18 storeys in certain areas and six storeys in others. This change aims to reduce delays by up to two years.
Surrey’s Century City Plan Shifts From Office to Residential
A proposed change to Surrey’s Century City development replaces an 11-storey office building with a 20-storey rental housing tower. The new design will add 274 rental units, increasing the project’s total to nearly 1,300 homes. The tower will also feature retail space and minimal parking, aligning with transit-oriented policies.
Kelowna Council Explores New Tenant Protection Bylaws
Kelowna is exploring a Tenant Protection and Relocation Assistance bylaw to help tenants facing displacement due to redevelopment. Proposed measures include requiring developers to submit tenant relocation plans, provide extended notifications, and offer financial compensation. Council is considering moderate protections with potential additions.
💭 Quote of the Day
“What you get by achieving your goals is not as important as what you become by achieving your goals.”
Zig Ziglar
🗞️ Ontario News
GTHA Quarterly Condo Sales Reach Lowest Level Since 1995
Since 2022, 33 condo projects across the GTHA have been altered, cancelled, or placed into receivership due to high interest rates and market shifts. 6,800 condo units were affected, with some being converted to rentals. Sales of new condos have dropped significantly, marking the lowest quarterly total since 1995.
Massive 2,000-Unit Project Proposed in Burlington
A major housing project proposed in Burlington will include eight condo towers, ranging from 11 to 30 storeys, with nearly 2,000 units. The mixed-use development will also feature retail, office space, a library, and daycare facilities. A pedestrian bridge will connect residents to the Appleby GO station.
3 Ottawa Properties Enter Receivership After Loan Default
Ashcroft Homes’ three Westboro properties in Ottawa, containing 600 residential units and 38,000 square feet of retail space, have entered receivership due to a $6.5 million loan default. Struggling with high vacancy rates in retail spaces and financial challenges, the Ontario Superior Court appointed BDO Canada as the receiver.
Toronto Project Revised to Replace Office Space with 2nd Tower
A revised plan for 310 Front West replaces proposed office space with a second residential tower, resulting in 65- and 70-storey buildings. This adds 1,782 residential units, a public plaza, retail space, and amenities while reducing parking. The site is close to public transit in Toronto’s growing Entertainment District.
😯 Random Fact of the Day
Did you know Michael Bloomberg founded the Bloomberg Terminal after being laid off from Salomon Brothers in 1981? He received a $10 million severance package but decided to take the risk and pursue a new business idea.
🗞️ National News
Trudeau Government Puts a Pause on Immigration
Justin Trudeau has announced a 20% reduction in PR immigration. Temporary immigrant numbers will also be slashed. Trudeau described this move as a pause to address strains on housing, public services, and the labour market. Economists forecast a potential economic slowdown despite some relief for housing and rental markets.
CREA Votes to Convert REALTOR.ca Into a For-Profit Entity
CREA has voted to convert REALTOR.ca into a for-profit entity. Previously not-for-profit, the platform will now be a wholly-owned taxable subsidiary of CREA. This move is expected to open new revenue streams while maintaining its focus on realtors and consumers. CREA assures no immediate impact is expected.
📅 Save These Dates
November 8, 2024, 4:30am | Unemployment Rate
You’re all caught up! Enjoy the rest of your day.✅