On September 15th, 2008 the world fell off an economic cliff. We watched and listened in horror as minute by minute accounts of imminent failure of some of the world’s largest financial institutions and businesses were announced. Proclamations of depression, forecasts of never ending economic doom and comparisons to the 1930’s, were heard again and again with screeching headlines, to the point of hysteria. And so it continued through to the end of February 2009. Oil had gone from 150 dollars a barrel to the mid 30’s. Teck Cominco, one of the world’s greatest mining companies had fallen to 3.50 a share. The TSX had fallen from 15,000 to 7,000.
Since then reason has begun to reassert itself. Governments, central banks, and business leaders have begun to make adjustments to deal with the new reality, and we seem to have finally landed with a thud at the bottom of that precarious fall. Economic news is a little better. There are more forecasts of some type of subdued recovery. Oil is back up to the mid 60’s, Teck Comico is 17 dollars, and the TSX is over 10,000.
We may not be in a full blown recovery. We may be bouncing along a bottom. But the bottom we are at…..I think…and from a bottom values go one way…up.
So what does this mean for Anthem’s Waterfront project?
In any economic meltdown, costs adjust to reflect the new levels of supply and demand. For new developments, cost factors such has construction costs, consultant costs and interest costs, are down. Work isn’t so easy to take for granted. So we can build later phases cheaper. At Waterfront we have forecast newer reduced costs and have re-priced the remaining units in The Flats and Two Waterfront (the second tower) to pass on those savings. About 100 units have had prices significantly reduced.
Specifically:
- Our prices start as low as $249,900 for a home
- 35 units are priced under $300,000
- Our larger price reductions total $187,000 per unit
Imagine that, a cool loft style apartment condominium, made out of concrete, with high quality design and finishes, steps from Eau Claire, the River Path, Chinatown, and your job downtown, for only 250,000 bucks.
Waterfront living will never be this cheap again. The crash is over. The bargains are here. The time is now. Lucky You.
Don’t be like me crying over my lost opportunity to buy Teck Cominco at 3.50. Step up to the plate. Be one of the smart buyers.
Good luck
Eric Carlson
