By Staff
October 19th, 2021
BURLINGTON, ON
The big story in September were condos in Burlington.
Average sale prices were up an astonishing 32.3%, price per square foot was up 26.9%, and sales were up for the first time since June at 7.6% in September, as compared to September 2020.
The average price paid for a condo apartment unit between $200,000 and $2,000,000 was a record-smashing $704,000.
The average in August was $601,000, and July was $565,000. A truly incredible development, certainly spurred by the high prices of traditional homes.
Condo apartments sold for 101.46% of the listed price and in an average of 15 days.
Inventory levels were at 32 active listings, down considerably from the 5 year average of 89. Year to date, sale prices had increased by just over 18.9% and price per square foot had increased by just over 18% when compared to the same period in 2020.
Does anyone still wonder (Joke) why the developers have mass attack appeals at OLT for higher, and denser, and more units everywhere in excess of the Burlington OP that took more than 6 years of planning and public consultation, and what we thought we voted for.
Based on the data in this story let’s do an example of following the money in case there is any doubt.
Back on October 11, the Gazette reported that at present count there are 47 applications for 19,100 units mostly high-rise, and 3690 mid and 2320 low. Virtually all of these applications want or are higher and denser than the OP states, and have been or are being decided at OLT by the edict of one or two Chairmen based on the testimony of developer paid consultants.
Based on the condo apartment average price as a simplification, 19,100 units at $700,000 per equals $13.000,000,000. If, as a hypothetical example, the OLT decides that 1/3 of these units asked for are granted in excess of the City OP rules this is 6270 units worth the market average selling price in total of $4, 384,000,000.
All these numbers can be quibbled about but they are the reported data from responsible sources, but that won’t change the point or the message. I suspect the OLT will allow more than 1/3 more.
Planning and development in Burlington/Halton/Ontario has been usurped by the Provincial Policy machine that created the appeals process, with unfettered power to developers to go to OLT, as the legal body that delivers the dictatorial central planning policy that has been created to deliver what the Province wants regardless of what the people want as expressed in their OPs and associated rules.
This is actually a money printing machine that inflates real estate property development rights, associated capital gains, and the cost of housing – amply demonstrated by the housing cost inflation data in this story. And it’s billions and billions of unearned asset values given to developers by the Province.
As I said, the old saw is, if you can’t figure it out, just follow the money.