Daily insights for city builders, delivered every morning at 6 AM ET. I’m Brandon Donnelly — a Toronto-based real estate developer and founder of Globizen. I’ve been writing here since 2013.

Tag: vancouver

  • The importance of storytelling

    Last night I was out for drinks with a friend of mine who runs an architecture firm in the city called Reflect Architecture. We started talking about the importance of marketing and storytelling in city building and then got onto the topic of Danish architect Bjarke Ingels and his firm BIG.

    At only 39, Bjarke Ingels has become a celebrity architect at a relatively young age. He’s working on projects all over the world from Vancouver to New York to Shenzhen. And he describes his work as a combination of “shrewd analysis, playful experimentation, social responsibility and humour.” But what has always interested me about BIG is their use of dead, simple, diagrams (see above for an example).

    A diagram is just a graphic way of communicating information. And lots of architects use them as a design tool. But what BIG does is use them to create a narrative around each and every project. If you look at their website you’ll see that every project is presented using a series of diagrams that outline the process used to arrive at the final design. You’ll never just see the final product. You always see the steps involved. Click here for an example from Vancouver.

    What’s powerful about this approach is that it demonstrates that there’s a logic behind every design outcome (even if sometimes it might be contrived or done after the fact). It’s not form for the sake of form; it’s form as a result of the uses in the building, the urban context, and so on. 

    But at the same time, I think it taps into a deeper psychological phenomenon: people love stories. In fact, research shows that when we’re told stories, our brains actually become more active. We pay closer attention.

    I mean, just think about how much people enjoy hearing about rags-to-riches stories. Nobody likes to talk about some rich person who was born rich. That’s not an exciting or interesting story. And it changes how we perceive that person. We want to hear about that guy or girl who came over from a war torn country and built an empire from nothing. Now that’s a good story.

    What I’m getting at is that I think a big part of Bjarke’s success has come from his ability to masterfully storytell and market both himself and his projects. Architecture schools don’t usually teach you how to market and sell; they teach you how to design. But the reality is that you need to sell. And storytelling is a great way to do that.

    If you liked this post, I recommend you check out this TED talk by Bjarke Ingels and this short interview with marketer Gary Vaynerchuk where he talks about how he used storytelling to sell wine.

  • Further evidence that laneway housing is going to happen

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    Earlier this week Fast Company ran a piece talking about “the next big thing in urban planning” – backyard cottages. As the name suggests, backyard cottages are basically accessory dwellings built in the backyards of existing single family homes. And the idea is that they’ll provide new affordable housing options in competitive and supply constrained markets such as the Bay Area in California.

    While somewhat different than laneway housing–which you probably know I support here in Toronto–they do share many similarities. We’re talking about the intensification of our residential neighborhoods at the scale of the single family home. And the potential benefits go beyond just affordability. It would also make our communities more sustainable, more walkable, and more conducive to transit.

    But there are challenges. I don’t know about the Bay Area, but many municipalities don’t allow a “house behind a house” and many communities don’t want to see their neighborhood itensify. However, we are seeing companies, like New Avenue, emerge to help homeowners navigate the process of building a backyard cottage. This company in particular claims to have worked with over 90 homeowners. 

    So I think we’re going to see more, not less, of these types of housing solutions. Vancouver is already doing it. And so is Portland

    Now here’s a question for you. If you owned a house in a single family neighborhood, would you be fussed if your neighbor erected a backyard cottage or laneway house? I’d love to get your opinion. Let me know in the comment section below.

    Image: New Avenue

  • Why Vancouver’s housing market hinges on China’s economy

    Last week a friend of mine sent me a really fascinating article from The Economist talking about the role of foreign investors in Vancouver’s housing market. If you subscribe to The Economist, you can click here to read the article. If you don’t subscribe, you’ll have to rely solely on what I’m about to say.

    In case you weren’t aware, Vancouver is an incredibly expensive city when it comes to real estate. The average price for a single-family detached house is now around C$1 million. By some measures, that makes it the most expensive housing market in North America. Here’s a chart that looks at house prices as they relate to household income:

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    According to The Economist, the median household income in Vancouver is $68,970. This places them 23rd out of 28 in terms of Canada’s major cities. So how is it that homes are, on average, selling for $1 million? The locals don’t seem to be able to afford them.

    Well, it’s a well known fact that Chinese buyers continue to be an integral part of Vancouver’s housing market. In fact, up until this year, Canada offered a fast track option for citizenship applications if you brought at least $800,000 into the country.

    So we know that foreign buyers are having an impact. It’s a phenomenon we’re seeing in many other cities around the world, such as London. But to what extent is hard to measure–which has forced analysts to get creative.

    To try and figure out what percentage of homes are going to foreign buyers, analysts have been looking at macro data, filing through sales records, and even monitoring utility bills to see which homes might be sitting empty.

    What they found is that there’s a fairly significant correlation between economic activity in China, and Vancouver’s housing market. When the Chinese economy does well, so do Vancouver homes. Interesting. Still, that doesn’t quantify impact.

    When analysts looked for utility bills that would suggest an empty home, they found that only about 8% of high end downtown condos were likely sitting empty. That’s a relatively small amount. It could be vacancy rate.

    But when they looked for “mainland Chinese-sounding names” on sales records, they found that for homes priced $3M and up, almost ¾ of the buyers could be from mainland China. Now that’s a significant number!

    I found this all rather fascinating and I thought you all might as well. It yet again reminds me of how much opacity there is in real estate markets. We’re all craving better data. Why else would people be scouring utility bills?

  • What makes a city great? [Video]

    Each year Monocle publishes a ranking of the top 25 cities around the world in terms of quality of life. Different than most city rankings, the survey goes beyond the more typical metrics around crime, education and so on, and also looks at some of the softer aspects of quality of life. Metrics such as: Can I get a good glass of wine at 1am? What they’re after is a more truthful ranking of the cities that people actually want to live in.

    This year Copenhagen took the number one spot. Vancouver took first in North America. And Tokyo took first in Asia. All 3 cities have scored well since they began the survey. Monocle also released a short video that looks at these 3 cities and explains a bit about their ranking methodology. Click here to watch the video. It’s only about 7 minutes long, but it’ll probably make you want to visit all 3 cities. I’ve never been to Copenhagen, but it’s certainly on my list.

  • What the hell does gesamtkunstwerk mean?

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    I’m a big fan of Canadian developer Ian Gillespie and his firm Westbank. They are the developers behind projects like the Shangri-La Vancouver, the Shangri-La Toronto, the mixed-use Woodward’s complex, and the upcoming Vancouver House (shown above) designed by Danish architect Bjarke Ingels (who just so happens to be one of my favorite architects). I would easily count them as one of the preeminent city builders in the country today.

    In support of their commitment to city building (and as a way to offer the public a peek of Vancouver House), they recently staged an exhibition called Gesamtkunstwerk. I think this is great on so many levels. Not only was it probably a great sales tool, but it’s also introducing the public to a largely obscure and academic term, and showing off a deep commitment to design. Unless you studied art, architecture, or something like the philosophy of aesthetics, you probably haven’t come across this term before.

    Gesamtkunstwerk is a German word, which literally translates into a “total work of art.” It was introduced in the 19th century by an opera composer by the name of Richard Wagner, who felt that opera represented a total, or complete work of art. Later, the term was picked up by architects. Some interpreted it to mean that architects should be responsible for everything from the building itself to the furniture and everything else that goes inside of it. Everything was art.

    Westbank now wants to introduce the idea of gesamtkunstwerk into the real estate development business. They want to use it as a guiding philosophy for all of their projects. And what that means is that the building itself and its relationship to the greater city should be thought of as a “total work of art.” They seem to be reintroducing the term with an inherent city building tinge–one that I don’t think was ever there before. 

    What a great philosophy.

    Image: Westbank

  • Vancouver boomers are sitting on $163 billion of mortage-free property

    Continuing with our discussion of Vancouver, I was reading today that baby boomers in the metro area (those aged 55 and older) are estimated to be holding over $163 billion of clear title property. That is, homes without any mortgage. This figure comes from Rennie Marketing Systems out of Vancouver.

    What’s interesting about this number is that it signals both a lot of equity that could be used for downsizing, rightsizing and lateral moves into a condo, and a source of capital for millennials to buy their first home. In fact, according to a survey that Rennie Marketing also conducted, somewhere around 40% of first time buyers in Vancouver are getting deposit help from their parents and/or grandparents.

    But the question that comes to my mind is: Are there going to be enough middle aged people willing and able to buy $163 billion worth of real estate? Because one person’s sale is another person’s buy.

  • The future of Vancouver’s West End

    Spacing Vancouver recently published an interesting look at Vancouver’s West End neighborhood. And it led me into a deep dive of the neighborhood’s recently adopted Community Plan (November 2013). So today I’d like to talk a bit about the neighborhood and also their plans for managing growth over the next 30 years.

    Officially established in 1969, the West End spent the next 3 decades as the most densely populated area of Vancouver. But starting in the 2000s with the development of high-rise condo towers in neighbouring areas such as Downtown South to the southeast and Triangle West and Coal Harbour to the northeast, the West End lost this position. Today it’s the 4th most densely populated neighborhood in the city.

    The bulk of the housing (77%) is in the form of apartments with 5 or more storeys. And 81% of residents are renters. This is well above the city average of 52% and is likely a reflection of the neighborhood’s younger demographic (25-29 years old is the largest segment) and its position as a landing ground for new Vancouverites.

    But as a large central area with exceptional access to natural amenities, I would imagine that development pressures are and will continue to be significant. To plan for this growth, the city wants to intensify the central areas of the neighborhood with low-rise and mid-rise form and the periphery with high-rise towers. And already this is happening with developments such as the 62-storey Shangri-La Hotel.

    Here’s an image depicting their 30 year vision:

    But what stands out for me in the Plan is Vancouver’s continued commitment to laneway intensification. The Plan refers to it as “Laneway 2.0” and they specifically mention the opportunity to redevelop the West End’s wide laneways with “ground oriented infill housing.” Below is an example of how this could be done on a small residential lot, but the Plan also includes images for how the same might be accomplished on underutilized apartment building sites.

    Laneway housing is a topic I’ve written about extensively on ATC. Toronto is absolutely behind on this. And as I’ve argued before, we need to be looking at urban intensification across all scales, from low-rise to high-rise, if we want to create inclusive and vibrant cities. With the West End Community Plan, Vancouver seems to be doing just that.

  • Necessary city

    I’ve spoken about global cities, such as New York and London, many times before on Architect This City. I’ve also talked about the rise of consumer cities. That is, cities with a high “urban amenity premium”, which could be great outdoor amenities or great restaurants, theatre and so on. These are places of consumption.

    Sometimes global cities and consumer cities are one and the same. But there are also cities–such as Vancouver–where I view the urban amenity premium as outweighing their status as a global city. Vancouver, quite simply, is an awesome place to live and enjoy life. I almost went to UBC for grad school because of Whistler Blackcomb and the city itself.

    Today, I’d like to introduce another type of city into the discussion mix: the necessary city. I heard about it here and, although it seems somewhat intuitive, I think it’s an important reminder that, even though a city may not be an alpha global city, it may be fulfilling a specific function for a particular industry or aspect of the global economy. It may still be a necessary city for your corporate headquarters.

    For example, Houston is the city for energy companies. If that’s your business, you likely need a presence there. For fashion and luxury, it’s Paris. And if you’re in the auto industry:

    The major global equipment manufacturers are widely dispersed, but when you look at leading global parts suppliers, they virtually all have their North American headquarters in Detroit – including the German, Japanese and Korean ones. Among them are companies like Robert Bosch, Denso, Yazaki and Hyundai Mobis. If you’re in the auto industry in America, you have to deal with Detroit. Unsurprisingly, Detroit boasts several nonstop flights to key Asian destinations.

    In essence, we’re talking about cities making themselves necessary by becoming niche experts. And what I think is interesting about this concept is that it’s likely much more attainable for a lot of cities. Most cities will never become New York. And most cities will never be able to transform themselves into the next Silicon Valley.

    But maybe those are the wrong economic development goals. It’s not about becoming the next, whatever; it’s about finding and owning a particular niche and making yourself absolutely necessary to the global economy.

  • Berczy Park and the importance of public art in cities

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    Earlier this week a friend of mine was live tweeting a public consultation meeting for the revitalization of Berczy Park in the St. Lawrence Market neighborhood of Toronto. And since I live in the neighborhood, it’s a project that I’ve been following particularly closely–although anything related to the built environmental generally fascinates me.

    As soon as I saw the pictures he was tweeting out, I was immediately excited. And after reviewing the full design package (which you can download here), I must say that I think it’s going to be a brilliant change for the neighborhood. 

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    On an entirely superficial level, I like the paving motif they’ve chosen; even if it does appear to be be a copy from somewhere else (see above photo). I don’t think one should underestimate how small details, like paving, can have a huge impact on how one feels in a space, whether inside or out. It all counts.

    But beyond just cosmetic changes, there are a couple of significant design changes being proposed.

    First, a larger kid-friendly green space is being proposed on the west side of the park. And what was interesting to see was how the community overwhelmingly expressed a need for this play area. I’d like to believe that this speaks to the growing acceptance of raising kids downtown. There are certainly lots of families in the St. Lawrence.

    Second, the south portion of the park is being “opened up” with a much larger hardscape area. The result will be a bigger promenade along Front Street, as well as, what I hope, will become an “urban stage” for people to hang out, breakdance, busk or try and sell me things I don’t need.

    But equally exciting is the fact that along with the revitalization of Berczy Park will come a public art competition. It’s already in the works, but there aren’t any pretty images to share, just yet. Regardless, I think the topic of public art is an interesting discussion.

    In a lot of cities around the world, there are mechanisms in place to encourage or mandate public art. Commonly, it comes in the form of a “Percent for Art” program, which means that, in the case of a new construction project, 1% of the construction costs would or should go to public art.

    But the fact that we, at least in some cities, have programs to mandate it, should immediately signal to you that public art is not something universally believed in. And certainly it’s one of those things where it’s hard to measure the return-on-investment. 

    But that doesn’t mean it doesn’t or can’t exist.

    In fact, I would argue that in today’s information and digital age it’s only going to become more important. We are living in a world of too much information and too little time. We’re living in a noisy world and, whether you’re a corporation or a city, the only way to stand out is to be remarkable. You need to bring delight to people.

    Because when you do, you get noticed (and probably shared on Facebook, Twitter, Instagram, Tumblr, Snapchat, Vine, 500px, Flickr and maybe even Google+). As one example, how many of you recognize the public art piece below? It’s in Vancouver and I’ve seen it pop up a number of times in my social news feeds. It’s something that brings delight to people. 

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    But at the same time, it’s something that speaks to and creates a sense of place. What could be more Vancouver than a giant blue raindrop along the waterfront? And that’s really one of the ironies of today’s digital world. Despite the fact that, no matter where we are, we’re all hyper connected through technology, more and more of us are gravitating back towards cities. We want to live close to other people and we want to feel a sense of place.

    When done properly, public art can help cities achieve that. Whether it’s the famous LOVE sculpture or Richard Serra’s controversial Tilted Arc, public art can make you stop and take notice of your environment. It can give you that sense of familiarity or it can take you by surprise. Either way, it gives you a sense of place.

  • The best city blogs around the world

    This morning I’m super excited to announce that Architect This City has just been listed by the Guardian Cities UK as one of ’The best city blogs around the world.’

    There are some great and well known blogs on the list, including The Happy City by Charles Montgomery (Vancouver) and Humans of New York by Brandon Stanton–which went on to become a #1 NYT bestselling book. So it feels good for my fledgling ATC blog to be included.

    A big thanks to the editor of the Urban Times for encouraging the folks over at the Guardian to include it and thanks to everyone who reads ATC. Happy Monday.