Building the hub of the Fraser Valley City Centre

Much has been said lately about the growth of the Fraser Valley. Unlike in 2008, when investors and end-users that had been attracted to the Fraser Valley for value compared to the rapidly appreciating real estate in Vancouver proper at that time returned West. Now, the story is arguably different. For starters, product values in Vancouver simply cannot retract to the $600+ per-sq.-ft. levels they did in 2009 due to escalating land and development costs. So even with the current downward market trend in these areas, affordability remains a clear challenge in both present and future.

More specifically, the multi-family market in Abbotsford has historically been more challenging and less stable than more central neighbourhoods in the Metro Vancouver area. However, with increasing challenges to affordability to the west of Abbotsford, coupled with the significant growth, the long-term prognosis for the market for multi-family product is most favourable with respect to Abbotsford’s core.

Both investors and end-user consumers are migrating east. Given the job and population growth in this suburban area, and the advancements in employment amenities and services, today’s buyer is finding value east of Vancouver.

To accommodate this increase in demand, the city of Abbotsford introduced Plan 200K, which details the city’s vision for the future of Central Abbotsford and how it plans to accommodate the expected increase in population. It outlines parks, pedestrian-friendly infrastructure, as well as shopping, dining and residential housing.

Its growth plan for the City Centre is in its early stages from a development perspective, but the market has already seen sustained growth over the past three years.

With the city of Abbotsford’s population projected to reach 150,000 this year and 164,000 in 2021, it shows no signs of slowing.

Abbotsford is the fifth largest city in BC according to 2016 census stats. Key employment sectors include aviation and aerospace, film/TV/events, agriculture and niche manufacturing. Industry Training Authority predicts aviation and aerospace alone will need 4,000 new employees (trades, labourers, etc.) in the next five years. In addition to the planned growth, Abbotsford has also been nominated as one of the Top 7 Intelligent Communities of 2019. It is known for being a business-friendly testing hub – an incubator for thoughts and ideas. At the nucleus of all this is Abbotsford’s adaptive and innovative culture.

The city worked with Telus to secure an investment of wide-spread fibre deployment and small-cell technology throughout the community, superseding the efforts of neighbouring communities. In addition to the fibre installation, Telus also installed “smart small cells”, technology attached to poles in order to boost network and WiFi connectivity, range, and reliability.

Growth, innovation, and value are three major reasons why Western Investor named Abbotsford one of its top real estate investment towns in all of Western Canada. Akin to the growth in Surrey City Centre, the rise of this Fraser Valley hub is certain to draw Abbotsford increased attention. Sounds like a smart buy.

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