New Staybridge Suites welcomed to communities

TORONTO — Staybridge Suites, a leader in the rapidly growing extended-stay hotel market, recently announced the expansion of its Canadian portfolio with the opening of two luxurious new hotels, Staybridge Suites Guelph and Staybridge Suites Oakville-Burlington. A member of IHG (InterContinental Hotels Group) PLC of the United Kingdom [LON:IHG, NYSE:IHG (ADRs)], one of the world’s largest hotel groups by number of rooms, Staybridge Suites first entered the Canadian market in 2000. With the addition of these hotels, there are now seven Staybridge Suites properties across Canada.

“There is a strong trend towards extended-stay hotels in the North American market,” said Robert Radomski, vice president, Brand Management, Extended-Stay Brands, IHG. “People either travelling on business, relocating or planning a vacation with family are discovering that upscale extended-stay hotels offer the best of both worlds — all the comforts of home such as full kitchens, comfortable living areas and laundry access, plus the added benefits of a full-service hotel such as housekeeping and meal services.

“Staybridge Suites is leading the market in upscale extended-stay properties by introducing luxurious amenities into suites that feel like home. It is a formula that is resonating with our guests and has fueled our initiatives for further expansion across Canada,” adds Radomski.

In addition, in keeping with the “just like home” approach, both hotels offer complimentary “Wireless Anywhere,” which allows guests to access wireless high-speed Internet anywhere on property.

Differing opinions shared on economic outlook

BY GREG MACDONALD The Business Executive

Peter Hall, Sr. VP and Managing Director of CBRE

KITCHENER — Two divergent opinions of where the economy is headed in the next year emerged at CB Richard Ellis’s annual outlook breakfast for Waterloo Region last month.

And while experts are divided on which way the real estate market will go, they agree on one point: whether the market stays steady or takes a drop, investors are going to have to use their heads more than ever.

“You have to be smart about all your decisions and keep your head,” said Blake Hutcheson, CBRE president and CEO, while speaking to a room of local businesspeople at the Holiday Inn in Kitchener.

Hutcheson told the crowd that while this year’s real estate market likely won’t hold up to a strong 2007, it won’t be as bad as some analysts are forecasting.

“There are a lot of reasons the economy isn’t going to hell in a hand basket,” Hutcheson said, citing limited supply and growing demand for employment lands in most cities across the country.

That being said, there will be some drop off as the American economy continues its downturn, he added.

“This year is going to be good, but not great,” Hutcheson said.

Don Drummond, senior vice president and chief economist for TD Bank Financial Group, painted a darker picture, predicting that Canada would follow the United States’ slide.

The manufacturing industry will continue to take a hit as the Canadian dollar remains high. But an even more important factor to that industry will be the strength of new markets, Drummond said.

“The dollar is certainly a factor, but a much more common factor is the global shift to emerging economies,” he said.

Ontario will be the hardest hit by this shift and will likely be one of the slowest-growing provinces in the country.

While the rest of the country might be ready to duck for cover, Southern Ontario could be the one area to buck the trend.

With a strong growth rate and home to a number of emerging and high-technology firms, areas such as Waterloo Region have less to worry about.

“There’s a bleak backdrop in the United States and it’s not much better in Canada, but this area (Waterloo region) is still expected to perform strongly,” he said.

Peter Hall, senior vice president and managing director of CBRE echoed these sentiments.

Hall outlined the real estate market across Southwestern Ontario and recent major transactions in the market.

The area has a strong interest from external investors, Hall said.

“Eighty percent of (new developments) are being undertaken by developers and investors from outside of southwestern Ontario who have the confidence in this market to make sizeable investments in our communities,” he said.

“That’s a statement right there.”

Overall, Hall expected continued growth, with some slowdowns in the industrial and retail markets. But despite a potential continental recession, southwestern Ontario should stay strong, he said.

“In spite of the high Canadian dollar, the slowdown with our neighbours to the south and the turmoil in the money markets, we are optimistic that the real estate market will continue to be strong in 2008,” Hall said.

“This area’s strength in advance manufacturing, biotechnology and information and communications technology should allow us to weather some of the clouds on the horizon.” TBE 

$6,000 raised in one day for Food Bank 

KITCHENER — REALTOR® members of the Kitchener-Waterloo Real Estate Board raised more than $6,000 for the Food Bank on Jan. 18. A total of 598 tickets for an all-inclusive one-week vacation for two at the 5-star Riu Bachata Resort, Dominican Republic donated by East Forest Homes, were sold at the annual meeting and Kick-Off dinner/dance, raising almost $3,000. Jeff Reitzel, the winner of the draw for the trip, donated the prize to the Board and Ted Scharf, Program Committee Chair, auctioned the trip. Barry Rogers successful bid raised another $3,100.

The Food Bank of Waterloo Region works through 67 member agencies, and with the help of 1,000 volunteers assists approximately 25,000 different individuals in the Region each year. Last year food was distributed through the emergency food hamper program (61,364 hampers), meal programs (385,638 meals), and housing shelters. For every $1 that is raised, the Food Bank is able to provide more than $8 of emergency food.

Research Park awarded $15 million in Federal government funding

Jim Prentice

SARNIA — The Minister of Industry, Jim Prentice, has announced that The Research Park, Sarnia-Lambton Campus will be awarded $15 million in federal government funding for a new “Centre of Excellence for Commercialization and Research.”

The $15 million investment will be matched by over $5 million from other sources and will leverage over $30 million in additional funding commitments from industry, institutions, municipalities and provincial governments.

The Bioindustrial Innovation Centre, now under development at The Research Park, will create Canada’s leading centre for the commercialization of large-scale industrial biotechnology. Funding will also be used to support collaborative and entrepreneurial projects with industry and academic partners from across the country, including Lambton College and The University of Western Ontario. An industry-led Council in partnership with the Research Park will manage this work. The goal of the partners is to attract over $1 billion in new investments by 2014 and position Canada as the world leader in integrating sustainable feedstock into existing products and value chains.

“The City of Sarnia and the County of Lambton’s original investment in The Research Park is paying back in huge dividends,” said Board Chair, and Sarnia Mayor, Mike Bradley. “We are seeing the future of Sarnia-Lambton and that future is The University of Western Ontario Research Park.”

In August 2007, the provincial government’s Ministry of Research and Innovation announced a $10 million investment supporting the Bioindustrial Innovation Centre. Renovation work started shortly thereafter to upgrade and modernize 60,000 square feet of existing labs and pilot plant space. In the spring of 2008, a groundbreaking ceremony will be held to begin construction on a new 75,000 square foot facility.

“The Bioindustrial Innovation Centre will provide unique programs and facilities to build, demonstrate and test technologies in partnership with industry,” said Don Hewson, Managing Director, Industrial Liaison, The Research Park, Sarnia–Lambton Campus. “It will allow bench scale research performed at public institutions and private labs to be tested at a large industrial scale.”

Higher-priced properties sustain K-W home sales

KITCHENER — Strong sales results were recorded last month for homes selling for more than $225,000, according to results released March 4 by the Kitchener-Waterloo Real Estate Board.

A total of 308 properties sold for more than $225,000 in February, compared with 234 sales one year ago. However, overall residential sales declined slightly last month due to reduced demand for lower-priced properties.

Despite the 3.5 percent decrease in total residential sales in February, the value of the 493 sales last month totaled more than $128 million, a 7.1 percent increase compared with one year ago.

As a result, the average sale price of all residential properties sold in February increased 11 percent to $260,121 compared with one year ago. Single-family detached homes saw their average price increase nine percent to $295,145.

The median price of residential properties sold in February increased 11.5 percent to $241,900, with the median price of single-family detached homes increasing 9.2 percent to $273,000.“

O.R.E. to develop new facility

MILTON — O.R.E. Development Corporation (O.R.E.) has approved the development of a new 320,000 square-foot industrial facility in the James Snow Business Park. The 16-acre site will feature a single facility divisible into two units of 177,000 and 143,000 square feet respectively.

The new James Snow Business Park facility will be located at 8350 Lawson Road and is anticipated to be completed by summer 2008. The property is situated within a multi-use office/industrial park along the north side of Highway 401, one kilometre west of James Snow Parkway. The building features include 32-foot clear heights; ESFR system ready; powered with a 2,000 AMP, 347/600-volt electrical service; 36 truck level doors with room for more; and 153 parking spaces.

O.R.E. Development Corporation is a full-service real estate development and construction company headquartered in Mississauga. For more information on leasing opportunities, please contact Mike Merry (905-315-3690) or Evan White (416- 798-6232) of CB Richard Ellis Limited.