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- Council gives over $3 million in taxes meant for social housing back to developers
Council gives over $3 million in taxes meant for social housing back to developers
A new change benefits developers, a weekend event list and Gastown changes get the go-ahead
Geoff Sharpe
May 12, 2023
Good morning,
Yesterday’s announcement of a tax break for developers is a bit of a headscratcher. But I think it is an important turning point in the early tenure of ABC’s council majority and may foreshadow how the city deals with developers. Is it good? Is it bad? I’ll let you be the judge. Regardless, we break it all down for you.
Here’s what else is in today’s newsletter:
A deep-dive into the Empty Homes Tax changes
Big changes in Gastown
Events to check out and food news, including a Toronto Michelin star restaurant opening in the city
Let’s get to it.
— Geoff Sharpe, Vancity Lookout newsletter writer
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WEATHER
Friday: 25 🌡️ 14 | ⛅
Saturday: 27 🌡️ 15 | ☀️
Sunday: 28 🌡️ 17 | ☀️
Monday: 29 🌡️ 16 | ☀️
VANCOUVER BY THE NUMBERS
⌨️ $1.2 billion: The price paid to acquire Vancouver company Absolute Software, paid by an American private equity company. [Business in Vancouver]
🏠 1,661: The number of pre-sale homes released in the first quarter of 2023 in the Lower Mainland, down 65 percent year-over-year. [Urbanized]
🏢 60 stories: The height of a new building at 1059-1075 Nelson Street, which would be the third largest in Vancouver and the world’s largest built under the Passive House green building design standard. [Urbanized]
CITY COUNCIL
“Reverse Robinhood tax” faces pushback
What happened: The ABC council majority voted to change the Empty Homes Tax, a payment levied on homes sitting idle, from five percent to three percent. The tax was also removed from developers whose newly built homes were empty as they waited to sell them, according to the Vancouver Sun.
The policy change is similar to how the province calculates their own vacant property tax, according to CBC. Staff were also asked to look into a graduated rate structure, which would mean less taxes on short-term vacancies versus long-term repeat ones.
Why the change: Coun. Mike Klassen who moved the change said the tax would be passed onto buyers and “counterintuitive to our quest for more housing attainability”, according to Business in Vancouver. The policy in question affects 60 unsold condo units.
The controversy: City staff recommended many changes to address some of the tax’s initial problems, such as capturing properties that shouldn’t have been included. But ABC went further, retroactively applied the lower tax to developers, meaning the city will waive $3.8 million in taxes owed by developers, money that was slated for social housing.
Lobbying: The group that represents the real estate industry, the Urban Development Institute, has been lobbying for this exact policy for years, according to the Vancouver Sun.
One of the problems: Coun. Christine Boyle took issue with the plan, noting, “until it’s sold, the owner can list it for as high a price as they like and, until it’s sold, wouldn’t need to pay the empty homes tax and have no incentive to lower the price,” according to CityNews. She called the plan a reverse Robin Hood tax. Others speculated it would mean developers wouldn’t have an incentive to lower house prices if they didn't sell.
Thought-bubble: The optics of raising property taxes for people and local businesses earlier this year, while give tax revenue back to developers, is, to put it lightly, not a great look, especially as ABC makes a big deal out of trying to find efficiencies in government. Up until now, ABC has operated as a middle-of-the-road party, but this could be part of an early pivot towards what some might call a more business-friendly party.
QUOTE
“I am almost speechless, which is uncommon for me. It's like a reverse Robin Hood tax and I am strongly against it.” Coun. Christine Boyle, over her opposition to council’s decision to return over $3 million in taxes levied on developers. [CTV]
THE AGENDA
❌ The fallout continues from the BC Housing audit. BC Housing says it will not renew funding for Atria until an audit is done. Between 10-15 buildings will need a new provider. Experts warn capacity is thin to find other providers, while the Minister of Housing promised no service disruption for residents. [Vancouver Sun]
🌡️ BC says it’s much better equipped to deal with eventual heat domes, including an upgraded alert system and more ambulance staffing. Over 600 people died last year due to the hot weather. [Vancouver Sun]
☀️ Lather on that sunscreen because it’s about to get hot this weekend. Expect temperatures this weekend in the high 20s to low 30s. [CTV]
🚨 An alleged groper who is accused of sexually assaulting victims on April 27 and 29 has been arrested. He was identified as a 25 year-old male. [CTV]
🚊 Guns, drugs and cash were seized as part of an investigation and raid into people using the transit system to move around drugs. [Global]
🔢 The ABC-dominated council rejected a motion to track demo-victions on Broadway, to understand how new developments displace existing residents. ABC said they didn’t want to increase red tape for developers, while Green Coun. Carr noted it was just a way to collect data. [Global]
⚽ Congrats to the Whitecaps who advanced to the Canadian Championship semifinal with a 4-1 win over York United FC. They will face off against Pacific FC. [Whitecaps]
🏢 The Skeena Terrace Development from BC Housing, close to the Rupert SkyTrain Station, submitted a new rezoning application for 1,924 homes, including 230 social housing units and 1,053 social housing units. [Urbanized]
🔥 Bad news showboat fans. The Kitsilano Showboat, which was damaged by fire, will be demolished. About 60 percent of the building suffered fire damage. [Vancouver is Awesome]
💰 Next week, mayors from Metro Vancouver will head to Ottawa to ask for funding from the federal transit fund to be delivered earlier than originally planned, to help with TransLink service improvements. [Urbanized]
NEIGHBOURHOOD
Gastown goes car-free
Anthony Maw, Vancouver, Canada
If you like walking in Gastown, it may be much easier in the near future.
What happened: The Gastown car-free pilot project announced weeks ago was approved by city council, according to Global. The pilot project will take place on Water Street, but the rest of the details, including timing and frequency, are not yet determined. Water Street cobblestones were also fast-tracked to be fixed. If you ever biked across the street, you know how bad it is…
In the last city budget, $10 million was set aside in the capital plan to improve the area. This could be amended to increase funding in the future, according to Global.
The area is undergoing or has planned other improvements, including fixes to Blood Alley Square and Trounce Alley.
Looking ahead: The motion also laid the groundwork to make Cordova a two-way street for buses.
Concern: Tour operators raised concerns about not being able to drive their vehicles through the neighbourhood. Street deliveries, which are done by vehicles, were also raised as a concern by local businesses.
Yes, but: Let’s be real — the best cities in the world, the ones we all love to visit like in Europe, prioritize vehicles and not people. If they can figure out how to accommodate more walking areas, so can Vancouver.
Dig deeper: Here’s what it takes to make cities more walkable, and why it’s a net positive for cities. [Vox]
WEEKEND GUIDE
Mother’s Day
Mom’s and Margurita’s | 1502 Duranleau Street | May 14 | A high-energy, fun for the whole family comedy night | Tickets $25
May Day Parade | Downtown Port Coquitlam | May 13, 11 am | Marching bands, pancake breakfast and more at the 100th annual parade | Free
Pinnacle Hotel at the Pier Mother’s Day Brunch Buffet | Pinnacle Hotel at the Pier | May 14, 11 am-3 pm | Fresh baked goods, pancakes, omelettes, sampled salmon, sashimi, dessert and so much more | Tickets $83
Portobello West Mother’s Day Market | West Vancouver Community Centre | Saturday, 10 am-5 pm | Market shopping, fashion, jewellery, art and so much more at this popular market | Free
Mother’s Day Brunch Buffet | Showcase Restaurant | May 14, 1030 am-2 pm | Sushi station, seafood, charcuterie table, hot buffet, it’s got everything | Tickets $85
Theatre and Arts
Madagascar the Musical | York Theatre, The Clutch | Multiple days and times | The movie becomes a musical, come watch it live | Tickets $30
SummerSing | Chan Centre for Performing Arts | May 14, 4 pm | Jazzy choral songs with choral singing, a great way to spend your afternoon if you love choirs | Tickets $20
Food and Drink
BC Distilled | Croatian Cultural Centre | Saturday, 6 pm-9 pm | The premier artisan distillery festival, enjoy quality BC distillery offerings | Tickets $79
Coquitlam Food Truck Block Party | Town Centre Park, Coquitlam | Saturday and Sunday, 11 am-7 pm | Over 20 food trucks, live entertainment and a beer garden, not a bad way to spend a day | Free
House of Funk Birthday | May 13, 12 pm-1 am | Beers, food from the Dumpling King and a host of DJs. It should be a blast | Free
Sports
Vancouver Canadians | Nat Bailey Stadium | Every day until May 14, afternoon games | Come watch the Canadians baseball team take on the Everett AquaSox | Tickets $20
Other
VGBA Plant Sale | Bloedel Conservatory Plaza | Saturday, 10 am-4 pm | A selection of over 5,000 different plants you can buy, with many varieties | Free
Film
The Trial | Cinematheque | May 15, 8:30 pm | Cinematheque is back after renovation. The film is Orson Welles’ adaptation of Kafka | Tickets $14
Passion | VIFF | All weekend long | A movie about a midlife crisis, it’s directed by Drive My Car director Ryûsuke Hamaguchi, which was one of my favourite movies in 2021 | Tickets $15
FOOD
Smashed, prawns and fests
Reviews
Super Smash Burgers not only serves good burgers, but they believe in doing good. The burger joint, which also houses Glitch Retro Arcade, offers workers a living wage, and they’re even looking at expanding. [Vancouver is Awesome]
Openings
Aburi, the group behind Wa! Curry and bagel shop Wa-Bagel, is opening Aburi Hana Vancouver, a sister restaurant to the Michelin star Aburi Hana in Toronto. It will open at Alberni and Cardero St. [Daily Hive]
News you can use
If you love spot prawns, here’s a helpful guide where you can find them around Vancouver. [Daily Hive]
Here’s a list of delicious spring cocktails you can find at restaurants throughout the city. [Scout Magazine]
Chef Alvaro Montes De Oca will be cooking out of Carp Sushi on May 13. The menu? A brunch pop-up serving tamales, chilaquiles and other Mexican dishes. [Scout]
Don’t miss out on Farmhouse Fest, on August 12-13, featuring some amazing farmhouse ales, ciders and natural wine. [Farmhouse Fest]
Tickets for BC Cider Fest are now on sale. The event is happening June 3 from 2 pm-6 pm. [Scout]
HISTORY
Photo by Angus Stewart
The Ironworkers Memorial Second Narrows Crossing is named after the workers who lost their lives after the bridge collapse on June 17, 1958. Here’s a photo of the collapse from Reddit.
COMMUNITY HIGHLIGHTS
Some good news — a boy who had one person come to his birthday last year is now hosting an inclusive celebration in partnership with Autism BC. [Global News]
Congrats to Vancouver Canucks commentator John Garrett who was feted by city council. They even had a funny cake! [Canucks Army]
Not owning a car is a good thing, but sometimes it’s hard to get to nature. Here are nine hikes accessible by transit to try this summer. [604 Now]
Noise complaints? Share your feedback with Vancouver as they change their Noise Control Bylaw. [Global]
If you’ve been craving frozen lasagna, Reddit has put together a great list of places in Vancouver where you can embrace your inner Garfield. [Reddit]
If you want a chuckle, check out what beaches Vancouver Redditers are planning to visit this weekend during the heatwave. [Reddit]
PHOTO OF THE DAY
Thanks to Dave who submitted this photo of a Blue Heron catching a frog at Beaver Lake. Send in your own photo and we’ll feature it!
GAME TIME
Congrats to Kevin who guessed correctly that the brewery is Stanley Park Brewing.
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