Originally published in Centretown Buzz
by Jeff Salmon
June 13, 2014
The housing market is a moving target, influenced by social, economic, and political forces. Successful developers are able to understand the ebb and flow of the market and capitalize by offering timely projects that fulfill a social or economic need/desire. In the last ten years there has been enormous development and growth in Ottawa and at its periphery, and for the urban core in particular the last few years have been marked by condo fever.
Certain neighborhoods, like Westboro and Little Italy, have undergone significant transformations, becoming hubs for development. In fact, Little Italy had to put a freeze on the review of development proposals while the City tried to catch up and formulate a plan for the area.
Though the condo boom is not on the same scale as Toronto, condo towers now dot the map all over the city, with many more on the boards or in the presale phase. However, the fast-and-furious condo tower market in Ottawa seems to be showing signs of slowing, and I think it is safe to say both residents and developers alike are concerned that the condo tower market is becoming saturated, with very little distinguishing one project from another.
In the same way that condo towers have enjoyed success in recent years, so, too, have infill housing projects.
Unfortunately, with the exception of a few projects, the infill projects have become almost as predictable as the condo towers. This is not necessarily surprising: I believe the saying is, “If it ain’t broke, don’t fix it.”
Developers have very little incentive to stray from what has proven to sell. This often means that they don’t tend to stray far from the herd, relying more on an established brand, marketing, or a unique location to sell units.