Kamloops Commercial Real Estate

Kamloops commercial real estate is thought by many as one of the best investments you can make.  Unlike residential properties commercial real estate serves really only one purpose, makes money.

In commercial real estate prices are usually determined by CAP rate.  The cap rate is a measure of the income of the property after fixed costs like taxes, management, and common yearly maintenance are taken out. The lower the CAP rate usually means the more likely it is that the investment is risk free.  For example, for mobile home parks where there are many income streams (renters) and relatively low risk of non payment (at least in theory) and steady income through out the year, it is not uncommon for properties like this to fetch 6% cap rate.  Where as for self storage business the cap rate is usually a little higher do to the more risk involved.  For example in self storage businesses there usually more employees, more client turnover, and more seasonal type income, so the cap rate for this type of business is usually around 8%-10%.  For business like u-haul it classified as a retail property and there for it usually at a 12% rate.

Going forward, what is great about owning commercial real estate is lower mortgage rates get the better the CAP rate you could potentially command.

If you are looking for a Kamlooops commercial real estate for sale.

Kamloops Sahali Condo – Highlighting Summit Place

If you are considering buying a condo in the Kamloops area for an investment or your primary residence you are not alone.  Because of the relative low maintenance and healthy demand for rentals condos make a lot of sense.

Summit Place is located at 1810 summit drive and offers some great features that are hard to find in other comparable properties.  This is an older complex but a well maintained one. Summit Place has one of the largest common properties available in sought after area of Sahali. Because of all this space developers have present offers to purchase land from this complex.  Aside from this obvious positive, the units themselves all have great views and above average storage space.  To the point where all of the units have room for in unit laundry.  There is a great hiking park close by that allows you access the downtown core.  It is not surprising that investors looking to invest in multiple rental units have bought up properties in this complex.

Summit Place Kamloops BC, 1810 summit drive

Kamloops BC Condos for Sale

If you are considering buying or selling a condo in Kamloops contact me today!  Make an informed decision and get the results you want.  I am a Kamloops real estate agent, or Kamloops Realtor and would like to learn about your real estate needs.

Kamloops Senior Living – Downtown – Downsizing

Kamloops over the years has grown to become an affordable place where seniors have gone to retire. This trend is probably due to Kamloops’ warm climate, great geographical location, and friendly atmosphere.

One of the areas that has always been in demand is real estate in downtown Kamloops. This in large part because the amenities that the downtown provides its residences, with major shopping centres and mom and pop shops alike.  During the summers there is free evening concerts in a parking walking distance the downtown core.  There is also a farmer’s market that offers some of the highest quality locally grown fruits and vegetables.

One of the popular choices for downtown senior living is Desert Gardens.  This apartment complex has always been a popular choice in large part because it offers residents easy access to a community centre that is located in the same building. This unique feature makes it easy to socialize with other senior citizens, through fun games, workshops, and community events.  To join this community centre only takes a small $15 annual fee and there are over 100 members.  If you are interested in looking at what is currently offered for sale in Desert Gardens fell free to contact me.

Desert Gardens Community Events BoardDesert GardensDesert Gardens Kamloops Real estate

Crystal Forest, Sun Peaks BC Highlighted Townhouse Complex

If you have ever ventured to Sun Peaks BC. Crystal Forest is one of the most recognizable complexes in the village, it has a distinctively European Alps style.  It is located centrally, just a short walk to the village and restaurants and shops and the outdoor skating rink and recreational centers.

Sun Peaks, Crystal Forest Townhouse For Sale

Crystal Forest is zoned for tourism accommodation which means it is ideal for the buyers looking for a recreational property to rent out on a nightly bases. You can rent out units on your own, utilizing online websites like allura direct, and hire a cleaning service make sure the units are nice and clean or hire a full service management company to take care of all the details. With the nightly rental revenue you can cover some of the costs of ownership.  Typically your expectation should be to cover operating costs, like strata fees and taxes with full service management of nightly rental revenue. Owning real estate in Sun Peaks is very much a lifestyle choice more so than a money generating venture.

One thing to be aware of is GST liability. In tourism accommodation zoned properties it is typical for buyers to differ the GST on properties so that they can claim back GST costs associated with running the property as a nightly rental property.  This includes differing management fees that are GST applicable.  For more details about GST liability your best bet would be to contact a creditable accountant to help you get the information you need to determine whether differing GST makes sense for you.

For more information about Sun Peaks Real estate please feel free to contact me.  If you are thinking of selling I provide free consultations, and cutting edge marketing solutions so you that you can make an informed decision and get the best results. For those of you thinking of buying in this market it always helps to get great advise and learn from an expert. Please feel free to contact me today!

Ask A Real Estate Expert: What affect has the proposed mine had on Kamloops Real Estate?

The proposed AJAX is a hot topic in Kamloops. Everyone in town knows about it and everyone moving to town does too. On one side there are high paying jobs and an influx of tax dollars that could go towards better infrastructure and social programs for the city and on the other side there are legitimate environmental concerns. The project is currently going through a BC environmental review process.  I get asked a lot about what affect the proposed AJAX mine has had on the current real estate market. So I took a look at the sales of areas of Kamloops that would potentially be affected the most, areas closest to the proposed mine operation, Aberdeen and Pineview Valley. Looking at the sales figures for these areas over the last five years. You can see despite the increase in public awareness of the proposed mine there has been no noticeable decrease in sales for these areas. In terms of sale prices there is still a noticeable premium for houses in these areas.  For example, the average new home construction price of an Aberdeen home is about $40-$60k more than comparable new homes in Bachelor Heights and Juniper heights. What is also interesting is the Kamloops market is hot right now.  There are only limited number of lots available but there are no lots available in Aberdeen.  They are sold out. Why aren’t sales and land values decreasing with all this talk about the proposed mine? There can be a number of different reasons, but when it comes buying homes we have all heard location is really important. I have had clients tell me they would love to live in the country, have more land and enjoy the fresh air out there. But most don’t want to live far from their work, favourite grocery store and other amenities.

There seems to be a trend where desirable aspects of an area such as proximity to work, amenities and quality of schools can outweigh potential challenges associated with industrial and commercial realities. At least they have in the past.

Kamloops has been referred to as a working town in the interior of BC. Because it is constantly compared with more tourism friendly cities like Vernon and Kelowna which have geographically advantages that Kamloops just doesn’t have.

Red Lake, Kamloops BC – Get to know one of Kamloops’ most affordable Acreage Areas

Red Lake is an area well known for some great fishing and hunting areas.  The area resides in a naturally wooded area that provides excellent cover from winds customary in some of the other areas of Kamloops. What is also great about Red Lake is it resides at a slightly higher elevation and as a result is usually a few degrees cooler than valley temperatures.  Aside from that there are some great hiking trails that lead to some really nice water holes where someone can enjoy the beautiful natural surroundings.

One of the main reasons why this area is so affordable is that there is a year round dirt road access, that is a blast when you are into driving 4X4.  To get a better idea of what the area is like feel free to take a look at this sample video of the road leading to the Red Lake area:

Kamloops Rental Market: Highlighting the Northshore

From a rental property perspective Kamloops has been a favorite for a lot of investors from abroad because of it is good fundamentals: the city is considered a transportation hub with easy access to the lower mainland, it has a diverse economy with some good paying jobs and lots of lower paying jobs (these lower paying jobs help keep renters from entering the real estate market), a warm climate with not much rain, lots of outdoor attractions, and growing post secondary school.  If you are an investor you should consider the Northshore specifically when you are looking for a property to invest.

The Kamloops Northshore is an attractive area for lots of investors because of the relatively lower purchase prices of homes, and competitive rental rates in this area plus as a bonus there is a lot more room for parking from renters.

The Northshore has got some great fundamentals. From a community perspective, there are great walking trails, shopping centers, and shops/stores. Crime rates in Kamloops are pretty evenly spread over the city. From a house appreciation perspective the Northshore has performed just as well as any other area of Kamloops and there is further upside with the Northshore because of the attention it is gets from City Council to make general improvements. Already there has been improvements in the form of spirit squares, bus terminals, and sidewalks.  The Northshore is also got a decent amount of large lots that area zoned to allow a legal suite.  The Northshore has got some great schools with Norkam Secondary leading the way with its new trades program, and college advanced programs.  It is these conveniences and attractions that hopefully translates into above average tenant duration. Add it all up and it is not surprising that lots of investors are interested in this area of town.

My name is Andrew Thompson and I am a Kamloops Realtor(R) that helps buyers and sellers come out ahead investing in real estate in the Kamloops and area. If you have any questions about Kamloops and area homes, mls listings please feel free to contact me. If you are looking for Kamloops mls listings follow the link below: http://www.century21.ca/andrew.thompson/SEARCH_ALL_MLS_LISTINGS

Kamloops Real estate Blog Northshore pic
Schubert Drive