On Edmonton Infill

12/9/14 4:17 PM



With so much discussion in the city about infill development and related policies, I wanted to compile some of what I have learned about infill here, along with some case studies to demonstrate how it can look. One thing to emphasize is that the word infill on its own does not imply the size or type of property. Infill is simply replacing existing real property improvements (houses, in most cases) with something new. It could be a single family detached house, a duplex, an apartment, or a highrise. I’m going to offer some of my own comments and insights into this issue that are in no way comprehensive, as it is such a vast area that one article couldn’t possibly cover. Got something to add? Leave a comment below.

Stakeholders and considerations when planning infill

  1. Current property owners
  2. Neighbours
  3. Developers
  4. City planners
  5. City councillors/mayor
  6. Future homeowners
  7. Environment
2013 net new housing units
2013 net new housing units, from The Edmonton Journal
Edmonton mature neighbourhoods

Edmonton mature neighbourhoods

 

Case study

Client purchases corner lot tear-down house in Allendale for $292000 (listed at $299000) in August 2014. Zoned RF3.

10602 69 Ave
10602 69 Ave listing detail
Aerial view with lot dimensions

Aerial view with lot dimensions (10.8 x 40.2m) taken from Geojet.

Neighbourhood assessed values.

Neighbourhood assessed values.

Allendale zoning map

Allendale zoning map.

(RF3) Small Scale Infill Development Zone

“The purpose of this Zone is to provide for Single Detached Housing and Semi-detached Housing while allowing small-scale conversion and infill redevelopment to buildings containing up to four Dwellings, and including Secondary Suites under certain conditions.”

140.2      Permitted Uses

  1. Apartment Housing
  2. Duplex Housing
  3. Limited Group Homes
  4. Minor Home Based Business
  5. Row Housing
  6. Stacked Row Housing
  7. Secondary Suites
  8. Semi-detached Housing
  9. Single Detached Housing
  10. Fascia On-premises Signs

140.3      Discretionary Uses

  1. Lodging Houses
  2. Child Care Services
  3. Fraternity and Sorority Housing
  4. Garage Suites
  5. Garden Suites
  6. Group Homes
  7. Major Home Based Business
  8. Religious Assembly
  9. Residential Sales Centre
  10. Freestanding On-premises Signs
  11. Temporary On-premises Signs
________________________
Challenges in constructing a multi-door property 
  1. Corner lot. Option to have one address on the avenue and the other on the street, as seen on other nearby properties.
  2. Skinny lot (10.8 m)
  3. Time restrictions (holding costs, uncertainty of whether-or-not development application will be approved)
  4. If only building a single unit, profit margins can be harder to achieve
Comparable 2014 sales
Comparable property locations.

Comparable property locations.

Comparable active listings and recent sales with sizes.

Comparable active listings and recent sales with sizes.

 

Ideal scenario

Land cost: $292000
Construction cost: $190 (per square foot) x 2300 ft2 (average size of recent sales in area) = $437000.
Total investment:  $729000.
Real estate costs: ~$30000

To achieve a 10% profit margin:  ~$835000 sale price, which is a lot of money, although for the right property, there are buyers willing to pay that kind of money. One option to help improve profit margins would be to build a smaller house, to add a secondary suite in the basement, and or a garage suite, although these may require more time at the permit stage.

To reiterate, this is far from a comprehensive overview of the infill situation in Edmonton, just a starting point. For more information, please contact me at any time.

780-966-6537.

References and useful links

City of Edmonton Infill Roadmap

Residential infill overview, including a nifty list of mature neighbourhoods)

Mayor Don Iveson’s blog post on infill. Note the comments for some citizen insight.

Infill Development in Edmonton Association, an infill advocacy group with lots of smart people.

Connect2Edmonton, where concerned and involved citizens carry on with some extensive discussions on similar topics and lots more.

Story of Strathcona house ordered demolished near the completion of construction. My friend Gord is in this article with a pretty hilarious quote.

Blog post by Mack Male on the possibility of eliminating RF1 zoning, which only allows for single family detached housing. Hint: he wants it gone.

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