 Investors Discover Central Alberta Red Deer Advocate June 26, 2006 People are sold on Central Alberta.
By SUSAN ZIELINSKI
Red Deer Advocate staff Jun 26 2006 Real Estate Investment Network, a Calgary-based organization with international membership, attracted about 400 people to tour Red Deer, Lacombe, Rocky Mountain House and Sylvan Lake on Friday, and to a day-long seminar on Saturday.
Steve Robinson from Washington State said Red Deer’s location, between Edmonton and Calgary, is ideal.
“These two cities are huge powerhouses. Being able to locate an hour and a half between, makes things really easy,” said Robinson on Saturday at the Capri Hotel, where he attended an education seminar on real estate.
“It’s got an incredible amount of potential.”
He was most impressed with Red Deer.
But Sylvan Lake would also make a good investment as Albertans get wealthier and relocate to the lakeside community and build their dream home, he said.
Robinson said it happened in Washington.
People moved out of Seattle to smaller communities.
“We’re not the only people thinking along those lines,” said Robinson, who moved his family from Seattle to the small Washington town of Twisp.
Peter Kinch, a mortgage broker and real estate investor from Vancouver, said twinning Hwy 11 to Sylvan Lake will make the beach town even more desirable.
He said Vancouver may be attractive for investors now, but after the construction frenzy for the 2010 Olympics is over, there will be fewer job opportunities.
He predicted Ontario’s economy will take a hit as the dollar continues to gain strength, driving up the cost of exports to the United States.
“Ontario is largely impacted by the high Canadian dollar because too many jobs are manufacturing-based.”
Kinch said he has heard the word “annexation” more than a few times during his first trip to Central Alberta. But tying up land in annexation negotiations will only increase demand for the real estate that is available and bump prices up higher.
Once Red Deer is too expensive, nearby communities will benefit, he said.
Only a huge loss of jobs could slow down Central Alberta’s economy. But that’s unlikely, he said.
“Albertans have always known of the peaks and valleys, the booms and busts. But what they don’t know is the affordability of extracting their oil has attracted world attention.”
Scott Rousseau, a former Vancouverite who lives in the Middle East, watched as oil wealth spurred investment and growth in the country of United Arab Emirates.
Central Alberta is heading in the same direction, he said.
“If I moved back to Canada right now, I’d probably move to Red Deer. The opportunities are here and it’s so close to the mountains,” Rousseau said.
It will take time for G8 countries to break their dependence on oil in favour of environmentally-friendly energy sources, he said.
“I don’t think it’s going to change that fast. I think the oil companies and big business have too much of a hold over our economies and societies to happen quickly.”
Meanwhile, there’s a growing need for oil in China and India, with their huge populations, he said.
Don Campbell, president of Real Estate Investment Network, said real estate prices may seem high to Central Albertans right now. But people outside Alberta say it’s still affordable compared with the cost of housing elsewhere.
Central Alberta has strong economic factors like increasing wages, a growing number of jobs, migration into the region, and attractive lifestyles, he said.
His company listed Red Deer, Sylvan Lake and Lacombe in the top 10 places in Alberta to invest, behind Edmonton, Grande Prairie, Calgary and Sherwood Park-Strathcona and Sturgeon counties.
“Red Deer is going to be a great spot for a long time. It’s really the hub of this region.”
People worried about rocketing prices should get a break in two to three years when the economy takes a breath and housing construction catches up to the demand, he said.
He warns it’s not the time to sell property. Instead, people should look for more opportunities to buy.
“I think the people in Red Deer should be smiling.” Posted June 26, 2006 by Susan Zielinski |
