April 2011 Ontario Economic Fundamentals

[Ally]

Toyota extends shutdowns at Canada, U.S. plants






Toyota Motor Corp. TM-N is extending shutdowns at its North American plants caused by a shortage of parts from Japan and its Canadian arm warned for the first time of a potential shortage of some vehicles in Canada this summer.




The auto maker will close its two Canadian assembly plants the week of May 23 and its U.S. plants the week of May 30 ` four-day shutdowns because of holidays in each country ` on top of shutdowns already announced for April 15-25. On days when the plants are operating, they will run at 50 per cent of capacity.





Read the full article here.

 

[Ally]

Optimism surrounds Oshawa's economy




OSHAWA -- Be optimistic. That's the message a chief economist has for local businesses.




Despite challenges in the world economy, things look good for Canada and Durham Region, those attending Oshawa's annual economic outlook breakfast meeting heard April 12 featuring Craig Alexander, TD's senior vice-president and chief economist.




"Oshawa is more concentrated in manufacturing, particularly in the autos ... but ultimately what we're seeing is the region does really well," Mr. Alexander said to local business representatives and politicians in attendance.





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[Ally]

Diamond Aircraft workers in London, ON may take flight





Diamond Aircraft will see the launch of its D-Jet delayed, and its cost pushed up, if it loses workers to competing manufacturers, president Peter Maurer said Tuesday.




Aircraft manufacturers have swooped down on Diamond`s 233 laid off D-Jet workers, many of them engineers, in a bid to hire them for their own manufacturing plans.




If successful, the D-Jet launch, already slated for about two years from now, might happen later and grow more costly as Diamond will have to hire and retrain workers for the program.




`It would definitely set back the D-Jet program. It will cause additional delays and additional costs. Business partners and those who have made a deposit may lose confidence. This is critical to us,` said Maurer.




Piper Aircraft, one of the competing manufacturers, set up a job fair last week in London and more than 50 attended. Piper will likely make job offers to about 25 Diamond engineers, said Jackie Carlon, director of marketing for Piper.




`We have held several job fairs and that is a very high ratio of offers; we seldom see that,` said Carlon, praising the quality of the Diamond workers.





Read the full article here.

 

[Ally]

Massive development in Waterloo




WATERLOO - A massive development is altering the look of this booming Ontario technology centre ` and the vision for it comes straight from London.




Work has begun on the Barrel Yards ` a $350-million development in this city`s core on 12.5 acres of land that will bring 10 high-rise buildings and 1,200 residential units, all built by Auburn Developments Inc. of London.




`You will not find a 12-acre parcel in any downtown of any major city. Waterloo is doing very well and we saw this as a great opportunity,` said Auburn president Jamie Crich.




`We saw the potential and wanted to take a risk . . . we cannot get started fast enough. Waterloo is missing multi-use buildings in its downtown. They really need this.`





Read the full article here.

 

[Ally]

Home sales spring upwards in The Toronto Beaches





Spring has sprung in Toronto`s 2011 real estate market, with more homes for sale ` and selling quicker ` compared with the past two months.






March is typically a strong month as better weather and March Break brings more homebuyers and homesellers into the market, and this year was no exception. All neighbourhoods in east Toronto from East York to Riverdale to Birchcliffe-Oakridge have posted strong interest in properties, creating a seller`s market. We have personally witnessed multiple offers and bidding wars.




There may have also been an added push this year to buy a home before the new mortgage rules came into effect on March 18th, as well as rumblings that the recovering economy would push mortgage rates up as a whole. Yesterday, three of the major banks increased their fixed-term mortgage rates by up to 0.35%, while analysts are virtually in agreement that variable mortgage rates are sure to follow by the summer.




Read the full article here.

 

[Ally]

Matt Gurney: Even chicken can't escape Toronto's nanny state mentality




Jerry Agar, a host at Toronto AM radio station Newstalk 1010, interviewed Toronto City Councillor John Filion on Thursday on the state of the city`s `A la Cart` food program (Find the interview below). The program, rolled out two years ago for a three-year pilot project, is such a disaster that a recent city report recommended simply killing it. Chris Selley recently did an admirable job shredding a la Cart, but among the problems: the food had to meet the health requirements of a 21-page addition to the Municipal Code, menu choices required the approval of City Hall, the carts had to serve `ethnic` food (as defined by a panel of experts) and, last but not least, anyone who wanted to participate in the program needed to buy a $30,000+ cart designed by the city. Twelve spots were planned for the pilot program. Only eight were opened, and to date, just one has been able to make money. And only then by being open for 12 hours a day, 365 days a year. Oh. And moving to a totally different part of the city.





Read the full article here.

 

[Ally]

Seven in ten (70%) of renters in Ontario say buying a home is in their plan






Toronto, ON ` Seven in ten (70%) Ontarians who currently rent their home say that owning a home is in their plan, according to a new Ipsos Reid poll conducted on behalf of the Ontario Real Estate Association. In fact, 12% say it`s their plan to purchase in the next two years, while others say within the next five years (19%), within the next ten years (12%), or at some point down the road (28%). Just three in ten (30%) renters say that they never plan on owning a home.




Furthermore, seven in ten (70%) `agree` (43% strongly/27% somewhat) that one of their goals in life is to be a home owner, and a similar proportion (71%) `agrees` (36% strongly/35% somewhat) that renting is not ideal ` they`d rather own. While eight in ten (78%) `agree` (38% strongly/39% somewhat) that renting is just the right choice for them at the their current stage in life, two in three (67%) renters `agree` (32% strongly/35% somewhat) that they feel like their wasting their money by renting.





Read the full article here.

 

[Ally]

Toyota expects slow return to normal



TOKYO ` Toyota Motor Corp said it could take until the end of the year before production has fully recovered to levels before the massive earthquake and tsunami on March 11 devastated Japan's northeast, disrupting the supply of key parts.





In the clearest forecast yet of how long it would take for the Japanese auto industry to recover, Toyota said output would start to pick up in July in Japan and around August overseas, with a complete recovery expected in November or December.





Until then, Toyota's domestic factories will continue to work at volumes equivalent to half of original plans, and at an average 40% outside Japan, the world's biggest automaker said.





Read the full article here.

 

[Ally]

A high-end reno helps for a quick sale in West Toronto






What They Got: With no intention of moving from this circa 1930s residence, the sellers had it totally gutted, modernized and re-engineered by Sandra Baldwin of Lifetime Contractor Ltd., a company named Renovator of the Year in 2010 by the Building Industry and Land Development Association.




Over the past four years, the style and functionality of the 1,500-square-foot residence was improved by the addition of such things as built-in storage and Brazilian hardwood floors and by opening up the principal rooms and installing the most up to date mechanical and media systems.




There is an enclosed porch and a large foyer and hall leading to a traditional living room with an electric fireplace. The recently combined kitchen and dining area has stainless steel appliances, a quartz covered island and rear access to a den and yard.





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[Ally]

Get Toronto's waterfront right this time




We`re only going to get one chance to develop what`s left of Toronto`s waterfront, so let`s get it right.




What not to do is apparent to anyone looking west along the waterfront from Yonge St. at the wall of uninspiring condominium towers that cuts off the city from the shores of Lake Ontario.




It`s a planning mistake we don`t want to repeat on the undeveloped and underdeveloped port lands, east of Yonge.




Coun. Doug Ford recently expressed frustration over the lack of a signature building and the slow pace of this development, suggesting it would be better to turn things over to the private sector.




He described Waterfront Toronto, the joint federal, provincial, city agency created a decade ago to oversee development, with a $500-million contribution from each level of government, as a `boondoggle.`





Read the full article here.

 

[Ally]

Dundas-Sherbourne poised for a surprising rebirth




With the top down in her burgundy convertible, realtor Kristyn Wong-Tam was enjoying a sunny summer day as she cruised east along Queen St. towards an office supply store.




When the light turned red at Sherbourne St., Wong-Tam was daydreaming about legal folders and labels.




Suddenly, someone was screaming. A young woman with leathery skin and matted blonde hair sprinted into traffic, then hurled her petite frame into Wong-Tam`s passenger seat.




`Drive! Drive!` the woman shrieked hysterically, diving into Wong-Tam`s lap. `They`re going to kill me!`




`But it`s a red light, there`s a car in front of me,` Wong-Tam stammered.





Read the full article here.

 

[Ally]

GTA new home sales slide




James Bazely will build about 20 homes in the Barrie area this year. In past years the contractor would have averaged closer to 50, but a lack of available land for low rise housing has become a serious constraint.




`We`ve basically run out of land to build on in Barrie,` says Bazely, the president of Gregor Homes. `It has gotten to be a real problem.`




While local builders such as Bazely complain about the lack of serviceable lots to build large subdivisions, the problem is even more acute in the city of Toronto. Infill building is typically the norm in the 416, since it is virtually impossible to get large swaths of land for development, where a lack of land for low rise housing is being blamed for the drop in new home sales across the Greater Toronto Area in the first quarter.





Read the full article here.

 

[Ally]

Ford rides new models to $2.6 billion profit






Ford Motor Co. (F-N15.890.352.25%) posted its best first-quarter profit in 13 years, as its new, more fuel-efficient vehicles reached showrooms during a surge in gasoline prices.




New arrivals such as the Ford Explorer and Fiesta small car are selling well. Company profit is growing around the world. And Ford is charging more for its cars, helping offset higher commodity costs.







Read the full article here.

 

[Ally]

Orillia Economic Development Committee Restructuring





Read the report here.

 

[Ally]

Orillia Lakehead University Campus Plan: 2009-2013





Read the report here.

 

[Ally]

For rent: Office w/gr8 views, lots of light, green amenities




There was a time when sufficient square footage, a floor plan and the right price was enough to secure a great tenant. But the way commercial buildings are being marketed is changing dramatically. Today, it's all about the employee.




`How's the staff going to feel working here? What's the quality of the light like? Where is my staff going to go for their workouts? Where`s the nearest parking lot? Where's the nearest green space?` said David Allison, author of Branding Buildings Better and co-founder of the Vancouver marketing firm Braun/Allison Inc.




Mr. Allison works primarily in residential and recreational real estate, where quality of life and amenities have been a focus for 20 years. But in recent years Braun/Allison has started working on commercial projects and applying marketing methods from the residential world.




`The idea is, there's a lot of good, smart thinking that's been going on for a couple of decades now. Why are we reinventing the wheel? Let's use it.`







Read the full article here.

 

[Ally]

Is Trump International Hotel & Tower in Toronto really going to be the second tallest building in Canada?





Height levels for the new Trump International Hotel & Tower Toronto have never been officially confirmed here at Urban Toronto. We've generally estimated 925 feet spread over 60 storeys. New Urban Toronto forum member wopchop, who seems to be working on the condo tower, has indicated that the height is 908 feet spread over 59 floors.







At this height Trump would officially be the second highest building in Canada, exceeding Scotia Plaza by all of 6 feet. But as the following graphic by forum member Kamuix shows is this really the case?







Read the full article here.

 

[Ally]

Canada's largest office market returns to historic norms, with prospect of new development once again circulating in Downtown Toronto




TORONTO, April 26 /CNW/ - The Greater Toronto Area (GTA) office market has made steady and significant strides since the recession ended in late 2009 by returning to a more balanced environment and surprising many pundits along the way. Although availability and vacancy rates remain in double-digit territory in the suburbs, activity in the midtown and downtown markets is robust with demand from a wide spectrum of user groups seeking varying space requirements. This has raised the prospect of new office development once again in Downtown Toronto.




These are some of the key trends noted in Avison Young's First Quarter 2011 Greater Toronto Area Office Market Report, released today.




According to the report, the overall availability rate (which includes space being marketed for lease but not physically vacant) in the GTA declined 100 basis points (bps) in the past 12 months to 10.5% in the first quarter of 2011. By comparison, the overall vacancy rate (physically unoccupied space) across the region is down to 8.9%, having dropped 130 bps over the same period.




The GTA suburban market, comprising the North, East and West districts, combined to post an availability rate across all building classes of 12.1%. The West (13.9%) and East (12.2%) suburbs remained the weakest, while the North is the strongest at 6.8%.





Read the full article here.

 

[Ally]

Ford posts best results since 1998




Ford Motor Co. posted its best first-quarter profit in 13 years, as its new, more fuel-efficient vehicles reached showrooms during a surge in gasoline prices.




New arrivals such as the Ford Explorer and Fiesta small car are selling well. Company profits are growing around the world. And Ford is charging more for its cars, helping offset higher commodity costs.




Ford said on Tuesday its profit jumped 22 per cent to $2.6 billion US profit, its best first-quarter performance since 1998.





Read the full article here.

 

[Ally]

Tillsong posts second best March on record for real estate sales



The number of homes sold through the MLSÂ System of the Tillsonburg District Real Estate Board came in above year-ago levels in March 2011.





According to statistics provided by the Board, residential sales numbered 51 units in March. This is up four per cent from a year earlier, and marks the second highest level on record for March sales. The record was set back in 2007. On a seasonally adjusted basis, sales activity rose 15 per cent month-over-month in March 2011.





`March was a strong month for home sales in the region, and a considerable improvement from February,` said Dave Bellaire, President of the Tillsonburg District Real Estate Board. `We`ve certainly got some good momentum heading into the busiest time of the year.`





The average price for all home sales in March 2011 was $176,173, down eight per cent from a year earlier. The dollar value of those sales was $9 million, down five per cent from March 2010.





Read the full article here.