October 2011 Alberta Economic Fundamentals

[Ally]

Second ballot needed in Penhorwood condo vote




EDMONTON - The fate of the crumbling Penhorwood condominiums in Fort McMurray will go to a second ballot after the first round of voting failed to meet the threshold for action.




Results released late Monday night show owners voted 66 per cent in favour of borrowing funds to rebuild, while 26 per cent voted to sell the land. Seven per cent voted to wait for litigation to proceed before beginning to rebuild.




Condominium board rules required 75 per cent or more for any one resolution to pass.





Read the full article here.

 

[Ally]

Oilsands investment to hit new high in 2013: Report




Despite concerns over costs, inflation and crude price volatility, oil sands investment will rise to an all-time high of $18.5-billion by 2013, beating the previous peak of $18.1-billion in 2008, according to AltaCorp Capital research.







Engineering and construction (E&C) companies expect spending on oil sands development to reach $15-billion this year and $17-billion next year, according to the financial advisory firm`s survey.





Read the full article here.

 

[Ally]

Revitalize Downtown Edmonton





A website has been created for the proposed downtown arena.







Check it out here.

 

[Ally]

First two buildings of Calgary's Oxford Airport Business Park ready by 2012





CALGARY ` Stability in the energy sector and the emergence of Calgary as a distribution hub are fuelling development in the region these days.




The Oxford Airport Business Park, a master planned, mixed-use $500-million project on 104 hectares of land near the Calgary International Airport, will be officially launched on Wednesday during a ceremony on the site.




Kevan Gorrie, vice-president of industrial for Oxford Properties which is developing the site, said the first two industrial distribution/warehouse facilities will be completed by the end of the first quarter of 2012. The buildings consist of 141,000 and 395,000 square feet of space.






Read the full article here.

 

[Ally]

EU might not condemn tar sands oil as dirty: Canada



OTTAWA (Reuters) - The European Union could yet reject a proposal to classify crude from Alberta's tar sands as dirty oil, the Canadian energy minister Joe Oliver said on Tuesday, a move which would potentially boost Canada's hopes of becoming a key global energy supplier.





As part of a plan to cut greenhouse gas emissions, the EU's executive commission wants to single out crude from the enormous northern Alberta oil sands as being particularly energy-intensive to produce.





Canada's Conservative government fears this could limit the future market for tar sands crude and blur the message that Canada is, in Oliver's words, a reliable energy superpower which will develop the sands in a socially responsible way.





Read the full article here.

 

[Ally]

Fort McMurray planning its core from scratch





`You can`t have a city without a city centre.`




That simple statement by real estate developer Ron Taylor summed up what we face in Fort McMurray as we come to grips with our city centre action program.




As a panellist at a recent public discussion on how to plan and develop a true downtown for the city, Taylor and the other participants left little doubt about the challenges we face, but at the same time, they helped us build on the vision we already have for what we want our city centre ` and our region ` to be.






Read the full article here.

 

[Ally]

Employment Insurance beneficiaries plunge in Calgary region





CALGARY ` The number of people receiving regular Employment Insurance benefits in the Calgary region plunged in August compared with a year ago.




Statistics Canada reported Thursday that EI recipients in the Calgary census metropolitan area dropped by 32.7 per cent, or 5,140 people, to 10,580 for the month.




Alberta saw a year-over-year decline of 27.7 per cent, or 12,370 people, to 33,170 in August. However, for the province, the August number increased 2.4 per cent from July or by 790 people.






Read the full article here.

 

[Ally]

Peak oil is about price, not supply




Heading down to Washington to speak at the Association for Peak Oil-USA`s Truth in Energy conference on Nov. 2, I sense a general malaise within the peak oil movement.




The pequists, as they have become known, appear to be on the defensive these days as they once again roll back their dating of the dreaded supply peak, confounded by the oil industry`s never ending ability to develop new extraction technologies and discover new sources of supply.





Read the full article here.

 

[Ally]

Calgary and Alberta rates of inflation lower than Canadian average





CALGARY ` The rates of inflation in Calgary and in Alberta were both lower in September compared with the Canadian average, according to data released Friday by Statistics Canada.




The federal agency said consumer prices in the Calgary census metropolitan area rose by 2.5 per cent in the 12 months to September. However, they declined by 0.2 per cent from August.




In Alberta, prices rose by 2.8 per cent from September 2010 but were down 0.2 per cent as well from the previous month.




Read the full article here.

 

[Ally]

A good economic sign for Calgary




It`s tough these days to decipher what`s going on with the economy.




Is it up? Is it down? Where is it going?




It`s good to pay attention to all the signs.




A good one was revealed today by Statistics Canada. Investment in non-residential building construction in the Calgary region reached $815 million in the third quarter of this year. While this is down 20.6 per cent compared with the same period a year ago, it has increased by 2.1 per cent from the second quarter of this year.





Read the full article here.

 

[Ally]

Facts suggest Alberta should refine its bitument in province



In Ottawa, on Sept. 26, while peaceful protesters opposed to the Alberta oilsands were arrested, Minister of Natural Resources Joe Oliver said, "they don't have all the facts."





Former Alberta premier Peter Lougheed said he was opposed to the Keystone XL pipeline because "we should be refining the bitumen in Alberta and we should make it public policy in the province."





Lougheed also said the resource (oilsands) belonged to Albertans and that the jobs should stay at home.





Read the full article here.

 

[Ally]

Calgary's housing market balanced: Conference Board





CALGARY ` The Conference Board of Canada says Calgary`s housing market is currently under balanced conditions.




In a report released Monday, the board said the seasonally-adjusted annual rate of resales in Calgary was 22,308 units in September, up from 20,040 units in September 2010.




The annualized rate for new listings during the month was 44,712, up from 44,076 a year ago.




Read the full article here.

 

[Ally]

Calgary region a hot market for new retail development





CALGARY ` The Calgary region continues to be a hot market for new retail development ` particularly for new-to-market and expanding U.S. retailers looking to capitalize on the country`s highest per capita retail spending rates, says a report by Colliers International.




The report said the growth in per capita supply of retail space over the past year is no surprise because of that.




Total shopping mall and power centre floor areas grew by 2.6 per cent in 2011 from the year before in the Calgary census metropolitan area, said the Colliers 2011 National Retail Forecast.






Read the full article here.

 

[Ally]

Don't discriminate against oilsands crude: Minister





OTTAWA - Canada's natural resources minister is taking the European Union to task over its proposal to discriminate against crude from the Alberta oilsands.







Joe Oliver has written to union energy commissioner Gunther Oettinger to complain about a plan to differentiate oilsands products from other sources of heavy crude.







The proposal stems from complaints that the oilsands have a greater greenhouse gas footprint than conventional production.








Read the full article here.

 

[Ally]

Alberta economic snapshot






CALGARY, AB, Oct. 22, 2011/Troy Media/ ` Shoppers from coast to coast are paying more for goods and services, led by ` you guessed it! ` higher prices for gasoline. But in September, Albertans saw prices rise at a slightly slower pace than elsewhere.


http://http://www.troymedia.com/wp-content/uploads/2011/10/ABcpi.gif



The price for the basket of consumer goods and services as tracked by Statistics Canada rose 2.8 per cent in Alberta compared to September of 2010. That is somewhat lower than the 2.9 per cent pace of annual price increase posted in August. For Canada, the consumer price index rose 3.2 per cent, up from 3.1 per cent in August, and well above expectations.






In Alberta ` as in all other provinces ` the primary reason for inflation is gasoline prices. It`s running 20.0 per cent higher in Alberta year-over-year (and 22.7 per cent nationally). Other items in Alberta leading the inflation parade included electricity (+15.8 per cent), fresh vegetables (+10.8 per cent), home and mortgage insurance (+10.3 per cent), and public transportation (+8.0 per cent). Holding inflation in check were falling prices for natural gas (-9.4 per cent) and women`s clothing (-4.4 per cent).





Read the full article here.

 

[Ally]

Average Toronto house price jumps to $465,369




Realtor Whitney Jorgensen felt the cool winds of change start blowing across Toronto`s hot housing market a few weeks ago.




After months of successfully under listing properties to create bidding wars that had been pushing prices well above market values, Jorgensen noticed more buyers opting to stand on the sidelines instead.




While Toronto continues to lead the country in terms of house sales ` sales were up 5.2 per cent in September over August, more than double the 2.7 per cent national average ` `the general sentiment is that the market is beginning to slow and prices are stabilizing,` says Jorgensen.





Read the full article here.

 

[Ally]

$1 real estate listings are legal, but don't often work




One of the most widely read Moneyville stories in the past month is the one about the Oakville home that was listed for $1.




The house was originally listed for more than $1 million. However, when no offers were received, the price was reduced to $1 in the hopes of creating a bidding war. Instead, the ruse generated accusations of false advertising. While a few offers did come in, they were nowhere near what the sellers wanted, so the property was taken off the market.




Readers were angry and confused. Although few really believed the house was for sale for $1, they wondered whether this gimmick was legal and, more importantly, did it actually work? It is legal, but the tactic generally doesn`t work because everyone sees through it.





Read the full article here.

 

[Ally]

Ontario economic snapshot






TORONTO, ON, Oct. 22, 2011/Troy Media/ ` Consumer price inflation in Ontario remained elevated in September due to high gasoline and food prices. The Consumer Price Index (CPI) registered a year-over-year increase of 3.4 per cent, up from 3.1 per cent in August. Leading the increase were gasoline up 24.2 per cent, fuel oil up 22.5 per cent and fresh vegetables up 20.0 per cent.






Excluding food and energy, the CPI rose a more moderate 2.3 per cent compared to 1.8 per cent in August. On a seasonally-adjusted monthly basis, consumer prices in Ontario increased 0.5 per cent in September, up from 0.2 per cent in August. Clothing and education led the increase, while food and gasoline decreased.





Ontario consumers will feel the pinch of higher consumer prices for a few more months but a lower rate of inflation is expected through 2012. Most of the inflation pressures are coming from commodities, namely oil and agricultural products. The commodity price cycle is on a high due to the combination of strong demand from emerging economies and limited supply.





Read the full article here.

 

[Ally]

American senators tour Alberta's oilsands





Alberta's thriving oilsands and controversial plans for a new pipeline could help thousands of struggling unemployed workers in Arizona, says Arizona state Sen. Al Melvin.



Melvin -- a Republican state senator -- toured Alberta's oilsands Monday with California state Sen. Curren Price and New Mexico state Sen. Timothy Jennings -- both Democrats . He says Alberta and the controversial Keystone XL pipeline could help his economically struggling state.




"We need jobs," said Melvin. "There are good people who just got laid off and they are looking for work and there are good jobs here. I am going to spread the word when I get home."




Controversy over the $7-billion line has centred around greenhouse gas issues and the prospect of a spill along the Keystone route.





Read the full article here.

 

[Ally]

Alberta consumers see blue skies ahead: RBC consumer outlook




Albertans lead the country in optimism that the Canadian economy will improve over the next year (37 per cent compared to 26 per cent nationally), according to the October RBC Canadian Consumer Outlook Index (RBC CCO). They are similarly optimistic about their own personal financial situation improving next year (39 per cent compared to 32 per cent nationally).




Meanwhile, 50 per cent have not set aside any money for a rainy day, and only 27 per cent are confident that they are managing their overall debt well. Still, Albertans are planning to undertake a number of positive actions over the next year to manage their finances. Thirty-four per cent plan to focus on reducing their debt, 26 per cent intend to spend less, 22 per cent want to save or invest more and 23 per cent say they will take all of these actions.





Read the full article here.