Condo craze

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Taurean Global Properties CEO Douglas Thiessen, a former Winnipegger, shows the display condo in The Penthouse at 100 Princess St. (WAYNE GLOWACKI/ WINNIPEG FREE PRESS) Photo Store

It looks like the long-sought urban lifestyle is finally materializing in Winnipeg's downtown.

The first completed project benefiting from the $40-million city-provincial Downtown Residential Development Grant (DRDG) program officially opened Thursday. And there's a lineup of another 1,500 downtown condominium units in development or pre-development ready to come to the party over the next three to five years.

The Penthouse, a 60-unit, $12.3-million, six-storey upscale development at 100 Princess St. in the old Penthouse Furniture building was the first to be finished. The landmark occasion brought out the mayor and the premier in a clear sign of the strategic importance of getting more people to live downtown.

"What we need to see is feet on the street after the stores close," is the way Winnipeg Mayor Sam Katz put it.

Douglas Thiessen, president and CEO of Vancouver-based Taurean Global Properties, The Penthouse developer, said the target market of the building's 700- to 1,100-square-foot units is young professionals in their late 20s and 30s who work downtown.

Some Winnipeggers may still balk at the $200,000 to $300,000 price tag (along with a $300 monthly condo fee) but Thiessen was still able to pre-sell 28 units even before he lined up financing.

"The pricing might seem aggressive, but for just about anywhere else in the entire world, these are incredibly good prices," said Thiessen, a former Winnipegger who cut his teeth in the real estate business, as he said, by "buying crappy apartments and making them less crappy."

He said he believes he's lucky to hit the market when he has, as those suburban homes young Winnipeg professionals might have been able to afford in the past are getting too pricey.

And while there are sales going on in a handful of projects in both the east and west Exchange, Thiessen and others who are selling condos have no illusions about it being a cakewalk.

StreetSide Development Corp., a division of Qualico, is to redevelop six east Exchange buildings into about 150 units -- as well as build an eight-storey, 50- to 60-unit residential building on a vacant lot it owns on the southeast corner of James Avenue and Lily Street.

It's working on two buildings now, with five of the 15 units at the completed 133 Market Ave. sold and one unit at the 19-unit 110 James Ave. building, which is still under construction.

StreetSide manager Martin Maykut said, "As a developer, we'd always like it to be quicker and sell more units. But the Winnipeg market always trends toward 'build it and they will come.' The James Avenue building will be ready in the fall, so we're hoping the first building gets momentum in the area and we have a productive summer."

CentreVenture Development Corp. is front and centre in much of the activity. Ross McGowan, CEO of the publicly funded urban renewal entity, said the residential developments in the queue could mean about $120 million will be pumped into the neighbourhood over the next few years.

But McGowan said CentreVenture is acutely aware the Exchange is not acclimatized to residential occupancy and a lot has to be done to ensure the residential developments will be a success.

"We know we can't leave the private developer out on his own and think that our job is done," McGowan said. "We're seeing our role begin to take a broader perspective in support of these private residential projects."

CentreVenture is putting together a community development strategy that will eventually take the form of streetscaping, better lighting and establishing more of a retail presence and other support services for the area.

This August, the first project will begin with street enhancements and lighting on Market Avenue.

CentreVenture will host downtown living tours and its second Midsummer Mixer geared to better familiarize downtown workers with living downtown.

martin.cash@freepress.mb.ca

Exchange condos in the works

The Penthouse, 100 Princess St.:

60 units

700- to 1,100-square-foot units

$200,000 to $300,000

District Condominiums, 128 James Ave.:

10 units

1,000 to 1,200 square feet

rental and rent-to-own

District Condominiums, 133 Market Ave.:

15 units

660 to 1,135 square feet

starting in the high $100,000s

District Condominiums, 110 James Ave.:

19 units

566 to 1,140 square feet

starting in the high $100,000s

62M, Waterfront Drive and MacDonald Avenue:

40 units

608 square feet

from $192,900 to $199,000

Republished from the Winnipeg Free Press print edition June 8, 2012 B6