Analysis of the Redevelopment Potential of LMS 3432 (1723-1777 Alberni St)
The focus of this report is to show that 1723-1777 Alberni Street (“The Park”) is the most undervalued residential complex in the Georgia Street Corridor as a result of the new West End Community Plan building guidelines enacted in 2013. As it currently stands, there is 1 tower on the eastern end and a 2 story townhouse complex on the western end with an existing floor space density of about 3 times the size of the lot. Under the new plan guidelines enacted by thecity, the density that is achievable now is effectively more than 3 times greater than the current setup.
This report will show that the parcel of land under the existing complex is large enough for another tower to be added on the western end without the need for demolishing the eastern end tower that is already in place. With this in mind, we can conclusively say that the current complex is substantially underbuilt and undervalued as a result of not being maximized to its full density potential. This report will make an in-depth exploration into the various redevelopment opportunities available to the property owners and it will also analyze the various challenges posed by each of these opportunities.
Below is a quick summary of the 3 possible options the parcel presents.
Option 1
Redevelop Townhome Section and Build New Adjacent Tower
Option 1 presents the best opportunity for the owners of 1723 Alberni. In this scenario the entire strata is sold to a developer who will redevelop the parcel of land under the townhomes into a new tower (possibly a phase 1 of 2 new towers, the second being the eventual replacement of 1723 Alberni St tower). The current tower at 1723 Alberni will be converted to rentals. The technical challenges of the project involve developing the underground parkade since the tower parkade entrance is currently under the townhouse section.
Option 2
Demolish Entire Complex and Rebuild 2 Towers
This option involves redeveloping the entire strata complex into 2 new towers. This option allows for the most versatility as the developer could build a podium connecting the two new towers. It also presents the least technical challenges as the developers could start with an blank canvas. A variation of this option would be completely refurbishing the existing tower with all new enclosures and interiors and building a new podium to join both towers.
Option 3
Merge with 1798 W Georgia Street for up to 3 New Towers
Option 3 would involve a developer buying both 1723 Alberni Street and 1788 West Georgia Street to build 2 new towers right away and eventually redevelop the 1723 Alberni Tower when it’s reached it useful lifespan. This options allows the developer to develop 2 buildings right away for better economies of scale and gives them an option to redevelop the 3rd tower down the road while converting the 1723 Alberni tower into a rental in the meantime.
Given the lot can accommodate 2 towers and the current density being a third of the new developments are being built next door, this means that the complex, as it stands right now, is very low density, which makes its redevelopment inevitable. I believe it’s only a matter of time before a developer will start to notice the potential and start to circle the block so to speak. This is why it’s important for the stakeholders to organize and sell ourselves as a development opportunity rather than wait for a developer to start strategically purchasing units to gain control as they did in the 4 midrise condo buildings across the street. The latter would result in a wide range of purchase prices and not necessarily a fair and orderly assessment valuation across all units.
The wonderful advantages the 1723 Alberni parcel provides for redevelopment are not only undeniable, they are compelling. It’s a waste that one of the best parcels on the Georgia Street Corridor is so undervalued and underdeveloped when it provides such ripe opportunities. Please continue to read the detailed report on the redevelopment possibilities here.
Sincerely,
Rolando Vallarino (Owner and Tenant)
Neighborhood Plans
The Neighborhood is undergoing a tremendous transformation in the next 10 years. Over the past decade, the general area of the intersection of West Georgia Street and Cardero Street, within a two block radius, has become a major cluster for high-calibre architecture by international design firms. Located only a block from one of the best urban parks in the world, Stanley Park, the parcel of land under 1723 Alberni is well situated to take advantage of the various amenities the area has to offer, including some of the best restaurants, waterfront, and sea wall.