Happy Wednesday! There’s a lot happening in the Fraser Valley area as we continue to see infrastructure improvements to support our growing economy.

Keep reading to see how SkyTrain and Highway 1 are getting upgrades, and how the BC real estate market is expected to fare in the next few years.

— Scott

⏰ Business groups push for Highway 1 widening to start sooner

Driving the news: Four major business organizations in the Fraser Valley are calling on the provincial government to expedite the widening of Highway 1 between Metro Vancouver and the Fraser Valley.

Details: The provincial government just released design plans for the Highway 1 upgrade over a 21-km-long segment between the 264th Street interchange in Langley Township and Highway 11 (Sumas Way) in Abbotsford.

The organizations include the Abbotsford Chamber of Commerce, the Greater Langley Chamber of Commerce, the Mission Regional Chamber of Commerce, and the Chilliwack Chamber of Commerce.

Why it matters: The widening of Highway 1 is seen as essential to improving traffic congestion and safety in the Fraser Valley, which is experiencing rapid population growth.

The highway is also a major transportation corridor for goods and services to the BC Interior and beyond.

The big picture: The provincial government has committed to widening Highway 1 between Langley and Abbotsford in two phases — phases 3A and 3B.

However, the organizations are calling on the government to expedite the project and complete it as soon as possible.

By the numbers:

• Over 80,000 vehicles use Highway 1 between eastern Metro Vancouver and the Fraser Valley on a daily basis.
  

• The population of the Fraser Valley is expected to grow by nearly 50% by 2050.
  

• The cost of widening Highway 1 between Langley and Abbotsford is estimated to be $1.2 billion.

Between the lines: The call for the widening of Highway 1 is part of a larger debate about transportation infrastructure in the Fraser Valley.

Some advocates have called for the construction of light rail transit or commuter rail along the Highway 1 corridor.

Others have suggested that the new replacement Pattullo Bridge should be built to a six-lane standard on opening day instead of the current configuration being built of a four-lane configuration.

What’s next: The provincial government is expected to make a decision on the future of Highway 1 in the Fraser Valley in the coming months.

The bottom line: The widening of Highway 1 is a critical project for the Fraser Valley. A strong BC economy is dependent on efficient transportation infrastructure.

🚆 Plans for development around Surrey’s new SkyTrain stations are in the works

Driving the news: The City of Surrey is working on the Clayton Corridor Plan to determine the development density around its two new proposed SkyTrain stations.

Details: The Clayton Corridor Plan spans approximately three kilometres along Fraser Highway between 72 Avenue and 192 Street.

The blueprint of the draft area emphasizes that the primary anchors are the two planned Surrey-Langley SkyTrain stations at 184 Street and 190 Street.

The highest building heights and densities will be centralized around these transit stations to ensure efficient use of the area and promote sustainable growth.

Why it matters: While these transit hubs are geared towards providing residential spaces, there's a strategic blend of commercial usage foreseen, especially around the 190 Street Station.

This mix aims to foster lively, functional communities, boosted by potential opportunities for increased density if it aligns with community benefits.

The big picture: While significant densification is anticipated, the proposed building heights and density are comparatively lower than those outlined for the future SkyTrain stations west of the Serpentine River, under the City's Fleetwood Plan.

What’s next: As the city refines the Clayton Corridor Plan, there'll likely be further public consultation and potential modifications based on feedback and evolving city objectives.

The bottom line: Surrey is approaching the Clayton Corridor Plan with goals to keep a balanced mix of density, commercial activity, and residential spaces.

This will help Surrey pave the way for sustainable urban growth.

🎥 Tour a $1.8M Surrey Home on Greenbelt w/ Theatre & Outdoor Kitchen in West Cloverdale

This Surrey BC home has so many incredible features! From the open floor plan to the backyard that backs up to a greenbelt, it's not hard to imagine a luxurious life in this home.

Some of the most desirable upgrades in this home include AC, hardwood flooring, quartz counters, wainscoting, and moldings galore! The finished basement has a theatre room, storage, 1 or 2 bedrooms & perfect set up for a suite if needed.

🏠 BC Housing Market: A Shift on the Horizon

What's Happening: After the Bank of Canada's unexpected policy interest rate hikes, a new projection for British Columbia's housing market shows a potential recovery in the coming years.

Details: Central 1 Economics predicts a notable, but reduced, decline in home sales volumes in 2023, followed by a promising surge in 2024 and 2025.

• 2023: A decline of nearly 5% in home sales volumes, a drop from the 35% seen in 2022.
  

• 2024: A rise of 12% in home sales.
  

• 2025: An increase of 14% in home sales.
  

• Home prices are predicted to increase by 0.5% in 2024 and by a more substantial 3.6% in 2025.

Why it matters: The average home price in BC is expected to drop to $970,000 in 2023, a 2.7% decline. However, there's a silver lining as prices are projected to rise again, crossing the $1 million threshold by 2025.

What they’re saying: Bryan Yu of Central 1 believes that the current home price status is here to stay. The recent hikes in interest rates might deter potential buyers temporarily, but a consistent demand persists due to robust population growth.

Between the lines: There was a positive wave in the housing market during H1 2023 owing to the Bank of Canada's decision to halt policy interest rate hikes.

However, this momentum might fall off as the year progresses. The report hints at a resilient demand, particularly from millennial and Gen Z buyers and immigrants, despite high property prices.

What's next: With the housing demand and supply game at play, consumers will face challenges from mounting mortgage payments and stagnant wage growth.

The national economy is projected to grow over 1% this year, with BC's growth expected to be even more robust in the coming years.

The bottom line: With limited supply, the housing squeeze in BC continues, but the next few years could restore some balance to the market.

In Other News:

• Hike through BC named one of the five best trails in the world by BBC

• City manager to leave City of Surrey after nearly a decade

• Heat wave continues throughout Fraser Valley

• Celebrity chef Gordon Ramsay bringing burger and steak outlets to B.C.

📊 Current Market Snapshots:

That’s all for today, I hope you have an amazing week!

If there’s ever anything you need:

• a custom market or home value report

• a home services list for a reliable contractor or services professional

• feedback or a professional opinion on a home project

Just let me know! We’re here to help with all your home needs.

Talk soon,

Scott with the Moe Team