CLIMATE INFORMATION

LIFESTYLE

Canmore is a mountain town of 10,843 permanent residents and 2,273 non permanent residents. It is located approximately 90 kilometers west of the city of Calgary. The town is the government and business centre for residents and employers in Banff National Park, Kananaskis Country, and the Bow Valley which includes Exshaw, Seebe, and a portion of the Stoney Indian Reserve. In addition to serving the surrounding communities the town has been developing as a significant tourism destination for regional and international travelers.

Canmore was the most successful of the coal mining towns which followed the CPR mainline into the area in the 1880s. The coal industry left a Central European ethnic heritage which is evident today in the population and the local Bavarian and alpine architecture. Although the mines were closed in 1979 and the land was subsequently reclaimed, the town continued to be perceived as a coal mining centre. Recreationalists focused on the town of Banff for day-trips and week-end residences.

Between the years 1976 and 1982 however, Canmore experienced annual growth in excess of 10% - streets were paved, services installed and the schools were expanded. Canmore's new image became that of a town serving Banff overflow - increasingly tied to tourism and related services.

When Canmore was selected as a venue for the 1988 Winter Olympics the town gained invaluable international exposure. Perhaps more importantly, Canmore had the opportunity to show its 'new face' to Western Canadian visitors considering vacations, recreational homes and retirement locations. Visitors were able to see the town's modern business infrastructure and the sports and recreational facilities added to service the Games. They also saw a mountain town that is very different from Banff. The population is stable with a large number of young families. Between 1993 and 1998 population growth varied between 6.5% and 10%, while in 1999 mainly as a result of growth management the rate slowed a bit to 5.4%.

Optimism about the future of the real estate market in Canmore is high. There is historical evidence over the past 9 years, and factors which are currently operating, which indicate a solid base for forecasting growth.

Recreationalists

Canmore now competes very favourable with Invermere, Jasper, and Banff as a location for week-end and recreational homes. The facilities and services already added to the area enable Canmore to offer a full range of recreational opportunities within a reasonable traveling distance (relative to Invermere) and at a reasonable price (relative to Banff and Jasper). For certain types of recreation Canmore is the location of choice.

Canmore is also attractive to those who wish to spend time in a recreational area that still has a sense of community. The residents of Canmore, both permanent and part-time, have a strong loyalty to their community. This is reflected in the level of volunteer activity in the region and the 'buy-local' attitude that is prevalent in the community.

Some of the concerns raised by the Growth Management Committee study was to provide permanent residents with good entry level homes while encouraging the further development of the corridor as an "International Tourist Destination". This will likely place additional pressure on the supply of recreational properties falling within the price range for entry-level housing.

In-migration of Residents

In-migration of permanent residents, particularly from Banff is an important component of the growth of Canmore's real estate market. For the last 5+ years about 25% of Canmore's population have been employed in Banff. Many of these residents desired to raise their children in a community that did not have the tourism-related pressures of Banff.

There continues to be a significant increase in the number of Canmore residents employed in Calgary and choosing to commute or who are able to take advantage of the home office tele-commuter trends. This is reflected in the large number of home based businesses operating in Canmore.

An increasing number of Canmore residents are retired, although as a percentage of the total population they continue to be overshadowed by young families with children. Perhaps a more important group are empty-nesters from outside of Canmore who are planning to retire to the area in 5-10 years. It has been suggested that this group is making a noticeable impact on the Canmore real estate market in two ways - purchasing homes to retire to and purchasing developable properties for small projects in the town that will generate steady rental revenues through their retirement years.

INVESTMENT

Market Analysis

The town of Canmore will grow substantially in the coming years with projected population to be at the 30,000 mark possibly by 2017. This growth presents a number of residential and commercial real estate opportunities for everyone.

Existing Infrastructure

In part due to the legacy of the 1988 Winter Olympics, the Town of Canmore offers address to a full range of modern business, recreational and community services:

• Central Business District - lively downtown retail and commercial area with financial, insurance, legal, medical dental, and accounting services.
• Canmore Nordic Centre - a world-class cross-country skiing and training area, also used for a variety of other recreational activities year-round such as mountain biking.
• Public Sports Complex - including a pool, weight-room, curling rink, hockey arena, and meeting facilities plans are set for a second facility to ease high use.
• Industrial Parks - located in four separate areas of town with different zoning for each.
  Service Clubs & Organizations - Lions, Rotarians, Chamber of Commerce, Tourism Canmore, Canmore Ad Venture Capital, Biosphere, CEDA, Mountain Arts & more.
• Senior Citizens lodge & housing development recently upgraded.
• A scenic, well-maintained Public 18 hole golf course, a world class 18 hole course at Silvertip; Stewart Creek ranked #1 new course in 2000; 2 more planned by Three Sisters Resorts golf courses. All world class caliber and challenging.
• 72 - bed hospital with Cancer treatment and long term care.
• Community-supported day care. 3 schools to Grade 12 as well as Separate School. New composite High School opened in the fall of 1995.
• Family and community support programs comparable to many cities in Alberta.

Residential Rental Market

The residential rental market in Canmore has been very strong for the past 8 years with low overall vacancy rates and consistently high rents. The vacancy rate has been less than 1% in Canmore for the past 8 years and rents have averaged $600 to $750 per month for a 1 bedroom apartment, $800 to $1,000 per month for a two bedroom and $1,000 to $1300 for a 3 bedroom condominium or single family home with garage.

A significant percentage of available housing stock in Canmore is held as revenue property by investors.

Residential Real Estate Trends

In Single Family Home the demand has exceeded supply in each year in certain price ranges. We have also had sporadic shortages of available building lots which have contributed to the pressure to increase prices. The average sale price for Single Family Homes in 2001 was just over $306,000 reflecting a dramatic increase from the average for 2000 which was $279,000. This reflects the higher prices of executive home sales. The median house price in 2001 was $255,655, just down from $260,000 in 2000.

1996 was a record year for condominium sales reflecting the increased demand for more affordable homes as well as the interest of the recreational purchaser for lower maintenance levels than a single family home. 2001 stats show a tremendous increase in the bungalow style 2 bedroom 800 + square foot units coming on line. This caused the 2.4% increase in price of $205,000 in 2000 to $210,000 for 2001.

Growth Management Committee

As a result of the extraordinary growth Canmore has experienced and the anticipated continued growth over the next twenty years the mayor and council asked for input from the community in the form of a Growth Management Committee (GMC) in 1994. After 11 months of discussions and research the GMC, a volunteer group made up of a cross section of Canmore's population, presented a comprehensive report to the community and town council regarding their findings and suggestions.

The Growth Management Committee report consisted of four integrated parts:

1. LAND MANAGEMENT

A comprehensive map was created which outlines exactly what the long term goals for land use and future growth should be. The resulting overall view of Canmore gives graphic evidence of; i). our limitations of growth due to topography, ii). definition of the current zoning, and iii). those areas which should be left undeveloped as wildlife habitat & corridors or green spaces in order to maintain the quality of life that makes Canmore unique.

2. RESIDENTIAL DEVELOPMENT

The major recommendation of the residential component of the GMC was to bring the net permanent population growth rate to 6% by the year 1999. The mechanism selected to control the availability of land as it is approved at the land use stage. All areas already zoned for use would remain as they are. Thus the need to set realistic goals that may only be achieved by the delay until this year. In order to meet the goal of "ruralization" of the built environment, the residential subcommittee also made numerous recommendations to encourage unique developments in Canmore, including the use of reduced lighting and the incorporation of terrain in lot placement and configuration of subdivisions.

3. COMMERCIAL DEVELOPMENT

Canmore's commercial tax base was slowly eroding between 1988 and 1994. The commercial/residential split in tax changed from a 70% residential / 30% commercial split to a split of less than 80/20. The GMC in the course of their study discovered that an ideal split is 60% commercial and 40% residential. The GMC recommends increasing the split to 60/40 by the year 2015. There are a number of strategies involved in reaching this goal over the long term including the establishment of the economic development office, ensuring an adequate supply of commercial lands, improved transportation, establishing a cultural support program and having the town make greater attempts to attract post secondary education training programs.

4. IMPLEMENTATION

The final section of the Growth Management Committee's report was to address the problem of the implementation and monitoring of the recommendations. The committee recommended the establishment of a standing committee charged with that responsibility. Annual review of a more comprehensive census and assessment of community needs would for the basis of the standing committee's future recommendations and approval for developments. All proposed residential subdivisions must be approved by the Growth Management monitoring committee to ensure the quotas for each year are not exceeded.

5. THE FUTURE

Canmore continues to grow and is now just beginning to market itself as it's own Destination Resort Area. Although not divorcing itself from Banff and the National Park, Canmore has it's own unique identity compared to it's older neighbour to the west. The main industry of Canmore is moving more and more towards Tourism related services.

The Town struggles to find the equitable balance between unencumbered growth and protecting the environmental system while continuing to manage the limited resources provided by nature. Not an easy task for any community where everyone's opinion does count.

People enjoy the small town rural community flavour that Canmore presently offers yet there is still a desire and need to grow and to be self sustaining by many people. The debates from the environmentalists, protectionists, special interest groups, developers, business community etc. will continue for many years to come. The struggle is to find the balance that works for everyone.

All the groups and citizens, however, are contributing to make Canmore a special place to live.