By NICK STEWART
The construction boom experienced by all sectors in the city of Timmins continued to resonate throughout 2007, with 555 permits worth $46.5 million having been issued last year.
“In the commercial and industrial sectors, there’s obviously a keen interest in the city right now,” Mark Jensen, director of development services with the city.
“You can see the big-box store development happening and planned expansions to some of those as well, and you’ll see that continue. I don’t think that’s over yet.”
While the dollar value of the work represents a drop from 2006’s total of $62.6 million, the number of permits has risen from 499 in that year. Jensen attributes the disparity to the influx of big-name commercial developments that year such as Home Depot, though ongoing work throughout the city remains comparatively strong.
For instance, the Timmins Square is pursuing a 77,000-square-foot expansion, while the former Mattagami Hotel on the corner of Shirley Street and Riverside Drive is being replaced with a 20,000-square-foot Future Shop outlet.
The Feldman Timber property on Algonquin Boulevard features a 60,000-square-foot development consisting of a hardware store, a Shoppers HomeHealthCare centre, and a restaurant.
A separate 26,000-square-foot Shoppers Drug Mart development on Cameron Street and Algonquin Boulevard is also being built.
Both Timmins International and the Bucket Shop have also recently established new buildings on Riverside Drive, at a size of 15,000 square feet and 10,000 square feet, respectively.
Housing is also faring well, with five subdivisions currently under development, totaling 192 lots.
These include large-scale projects, such as the Highlands subdivision, a 26-acre parcel of land east of J.V.
Bonhomme Blvd. and west of MacLean Drive. This space is being developed into 101 residential lots across three phases.
On the other end of the scale, an eight-lot endeavor known as the Omada subdivision is being pursued in South Porcupine, with 10 residential lots fronting on Quebec Avenue.
A sixth subdivision has also been recently proposed for the city, with a 51-lot project known as the Shelswell subdivision to be located off Sony and Nadine streets in South Porcupine.
Bruno Gendron, broker with Royal LePage, says the housing boom seen throughout the last two and a half years has kept strong through 2007.
Typically, anywhere from 20 to 28 new homes are built in Timmins in a given year; 68 were built in 2007, up from the 56 built in 2006.
The majority of these have been built-to-order homes, as Gendron says most of the speculative building contractors left town during the last downturn in the mining cycle.
However, with the current cycle on an upswing, new residents have been arriving regularly. This is a trend Gendron expects to continue as De Beers Canada looks to hire nearly 400 people for the Victor project, for which Timmins is a key link. He mentions he’s already had a number of clients move to the city from Chapleau as they make the transition from former Tembec employees to workers at Ontario’s first diamond mine.
While the rising mineral prices and subsequent strength of the local job market are certainly playing a part in the arrival of new residents looking to build a home, Gendron says some of this is also being driven by the increased commercial development.
“Timmins is the last stop for a lot of retail firms, so when you start seeing Home Depot and Canadian Tire and the soon-to-be-built Future Shop rolling in, people from around the northeast realize they won’t have to drive to Sudbury to do their major shopping anymore,” Gendron says. “So this kind of thing helps to keep people local and definitely helps to make the city more attractive for prospective homeowners.”
Sales range from low end homes to as high as $600,000, an unusually elevated price for a home in the region, Gendron says. The average home, a newly built 1,000-square-foot bungalow, runs for roughly $200,000.
Demand is such that most homeowners have to wait no longer than a month to sell their house, though resales have slowed somewhat in recent months as the strength of the market has caused some people to overvalue their home.
“Some people are getting too greedy and putting their houses too high for the market, and the buyers are saying ‘Yeah, right,’” Gendron says. “Those are the ones that tend to sit a little longer, but a well-priced home will sell within the month.”
