Sechelt Development - The Watermark at Sechelt

[Skook]

A Watermark Mystery - The Case of the Vanishing Sales

These past six months I’ve noticed something unusual and the only conclusion I reach is that there is a strange virus affecting new condo complexes in Sechelt. It appears the immediate effect of this virus is that a unit will manifest itself as “sold” only to see that sale reversed 1 to 4 months later - perhaps after the virus runs its course.

I first noticed and posted about this “symptom” on October 29th when commercial Unit 106 at The Wharf Place was “sold” and then “not sold” for the second time. I thought this was perhaps unique to The Wharf Place given its sad state of affairs with regards to sales; however, events at Watermark prove this isn’t so.

At Watermark, there have been three definite instances of the virus with the first occurring in June and the most recent in October. Here were the units affected:

• #310 - 5725 Teredo. “Sold” June 12th @ $345,900. Back on market with original listing # V1010359 on Nov 2nd
  
• #305 - 5725 Teredo. “Sold” July 20th @ $474,900. Back on market with original listing # V1006447 on Oct 16th
  
• #400 - 5665 Teredo. “Sold” October 23rd @ $800,000. Back on market with original listing # V1023854 on Nov 9th
  

That last virus infection, #400, has to be a real “bummer” since this was a unit resale. Yep, any celebrating was for naught; however, there is an upside as the failed flip means Canada Revenue Agency won’t be knocking on the seller’s door this year.

Now, in all seriousness, you have to ask yourself, “What is happening here?” I suppose there could be any number of reasons like the sale was contingent on the selling of an already owned SC rec property which these days would be next to impossible. Or, the buyer hoped to arrange a HELOC to cover the purchase but the terms proved too onerous. It definitely would be interesting to find out what happened in these three failed sales.

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During the last week of October, there was a new listing put up for the Watermark and this was an interesting one - it was for one of the three live-work studios included in this complex. Now, I knew from earlier research that these existed but as luck would have it all are on the ground level and there is no ground level plan on the Watermark website.

I noticed the listing on October 29th (went up on MLS on October 26th) and it sold on November 6th. It's cached listing is below.



The description is rather short on details:

Quote:Concrete six storey Watermark features 104 luxury suites, cafe bistro & commercial space. This Live/Work studio is located on street level just across from the Shops and Services of downtown Sechelt. A short ferry ride from West Vancouver to the Sunshine Coast makes for access easy.

I think the listing was only a formality for the Realtor to get his commission as he likely had a buyer already lined up and committed. So this live-work studio has no bedroom and only 1 bathroom. It’s 1037sf and the maintenance fee is $189.42 and it sold for $310,000.

Now, this Unit is in Phase 2, 5725 Teredo and given what I have seen from the construction pics the first thing that crossed my mind was, “How much natural light enters this unit?” I just pulled a new pic from the Watermark website and it is directly below. It shows the completed landscaping and side of Phase 1 facing Inlet Ave - nope, no ground floor windows here. The next two pics show that a studio unit in the inner side of either building can’t have any windows because of the concrete parking bunker. So, if they don’t face Teredo St then perhaps these units are all located on the far side (west) of Phase 2 and there are no pics showing that side. Maybe if located there each studio unit would have a separate entrance. Hmm, still don’t think they will have many if any windows, though. Oh, another darn mystery.

I thought I would include a new construction pic directly above. Yes, I think a fog horn, smoke stack and rotating radar antenna would finish it off quite nicely - see my July 13th post.

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I just did a search on Google to see if I might have missed anything on these live-work studios (haven’t) and darn if I didn’t stumble on this Kijiji Ad posted by Realtor John McKenzie on November 13th.

Is it me or does anyone else find the posting of this commercial unit on Kijiji weird? The first time I saw SC homes valued into the millions on Kijiji I thought, “Seriously? You must be kidding me.” I just can’t image anyone who could afford a home valued at $3mill and above looking on Kijiji; but, if the purpose is to reach other Realtors who are on the hunt for clients...okay, I guess that works.

The same goes for this Watermark commercial space. Let’s see what did the developer say about Watermark? Oh yes, “The project sets a new standard for Sechelt and the Sunshine Coast…” and, therefore, I will list my commercial units on Kijiji. Go figure.

Now, if I were looking for commercial/retail space to purchase I might try ICX, CLSLink, NAICommercial, Colliers International, CBRE and I would check out Western Investor’s digital edition. So, I have checked all these sites to see if there is any mention of commercial space at Watermark in Sechelt - nada, zip, zero. However, when you think about it Watermark marketing began back in 2011 so if this commercial unit hasn’t sold by now I guess the Realtor will try to snag some local interest any way he can.

Now, look at the ad again and check the “crumb line” to see where he placed the notice on Kijiji. It’s under Sunshine Coast > real estate > other. Now, check out the Kijiji real estate categories to the right. If you were interested in retail space which IMO falls under “commercial”, isn’t that where you would look? All well, I just don’t think like a Realtor.

So, the shouting aside, here are the Kijiji ad details for this Watermark commercial unit:

• Prime highway frontage in the heart of Sechelt in a concrete waterfront building.
  
• Total of 104 residential residences.
  
• 5 star location - great investment or holding property.
  
• 1582 sq ft - Unit #101 - 5665 Teredo Street, Sechelt - Strata Lot 53 - $479,900.
  
• Contact john Mckenzie, Royal Lepage Sunshine Coast at 604.740.1304.
  

Who would that ad appeal to and what type of business would fit the bill? Well it better be profitable because that’s $479,900 for 1582sf ($303.35/sf) - nearly half a million to start and then add on the monthly Watermark maintenance fee plus all your operating and business expenses. Wow. My suggestion: do thorough market research before buying!!