Costas Kivelos:
Welcome back everyone to another week, another episode of condo investing with Costas. I am Costas Kivelos, Founder of First Access Condos and mentor to thousands of realtors across the GTA on pre construction. Now, this week’s episode is going to be one of those episodes that is the reason that I started the show. Now, our past few we’re bringing you up to speed with the pre-construction industry in general. We talked about why pre-construction, how to buy pre-construction, how to select the proper agent and we also talk about the effects of COVID and our real estate market in general. Now, we’re going to start bringing you episodes on location and talk to you about our projects that are up and coming. We’re going to be airing these weeks before the actual launch because remember we are called First Access Condos for a reason. We get you in first and as I’ve mentioned in the past, that is the best and only time to buy. Today, we are on location in the junction, in Sterling Junction, okay? And what we’re going to talk to you
about today is a master-planned community. Yes, a master-planned community in the heart of
the city. Three towers brought to you by Marlin Spring and Greybrook.
They are redeveloping an area on the forefront of this area’s revitalization. Now, as you can see, you might not see a lot behind me and you might say, “Hey, so what’s really there?” but where you see nothing, I see opportunity and opportunity captured is where you’re going to make money and when you see an opportunity and you take advantage of it and you capitalize on it, that’s when you make the greatest returns. Now, when I look at this area, I don’t see it as it is, I see it in the future. I see tens of towers built up soaring into the sky, a vibrant community filled with people enjoying life, an area that’s waiting to explode and come into its own. I don’t see parking lots and old industrial buildings. I see brand new condos, brand new restaurants, brand new places that people will come and enjoy and spend time with those that are close to them. I see thousands upon thousands of new residents, brand new businesses, booming with life. I see an area how it’s going to be, not how it is and that is how we make money, If you want to make the most return and that is the most common question; what is the best project for me to make the most money and put the least money into?
Well, let me put it a bit of an example. Imagine if you invested in Apple in the 80s before there was an Apple on almost everybody’s computer and everybody’s phone. Imagine if you got in first on that investment. Well, that’s what these areas are all about. If you get in at the start of gentrification, the start of urbanization and the start of an area, revitalizing and revamping, that’s where you’re going to make the best return. This project here, the first tower of the three-tower master-planned community called House Of Assembly at Sterling Junction will be 16 stories, 254 units. There’ll be a little larger than most because what they’re going for is they’re capitalizing and learning from what is happening in this world where people are working from home. So, they’ve made the units a little bit larger, decreased the total amount and they created a more comfortable living space and environment for everyone. We’re going to have 254 slightly larger units than what we’re used to, easier to live, more enjoyable. Pricing is going to start in the 600,000, which is phenomenal as an entry point in Toronto and we are going to be bringing it to you first.
Now, what we’re going to do now is we're going to leave the location and we are going to go to a
sales center where we are going to be speaking to Erin Miller, VP Sales and Marketing for
Marlin Spring, the developer and we're also going to be talking to James Bradeen, VP of Sales
and Marketing for Milborne and those are the two people that are going to give us the inside
track, the inside scoop and the insider knowledge to help you my clients, viewers and friends
make some money. See you guys soon.
Costas Kivelos:
Welcome back everyone. I’m Costas Kivelos. This is Erin Miller, VP of Sales and Marketing for Marlin Spring and we have the pleasure of taking up a little bit of her time today to talk about House of Assembly in Sterling Junction. Now, as you may notice, we’re not in the House of Assembly Sales Center. That is literally under construction, the workers are there, there’s dust, there’s chaos and that’s to get ready to show it to all of you in a few short weeks. Where we are though is across the street from another Marlin Spring project in the area Stockyards. This is already under construction and ahead of schedule. So, Erin, tell me about House of Assembly. Why did Marlin Spring take on a project in this area? And it’s not their first project but they liked this area so much and they believe in it that they decided to build a master-planned community steps from where they’re already under construction.
Erin Miller:
That’s right, thanks so much Costas. We do love Toronto’s west end. In fact, our portfolio is quite heavily weighted to Toronto’s west end as far out as a Etobicoke on the Queensway, here St. Clair avenue west, we have a lot of properties as well as into the junction area, House of Assembly that you just referred to. So, the House of Assembly is a really exciting building for us. It’s the first of three residential buildings coming to the Sterling Junction community that, upon completion, will house a number of park spaces, office, as well as residential buildings. So, for us, it’s a great opportunity to actually create not only a single individual residential prospect but an entire community within Toronto’s junction neighborhood.
Costas Kivelos:
That’s fantastic. Now, the name, House of Assembly, it has a hidden meaning here to acquire such a large parcel of land in the city where you’re going to build three separate structures, you need to assemble that land. Tell us a little bit about that and then I’ll explain to you guys why master-planned communities are always a great purchase. Go ahead.
Erin Miller:
Of course. So, with House of Assembly being the first of the three buildings, the entire residential component of this will house over 600 residential units upon completion. So, this being the first, it will house approximately 254 units of that grand total. In order to bring it to market, there’s a lot of work that goes behind the scenes in terms of the roads and obviously the public spaces in terms of providing the parks for public use, as well as our partners, Heinz, creating over 500,000 square feet of office space on site. So, there’s a lot of backend that happens to it and like you said, just from, in terms of the sales office, a lot of construction and a lot of chaos before we come to market. So, we’re really excited to be introducing this very, very shortly.
Costas Kivelos:
I’m excited but what I’m excited about more than everything else is about me, my clients and everybody that listens to me about making money. Now, statistically speaking, this is a little known fact but here at First Access Condos, this is why we do our research; for our clients. Purchasing in a master-planned community over a 10-year span will bring you up to a 20% greater return than a standalone structure and that’s why we always like to get in first access and into master-planned communities. Now, let’s talk about the junction neighborhood. Now, tell me. This neighborhood has really seen a transformation, a coming to age in the past 5 to 10 years. Now, I know it takes years of the city before you get approved for a project but what made you guys decide to step into this neighborhood, first was Stockyards and then to go even deeper and amass the separate parcels of land and start building this master-planned community. Tell us your take on the junction.
Erin Miller:
Well, I think for us, the junction really fits our business model. We tend to gravitate toward projects that provide for a mid-rise product. That’s always been our bread and butter. Marlin Springs has been around for just over six years now and a lot of our portfolio consists of mid-rise projects. So, when you get into the junction, you find a lot of neighborhoods that allow for that type of product but also allow for us to create a neighborhood. There’s a lot of areas in the junction much like where we are right now in the Stockyards that are coming into their own and allow opportunities for us to help to meld that neighborhood and grow and increase the growth and increase the potential returns for investors in those particular neighborhoods. We’d like to get into a neighborhood that we can help to shape and also help to help to grow from a residential perspective. So, we’d like to do that. A lot of times in our neighborhoods, much like House of Assembly being the first of three buildings, here on St. Claire west, we've assembled lands just to the east and we will be transforming this corridor as well. So, we like to pick pockets and really reshape them and redevelop them.
Costas Kivelos:
That’s fantastic and I think a lot of times people think that this is solely an investment and I continuously talk about returns and potential returns and how much money we can make because we’re here to make money let’s be honest but if we can give back to the city, if we can be good citizens, good samaritans and elevate areas and increase quality of life across the board, I think it’s part of our civic duty and our responsibility and I think it’s a fantastic job that you’re doing. Now, I, myself Costas Kivelos have purchased in a Marlin Springs product. Talk to me about Marlin Spring and why it’s not only a great developer but what they see as their mantra and how are they going to grow with the city behind them.
Erin Miller:
At Marlin Spring, our mantra is ‘We’re building for you.’ So, it’s very important for us to deliver a product that we can be proud of internally and also be proud of from a purchaser perspective. We take our purchasers very seriously and really care about the investors and our capacity to develop returns. Marlin Spring also works and part of our business model is to be an investment vehicle. So, we like to produce returns, not only for individual purchasers but for larger investor groups across Canada. So, it’s very important for us to continue to build quality product, to not only meet the demands of our purchasers and individual investors but for our larger investor groups as a whole.
Costas Kivelos:
A few weeks ago, First Access Condos had the pleasure of being invited to the small group of agents to be taken around the city and shown the upcoming Marlin Spring pipeline and I can personally say, from my experience, and everybody knows I live condos, it is quite impressive. Now, I would like to thank you for your time, we look very forward to selling this fantastic project and the other two phases that are up and coming and I would like to tell you that First Access Condo, Marlin Spring, guaranteed to have success. We’ll take a couple of minutes to show you some more upcoming projects and then we’ll be back with James Bradeen, Sales and Marketing VP from Milborne.
Costas Kivelos:
Welcome back everyone. I have the absolute pleasure to be with one of my favorite people industries and a very good friend of mine, James Bradeen, VP Sales and Marketing Milborne. So, James, talk to us about Milborne, who Hunter Milborne is, what the Milborne brand does and then we can talk about why you and I have a history of picking the best projects and making our clients a lot of money.
James Bradeen:
So, first of all, thank you so much for coming in Costas. The Milborne Group has been in the industry since about the 70s. So, Hunter founded this industry or this company and in 1976 and since then, we’ve represented some of the largest developers throughout the city and we’re absolutely thrilled to be representing Marlin Spring as well as Greybrook for House of Assembly in Sterling Junction.
Costas Kivelos:
Okay, great. So, I have kind of a criteria or a checklist per se, that I use to select the winners, the best projects to make my clients the best money and to make myself a good return as well. Now, I’m sure many developers approach Milborne and yourself and try to get you to sell their product but as I know, you are just as selective as I am with specific projects. What made you decide to continue working with Marlin Spring? Because I know you have a history with them. So, if you can touch on that and why originally the melding came between the two of you and then why this project, in this area is something that you guys prefer, promote and believe in.
James Bradeen:
So, there’s the old saying ‘location, location, location’ but in my mind, there are really three things that one should look for with any development and the first is going to be a trusted developer and working with Marlin Spring is a company that again, they build a fantastic product and not only that but they build it on time, right? So, having the construction team vertically integrated into the development arm allows them to have a quality control as well as product and finish that is unmatched.
Costas Kivelos:
Now, James, you mentioned building on time. That’s very important because even though we’re slightly geared towards about 70, 75% investors in the pre-construction industry, we still have 25% end users and Marlin’s bread and butter per se, is the mid-rise or boutique building where it’s an even higher percentage of end users. You want to know that your developer in your development’s going to build on time. We happen to be situated across the street from the Stockyards, a project by Marlin Spring, sold and marketed by Milborne. Tell us how that’s not only on time but ahead of construction and how you see similar forecasts for hustle of assembly at Sterling Junction.
James Bradeen:
So, that’s a great point. The best way to look at what will happen in the future is to look at what’s happened in the past and a great example of what Marlin is capable of is effectively looking across the street at Stockyard district.
Costas Kivelos:
And we have a saying: ‘Learn your history to prepare and plan for the future’ and this is what we see here with Marlin Spring and Milborne. Now, you were telling me that there’s three criteria that you want to check off and make sure those boxes are checked and align when choosing a winner and a developer. The first one was trusted developer, Marlin Spring, check for that box.
James Bradeen:
Check.
Costas Kivelos:
The second that I believe in is transit and proximity to transit. Now, I have been, for a long time now, seeing how Toronto is growing up from an adolescent to an adult and part of that growing pain is the density of an area and that’s why the condo booms are happening. Now, in other major metropolis, as an example to the south of us is Manhattan that's known as a condo city, there is a very, very difficult time for everyone to get from one location, location A to location B and that is because of traffic congestion. Now, that’s a direct result of density. As we forecast over 150,000 to 180,000 more people coming to Toronto year over year, transit and public transit and accessibility to it is going to be on the forefront of everybody’s mind. Tell us how Sterling Junction in the House of Assembly is a AAA client when it comes to proximity to transit.
James Bradeen:
So, it’s, really a unique location in that this is a project that has not only GO Train access but subway access incredibly close by. So, it doesn’t only meet that criteria but it meets it in spades and by that, I mean you have access to the Bloor GO station.
Costas Kivelos:
Mhm.
James Bradeen:
Your walking distance to Bloor GO station. You also have the future Lansdowne GO station. So, you can get to Barrie as well as at out west, right? So, two transit or two GO stations within walking distance. You also have Dundas West, the TTC as well as Lansdowne TTC station as well. So, you have two GO stations, two TTC stops again, all in walking distance. So, not only can you get to the downtown core, let’s say Yonge and Bloor on the TTC very quickly but you also have access to the UP Express and that is huge because…
Costas Kivelos:
A lot of people don’t understand what the UP Express or Up Express actually means for someone that has access to it. Tell us, how many stops from Dundas where the UP Express is to Union station.
James Bradeen:
So, you’re eight minutes away.
Costas Kivelos:
That’s one stop, eight minutes away. Even if you had a helicopter, it would take you the same amount of time.
James Bradeen:
That’s a good point but then beyond that, you’re also able to get to Pearson Airport in about 20 minutes. So, again, connectivity and having access to not one but two GO station stops as well as access to two TTC stops is something you will not find anywhere else in the city.
Costas Kivelos:
And that’s why this project is a gem in the crown of Marlin Spring. Now, we’ve spoken about trusted developer, Marlin Spring, check. We’ve spoken about proximity to transit. The list is too long for me to repeat, check on that one too. Another factor that we like to search for foreign investors and for our own investments is we like to look for and find projects that are in areas that are up and coming and Erin touched on briefly about the junction as a neighborhood and what’s happening. Give me your take on the junction and why this area is a winner.
James Bradeen:
So, in my mind, this area is about to explode and it's about to explode in a way that we haven’t seen in quite some time throughout the city and it's for a number of reasons. If you look at existing inventory in the surrounding area, there’s a big goose egg. Within one kilometer, there’s not a single pre-construction project that’s currently available, right? But then beyond that, if you look at what’s coming, again, Erin’s touched on the fact that this is a master-planned community with three towers, right? Which allows you to purchase at the ground level for a long-standing project that will take place over the course of a few years but then further to that, there are dozens of projects that are coming up over the next few years, which enables you to not only get in at the ground level of a master-planned community but it allows you to get in at the ground level before all of these other master-planned communities and projects start popping up in close proximity.
Costas Kivelos:
That is a fantastic point and little known to many people. Not only are we getting in first into a master-planned community but first access condos is getting you first into an area that is about to see a great amount, a massive amount of new condos and when it comes to condos, the more condos, the higher your price per square foot will grow. This is an inverse relationship when it comes to competition. So, remember if you’re buying here at Sterling Junction, you have a trusted and true developer, Marlin Spring, not only quality product but on time, you have proximity to transit, you have multiple GO stations, you have subway access, multiple transit routes and the UP Express and finally and the icing on an already delicious cake, you have an opportunity to not only be first in a master-planned community but first in an area that’s about to see massive redevelopment, massive gentrification and you're going to see your money grow, grow and grow. James Bradeen, thank you very much.
James Bradeen:
Costas, it’s a pleasure.
Costas Kivelos:
Always is.
James Bradeen:
Thank you so much.
Costas Kivelos:
Welcome back. We’re back on site; House of Assembly in Sterling Junction, right in front the future development site of three grand, brand new towers by Marlin Spring and Greybrook developments. Now, what we’ve talked about in this episode so far is we talked about the area,we’ve talked about the developer, we’ve talked about why you should choose this project and why Milborne decided to sell not only to the project but the Marlin Spring brand. Now, what I’m going to talk to you about, which we also touched on, is return because you’re here to make money and that’s why you’re taking time from your busy day to listen to me speak. Now, what I talked about when I was with James is that master-planned communities generate 20% more above and beyond traditional standalone towers over the course of a 10-year span. So, when you’re buying here, you need to think about the big picture, everything together and what you’re going to do is you’re going to invest into a project first. So, you’re going to get an ahead of everybody else, not only first in a master-planned community but first in this area. There is going to be over 15 new buildings built up within a small radius. So, you’re going to be in first in the development first in an area and you’re going to be generating 20% than people that you know that are buying in standalone towers. Now, don’t get me wrong. I believe that you should diversify your investment and buy all different types of condos in different types of areas but the number one question that people ask me when they contact me is Costas, where can I make the best return with the least amount of investment? And for that to happen, you have to get into an area first and you have to be a visionary. You have to go out on a limb and take a greater risk than others but it’s really not a risk. It’s a calculated risk because we already know at First Access Condos, remember, we do our research for you. We already know how much development is scheduled in this area and what’s going to happen to the area. So, there isn’t really that much risk. What it is, is going against the herd. When everybody is going to invest in A, find out if maybe you should invest in B and that’s what we do. We bring you projects every week across the board. In the following weeks, we’re going to have a project in an established area of the city but now we’re bringing you a project in an up- and-coming area of the city. So, for those of you first-time investors that want to get into a fantastic investment, an investment that will allow you the opportunity to refinance, pull out equity and start your real estate portfolio with one purchase, it’s project like these; House of Assembly, Sterling Junction by Marlin Spring. First Access Condos bringing you the best condos to make you the most money every week. Thank you and see you guys next week.