The number of B.C. home sales is forecast to drop this year even as housing prices for the year are expected to rise from 2009, said a new report.

Average home prices are anticipated to climb by six per cent this year over last, to $494,600, said Cameron Muir, B.C. Real Estate Association chief economist, said in his housing forecast released yesterday.

"That really represents the price increases that have already happened." Prices reflect sales of all types of homes sold through the multiple listing service.

"We are looking at quite stable pricing going forward," Muir said from Vancouver.

Next year will see average prices for homes rise by one per cent to $499,700, he said.

"Strong consumer demand in Vancouver, Victoria and the Fraser Valley was largely responsible for driving the average home price in the province higher over the last three quarters," he said.

"However, demand has moderated in those markets and a larger inventory of homes for sale has pulled market conditions into balanced territory, providing less upward pressure on home prices."

Greater Victoria home sales of coal harbour real estate dropped in May to 695, down from 756 in April. At the same time, inventory moved up to 4,500 in May, an increase of 19 per cent year-over-year.

In the capital region, the average price of a single-family coal harbour condo house was $646,483 in May, up from $624,149 the previous month. The median price was $594,500.

Total residential sales for the province are anticipated to shrink by three per cent to 82,350 units this year, from last year's total of 85,028, Muir said.

In 2011, sales will likely step up by four per cent to 85,900, he said.

"Eroding affordability will trim home sales by three per cent this year despite improving economic conditions and related employment growth.

"The push-and-pull of positive economic growth versus rising mortgage interest rates is expected to keep B.C. home sales near their 10-year average of 85,569 units both this year and next."

This e-mail address is being protected from spambots. You need JavaScript enabled to view it

Read more: http://www.timescolonist.com/business/home+sales+fall+while+prices+climb+analyst+predicts/3126048/story.html#ixzz0qVGMTFfy

Coal Harbour is coming to Richmond.

Aspac Developments Tuesday announced the first phase of its River Green project -- a massive, multi-billion luxury waterfront development that will stretch over 28 acres of waterfront property on either side of the Richmond Speed Skating Oval.

"We are pleased to present Aspac's plans to carry the torch for the oval legacy," said John Ryan, senior management executive for Aspac, the company that transformed Coal Harbour from an industrial area into an upscale waterfront community.

View Larger Image

Raymond Li of Aspac Development unveils plans to bring a Coal Harbour-like project to Richmond. The 2,600 luxury residential units will be spread out over 28 acres on either side of the Olympic oval.

Chung Chow/Richmond News

buildings just west of the Olympic Oval.

The luxury condos -- up to 16 storeys in height -- will have mountain and water views, and the buildings will feature "green" features like storm water recycling and rooftops gardens.

Raymond Li, director and senior vice-president for Aspac, said sales on the first phase alone is expected to be $400 million.

The long-term plan calls for 25 to 30 buildings, built over 10 or 15 years, on either side of the oval. There would be a total of up to 2,600 residential units.

The development area lies along the Middle Arm River bordered by the No. 2 Road and Dinsmore bridges.

"It's easily over a $1 or $2 billion investment," Li said of the total long-term project.

The first phase will see 458 residential units built in six buildings. They will range in size from 700 square feet to a dozen 4,000-square foot penthouse apartments, said George Wong, principal of Magnum Projects, which will be marketing the new condos.

The buildings will be "stepped" back from the water in order to allow the buildings to have mountain and water views. The pathway along the river will remain in city hands and open to the public.

Prices for the condos have not been set yet, although Aspac's liberal use of words like "exclusive" and "luxury" suggests the condos won't be cheap.

The first phase is slated for completion in two-and-a-half years. But pre-sales will begin in May. The project's sales showroom is located on the river side of the Olympic Oval in what will eventually become a restaurant.

The 28 acres of land to be developed includes 18.6 acres that Aspac purchased from the city for $141 million, which helped pay for the construction of the $178-million Olympic Oval.

"When we made the decision to build the Olympic Oval, we had far more than just the one building in mind," said Mayor Malcolm Brodie. "We knew the oval could be a catalyst for achieving our vision for our city and the city centre and the Middle Arm waterfront."

He said the city had long hoped to turn Richmond's introverted city centre out towards the water. He said the Olympic Oval, the Canada Line, and River Green project are all part of that plan.

The land that Aspac purchased from the city was part of what was left over from the Brighouse estate, which the city purchased decades ago. But Aspac didn't stop there. It also went on to buy up 10 acres of land to the east of the oval, including the Ritchie Brothers Auctioneers building on River Road.

While the property to the west of the oval is already zoned for residential development, the property to the east must still go through a rezoning.

Leading River Green's design is architect James Cheng. To address concerns about flooding in the event of an earthquake, Cheng said the base of the development will add additional protection to the Middle Arm dyke system.

The buildings will have underground parking, but that parking will be built above dyke level.

"Our parking structure, because it's concrete and it's large, actually (serves) as a re-enforcement to the dyke," he said.

The development will have a number of "green" features, including passive solar energy, storm water recycling and plug-ins for electric cars.

Originally, the city had hoped the project would also tie into a geothermal heating district, but that has failed to materialize yet.

However, Cheng said the buildings will be constructed in a way that they can easily convert to geothermal heating, should that become available.

This e-mail address is being protected from spambots. You need JavaScript enabled to view it