Reasonable & Fair

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Eye on Norquay appreciates the comment that has circulated so far around the development application for 4730 Duchess.

The business/profit side of development too often remains the preserve of would-be profiteers and elements at City Hall who refuse to set much limit to maximum exploitation. That kind of information tends to never see the light of day, nor to be provided as a factor in transparent application assessment. Vancouver residents usually get handed over blindfolded as fresh meat for the wolves of development.

A friend of Norquay has provided a “pro forma” for 4730 Duchess and said to make use of it freely. A pro forma sketches the financials and shows what a developer needs to be allowed to make a reasonable profit. An image of the pro forma spreadsheet itself is included at the end of this posting.

The only detail that receives elaboration in this explanatory paragraph is that the developer should be able to make a 20% profit at an FSR of 0.95. That is a conservative estimate. To permit FSR beyond 0.95 would wreck the neighborhood, only serving to stuff unwarranted extra return into the pockets of the developer. The developer looks for 1.2, which would amount to an additional 25% of FSR and perhaps an additional 25% of profit.

How much influence could you peddle if you were allowed to double your profits with no public accountability?

 
4730proforma
 

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Written by eyeonnorquay

11 February 2014 at 12:08 pm

Posted in Events, Guest, News

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