FOLLOW-UP: Mayor Gregor Robertson…Millenium’s Sweetheart? The STIR Scandals
Or is Millenium Development his (one of many) sweethearts?
Unfair question?
You be the judge.
After my blockbuster story from last week on the STIR projects in the West End by Millenium and Westbank, (other than the usual cowards sending me threatening emails from anonymous proxy servers that I’ll get sued etc…yawn) it set the blogosphere and mainstream press on fire.
No less than ELEVEN STIR stories in the local press following up on the Mayor’s meltdown, but also going into greater detail on the West End STIR projects in particular.
So, if the Sun’s Jeff Lee gets it, and miracle of miracles, the Courier’s Allen Garr returns to the kind of perspective that made him a household name –even if it’s for what I expect might be the rare objective column (Lee and Garr wrote the best summations of the swirling Robertson-created controversy while Frances Bula was busily crafting excuses), then what stops me from revisiting the matter to give you a closer look at what I was defuzzifying for you last week?
So…after I went back to the City of Vancouver’s website and re-read the STIR page, I then called a couple of old friends, who are still very heavily involved (and very heavily invested) in Vancouver’s real estate market, for a little more perspective. One is aching to get out from having to donate to Vision “You know the drill, Alex, it’s how these f@#kin’ guys operate.” And the other is happy to maintain the status quo, “unless Meggs gets his wish and knocks down those viaducts…then they’ll get nothing from me and a lot of the other guys, I’ll guarantee you that. We’ll all work for them (Vision) to lose the next election. But where the hell are the NPA? No way I’d vote for Suzanne for Mayor.”
Point taken.
But one of their comments on the STIR program was telling. “Hey, you nailed it. Jim Green. And let me tell ya, Al, you’re about the only guy I know who wouldn’t back down from that guy. It’s the worst kept secret in town, if you want something really special done, you gotta go through him.”
Interesting…Jim Green happens to be a real estate consultant for Millenium (1215 Bidwell) , has done so for Westbank (1401 Comox), famously at the Woodwards Building and is pals with both Greg Henriquez, who is the architect for both West End STIR projects and friends with Bob Rennie, who is also marketer for both developments.
But it’s where 1215 Bidwell is concerned that the details of project’s genesis make me wonder just who at City Hall was making the decisions for the project to proceed and what on earth they were thinking…
Just after STIR came to pass in about June of last year, Millenium Development, who have owned 1215 Bidwell for some time (and were aching for a tower development to no avail previously) were attempting to seek some special dispensation from the city.
It turns out that they asked the city for a bonus to build the rental units as part of the total project. More specifically, they sought and (incredibly) received an exclusion of the total square footage of all the rental units. In other words, the STIR component was exempt from from being calculated in with the total square footage of the proposed building.
That STIR footage amounts to a sizable 27,000 square feet.
But, not quite yet satisfied, Millenium went back to their compliant friends at City Hall a short time later and (please be seated and have oxygen at the ready) asked an ADDITIONAL bonus of 20,000 square feet, but this time, of actual market condo space.
…AND THEY RECEIVED IT!
Yes, astonishingly an additional 20,000 square feet of condo space was exempted from the total allowable square footage of the building–meaning, that a monstrous 47,000 square feet was bonused to Millenium for the “sacrifice” of putting up STIR space.
The STIR condo space exemption alone I estimate at worth being about $130/sq ft. So let’s do the math in reverse, to make it easier for you to see how I arrived at the final number. Assuming construction costs at $220/ft and soft costs at 20% give or take, the value of the STIR condo exemption (at $130 per foot net) was worth approximately $3,500,000 to Millenium.
If you use the same standard for the straight market condo space, that amounts to that savings being worth $2,600,000 to Millenium.
Sweetheart deal?
You be the judge.
But this whole affair doesn’t just call into to question Vision’s actions. What the hell was Mike Flanigan, Director of Real Estate Services with the City of Vancouver doing about any of this? He seemed to, at least once, have a pretty good handle on what Millenium should be responsible for when putting up a building.
But Vision weren’t the ruling party then, were they…
Now, is it a surprise at all, then, that at 1401 Comox, the density is FIVE times outside the FSR (floor space ratio)? I’ll have a closer look and get back to you how that’s happened as well. My concerns aren’t so much with the towers being built in the discretionary height envelope, as much as I’d like someone from the city or any of the players to explain just how someone gets massive density changes in a program that is supposed to be for the altruistic developer looking for less profit and more community benefit.
If STIR was truly a program designed for a developer to come along, and in concert with the city, work to establish market rental housing as part of each respective buildings’ permanent inventory, no problem. And that sounds alot like what the Mayor and Clr. Meggs want people to believe is happening–but it’s most certainly not.
Not when you dig deeper. This whole STIR program was ill-conceived from the beginning. And as has been the case with the way Vision has arrogantly run the city from the time they took office–no consultation on anything, unless they can control the room and eliminate criticism. They did the same thing with the bike lanes, bike infrastructure, shelters, chicken coops and vegetable gardens.
And then Vision wonder how any level-headed individual wouldn’t look at this and call it scandalous? And why aren’t the developers and contractors involved in these STRI projects not demanding transparency from Vision Vancouver? Why are they not adamant that the Mayor come out from under his desk and tell the truth? How ’bout explaining Jim Green’s role? It’s their company names that will surely get dragged through the mud as a result of a lack of public transparency and FULL consultation.
But, hey, that’s a helluva a record of responsible government by Vision Vancouver, eh?
All in half a term.
Imagine what they’ll do to you and your family if they’re re-elected…..
As a resident of the West End that is totally opposed to both projects I thank you so much for being so honest. Thank you for this analysis because no one else in the media are covering this. As an openly gay man I also thank you for your kind words about the gay community in the past. I read your blog on a regular basis and find myself agreeing more and more.
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You are very, very welcome. I’m delighted you enjoyed my post. Pls come again. And I wish you very well in your life.
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This is simply the best analysis of the problem by any member of the media. It’s easy to understand and you lay it out without pulling the developers into the mud with Vision, although I suspect they are silent for a reason.
Why did you ever leave real estate Alex? You have a sharp eye for detail. I hear that you and your family did very well. Are you still doing any?
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Thank you for your kind words. I let the real estate business because, frankly I’d had enough. I could see the direction it was headed and I just wanted to hold whatever I had (have) and be happy. The 16 hours days and lunch and dinner at Gotham and il Giardino was getting ridiculous. How much do you need to be happy? Well, I was terribly unhappy. I now do something I love and have a passion for. That also has me spending more time with my family–there is nothing more important to me than that.
Thx again for your compliment. I appreciate it very much. Long time since I’ve heard from you although I notice your office mates are on here daily, pls drop by as often as you’d like. I wish you well.
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What I don’t quite understand:
(with exception to their constant blaming of the NPA and Judy Rogers)
….is that a developer who Gregor and company, publicly assailed to get elected,
….then assailed publicly again when Vision ran to the premier to amend the Vancouver Charter so they could borrow the funds needed to (semi) take over the project,
……then publicly assailed yet again through-out the process and anytime anything at all went wrong,
now all of a sudden is Gregor and Meggs best buddy and the benefactor of unprecedented benefits on a couple of projects???
I would go beyond the donations Millennium and the Malek’s gave Vision, I would be curious to know what/if they “have” on Gregor and company to be back in their “great” (not just good) graces.
If it smells like a chicken, clucks like a chicken, and shits like a chicken, well you know……
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Great questions for the likes of Lee/Bula/Garr etc to ask Mayor Moonbeam…
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Wonderful investigative work. This is not the end of the line for this story.
Keep diggin’!
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Thank you my friend. Will do.
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Hi Alex, the loss of the real estate community, was the public’s gain of an excellent investigative reporter and pursuer of the truth. The stink of what you constantly uncover needs to be exposed. Thanks.
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Very kind Pedro.
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Millennium are Gordie Campbell’s “former” employers, are they not? How cozy the world is.
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I’m not so sure. Good question. As far as I know Gordon worked for Marathon.
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Now I have never been part of the monied classes and therefore what you speak of is all very confusing. That said, we have all known there is a certain amount of chicanery in these large real estate investments, and that politics is an essential ingredient on how much, and who, makes the money.. And money is made and that is a necessity; but fairness and the amount of money made by whom must come into it..
However, Alex, you are very familiar, some might say intimate with all these goings-on and the actors therein. We believe what you tell us because you are in the know, and this could put you at some risk, financially, socially, or even physically. Some would say that you are either very stupid or conversely, very brave. I think most here and most everywhere, would choose the latter.
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I’ve been warned as recently as yesterday. But they have a pretty good idea of what they’d get in return.
So let them come…then they’ll know EXACTLY why they shouldn’t have…
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The Thought of The Evening
“Robertson and Millenium. Campbell and Marathon. Men in snickers. Running away from…their own lies.”
http://www.youtube.com/watch?v=OK26KtN99R4
Campbell must have seen this flick. Robertson tried to, but the projector broke. Expected though, Cortes Hollyhock Empowering Centre, eh!
I’ll go back a few years. July 2004. Location, inside the real frame of the Woodwards building, presentation room on Hasting street. Time, Late afternoon. Why? UDP meeting, technical review of the W competition. You know the results. If I only knew at the time that the only interest Jim Green had, when he was all over the layouts proposed by Westbank, and basically breathing down Gregory’s Henriquez neck was to actually view… his future walk-up, By Jupiter, I’m only human.
IMO Millenium should have won, I said it like so during the meeting and I offered my ‘condolences’ to Stu Lyon and to Shahram Malek. Well, they recovered fast with the Olly Village plus the Gregor/ Penny/ Vision/ Vancouver taxpayers Bailout, not that they are in a better situation right now, though.
The problem I see now is that both, Westbank and Millenium are one way or another providing Free Testicular massage to Vision, be it by choice, by force or by association.
Where does this leaves Concert Properties? Doesn’t matter, David Podmore is a happy Amish raising a roof for those multi millionaires from BC Lions.
Hey, Alex you know what? The truth is, if those people that are shepherding NPA into oblivion, would wake up right now, eat healthy, and do some tunning cross-training, nourish a few pairs of reliable Cohones, maybe, just maybe they could qualify for a massage. First hour, Free. So I’ve heard.
I’ll provide the snickers and a showing of the Marathon Man. To see how it is done.
We live in Vancouver and this keeps us busy.
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“As far as I know Gordon worked for Marathon.”
Oh, yes of course, I stand corrected. I really mustn’t post so late at night.
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Not to worry. I’ve been around a long time. Most people would never remember Marathon Realty.
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