Richmond welcomes Microsoft Canada Development Centre
Microsoft's software development centre is located at Crestwood Corporate Centre in Richmond BC. The Microsoft Canada Development Centre will focus on software development and will eventually employ 700 highly-skilled and well-paid workers from around the world. The centre consisting of two buildings totalling 80,000 square feet in the Crestwood Corporate Centre.
Crestwood Business Park
The Crestwood Business Park is acknowledged as one of the leading business parks in the Greater Vancouver area. Richmond is already home to some of Canada's leading international technology firms including MDA, Sierra Wireless, Sage Software, Ventyx and McKeeson Medical Imaging. The addition of Microsoft will ensure Richmond continues to develop as a nexus for technology industries in Western Canada and the Pacific Northwest.
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Why Richmond?
The main reason for Microsoft establishing its Software Development Centre in Richmond is as a result of a cap on working visas for the skilled workers required by Microsoft. The Microsoft jobs are in computer software development, requiring the specialized skills of designers and programmers that are in high demand around the globe. Read here for a write up on why Microsoft chosed to locate its Canada Research Centre in Richmond B.C.
In addition to location and access to global markets, Microsoft cited quality of life for its employees as an important consideration in its selection of Richmond. A modern city with a full array of recreational, cultural and commercial amenities, Richmond was recently named as "Canada's Healthiest City" by Canadian Living magazine and is one of Canada's most culturally diverse cities.
Real Estate Values and Microsoft
The presence of Microsoft's employees in Richmond has a direct effect on the real estate values in Richmond. The additional demand from Microsoft's employees and their families for housing will boost rental rates. For those who want to own instead of rent, they will add to the pool of home buyers for Richmond.
Some Microsoft employees may apply to become permanent residents in Canada. These skilled workers will add to the skilled immigrants Canada is trying to attract under it's present immigration policy guidelines.
Rental Rates Heading Higher
The rental rates for new condos in Richmond jumped substantially by 30% to 50% from 2 years ago. It was reported that relocation companies involved with finding accommodations for Microsoft's employees were reported to be offering up to $1,500 a month for a 1 bedroom new condo. The higher rental rates are partly the result of the doubling in real estate prices over the past 6 years.
The planned developments and densification of Richmond City Centre in conjunction with the Canada Line Skytrain system connecting Richmond to Vancouver City is an important factor contributing to the strong new Condos market in Richmond.
New Condo Prices Are Holding
In spite of the slower real estate market in Richmond over the past 4 months, higher rental rates are helping to support new condo prices at the $450 to $550 per sq ft level. Currently, investors are able to rent out their new 1 bedroom condos at $1,300 to $1,500 and $1,600 to $1,800 for their 2 bedroom condos. These rental rates are sufficient in helping new condos holding to their prices.
The effect of the financial market meltdown in the US in recent weeks will definitely dampen the real estate market in British Columbia. The extend of the US down turn and stock market decline may only be known on a much later date.
If you like to have more information on buying a home in Richmond, you can contact James Wong 604-721-4817 or email me.
