The overall value of Banff Housing Corporation properties has remained relatively flat for the second year in a row.
The assessed value of the entire portfolio increased 0.8 per cent to $105,488,300 in 2014 from $104,668,450 in 2013. The total assessed value for all Town of Banff residential properties for 2014 was $1,225,788,060, a 1.7 per cent increase from the previous year.
The BHC’s equity share portfolio increased to $95,452,870 from $94,733,440 and assessed value of the price-restricted portfolio increased to $10,035,430 from $9,995,010, an increase of 0.8 per cent.
Dougal Forteath, BHC’s chief administrative officer, said it is important to note that these are residential assessed values for tax purposes.
“(They) are not necessarily an accurate reflection of the current market values for the properties as a market value tends to be higher than assessed values on a year over year basis,” he said.
For 2014, the average assessed value of equity share properties was $592,875, while the median assessed value was $592,660. For price-restricted properties, the average assessed value was $456,156 and the median assessed value was $533,000. Price restricted properties are assessed at their market value, not at their price restricted amount.
The BHC’s goal is to provide homes within the community of Banff that are affordable for residents. It has developed seven housing developments for a total of 173 units and 45 suites, and purchased an additional 10 units at Peyto Place.
Under the equity-share model, housing has been sold at 66-86 per cent of current market value. With the exception of Middle Springs 2G and Peyto Place, BHC has implemented a unique sublease agreement whereby the homeowner pays the total cost of construction and land, as well as operating costs related to the development of the property, and BHC acquires the equity difference between the homeowners’ costs and appraised market value of the unit.
Middle Springs 2G and Peyto Place were sold at 80 per cent of fair market value and the future resale of these properties was tied to a price restriction of two per cent per year, compounded annually.
