With average home prices rising at a steady pace since 2013, an increasing amount of development, a growing population and a generally low cost of living, the city of Winnipeg is quickly emerging as one of the best places in Canada to do business, according to local economists.
Average home prices in the city have risen approximately 5 percent within the last year, accompanied by a recent flurry in sales. In the final quarter of 2013, new housing developments in the city rose by 15.7 percent, according to data released by Statistics Canada. Local economists have stated that these trends are serving to balance out a market that, until now, had a slightly less-than-ideal level housing demand. Although demand may have been considered somewhat low recently, the Winnipeg market has consistently stood out for having one of the best balances between supply and demand in all of Canada.
In 2012, professional services company KPMG named Winnipeg one of the least expensive cities in which to do business in Canada. While it was outranked by some smaller cities, Winnipeg did surpass Toronto, Edmonton and Vancouver in affordability. The city currently has the lowest electricity cost of any of KPMG's surveyed cities, as well as admirably moderate wage levels. The study also found that Winnipeg's businesses stood out most in terms of research and development.
Many factors have helped contribute to Winnipeg's status as a great place to do business. The city has undergone several substantial changes in infrastructure in recent years, including the addition of a new airport terminal, new football stadium at the University of Manitoba, major hospital expansion and the addition of the much-touted Canadian Museum for Human Rights. The city's rising population has also been prompted, in part, by its burgeoning entertainment offerings — its growing restaurant scene, multicultural communities and flourishing arts scene are just a few examples.
All of these attractions have led to an increase in interest in developed resale properties, in addition to high-end new developments. The city is seeing a growing number of higher-end family homes located within the riverside residential districts south of the city center, while more condominiums are being built along some of the main streets downtown. In addition, as more and more professionals, entrepreneurs and executives migrate to Manitoba's capital city, the demand for detached family homes costing upwards of $500,000 has increased accordingly.