Commercial-Broadway Station retail buildings sold for $36 million

Aug 16 2018, 4:23 am

The small cluster of red brick-cladded retail buildings on the northeast corner of the intersection of East Broadway and Commercial Drive – right next to Commercial-Broadway Station – were recently sold for $36 million.

Both retail buildings, known as The Hub, at 2460 Commercial Drive were listed for sale by commercial real estate firm Avison Young last year for their redevelopment potential.

The Hub was completed in 2002, coinciding with the opening of the Millennium Line.

2460 Commercial Drive

The Hub retail property at 2460 Commercial Drive, right next to SkyTrain’s Commercial-Broadway Station. (Avison Young)

According to BC Assessment, there was a transaction on the property in May 2018 amounting to nearly $21 million more than its latest assessed value. The identity of the buyer was not disclosed.

The two-storey West building closest to the intersection contains businesses such as A&W, Blenz Coffee, Megabite Pizza, Booster Juice, and Buddha’s Chinese Restaurant. Some offices are located on the second storey.

The East building, a one-storey triangular structure, is located on the other side of the station’s concourse area and contains Shoppers Drug Mart.

Altogether, the existing buildings occupy about 29,400 sq. ft. of land and have a gross leasable area of close to 20,000 sq. ft.

2460 Commercial Drive Vancouver

The Hub retail buildings at 2460 Commercial Drive, right next to SkyTrain’s Commercial-Broadway Station. (Google Maps Streetview)

2460 Commercial Drive Vancouver

The Hub retail buildings at 2460 Commercial Drive, right next to SkyTrain’s Commercial-Broadway Station. (Google Maps Streetview)

Under the municipal government’s 2016-approved Grandview Woodland Community Plan (GWCP), the property can be redeveloped with buildings reaching up to 10 storeys in height. Permitted uses forbid residential; the GWCP only permits ground-floor retail and restaurants and office space within the levels above.

Despite the relatively limited development potential, the property is still highly valuable considering its adjacency to the region’s busiest transit hub, which sees 90,000 train trips per day and 60,000 bus trips per day.

Artistic rendering of the new fourth platform, and the new second overpass over Broadway and the Shoppers Drug Mart building. (TransLink)

There is also added value from TransLink’s $60-million station upgrade consisting of a new fourth platform serving the Expo Line’s inbound train direction into downtown Vancouver, a second pedestrian overpass across Broadway, a widened pedestrian overpass over the Grandview Cut, and additional elevators, escalators, and stairs. This project will reach completion this fall.

Other major changes will be made to the immediate area from redevelopments such as the Safeway project, which could have four residential towers reaching up to 24 storeys in height and retail uses on the lower floors including a new Safeway store.

The proponents of the Safeway redevelopment also want to build a plaza over the Grandview Cut – between The Hub and Grandview Highway – immediately north of the building.

Artistic rendering of the proposed Safeway development at Commercial-Broadway Station looking north. (Bing Thom Architects / Westbank Projects / Crombie REIT)

Artistic rendering of the grand public staircase from the Safeway development to East 10th Avenue. (Bing Thom Architects / Westbank Projects / Crombie REIT)

Artistic rendering of the grand public staircase from the Safeway development to East 10th Avenue. (Bing Thom Architects / Westbank Projects / Crombie REIT)

Artistic rendering of the grand public staircase from the Safeway development to East 10th Avenue. (Bing Thom Architects / Westbank Projects / Crombie REIT)

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