A new development is going up across from Gyro Beach in Kelowna.
The building will house retail space as well as 103 residential rental units.
“Our investment theses is to hold our assets for the long term,” Greg Appelt, CEO or RISE Developments said. “Apartments are more aligned with that. Plus, being across the beach in the best tourist town in the country, we don’t want to sell that.”
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Appelt said along with long term rentals, some units will be available to students during the school year, then rented out as vacation rentals during the summer.
Okanagan College students are hopefull that the units will ease the lack of student housing available right now.
“We’re hopeful that the pricing scheme, with vacation rentals in the summer and students in the winter, there might be a discount for student rental,” Jennifer Meyers with the Okanagan College Student’s Union said.
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But new B.C. government legislation that stops fixed-term-leases can make this kind of arrangement difficult.
“It’s difficult to do because you can’t guarantee your fall renter, a student, will leave,” Jerry Redman with REMAX Kelowna said. “If a unit makes a lot of money with nightly rentals in the summer, it might make more sense to only do vacation rentals in the winter, too. I think it’s going to take away from student housing.
Appelt said the first phase of units will be online in the fall of 2019.