Hastings-North
Commercial Area Profile The Hastings-North Business Improvement Area (BIA) encompasses the commercial and industrial area known as Hastings-Sunrise. Boundaries include both sides of East Hastings, from Commercial to Renfrew, and the industrial area bounded by Hastings, Commercial, Powell and Semlin (see Figure 1). It comprises 302 commercial businesses, 168 industrial businesses and approximately 4,600 employees.
Comprised primarily of industrial zoning (M-1 and M-2) and light industrial (I-1), with a mix of commercial (C-2C1, C-2C and CD-1) and special residential (RT-4), Hastings-North contains a vibrant mix of old and new developments. The M-1/M-2 industrial zoning is in transition to mixed-use, zoning
representing a development opportunity within the BIA. This report provides an overview of the Hastings-North commercial and industrial market, focusing primarily on zoning and development potential as well as business and employee mix.1 The Hastings-North Neighbourhood Market Profile focuses on key market information including population, household and spending statistics. 1. Unless otherwise stated, source of all statistics is City of Vancouver or Small Business BC. Fast Facts21 city blocks, 302 commercial businesses, 168 industrial businesses and 4,600 employees, with a catchment area of almost 42,000 residents Primarily M-2 zoning as well as C-2C, C-2C1 and M-1 Over $163 million in assessed commercial and industrial properties, representing 6% of commercial and industrial properties outside of downtown Vancouver Significant development potential as M-1/M-2 industrial zoning is transitions to commercial Commercial properties have a strong representation in eating and drinking establishments as well as food stores, health, personal and business services, particularly beauty salons, dentists, physicians and surgeons. Industrial properties have a strong representation in automotive repair and servicing, furniture and home furnishings and membership organizations, particularly labour organizations. Commercial area caters primarily to smaller storefront style businesses. 65% of all commercial businesses in the BIA have less than 5 employees. Industrial area caters to small businesses. 49% of industrial businesses in the BIA have less than 5 employees and 34% have 5-20 employees. Significant range of vehicle volume pass through the BIA – from 800 to upwards of 21,000 per day, depending on locations. Pedestrian volumes are in the range of 257 to 425 persons per day. Between 2000 and 2005, the number of commercial businesses in the BIA grew by 17.1%, below the Vancouver average of 20.2% but above the GVRD average of 13.5%. The number of industrial businesses grew by 12%.
Physical ProfileThe Hastings-North BIA is centrally located within the City of Vancouver, approximately 4 kilometres from City Hall and 3.5 kilometres from downtown.2 The 21-block BIA is situated along a major commuter corridor and is home to 302 commercial businesses and 168 industrial businesses. In addition, the BIA has one heritage site as well as seven additional heritage sites just outside of the BIA boundary. It is also within walking distance of several schools. 2. Source: City of Vancouver VanMap. Zoning MixHastings-North comprises over 56 acres of land, 1.7 million square feet of commercial area and almost 360,000 square feet of residential area. City of Vancouver records indicate that the BIA primarily consists of three types of zoning: M-2 industrial, C-2C1 commercial (emphasis on residential uses above grade) and C-2C commercial (similar to C-2C1, but with emphasis on pedestrian-oriented shopping). The BIA also contains 12% M-1 industrial zoning (similar to M-2 but with no permits for potentially dangerous or environmentally incompatible use), two I-2 light industrial parcels, and two custom-zoned parcels. The CD-1 parcel (comprehensive development) was created to allow the Atrium Inn hotel development. The RT-4 parcel was created to support development of two-family dwelling units that are compatible with the historical character of the area. These units are typically large older single-family dwellings that have been converted to multi-apartment rental units. 
Assessed ValueThe assessed value of Hastings-North properties ranks eighth highest among Vancouver BIAs. The total 2005 assessed value of all Hastings-North BIA commercial and industrial properties was $163,849,076. This represents 6% of the value of all Vancouver BIA properties outside of Downtown and contributes over $2.6 million in property taxes annually. Age and Quality of BuildingsMost commercial and industrial buildings in Hastings-North were constructed pre-1970, with 37% between 1946-1970 as illustrated in Figure 3a. However, 29% of those built pre-1946 were substantially upgraded, making their “effective” build year more recent, as Figure 3b illustrates. 
Lease and Vacancy RatesWith the exception of the main pedestrian area (Garden Street to Slocan) Hastings-North has a relatively high commercial vacancy rate. A January 2006 survey3 identified twenty-six properties, most with frontage along Hasting Street. Lease rates ranged from $25/sq. ft. square foot for retail, $9/sq. ft. (operating costs excluded) for office and $9/sq. ft. for industrial. Several properties (13) were vacant, under construction or development permit application. Three of these were industrial and the rest were for a mix of commercial/residential development. 3. BIA physical survey, January 2006 by National Land Consultants, Lucent Strategies and Girard Land Services. Development PotentialHastings-North is comprised of a mix of industrial, light industrial and commercial. In addition, the small stretch of M-1 and M-2 zoning along Hastings between Semlin and Commercial is in transition to commercial zoning, which provides increased opportunities for retail, office, and service commercial space in this area. IndustrialThe Hastings-North industrial area is unique in Vancouver. The industrial area in the western segment of the BIA was historically residential, and this is reflected in relatively small lot sizes that are ideal for smaller infill development, service commercial or business commercial activity. A number of these smaller lots are also being consolidated for larger developments, particularly along Pandora and Powell where specific industries are close to their clients. CommercialThe BIA’s vision and City of Vancouver zoning for the Hastings Street commercial area support medium-density development (less than 5 storeys). Continued growth in Vancouver’s commercial sector has increased the number of new mixed-use developments in Hastings-North. Approximately five 4-storey developments have been completed in the past several years, and two others are in progress. This re-development has been distributed throughout the BIA and represents significant and meaningful change. In addition, a number of older commercial buildings (pre-1970) remain ripe for this type of redevelopment. Investors may continue to be able to assemble enough contiguous smaller lots to effect more significant and dynamic retail/service commercial/office development complexes throughout the area. Commercial BusinessWith both commercial and industrial zoning, Hastings-North has a diversified business mix. The business mix for the commercial and industrial segments of the BIA is described separately below, beginning with commercial. Commercial Business TypesThe zoning mix and commercial building structure of the BIA primarily support small service and retail businesses. A total of 302 businesses operate in the commercial section of the BIA, with the majority (65%) being micro-sized – less than 5 employees. Major business types include eating and drinking establishments, food stores, and health/personal/business services as described in more detail below. As Figure 4 illustrates, the commercial section of Hastings-North has significantly more retail businesses than the Vancouver or GVRD averages. With representation from all major financial institutions, it also has slightly more finance, insurance and real estate businesses than average for Vancouver. Interestingly, however, it has fewer service businesses. This is confirmed in a 2002 survey conducted by the BIA.4 It also has significantly fewer than average wholesale businesses, which are primarily located in the industrial section of the BIA. 
Table 1a provides a breakdown of commercial business types for the Hastings-North BIA as compared with the city and the GVRD. 
Of the 41% service businesses, the most common are in health services (34%), personal services and business services (10%) as outlined in Table 1b. Of the 40% retail businesses, most are eating and drinking places, primarily restaurants (42%), and food stores including retail grocers, bakeries and butchers (24%). 
4. Hastings-North BIA: Baseline Assessment, Working Together Enterprises/Planet Consulting Group, August 2002, p 29. Commercial Business SizeCommercial businesses in Hastings-North are primarily comprised of smaller-sized businesses with less than  five employees. Fully 65% of businesses fall into this category. A further 31% of businesses have 5-20 employees as Figure 6a illustrates. A few larger businesses exist, including: Businesses with 100-249 employees: Businesses with 50-99 employees: 
Age of Commercial BusinessReflecting Hastings-North’s long history as a commercial and residential area in Vancouver, and the number of long-standing businesses in the area, many Hastings-North commercial businesses (22%) have been operating for over 15 years. By comparison, fully 37% of commercial businesses in this area have been around less than five years. Figure 6 provides more detail on the distribution of business ages. This combination of old and new provides a solid foundation of long standing businesses as well as an attractive freshness that is one of the keys to keeping customers interest and loyalty. 
Anchor Tenants and Dominant BusinessesAnchor tenants in Hastings-North include London Drugs, Value Village, the BC Liquor Store and the Holiday Inn. This combination of different types of anchors across the BIA helps ensure a strong, regular market draw. As previously discussed, finance, insurance and real estate is a dominant business sector in the commercial section of Hastings-North. The BIA also has a strong base of food businesses, including restaurants as well as food stores, particularly specialty food stores and health related businesses. As for individual business types, there are a significant number of beauty salons (13) dentists (10) physicians and surgeons (10) and optometrists (6). Change in Commercial Business MixBetween 2000 and 2005, the number of commercial businesses in Hastings-North grew by 17.1%, below the Vancouver average of 20.2% but above the GVRD average of 13.5%. Growth was highest among the following sectors: public administration – 2 businesses (200% increase) finance, insurance and real estate – 13 businesses (87% increase) wholesale – 3 businesses (60% increase) manufacturing – 2 businesses (40% increase)
The construction and transportation/communications/utilities sectors declined in this time period, reducing by 33% and 17% respectively. Both of these sectors declined by significantly more than the averages for Vancouver or the GVRD where these sectors increased. Figure 7 provides a breakdown of the top 10 fastest growing Hastings-North commercial sub-industries, as defined by Statistics Canada. The fastest growing sub-industries in the BIA were eating and drinking places and health services (both by 8 businesses) followed by food stores and miscellaneous retail (both by 6 businesses) and depository institutions and business services (both by 5 businesses). 
Industrial BusinessIndustrial Business TypesThe zoning mix and industrial building structure of Hastings-North primarily support micro- and small-sized businesses. A total of 168 industrial businesses operate in the BIA, with 49% being micro-sized (less than 5 employees) and 34% being small sized (5-20 employees). Automotive repair, service and parking are the major business types in this area. Despite the area’s industrial history, eating and drinking establishments and membership organizations are also strongly represented in the Hastings-North industrial area. This is in part due to changes in the “industrial let go” rezoned area along East Hastings between Semlin and Commercial. There is also strong representation in automotive and furniture and home furnishing stores as described in more detail below. Reflecting its industrial zoning, the industrial segment of Hastings-North has significantly more wholesale and manufacturing businesses and significantly fewer service businesses than averages for Vancouver and the GVRD, as outlined in Figure 8. 
Table 2a provides a detailed breakdown of business types for the Hastings-North industrial area as compared with the city and the GVRD. Of the manufacturing businesses, a significant number (8 of 23 businesses) are clothing manufacturers. Of the 28 wholesale businesses, nine are food wholesalers. 
Table 2b provides a detailed breakdown of service and retail businesses in the industrial segment of the BIA. Of the 33% service businesses, the most common are in automotive repair, services and parking (39%), membership organizations (20%) and business services (13%). Of the 28% retail businesses, most are eating and drinking places – primarily restaurants (28%), automotive and furniture and home furnishings (both 15%), apparel and accessory stores (13%) and food stores (11%). As for individual business types, there are also a significant number of automobile repair shops (20) restaurants (10) & labour organizations (6). 
Industrial Business SizeReflecting its primarily small industrial lot sizes, the Hastings-North BIA is comprised mainly of smaller sized industrial businesses with less than five employees (49%) and 5-20 employees (34%) as Figure 9 illustrates. A few larger businesses exist, including: Businesses with 250-499 employees: - Hallmark Poultry Processors
Businesses with 100-249 employees: - ALS Environmental (Engineering & Management Services)
Businesses with 50-99 employees: Evergreen International Foods (Food & Kindred Products) Sung Fish Co Ltd (Food & Kindred Products) Vortek Industries Ltd (Wholesaler of Durable Goods) Classic Limousine Service
Age of Industrial BusinessesReflecting Hastings-North’s long history as an industrial area in Vancouver, many Hastings-North industrial businesses (21%) have been operating for over 15 years. 17% have been in operation for only 1-2 years and fully 34% of industrial businesses in this area have been around less than 5 years. Figure 10 provides more detail on the distribution of business ages. 
Dominant Industrial BusinessesAs previously discussed, wholesale and manufacturing are dominant business sectors in the industrial section of Hastings-North. The BIA also has two other major industrial business clusters including: Change in Industrial Business MixBetween 2000 and 2005, the number of businesses in the industrial segment of the Hastings-North BIA grew by 12.0%. Growth was highest among the following sectors: finance, insurance and real estate – 1 business (100% increase) transportation, communications, utilities – 2 businesses (40%
increase) manufacturing – 6 businesses (35% increase) service – 14 businesses (33% increase)
The construction and wholesale sectors declined in this time period, reducing by 33% and 13% respectively. Both of these sectors declined by significantly more than average for Vancouver or the GVRD. In terms of industrial sub-industries, the fastest growing in the BIA were apparel and other textile products (6 businesses) followed by automotive repair, services and parking (5 businesses) and membership organizations (4 businesses). Figure 11 provides a breakdown of the top 10 fastest growing Hastings-North industrial sub-industries, as defined by Statistics Canada. 
Demand PotentialHastings-North demand potential comes from three primary sources: residents in the area, BIA employees and other employees in the surrounding area. In addition, businesses in the BIA are exposed to thousands of daily commuters traveling by bus, bike and car. Each of these potential customer groups is discussed below. Residential BaseJust under 42,000 residents live within the BIA’s primary catchment area (V5K and V5L area codes), and provide the primary market base for businesses. The Hastings-North residential base is a vibrant community of young adults, single-parent working families and common-law couples. A multicultural centre, the area is comprised of more residents with Chinese, Italian and aboriginal heritage than average for Vancouver. Chinese is the dominant household language for area residents; however, Italian is also a dominant language. Household sizes in this area are higher than the city average but lower than the GVRD average. There are more apartments than single-family homes in the area than the Vancouver or the GVRD averages and as a result there tends to be more renters. Reflecting their younger age and lower education levels, Hastings-North residents have lower household incomes than the Vancouver or GVRD average. However, as there are more younger adults and common-law couples in the area, there is strong capacity for increased disposable income in the future. The Hastings-North Neighbourhood Market Profile provides more detail about this important market segment. Employee BaseJust over 4,600 people are employed within the BIA itself, an increase of 13% in the past five years. Surrounding businesses outside of the BIA employ more than 11,900 workers,5 providing a combined potential daytime market base for businesses of almost 16,600. 5. Source: InfoCanada via Small Business BC. Catchment area is defined as: Clark to Venables to Windemere to Waterfront (determined in conjunction with Small Business BC). Pedestrian and Vehicle TrafficSeveral major transportation corridors in Vancouver cross through the Hastings-North BIA, including Hastings, Commercial, Powell and Renfrew, providing exposure to thousands of daily commuters. As Figure 12 indicates, major intersections along Hastings see tens of thousands of vehicles per day (yellow areas on the map), while adjacent blocks that are not on major commuting routes see in the range of 800 to 18,400 vehicles. With frequent bus service and a community parking lot just off Hastings providing additional parking, businesses in Hastings-North have significant potential to tap into the high traffic volumes on major routes and capture “through traffic” as customers. The City of Vancouver also conducts pedestrian counts for approximately 250 blocks in the city, with the majority being in the downtown area. The most current pedestrian information available is for 2002. The representative location selected by the City for Hastings-North is the 2000 block of East Hastings. However, fieldwork conducted by the BIA indicates the largest pedestrian volumes are found in the 2300-2500 block of East Hastings. The 2000 East Hastings block sees in the range of 250 (north side) to 425 (south side) pedestrians per day. The City ranks this combination of pedestrian activity to sidewalk size as a level of service ‘A’, which represents a relatively low pedestrian throughput. The dominant hour for pedestrian traffic is 12-1 p.m. on the north side and 3-4 p.m. on the south side. The location ranks 492nd (north side) and 484th (south side) of the 501 block locations ranked in the 2002 survey. By comparison, the busiest block in the City (north side of Robson at Burrard) sees 29,182 pedestrians per day, with a level of service ‘D’ (significantly more crowded). Since June 2002 was the first time Hastings-North was surveyed, trend analysis is not currently available. 
Business OpportunitiesA market assessment study6 conducted in August 2002 indicated that the merchandise mix within Hastings-North is strong. The study noted that the area has only a few large anchor tenants and lacks a supermarket. Several smaller grocery stores have expanded their operations in attempt to provide these services. The study also identified ample demand for more fresh food retailers, coffee shops and licensed restaurants, another garden store, as well as more specialty retail businesses to add to the local distinctiveness. 6. Hastings-North BIA Market Assessment and Land Use Strategy for East Hastings Street, Vancouver, B.C., Royal LePage Advisors Inc., August 2002. Conclusions Hastings Street is a Vancouver icon with
a vibrant and diverse business mix. Its position as a key transportation corridor provides a high potential for drive-by business. This, combined with Hastings-North’s loyal and growing residential customer base, provides high potential for business success. The industrial segment of the BIA is ideally suited for smaller infill development, service commercial or business commercial in nature. The commercial segment of the BIA is ideally suited toward smaller retail and service businesses. As outlined above, several opportunities for specific types of
these businesses exist. | 
