False Creek Flats, nestled in the vibrant East Vancouver neighbourhood, is being revitalized by the city and local developers with a sweeping vision to become more productive, sustainable and seamlessly connected to Vancouver’s downtown core.
In 2017, Emily Carr University arrived, rejuvenating this industrial location sparking the momentum for new construction. In 2018, 565 Great Northern Way, an office building housing major tenants such as Samsung and Blackbird Interactive, added to this transformation. With the arrival of two major builds to the False Creek Flats, more are on their way. Archetype, a mixed-use building featuring offices, industrial spaces, and rental apartments in 2025 and the future St. Paul’s hospital in 2027, all together mark a step forward in the area's rejuvenation.
These newly erected buildings are changing East Vancouver’s city skyline, and among them, 1308 Adanac - now known as Aristotle - is shaping the city. Located on the outskirts of False Creek Flats, near the intersection of Clark Drive and Adanac Street, Aristotle is a mixed-use office and light industrial build that is transforming capabilities and zoning options in the area.
As nodes in the city mature and population density increases, the City of Vancouver’s OCP has given the green light to nurture existing businesses with greater importance placed on fueling innovation and creativity, growing digital enterprises, providing more healthcare options, and promoting local restaurant and service sectors.
“1308 Adanac marked a flagship development for us at Union Allied," states Michael Chiang, Founder of Union Allied Capital Corp, a respected local BC developer and the visionary behind Aristotle. "It’s brought light industrial projects to the forefront of False Creek Flats during a much-needed time when vacancy rates are near zero." This recently completed development has been experiencing strong leasing activity and signals the office market's shift eastward from out of downtown Vancouver's central business district into the evolving needs and aspirations of tenants and employees.
Leading the charge: 1308 Adanac ignites change in the neighbourhood
As the COVID-19 pandemic has shifted the way we operate, the landscape of businesses and the people who use them has also changed. Where a simple corner unit in a dimly lit office may have once sufficed, occupiers and tenants are now demanding, at a minimum, robust amenities, incredible views, connection to transit and easy transportation, all the while also fostering a sense of connection with the community around them.
Aristotle sits at the forefront of this change in East Vancouver. This five-storey property recently sold at a price of $12.5M above the assessment value – a significant deal given it is one of the first buildings to come to market in this neighbourhood during a near zero, 2.2% industrial vacancy rate in Vancouver (CBRE Canada Q2 2023 Vancouver Industrial Report).
“The unique design of this building is at the forefront of demands that tenants are requiring from their landlords,” says Anthony Liang, Associate Director of CBRE’s National Investment Team (NIT). “With the consecutive rise of interest rates and high construction costs, the advantage of a fully built-out property is that tenants can move into a space that is ready to go. With the return to work becoming a predominant conversation for many organizations, businesses are shifting their concerns to their landlords. Owners and occupiers are looking for a particular set of requirements. In order to bring their employees back to the office, buildings must encapsulate many of their requirements, not just a few,” expresses Liang.
1308 Adanac, designed by Taylor Kurtz Architecture & Design, addresses these tenant requirements with ease. The building is spacious and naturally lit, with high ceilings and oversized double-pane windows, breaking the traditional industrial building concept. The property also features a large outdoor tenant patio/amenity space with panoramic views of Downtown Vancouver and the North Shore Mountains. These are in addition to bicycle storage lockers, end-of-trip facilities and secure underground parking.
“The surrounding community is an important aspect that purchasers review when considering a space,” states Chiang. “1308 Adanac is in an area with abundant amenities, including parks, community centres, retailers, restaurants and cafes. It’s perfect for those working here to be closely connected to everything”. Union Allied has been an early adopter of positive transformation of the city, contributing to the revitalization of the area and attracting more workers, fostering growth and development in the community.
The successful construction of this property comes from Union Allied’s dedication to creating the most innovative and functional real estate developments – providing exceptional value to their clients each and every time.
Behind the scenes: Introducing the team behind the successful transaction
Achieving a sale price of $37.5M is a testament to the strong market fundamentals in Vancouver and the brokers who facilitated this deal. The successful transaction was a result of Anthony Liang, Associate Director and Carter Kerzner, Senior Vice President from CBRE Canada’s NIT, who were able to pivot in the face of a changing market and source a qualified purchaser.
This team has earned its reputation as one of Western Canada's leading investment sales authorities, thanks to its outstanding transaction history and client advisory expertise. With decades of experience in various real estate sectors, they have consistently maintained a significant market share in Metro Vancouver's total investment market, reflecting their in-depth knowledge of the local commercial real estate landscape and a proven track record of completing major transactions. All of this is under the umbrella of CBRE, a global leader in commercial real estate services and investments.
With limited space still available in this modern, functional, and transformative mixed-use building, tenants interested in leasing opportunities should reach out to a CBRE representative at 604-662-3000.