BC Business
Greater Victoria—the centre of the Capital Regional District at the southern tip of Vancouver Island—once held to a simple but stable diet of tourism and government. Rich with students, retirees and starter-home families, the city had a reputation for offering little in the way of mid-career growth outside the civil...
Greater Victoria—the centre of the Capital Regional District at the southern tip of Vancouver Island—once held to a simple but stable diet of tourism and government. Rich with students, retirees and starter-home families, the city had a reputation for offering little in the way of mid-career growth outside the civil service. But the past decade has brought a new wave of technology, shipbuilding and aerospace investment, and the spendy, job-creating 30-something cohort is giving Victoria a second look—bringing with it a refreshed business culture.
The once-shrinking 30-to-39 demographic has grown 12 percent over the past 10 years, according to BC Stats; in 2016 a “Victoria 2.0” panel pinned some of that change on Silicon Valley types leaving their 20s and looking to escape the high-stress lifestyle. The provincial capital’s high-tech sector now posts annual revenue of about $4 billion, the Victoria Innovation, Advanced Technology and Entrepreneurship Council (VIATEC) reports, a 400-percent increase since 2004. The city has produced at least 20 gaming studios, plus newer heavyweights like literary marketplace Abebooks Inc., smart-home device maker Reliable Controls and environmental monitoring systems developer Axys Technologies Inc. Many more entrepreneurs are working on their own shot at becoming a global name: at almost 13 percent, Victoria has the highest concentration of self-employed people among Canada’s metropolitan areas.
In 2016 the region took charge of this shift by forming the South Island Prosperity Project (SIPP), a first-of-its-kind economic development agency that unites the CRD’s 13 municipalities, the Songhees and Tsawout First Nations, the harbour authority, local universities and real estate and tourism boards, plus several non-governmental organizations and private businesses. SIPP acts as a business concierge; offers resources to companies looking to expand or move to Victoria; and seeks out private and government investment.
The CRD has the country’s mildest weather, some of its highest per capita spending on sports and recreation, and enough cobblestone afternoon-tea charm to make you drop your monocle. But all of this comes with some sticker shock: since 2005, the cost of buying a home has roughly doubled. The window may be closing on making a cheap launch—but for apartment-dwelling entrepreneurs willing to live a little smaller or 24/7 tech stars who want to relax, Victoria is open for business.
PEOPLEPopulation: 373,800Household age (0-45, 45-64, 64+): 35%, 37%, 28% University grads: 31%Average household income: $97,343Average household income under 45: $84,810Five-year income growth, 2012-17: 16.1%Five-year population growth: 5%
HOUSINGAverage detached home price: $831,900Average condominium price: $495,718Average monthly rent for a two-bedroom: $1,544Average annual household spending on shelter: $23,414
WORKKey industries: Science and technology; hospitality and tourism; government services; education; health care; navy and defence; shipbuilding and marine research; aerospaceNotable employers: Axys Technologies; Babcock Canada Inc.; British Columbia Ferry Services Inc.; Government of British Columbia; HP Advanced Solutions; Nicholson Manufacturing Ltd.; Ralmax Group of Companies; Schneider Electric SE; Scott Plastics Ltd.; Seaspan ULC; Thrifty Foods; Viking Air Ltd.Regional unemployment: 5.8% (February)
BUSINESSTotal value of building permits issued in 2017: $1,386,508,699Change from 2016: 30.9%Average processing time for a building permit: Varies by municipalityCost of a business licence: Typically $100Business property tax rate: $12.46 per $1,000 of assessed value (Victoria)Average office lease rate per sq. ft./year: $25.50Average retail lease rate: $24-$38
QUALITY OF LIFEMajor post-secondary institutions: Camosun College; Royal Roads University; University of Victoria (UVic)Major recreational amenities: Many regional and provincial parks; Pacific Institute for Sports Excellence; Commonwealth Place pool; at least 10 recreation facilities, plus many more community centres; more than 20 golf courses Key annual events: Victoria Film Festival; Victoria Beer Week; Victoria Flower Count; Capital City Comic Con; CarFree Day; Victoria International Jazz Festival; Canada Day celebration; TD Art Gallery Paint In; Rock the Shores; Dragon Boat Festival; Victoria Symphony Splash; RifflandiaAverage annual household spending on recreation: $5,511Residents who walk or bike to work: 9%