The 8th Annual AptCon:
The Blueprint for Rental Apartment Development Across Canada
In-Depth, Data Driven, Actionable Advice.
The day and a half event, being held May 27 & 28, 2019, is the blueprint for rental apartment development in Canada. We are going back to our roots in order to make an event that will tackle the real issues that rental apartment developers face.
Over the course of two days, North America’s foremost experts in the rental apartment, mixed-use, and student housing industry will address critical and timely issues that are driving change in the industry today using real world experience, data, and best-in-class case studies to support their conclusions.
Vice President, Real Estate Finance
SVP, Business Development
2019 AptCon Program
Day 1: May 27, 2019 – 12:00 PM – 5:00 PM
The State of the Nation – The Real Story About What’s Happening in Apartment Construction in Canada
A summary of what’s going on across Canada in terms of new apartment construction. Who’s building, who’s buying, who’s selling, what price, and what’s the development pipeline look like going forward. We’re going to quantify where the opportunities are and the product types to be built in the various markets across the country. In this session, we will cover:
- Benchmark new apartment transactions across the country
- What product type to build in what market
- The difference between purpose-built apartment development and condo development
- Structuring joint ventures between developer and institution
- Apartment Crane Watch – what’s being built across the country
Derek Lobo, SVN Rock Advisors
Getting Started in New Apartment Development – Project Feasibility
Are you building to sell, or hold? Your answer impacts a lot of your strategy. Project feasibility encompasses the full range of analyses that a developer must perform before committing to a given project. As feasibility analysis progresses, the developer must acquire more information that will indicate whether it makes sense to proceed further. During the feasibility period, the project may be cancelled at any time, usually limiting losses to the costs of the feasibility study plus the cost of tying up the land. Positive information, however, usually justifies making the next increment of expenditure to acquire additional information. In this session you will learn the major activities that a complete feasibility takes, including:
- How to determine initial rental rates and operating costs from 30,000 ft.
- Market Analysis before Site Selection: Overall neighbourhood rental rates, unit mix, and amenities
- Site Selection and Acquisition
- Market Analysis after Site Selection: Site specific rental rates, unit mix, and amenities
- The Regulatory Process: Working with the city to get your rental apartment project approved
Sally Turner, SVN Rock Advisors
Day 2: May 28, 2019 – 8:00 AM – 5:00 PM
Financial Feasibility Analysis
Financial feasibility analysis for land development is performed in two stages. The first stage is a “quick and dirty” pro forma that summarizes the project’s revenues, expenses, financing assumptions, and profit using 30,000 ft data. The second is a multi-period discounted cash flow (DCF) analysis that provides a detailed projection of cash flows, equity and loan needs, profits, and basic return measures, including internal rates of return (IRRs). Developers should perform both stages of analysis before they commit earnest money to a project. In this session you will learn the how to’s of a Financial Feasibility Analysis with specific examples covering:
- Projecting Operating Revenues & Expenses
- Projecting Development Costs
- Multi Period Cash Flow
- Sensitivity Analysis
Mark Garber, Kingsett Capital
Donny Afonso, Pelican Woodcliff Inc.
Apartment Design – The Future of Apartment Design
The apartment developer’s conceptualization should be based entirely on the target market—not their personal preferences. The rental apartment markets are segmented into many sub-markets, with each niche demanding specific elements. Sub-markets vary enormously by demographics, level of competition, and preferences related to unit mix, unit finishes, parking arrangements, and amenities. Design standards and preferences vary from one geographic region to another. No matter how good the pro forma for a project might look, if the apartments do not satisfy the market’s needs at a rental rate that prospects can afford, the project’s profitability will be limited. Experienced architects and designers will show cutting-edge apartment design, with case studies. In this section we will cover:
- Determining Unit Mix and Floor Plan Layouts
- Overall Site Planning
- Design Exterior
- Design Interior
- Apartment Units & Common Area
- Functionality Audits at Different Stages
- Municipal Design Issues & Approvals
Linnea Chamberlain, The Chamberlain Companies
Jon McGinn, The Chamberlain Companies
Financing Purpose-Built Rentals
Purpose built apartment projects, have traditionally relied primarily on four types of financing: equity partners, mezzanine loans, construction loans, and take-out permanent loans. Apartment developers can benefit from CMHC financing and a leveraged capital stack. Experienced financiers will guide the developer in the financing process. In this session we will cover:
- The pros and cons, and cost, of an equity partner
- Mezzanine financing strategies
- Construction Loans
- Take-out permanent financing
Mike Scott, CFO Capital
Mark Kay, CFO Capital
Developing a Marketing Strategy
Marketing begins while a project is still on the drawing board and does not end until a project is sold. In the purpose-built apartment development business, developers cannot create a market where one does not already exist. A developer must understand their target renters and design and build the apartment building with those specific renters in mind. Marketing is not a one-size fits all solution. In this session we will cover:
- Defining the Marketing Strategy
- The Marketing, Leasing, and Training Plan
- The Marketing Budget
- Public Relations
- Advertising Strategies
Tami Siewruk, Multifamilypro
Operations and Management – It’s All About The Rent
No matter how well it is designed and built, an apartment project will be profitable only if it is well managed. New apartment construction management is different than traditional apartment management of an older, stabilized asset. New property management strategies must be used. Further, management must be competent at many levels for a project to succeed. In this session we will cover:
- Hiring, training, and paying leasing Staff
- Turnover & Lease Management
- Lease-Up Strategies for maximum rent & value creation
- Creating a customer service experience to drive rental rates
Lucy Gouveia, Greenwin
Refinancing and Selling The Asset – How to Get The Deal Done
One of the great advantages of owning apartment assets is the ability to refinance it and take out the additional financing proceeds tax free. As the NOI increases over time, savvy owners will refinance their properties regularly to take advantage of the tax-free cash they receive by obtaining larger mortgages. Some developers will choose to keep their asset, and some will choose to sell on certificate of occupancy, partial lease-up, or when fully leased-up.
- Never Sell: Creating a legacy for your family by leaving them a portfolio of cash-flowing apartment buildings
- If you sell, how Should you do it and when?
- What’s the liquidity of a forward sale, an empty building, and a stabilized apartment building?
- The common mistakes developers make when selling a newly-built apartment building
- What percent commission should you pay your broker?
Closing Panel: Apartment Developers
Given the broad range of issues that were raised over the last day and a half, a panel of some of the largest apartment developers in the country will offer the last word. Representing a cross-section of Canada and the Canadian apartment landscape, the panel will offer their insights on what risks and opportunities lie ahead, and what courses of action would they suggest accordingly.
- Should you build?
- What should you build?
- What’s the depth of the market?
- How much rent can you charge?
- Should you build to keep, or build to sell?
- If you sell, who will buy?
Moderator: Derek Lobo
Phil Fraser, Killam Apartment REIT
Brian McCauley, Concert Properties Ltd.
Greg Romundt, Centurion Asset Management Inc.
Oren Vered, Vered Group
The program is not final and is subject to change with no notice. Additional details to come.
AptCon 2019 Speakers
Pelican Woodcliff Inc.
Senior Vice President
The Chamberlain Companies
Linnea’s current responsibilities are varied and include running the Project Management Portfolio at Chamberlain. Linnea is totally committed to the production of clear, concise and complete construction documents. Her strengths are in building the project requirements, and managing the constraints of the project management triangle, which are cost, time, scope, as well as quality. Linnea is passionate about social responsibility. She sits on the Board of Directors for Woodview Mental Health and Autism Services and is a senior volunteer with the Aga Khan World Partnership Golf.
Linnea enjoys collaborating with like-minded firms and forward-thinking owners to maximize the benefits of their collective experience.
President and CEO
Killam Apartment REIT
Mr. Fraser holds a Bachelor of Commerce from Dalhousie University (1983), a Master of Urban and Rural Planning from Technical University of Nova Scotia (now Dalhousie University) (1988), and a Master of Business Administration from Saint Mary’s University (1988).
Mr. Fraser is a member of the Board of Governors and the Executive Committee at Saint Mary’s University.
Senior Vice President, Development
Founded in 2002, KingSett has raised $9.8 billion of equity for its Growth, Income, Urban and Mortgage strategies. Currently, KingSett owns interests in a $13.4 billion portfolio of assets. KingSett continues to seek further opportunities to invest in a wide range of real estate properties, developments, joint ventures and mortgage lending.
Prior to joining KingSett Capital, Mark was Vice President Development at CentreCourt Developments. Mark has overseen high rise multifamily developments in Toronto for over ten years. Prior to coming to Toronto, Mark spent nine years managing mixed-use developments in urban centres along the eastern seaboard.
Vice President, Real Estate Finance
Director, Marketing & Leasing
Lucy began her real estate career with RioCan. She has since worked in a marketing and communications capacity with national firms such as Canadian Tire REIT, MetCap Living, Timbercreek Asset Management and Realstar Residential. In her current role, she oversees the marketing for more than 16,000 rental suites, 1,000,000 sq.ft. of commercial space and several new development sites throughout Ontario and Quebec.
Mark’s expertise in strategic debt structuring spans every asset class including multi-residential, student housing, hotel and resort, retail, office, medical, and single purpose properties for both construction and term financing. He has established a large network of commercial mortgage lenders and industry professionals to form a global team which creates control and leads to success.
Prior to CFO, Mark worked in Commercial Real Estate at the Business Development Bank of Canada, specifically focusing on owner user, investment properties, management buy-outs and company acquisitions.
Mark is a graduate of the University of Toronto having completed a double major Honours in Finance and Economics.
CEO & Broker of Record
SVN Rock Advisors Inc., Brokerage
President & Chief Operating Officer
Concert Properties Ltd.
The Chamberlain Companies
Jon is the complete package. A skilled and creative Architect as well as an excellent communicator.
Jon has the ability to adapt the Architectural vocabulary and style for a project specific situation. Jon is well skilled in developing compelling and memorable value propositions and to relate them effectively to the project team. The methods and approaches that Jon employs, are very effective to managing communication challenges in the Architect-client relationship. Jon and Chamberlain, are the Bridge between Magic and Logic.
Jon has worked with numerous developers and owners, on many hotel and multi residential projects both domestically and internationally, to create creative living environments and vibrant communities that meet the requirements of developers Proformas and City requirements.
President and CEO
Centurion Asset Management Inc.
VP of Business Development
Prior to joining the CFO team, Mike was a top-rated sales manager and business developer with TD Financial Group. He spent over 25 years effectively building and nurturing strong relationships in the National Accounts, Commercial Banking and Business Banking groups.
Mike is a graduate of Western University, earning his BA in Economics in 1985 and completing his Honours Business Administration degree, at Ivey School of Business, in 1987.
Chief Imagination Officer
Manager, Research and Consultancy
SVN Rock Advisors Inc., Brokerage
AptCon 2019 Registration Fees
February 1 to April 30
After April 30
All registrations include light breakfast, morning refreshments, and luncheon.
HST is not included.
For information about Group Registrations (5+), please contact Stefanie Schopen.
VIP Dinner – By Invitation Only
Following the sessions on Day 1, Derek Lobo will host a Developer’s Only VIP Dinner. Venue to be determined.
By Invitation Only, the dinner will be an opportunity for developers to gather with like-minded people, enjoy a great meal, and have a good time.
AptCon 2019 Sponsors
Hotel & Travel Information
2019 Exclusive Hotel Rate
SVN Rock Advisors has negotiated preferential hotel rates at the Sheraton Centre Toronto Hotel – the same location as the conference – for Monday May 27, 2019.
Rooms are available at a reduced rate of $289 per night.
Attendees are able to make their own reservations by calling in toll-free at 1-888-627-7175 and stating that they are part of the SVN Rock Advisors’ group, or simply use the dedicated reservation link.
Venue & Directions
Sheraton Centre Toronto Hotel
123 Queen Street West
Toronto, ON M5H 2M9
Toronto Pearson International Airport (YYZ)
Take Highway 427 South to Queen Elizabeth Way East, merge onto Gardiner Expressway East. Exit onto York Street and go North. Turn right onto Queen Street.
Billy Bishop Toronto City Airport (YTZ)
Take the Gardiner Expressway East and exit at York Street. Follow York Street north and turn right onto Queen Street West. The hotel will be on your right.
What’s a Deal Room?
It’s where people meet to develop apartments.
It’s where stakeholders from across Canada come together to talk about structuring deals, joint ventures, partnerships, and alliances.
How does it work?
Alongside The 8th Annual AptCon: The Blueprint for Rental Apartment Development Across Canada, we are happy to announce that we will be holding the popular Deal Room.
Arrange a one-on-one meeting with Derek Lobo, or another member of the SVN Rock team, to discuss the details of your project. We will help you determine exactly what you need to move forward with your project, and we will use that information to connect you with the experts in New Apartment Construction in Canada to ensure your project is a success.
Registration for AptCon is required. No additional fees for access to the Deal Room.
Terms and Conditions
Cancellation and modifications must be advised by email to firstname.lastname@example.org and include your name and confirmation number.
Modifications & Substitutions
After May 15, registration modifications or substitutions will be subject to an administrative fee of $75. This fee will also apply to modifications on site.
Cancellations & Refunds
Registration cancellations received on or before May 15 will be refunded 80% of all fees paid. After May 15, refunds will not be made for cancellations or no-shows.
Please note that speakers and program are subject to change to without notice.
By attending this event, you may be the subject of still photography or videography which is used by SVN Rock Advisors Inc., Brokerage for purposes of promoting future events. By attending, you agree to grant SVN Rock Advisors Inc., Brokerage the right to use your likeness in any photographic or video coverage of the event.
By registering for this event you agree to all of the above policies.
Visa Information & Letters of Invitation
Pertaining to the New Apartment Construction conferences and workshops in Canada; SVN Rock does not issue formal Visa invitation letters, supporting letters, nor correspond with embassies regarding entrance to the country or attendance at the selected event. An administration fee of $175 is applicable to each registration which is non-refundable. To register, please contact Stefanie Schopen with credit card details, include a photocopy of your passport verification page, both sides of your credit card and fax to 905-319-2528. Thank you for your interest and understanding.
Electronic Travel Authorization – Visa Exempt Foreign Nationals
As of March 15, 2016, visa-exempt foreign nationals are expected to have an Electronic Travel Authorization (eTA) to fly to or transit through Canada. Exceptions include U.S. citizens, and travellers with a valid Canadian visa. Canadian citizens, including dual citizens, and Canadian permanent residents are not eligible to apply for an eTA. However, from March 15, 2016 until Fall 2016, travellers who do not have an eTA can board their flight, as long as they have appropriate travel documents, such as a valid passport. During this time, border services officers can let travellers arriving without an eTA into the country, as long as they meet the other requirements to enter Canada. Find answers to your questions about the leniency period.
Please call 905-331-5700 x 232 or email email@example.com.