Squamish council is set to review whether unbuilt mixed-use developments should maintain or remove their office space requirements, following concerns from developers about financial viability.
According to a staff report, several developers of approved but unbuilt projects have asked to replace office components with other uses, such as rental housing or tourist accommodation. They argue that office requirements are no longer feasible due to the current downturn in the office market.
The three projects under review — 1001 Finch Drive, Hunter Place, and Plaza at Junction Park — together account for 7,180 square metres of potential office space, which would represent a 30% increase in Squamish’s total supply.
Each project includes negotiated community amenity contributions (CACs), such as cash payments, affordable housing units, rental housing, park space, and childcare facilities.
“The office components of these projects were negotiated through the rezoning process to align with District policies around the creation of net new employment space,” staff wrote in the report. Converting office space would allow projects to move forward, but reduce future employment lands, conflicting with the District’s Official Community Plan.
The staff report notes that the rental vacancy rate has remained below 1% since 2015, except for 2020 when it reached 1.4%. The report notes that Tourism Squamish has also raised concerns about the limited availability of visitor accommodations. The organization reported an 87% hotel occupancy rate in 2024 in its Annual Tourism Snapshot, noting that demand for tourist accommodation has grown steadily since 2020.
Council will decide whether to retain the office requirements, which could delay projects indefinitely, or allow conversions to other uses.
