Clayton State of the Market Report 2022

STATE OF THE MARKET IN CLAYTON

Unlike our previous report, the last 12 months in Clayton have been packed with more action than we have seen in years, and we only foresee it ramping up! Property values in Clayton have been steadily increasing, as reflected in the statistics and graph below:

• The total dollar value of land sales was 27% higher than the previous 12 months
• The number of transactions and the number of acres sold decreased over the same time period, by 40% and 22% respectively. This indicates that the properties that are selling are doing so at higher values than before

There have been two big announcements spurring this action:

Services Coming To West Clayton

Construction approval for the sanitary sewer infrastructure needed to provide the long-awaited services to West Clayton was arguably the biggest news. These services will finally push forward the development that the area has been waiting for. In the past, the unknown servicing timeline has constricted property values because builders/developers weren’t able to predict the holding costs for a property.

Surrey-Langley Skytrain Approval

Before the servicing announcement, sales were already on an incline from the news of the Surrey-Langley SkyTrain approval. The approval has seen the City of Surrey commence with updated land use planning along the SkyTrain route with the new Clayton Corridor Plan. The plan’s boundaries were approved at the end of July, along with a few other reports and policies. The plan area measures approximately 276 acres along Fraser Highway, where the planned SkyTrain Stations will be located at 184 Street and 190 Street.
Due to these announcements, we anticipate the number of transactions over the next year to skyrocket. Many properties have recently been put under contract and these deals will take time to complete and be reflected in the public records. Beyond the short to medium term, we anticipate sales to continue to grow as development in West Clayton’s southwest quadrant begins and the SkyTrain continues to draw more and more attention to the area. If anything is clear, it’s that the future of Clayton is extremely bright.

DEVELOPMENT APPLICATIONS IN CLAYTON

We have mapped and analyzed current development applications to find trends and highlight regions with a high concentration of future development (outlined in green on the map below). While there are development applications throughout West Clayton, it’s no coincidence that the majority of them are between 72 Avenue and 74 Avenue. This area will be the first to start seeing development proceeding forward once servicing is complete, starting from the west (closest to the services) and moving east. Since our last report, three applications have received third reading, totaling 257 additional homes that will be built in the near future.

West Clayton

18 significant* development applications for residential development
1,662 units proposed over 81 acres
* A “significant” application is any application with greater than 4 units or lots

NEIGHBOURHOOD UPDATES: West Clayton, North Clayton, & Clayton Corridor

Below are updates on the current state of development and land sales in the neighbourhoods of Clayton.

West Clayton

• The approval for construction to commence on the sanitary sewer infrastructure that will now provide the long awaited services to West Clayton, finally pushing forward the development that the area has been waiting for.

North Clayton

• Interest in the area continues, as seen in the increased land sales activity, due to investors accepting the holding costs in hopes for future development.
• North Clayton remains unaffected by the update of the Clayton Corridor Plan. Once a draft plan is initiated, the process will still take roughly 2-3 years before we see any substantial development in the area.

Clayton Corridor

• At the end of July, the City of Surrey had approved stage 1 of the Clayton Corridor Plan. The plan is being developed in partnership with the community to achieve objective such as affordable housing and a village centre.
• Two proposed Skytrain Stations fall within this plan boundary; the first is just west of 184 Street and the second is at approximately 190 Street, both of which are north of Fraser Highway.

SOURCES

In creating this report, we survey multiple land transaction reporting systems (Commercial Edge, MLS), analyze municipal development data, and consult City of Surrey planning staff as well as key stakeholders to bring you the most relevant information. If you have any questions about this report or the local development land market, don’t hesitate to reach out.

To receive future reports directly to your inbox, please sign up for our development land newsletter here.