Economy at a glance: Calgary s advantages

Transcription

1 Economy at a glance: Calgary s advantages Slide 1

2 Where is Calgary? Strategic location Western Canada s business centre 136 head offices in Calgary Western Canada s distribution hub Highway 1 and Canamex Canadian Pacific Railway and Canadian National Railway Calgary International Airport has connections to 100 destinations 50 million people accessible by ground transportation within 24 hours Slide 2

3 About Calgary Economic Development Promotional agency Lead economic development agency Non-profit organization Arms length to City of Calgary; Funded via grant from council Mandated to support / connect business Business expansion, investment and attraction Trade development Workforce development Research and information Slide 3

4 10-year Economic Development Strategy A strategy to make a global city competitive, successful and unique Focus on People and Community Educate and exchange Remove barriers to meaningful employment Enhance the city s sense of place and experience Focus on Business and Enterprise Strategically develop Calgary s economy Provide smart infrastructure Create an environment for smart ideas and innovation Focus on International Reach Promote the Calgary brand and identity Diversify tourism and convention activity Enhance international business development and connections Slide 4

5 Calgary s rankings MoneySense - Canada s best places to live, 2013 Calgary ranked #1 out of 200 small, medium and large Canadian cities over 30 categories Calgary ranked #1 (out of 10) for top 10 large cities Calgary ranked #1 (out of 10) for best places to raise kids Calgary ranked #3 (out of 10) for best places for new immigrants Conference Board of Canada City Magnets II: Benchmarking the attractiveness of 50 Canadian cities, 2010 Calgary ranked A grade overall Calgary received A for economy and innovation Calgary received B for environment Calgary received C for education, health and society Sources: MoneySense, Conference Board of Canada Slide 5

6 Calgary s rankings Economist Intelligence Unit Most livable city in the world Calgary #5 in 2012 (#5 for 2010 and 2011) Ranking of 140 global cities with 30 indicators Criteria: stability, healthcare, culture and environment, education, infrastructure Mercer Quality of living survey Calgary is #32 in the world in 2012 (up from #33 in 2011 ranking) Ranking of 221 cities with 39 criteria ranked against New York as base city Criteria: political, social, economic and environmental factors Mercer Quality of living: eco-city ranking Calgary #1 in the world in 2010 Mercer s first eco-city ranking Criteria: water availability and potability, waste removal, sewage, air pollution and traffic congestion Source: Economist Intelligence Unit, Mercer Slide 6

7 Enviable lifestyle Canada s Smartest City Calgary ranked #3 in 2010 based on Learning to Know (formal education), Learning to Do (applied skills), Learning to Live Together (social values of community) and Learning to Be (cultural opportunities and spending) Canada s Most Wired City Calgary ranked #1 in 2010 based on spending for services, access to broadband Canada s Most Cultured City Calgary ranked #4 in 2010 based on per cent of households who spend money on attending museums and live performing arts Canada s Most Active City Calgary ranked #6 in 2010 based on per cent who spend on sports and recreation Source: Canadian Council on Learning; Maclean s. May 20, 2010 Slide 7

8 Enviable lifestyle A focus on family and a sense of community Calgary schools consistently top performers in Alberta Boasts one of the most successful transit systems in the world (ridership of 94.4 million; 4,205 route kilometres) 55 per cent of Albertans volunteer -- higher than the national average of 47 per cent (2010) Calgary had second highest median charitable donation for 2011 among Canadian CMAs at $400 Slide 8

9 Enviable lifestyle Active and healthy lifestyle An hour s drive to spectacular Banff and the Rocky Mountains The most extensive urban pathway and bikeway system in North America (700 km along rivers; 290 km on-street bikeways) World-class attractions and sporting amenities, including: Calgary Stampede, Calgary Zoo, WinSport Canada s Canada Olympic Park, National Sports Hall of Fame, Telus Spark Abundant green space and parks (3,000 sites) A community rich in the arts, culture, entertainment and leisure activities and venues Slide 9

10 Rankings World Capitals of the Future / World s Fastest Growing Cities Forbes Magazine listed Calgary as one of the world capitals of the future one of the emerging global cities (2009) Forbes Magazine ranked Calgary as one of North America s fastest-growing cities (2010) Reasons: Calgary is center of Canada s powerful energy industry Calgary has lower taxes and less stringent regulations Calgary has room to grow Calgary has better housing price-to-income ratio than many Canadian cities Source: World Capitals of the Future, Forbes, September 3, 2009 Slide 10

11 Global Scorecard on Prosperity Fifth annual report benchmarking 24 global metropolitan areas with 33 indicators in two domains: Economic performance - (18 indicators) Labour attractiveness (15 indicators) Overall ranking: Calgary ranks #2 Economy overall ranking: Calgary ranks #8 - Grade B Economic update for North America: Calgary ranks #5 - Grade C Labour attractiveness: Calgary ranks #6 Grade B Human capital lens (focus of report for 2013) Calgary ranks #1 Grade A Source: Toronto Region Board of Trade. Toronto as a Global City: Scorecard on Prosperity, Slide 11

12 Calgary demographics Median age is 36.0 with 76.5 per cent aged 20 and older; 48.8 per cent of Calgarians are within core working age group of (CMA, 2012) 28.5 per cent of Calgarians are immigrants (2011 NHS) 1.1 per cent of Calgarians are non-permanent residents (2006 Census) 22.2 per cent of population is a visible minority with Chinese and South Asians leading (2006 Census) Median total income 2010 $89,490 (all Census families) Average household size 2.6 people (2011 Census) Second highest level of educational attainment of population aged of major Canadian cities (after Ottawa) (2006 Census) Source: Statistics Canada Slide 12

13 Economic indicator summary Indicator Date Value Change / Rate (%) Geography Population Change over year July 1, ,406, % CER Inflation rate Change over year April % CMA Employment* Change over year April , % CMA Unemployment rate* April % CMA Average hourly wage* (hourly employees) Change over year March 2013 $ % Alberta Average hourly wage* (salary employees) Change over year March 2013 $ % Alberta Average weekly earnings Change over year March 2013 $1, % Alberta Gross domestic product Change over year (Real GDP growth) Q , (2007 $ Millions) 2.9% CMA Retail sales Q , % CMA *Seasonally adjusted 3 month moving average Source: Statistics Canada, Conference Board of Canada Slide 13

14 Educated population Calgary has a higher degree of learning Second highest level of educational attainment of population aged of major Canadian cities (after Ottawa) (2006 Census) One of the best educated populations in North America Headcount (2011/2012) University of Calgary 34,144 SAIT Polytechnic 25,844 Mount Royal University 15,612 Bow Valley College 9,583 ACAD 1,323 Olds 2,465 Calgarians are connected All Calgarians have access to broadband Internet connectivity Highest number of individuals with Internet access in Canada, at 88 per cent (2010) Source: Statistics Canada, Alberta Advanced Education and Technology Slide 14

15 High wages and salaries $66,844 $57,492 Wages and salaries per employee 2012 Canadian CMAs $49,416 $48,860 $45,621 $41,283 Consistently the highest wages and salaries per employee in Canada for the past 12 years - $66,844 per employee in 2012 Second highest average annual growth in wages and salaries per employee over the past ten years ( ), at 4.9 per cent Second highest total growth in wages and salaries per employee over the past 10 years ( ), at 57.1 per cent Calgary Edmonton Toronto Ottawa Vancouver Montreal Source: Conference Board of Canada Slide 15

16 High personal income $58,314 Personal income per capita 2012 Canadian CMAs $51,495 $44,985 $40,387 $39,946 $37,157 Highest personal income per capita in 2012 at $58,314 Second highest 10-year ( ) total growth in personal income per capita at 52.6 per cent Second highest average annual growth in personal income per capita over the past 10 years ( ) at 4.6 per cent Calgary Edmonton Ottawa Toronto Vancouver Montreal Source: Conference Board of Canada Slide 16

17 Calgary s millionaires Millionaires per capita (100,000 population) 2009 Canadian CMAs Highest number of millionaires in Canada on a per capita basis in 2009 (140.5 per 100,000) The number of Calgary millionaires has decreased by 28.1 per cent over the past year to 2,385 Calgary millionaires reported a median income of $1,561,300 in 2009, placing second to Edmonton s millionaire median income of $1,650,300 Calgary Toronto EdmontonVancouver Montreal Ottawa Source: Statistics Canada Slide 17

18 Calgary and region population 1,600,000 1,400,000 1,200,000 1,000, , , , , ,243,302 Calgary s population 1,278,273 1,314,711 1,155,684 1,188,595 1,222,491 1,244,207 1,019,942 1,042,892 1,065,455 1,338,859 1,364,1721,406,080 1,309,221 1,268,704 1,071,515 1,090, ,120,225 City of Calgary Calgary CMA Calgary Economic Region City of Calgary population is forecast to be million in 2017 (City of Calgary Corporate Economics, Fall 2012) Calgary CMA is forecast to have a population of million in 2017 (Conference Board of Canada) Calgary Economic Region is forecast to have a population of million in 2017 (City of Calgary Corporate Economics, Fall 2012) Source: City of Calgary Civic Census, Statistics Canada Slide 18

19 Population growth 35,000 30,000 Population growth City of Calgary 49.4% Annual growth rate (%) 25,000 20,000 15,000 10,000 5, , % 1.9% 9, % 9,695 9,643 9, % 19,658 12,441 12,920 10,214 9,563-4, Natural Increase Net Migration -10,000 Source: City of Calgary Civic Census Slide 19

20 Leading population growth 27.3% Total population growth Canadian CMAs 22.7% 16.8% 16.5% 11.9% 9.9% Highest population growth in Canada at 3.2 per cent (2012) Highest total population growth and average annual population growth over the past ten years ( ), at a rate of 27.3 per cent and 2.7 per cent respectively Calgary Economic Region s population is million (2012) Calgary CMA s population is million (2012) Calgary Edmonton Toronto Vancouver Ottawa Montreal Source: Statistics Canada Slide 20

21 Attracting migrants 35,000 30,000 25,000 20,000 15,000 10,000 5,000 Overall net migration Calgary CMA 11,494 12,550 24,388 22,789 22,537 21,050 22,047 10,377 29,309 13,450 Boasts a net gain of 97,720 migrants over the past five years ( ) and 189,991 migrants over the past 10 years ( ) Fourth in Canada in the number of overall net migrants in 2012 at 29,309 (after Toronto, Montreal, Vancouver) First in Canada in the number of overall net migrants per capita in 2012, at 22.4 migrants per 1,000 population Source: Statistics Canada Slide 21

22 Coming from across Canada 61,986 Total 10-year net interprovincial migration Canadian CMAs 51,852 21,745 16,698 Calgary Edmonton Vancouver Ottawa Toronto Montreal Calgary experienced the greatest gain in net interprovincial migration in 2012, with growth of 6,211 migrants from 2011 or per cent Maintained its lead in number of net interprovincial migrants over the past 10 years a staggering 61,986 from , equal to an annual average of 6,199 Calgary placed first in net interprovincial migrants per capita in 2008 at 5.6 per 1,000 population; Calgary placed second in 2012 with a gain of 5.7 net interprovincial migrants per 1,000 population -32,565-57,189 Source: Statistics Canada Slide 22

23 Coming from within Alberta Net intraprovincial migration Calgary CMA Calgary has experienced increased migration into Calgary from other Alberta cities and rural areas over then the past five years 3,085 3, ,985 Source: Statistics Canada Slide 23

24 Coming from around the world 20,000 18,000 16,000 14,000 12,000 10,000 Net international migration Calgary CMA 17,388 17,786 12,004 18,7313 Over the past 5 years ( ), the number of net international migrants has increased by 74,992, equal to an annual average of 14,998 In 2012, Calgary placed fourth in the number of net international migrants after Toronto, Montreal and Vancouver 8,000 6,000 9,083 4,000 2, Source: Statistics Canada Slide 24

25 Attracting newcomers Top source countries for permanent residents 2011 Calgary CMA Source country Number of permanent residents Distribution (%) All Source Countries 15, Philippines 3, India 2, China 1, United Kingdom United States Pakistan Nigeria Ethiopia United Arab Emirates Republic of Korea Top 10 source countries 10, Other source countries 4, Source: Citizenship and Immigration Canada, Facts and Figures, 2011 Slide 25

26 Diverse population 42.9% 41.8% Visible minority rate 2006 Census Canadian CMAs Among the highest visible minority rates in Canada Third after Toronto and Vancouver Top visible minorities groups: Chinese, South Asian, Filipino Only 19.4 per cent of Calgarians identify Canada as location of origin/ancestry 22.2% 19.4% 17.1% 16.5% Most prevalent origins: English, Scottish, German, Irish Toronto Vancouver Calgary Ottawa Edmonton Montreal Source: Statistics Canada Slide 26

27 Labour force growth 27.0% 26.5% Total labour force growth Canadian CMAs 16.4% 16.1% 15.0% 8.7% Tied with Edmonton for second highest labour force growth in 2012 at 2.6 per cent (after Ottawa) Highest total labour force growth over the past 10 years ( ) at 27.0 per cent Tied with Edmonton for highest average annual labour force growth over the past 10 years ( ) at 2.7 per cent Calgary Edmonton Ottawa Vancouver Toronto Montreal Source: Statistics Canada Slide 27

28 Employment growth Total employment growth Canadian CMAs 27.3% 26.9% 17.1% 16.9% 13.9% Highest in employment growth in 2012 at 3.7 per cent Highest total employment growth over the past 10 years ( ) at 27.8 per cent Tied with Edmonton for highest average annual employment growth over the past 10 years ( ) at 2.8 per cent 10.0% Calgary Edmonton Ottawa Vancouver Toronto Montreal Source: Statistics Canada Slide 28

29 Engaged workforce 74.7% 73.5% Participation rate 2012 Canadian CMAs 72.2% Highest labour force participation rate in 2012, at a rate of 74.7 per cent Consistently highest participation rate over the past 5 years ( ) and 10 years ( ), with an annual average of 75.6 per cent and 75.5 per cent respectively 67.4% 66.4% 66.3% Calgary Edmonton Ottawa Toronto Montreal Vancouver Source: Statistics Canada Slide 29

30 Low unemployment rate 4.7% 4.7% Unemployment rate 2012 Canadian CMAs 6.2% 6.7% 8.5% 8.6% Tied with Edmonton for lowest unemployment rate in 2012 at 4.7 per cent Lowest average annual unemployment rate over the past 10 years ( ) at 4.8 per cent Second lowest (after Edmonton) average annual unemployment rate over the past five years ( ) at 5.5 per cent Calgary Edmonton Ottawa Vancouver Montreal Toronto Slide 30

31 Large working-age population Oct May Population distribution 2012 Calgary Economic Region Highest employment-topopulation ratio at 58.7 per cent (2006 Census) 48.3 per cent of Calgarians within the core working age group of (Calgary Economic Region, 2012) Second youngest population among Canada s CMAs with an median age of 36.0 (2012) (after Saskatoon) 0.0% 2.0% 4.0% 6.0% 8.0% 10.0% Source: Statistics Canada Slide 31

32 Productive workforce $97,607 Labour force productivity 2012 Canadian CMAs $83,099 $82,536 Consistently the highest labour force productivity in Canada - $97,607 real GDP per worker in 2012 Labour force productivity is a measure of the economic value of output per employee $71,916 $71,190 $68,805 Calgary Toronto Edmonton Ottawa Vancouver Montreal Source: Statistics Canada, Conference Board of Canada Slide 32

33 Employment diversity Historical employment by industry Calgary Economic Region Industry 2008 Persons (000s) 2012 Persons (000s) Change (%) Agriculture, forestry, fishing and hunting % Mining, quarrying, and oil and gas extraction % Utilities % Construction % Manufacturing % Wholesale trade % Retail trade % Transportation and warehousing % Information and cultural industries % Finance, insurance, real estate and leasing % Professional, scientific and technical services % Management of companies and enterprises % Administrative and support, waste management and remediation services % Educational services % Health care and social assistance % Arts, entertainment and recreation % Accommodation and food services % Other services % Public administration % All industries % Source: Statistics Canada Slide 33

34 Employment diversity Forecast employment by industry Calgary Economic Region Industry 2012 Persons (000s) 2017 Persons (000s) Change (%) Agriculture, forestry, fishing & mining, oil & gas extraction % Manufacturing % Utilities % Construction % Retail & wholesale trade % Accomodation & food services % Transportation & warehousing % Information, culture, arts, entertainment & recreation % Finance, insurance, real estate & leasing % Professional, scientific & technical services % Business, building & other support services % Public administration % Educational services % Health care & social assistance % Other services % All industries % Source: Statistics Canada, Oxford Economics, City of Calgary Corporate Economics, April 2012 Slide 34

35 Industry wages Average overall wages by industry 2012 Calgary CMA Industry Hourly Rate Agriculture, forestry, logging, fishing and hunting NA Oil and gas extraction $44.90 Mining NA Utilities $38.88 Construction $28.88 Manufacturing $24.39 Wholesale trade $27.32 Retail trade $17.34 Transportation and warehousing $28.10 Information and cultural industries $28.75 Finance and insurance $28.58 Real estate and rental and leasing $23.28 Professional, scientific, and technical services $34.71 Management of companies and enterprises NA Administrative and support, waste management and remediation services $19.87 Educational services $31.99 Health care & social assistance $27.37 Arts, entertainment and recreation $20.30 Accommodation and food services $15.24 Other services $20.84 Public administration $36.35 All industries $27.83 Source: Statistics Canada Slide 35

36 Calgary s economy 4.4% Real GDP growth 2012 Canadian CMAs 3.3% 2.5% 1.9% EdmontonCalgaryVancouverToronto 0.9% 0.8% Ottawa Montreal Tied for second among major Canadian cities in real GDP growth in 2012 at 3.3 per cent (after Edmonton at 4.4 per cent) Second highest total real GDP growth over the past 10 years ( ) at 33.7 per cent (after Edmonton with 3.7 per cent) Second highest 10 year average annual real GDP growth rate of 2.9 per cent ( ) (after Edmonton with 3.7 per cent) Conference Board of Canada forecasts a real GDP growth rate of 3.0 per cent for 2013, 3.4 per cent for 2014, 3.2 per cent for 2015, 3.0 per cent for 2016 and 2.8 per cent for 2017 (Spring 2013) Source: Conference Board of Canada Slide 36

37 Highest retail sales 77.2% 76.9% Total retail sales growth Canadian CMAs Second highest total growth in retail sales over the past 10 years ( ) at 76.9 per cent (after Edmonton with 77.2 per cent) Tied with Edmonton for highest average annual retail sales growth over the past 10 years ( ) at 6.5 per cent 39.9% 35.0% 33.5% 31.8% Highest retail sales per capita in 2012 at $18,990 Edmonton Calgary Ottawa Toronto Montreal Vancouver Second highest total growth and average annual growth in retail sales per capita over the past 10 years ( ) at 38.9 per cent and 3.7 per cent respectively Sources: Conference Board of Canada, Statistics Canada Slide 37

38 Small business drives economy 38.5 Small business per capita (per 1,000 Population) 2012 Canadian CMAs Calgary Vancouver Edmonton Toronto Montreal Ottawa Largest concentration of small businesses among Canadian cities on a per capita basis at 38.5 (per 1,000 population) in 2012 Second highest number of selfemployed per capita in Canada in 2012 at 85.2 per 1,000 population (after Vancouver with 87.5 per 1,000 population) Young entrepreneurial capital of Canada The largest group of Calgary entrepreneurs were in the age group (26.0 per cent), followed by age group (25.3 per cent) Source: Statistics Canada Slide 38

39 Successful businesses Business bankruptcies Calgary CMA Calgary CMA experienced a dramatic decrease of 85.9 per cent in business bankruptcies over a 10-year period ( ) to 86 in 2012 from 608 in 2003 Of Alberta's 312 business bankruptcies in 2012, 34.9 per cent were from Calgary CMA Source: Industry Canada Slide 39

40 Low rate of business bankruptcies Business bankruptcy rates (per 1,000 businesses) 2011 Canadian CMAs 3.7% Of Canada s major CMAs, Calgary tied with Edmonton to have the second lowest business bankruptcy rate per 1,000 businesses in 2011, at 0.8 per cent (after Vancouver with a rate of 0.5 per 1,000 businesses) 1.4% 1.6% 0.5% 0.8% 0.8% Vancouver Calgary Edmonton Ottawa Toronto Montreal Source: Industry Canada Slide 40

41 Western Canada s head office centre 10.7 Corporate head offices (per 100,000 population) 2011 Canadian CMAs Calgary-based companies on the FP500 list; ten are among the top 50 in Canada Calgary has experienced a 58.9 per cent growth in head offices over past ten years ( ) Highest concentration of head offices per capita in Canada, at 10.7 per 100,000 population Highest head office per capita growth for the period , at 58.9 per cent Calgary Toronto Vancouver Montreal Edmonton Ottawa Source: FP Database Slide 41

42 Calgary s economic diversity Business establishments by industry Calgary Economic Region Industry Total growth (%) Agriculture, forestry, fishing & hunting % Mining, quarrying & oil & gas extraction 1,792 1, % Utilities % Construction 6,830 6, % Manufacturing 1,853 1, % Wholesale trade 2,731 2, % Retail trade 4,755 5, % Transportation & warehousing 1,740 1, % Information & cultural industries % Finance, insurance, real estate & rental & leasing 3,964 4, % Professional, scientific & technical services 11,387 12, % Management of companies & enterprises 1, % Administrative & support, waste management & remediation services 2,598 2, % Educational services % Health care & social assistance 3,333 3, % Arts, entertainment & recreation % Accommodation & food services 2,798 3, % Other services (except Public administration) 5,513 4, % Public administration % All industries 52,699 54, % Source: Statistics Canada Slide 42

43 Calgary s economic diversity Industry Historical GDP by industry Calgary CMA 2008 (2007 $ Millions) 2012 (2007 $ Millions) Total Change (%) Goods-producing industries 45,383 49, % Manufacturing 6,496 7, % Construction 8,348 8, % Primary and utilities 30,539 33, % Services-producing industries 51,726 55, % Transportation and warehousing 4,145 4, % Information and cultural industries 2,889 3, % Wholesale and retail trade 7,802 8, % Finance, insurance and real estate and leasing 13,772 14, % Business services 9,711 9, % Personal services 3,803 4, % Non-commercial services 6,618 7, % Public administration and defence 2,985 3, % All industries 97, , % Source: Conference Board of Canada Slide 43

44 Calgary s economic diversity Industry Forecast GDP by industry Calgary CMA 2013 (2007 $ Millions) 2017 (2007 $ Millions) Total change (%) Goods-producing industries 51,345 57, % Manufacturing 7,676 8, % Construction 8,771 9, % Primary and utilities 34,898 39, % Services-producing industries 57,369 64, % Transportation and warehousing 4,618 5, % Information and cultural industries 3,350 3, % Wholesale and retail trade 9,021 10, % Finance, insurance and real estate and leasing 15,331 17, % Business services 9,882 11, % Personal services 4,372 4, % Non-commercial services 7,722 8, % Public administration and defence 3,072 3, % All industries 108, , % Source: Conference Board of Canada Slide 44

45 Economic indicator summary Summary of current real estate / construction indicators - Calgary Indicator Date Value Change/Rate (%) Geography Housing starts - number Change over year Building permit values Change over year Year-to-date April 2013 Year-to-date April , % CMA $2.3 Billion 18.2% CER Major Calgary project values1 Change over year $18.5 Billion -2.8% City of Calgary Benchmark Calgary house price (single family) Change over year $456, % City of Calgary Downtown office vacancy rate Suburban office vacancy rate Industrial real estate vacancy rate Q % City of Calgary Q % City of Calgary Q % City of Calgary Sources: Statistics Canada, Conference Board of Canada, CREB, CB Richard Ellis, CMHC, Alberta Enterprise and Advanced Education 1 On hold projects removed from total value Slide 45

46 Strong construction activity 157.1% 10 year residential building permit total growth Canadian CMAs 80.5% 66.9% 39.1% 32.2% Third highest total growth in total building permits over the past ten years ( ) at 86.1 per cent Second highest total growth in residential building permits over the past 10 years ( ), at a rate of 80.5 per cent Third highest total growth in non-residential building permits over a ten-year period ( ) at 96.1 per cent Averaged 12,102 housing starts per year over a ten-year period ( ) 5.5% Edmonton Calgary Vancouver Montreal Toronto Ottawa Source: Statistics Canada Slide 46

47 Calgary projects Calgary major projects (as at ) Company name Project description Project cost ($ mil) Timing Status WAM Development Group / AIMCo 'Stonegate Landing' Retail, Office and Industrial Development $2,250 Proposed. Stoney Industrial Centre warehouse 4 nearing completion. AltaLink ManagementLtd Western Alberta Transmission Line (500 kv) $1,500 Proposed. Calgary Airport Authority International Transborder Concourse $1, Under construction. EllisDon Construction. Enmax Corp Shepard Energy Centre Natural Gas Fired Generating Plant $1, Under construction. Kiewit Energy Canada Corp. / Black & Veatch Canada Corp. AUC conditional approval October Brookfield Properties Ltd. 225 Sixth Office Towers $1,000 Proposed. Remington Development Corp. Quarry Park Mixed-Use Development phases 1 and 2 $1, Under construction. Alberta Transportation Southeast Section Calgary Ring Road (Stoney Trail) from 17 Ave. SE to Highway 2A $ Under construction. Chinook Roads Partnership. Calgary Airport Authority North South Parallel Runway $ Under construction. PCL Parsons Dufferin (JV) Alberta Health & Wellness Foothills Medical Centre upgrade (McCaig Tower0 $ Under construction Source: Alberta Enterprise and Advanced Education Slide 47

48 Office and industrial market 25.0% Vacancy rates by market: Calgary Q % 19.4% 15.0% 10.0% 9.7% 8.3% 15.1% 13.0% 12.4% Downtown Office Suburban Office Industrial 5.0% 5.3% 5.7% 2.7% 0.0% 0.9% Class AA Class A Class B Class C Total Source: CB Richard Ellis Slide 48

49 Non-residential taxes Calgary s non-residential municipal tax rate Calgary s total non-residential tax rate Calgary s business tax rate Alberta has no inventory tax, no machinery and equipment tax, and no payroll tax Source: City of Calgary Slide 49

50 Housing market affordability Standard two-storey house Q Census metropolitan area Average price Qualifying income Affordability measure Vancouver $829,800 $156, % Toronto $644,700 $132, % Montreal $390,600 $83, % On average, Calgary still offers more affordable* housing than Vancouver, Toronto, Montreal, Ottawa and the national average. * The Royal Bank Housing Affordability Index measures a house price in relation to the total payments required for a mortgage, utilities and property tax. The higher the measure, the more difficult it is to afford a house. Ottawa $397,400 $92, % Calgary $439,800 $89, % Edmonton $370,800 $81, % Canada $410,800 $87, % Source: RBC Economics, Housing Trends & Affordability, Slide 50

51 Low property taxes Total property tax for a representative single family house 2011 Select Canadian CMAs Calgary s residential property taxes* are among the lowest of any major Canadian city $4,039 $2,993 $2,383 Calgary Toronto Vancouver Source: City of Calgary, 2011 Residential Property Taxes and Utility Charges Survey Slide 51

52 Alberta s tax advantages Most competitive provincial corporate tax jurisdiction in Canada Corporate income tax 10 % Sales tax 0 % Payroll tax 0 % Inventory tax 0 % Lowest provincial personal income tax rate in Canada Marginal personal income tax rate 10 % Slide 52

53 Alberta s trade strength Alberta s exports in 2011 ($93.2 billion) Oil (including oil sands) - $52.0 billion Gas & natural gas liquids - $12.9 billion Energy (including mining) - $67.2 billion (72.7 per cent of total Alberta exports) Chemicals - $7.2 billion Food, feed & beverage - $3.4 billion United States - $15.7 billion China - $2.6 billion Mexico - $1.3 billion Source: Alberta International and Intergovernmental Relations Slide 53

54 Alberta s trade strength Alberta s imports in 2011 ($24.5 billion) Machinery - $5.2 billion Energy - $3.5 billion Electrical machinery - $2.2 billion United States - $12.6 billion China - $1.9 billion Mexico - $1.0 billion Note: Imports are direct into Alberta and does not include imports going to another province before entering Alberta Source: Alberta International and Intergovernmental Relations Slide 54

55 Alberta projects Alberta major projects summary (as at ) Sector # of projects Value of all projects ($ millions) # On Hold Agriculture & Related 6 $ Biofuels 5 $ Chemicals & Petrochemicals 3 $1,580 0 Commercial/Retail 81 $7, Commercial/Retail and Residential 4 $2, Forestry & Related 2 $82 0 Value of on hold projects ($ millions) Infrastructure 242 $13, $38.0 Institutional 110 $5, $9.0 Manufacturing 2 $ Mining 3 $1, Oil & Gas 14 $10, $9,000.0 Oil Sands 64 $115, Other Industrial 8 $ Pipelines 44 $24, Power 25 $9, $500.0 Residential 103 $2, $8.0 Telecommunications Tourism/Recreation 87 $3, $45.0 Total 805 $198, $9,600.0 Source: Alberta Enterprise and Advanced Education Slide 55

56 Oil and oil sands Canadian oil sands and conventional oil production outlook Source: Canadian Association of Petroleum Producers (CAPP) Slide 56

57 Oil sands in Western Canada Western Canadian oil sands and conventional oil production outlook Source: Canadian Association of Petroleum Producers (CAPP) Slide 57

58 Contact us Connect with LinkedIn Slide 58