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On the bank of the beautiful Lake Superior stands a town known for its strong knowledge economy and rich tourism industry. The city is Thunder Bay Ontario is a market that to some may appear out of the way, but to an investor willing to branch out, it may just be the home of great investment potential.
Thunder Bay is the largest city in Northwestern Ontario and the second largest in all of Northern Ontario after Greater Sudbury, however, even still it only has a modest population of about 113,000 – though local officials say the true population may be larger than estimated. However, due to the strong tourism in the industry, the city’s businesses service thousands more than the city’s population each year, frequently making commercial investments a strong bet for Thunder Bay real estate investors.
If you are interested in learning more about this distinct real estate market and how it holds to potential for excellent real estate investments if the right investor dedicated their time and effort into it, then let’s dive in.
However, before we dive in if you would like to learn more about Thunder Bay real estate and how you can finance strong investments in the Thunder Bay real estate market, click the link below t book a free strategy call with our team at LendCity.
Tourism and Exploration Drives Thunder Bay Real Estate
One of the driving forces for commercial real estate investors in the city is the strong tourism sector that fills and surrounds Thunder Bay and its surrounding communities. After all, not only does the city sit comfortably along the beautiful Lake Superior, but to the south lie the Nor’Wester Mountains – a popular destination for skiers, snowboarders, and climbers alike.
So, investors who are looking to capitalize on the tourism industry in the region need to consider the following types of investments when forming their plan.
First, travellers and tourists require accommodations for their travels, this means hotels and commercialized short-term rentals have a natural demand. However, you will need to consider the local competition and aim to make your rental more appealing then surrounding competitors.
Travelers also need to find places to obtain key essentials such as food and supplies that they may need. So, appealing restaurants, bars and specialty retail properties may serve as a strong investment. Ideally, when doing this you should aim to embrace the local culture – after all tourists are looking to have a unique local experience.
You may also wish to consider entertainment and recreational real estate if you have the means to create something that tourists and locals alike will be attracted to. This could range from all sorts of properties but what is most important is that you do the research to ensure that it is something the community is actively demanding.
Investing in a Knowledge Economy
On top of the thriving tourism sector, Thunder Bay is a knowledge economy, that means that many of the jobs and driving forced for the city’s economy are in knowledge-based fields. In this case, that means that there is a strong dedication to medical research, practice, and education in the city.
So, if you are interested in investing in research facilities, medical offices, labs, or school/study space, the Thunder Bay real estate market will be quite welcoming.
After all, the city is home to some of the largest and most prominent medical research facilities in Northwestern Ontario at the Northern Ontario School of Medicine and the Thunder Bay Regional Health Research Institute. So, offering additional facilities so that people who are studying and branching off from these institutions can be beneficial.
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Priority Sectors
Immigration Northwester Ontario has published a list of some of the priority sectors for investment for Thunder Bay and the rest of Northwestern Ontario based on the economic, industrial, and cultural needs of the region.
This list includes:
- Forestry and Value-Added Wood Products
- Mining and Minerals Extraction
- Environmental Technology
- Renewable Energy
- Farming
- Biotechnology and Health Sciences
- Innovation and Technology
- Farming
While this is not an exhaustive list of everything the community needs, it provides a clear picture of what is currently in demand in the area and what local supports are prepared to assist you with in order to help you and the community grow and thrive together.
Development and Investment Incentives
For investors looking to develop in Thunder Bay, they are in luck because the municipal, provincial, and federal governments all offer incentive programs to help them invest and grow in a successful way.
For example, to assist downtown investors and developers the city offers the Downtown Financial Assistance Program, to help redevelop and improve properties in the city’s core.
There are also incentives to bolster the mining sector, research and development industries and bolster heritage property restoration and investment.
Investing in an Aging Market
One of the important things to remember about the market in Thunder Bay is that one in five residents are estimated to be above the age of 65. This means that when you are developing your investments and strategies, you should be even accommodating and aware of seniors and retirees when compared to other real estate markets.
Thunder Bay Real Estate – A Unique Experience
Thunder Bay is a largely unique market with plenty of standout locales and attractions that make it unlike anywhere else in the province. So, when you are planning to invest into this market you need to consider the unique nature of the city and use it to your advantage.
That is why at LendCity, our commercial financing team is here to ensure that you are getting unique and creative financing options that suit your investment strategy, the property at hand and the region at large. This is accomplished by assessing your goals and investment history as well as the specifics of the property and its location to match you with the best lender for the job.
To get started and learn more today, visit us at LendCity.ca or give us a call at 519-960-0370.
Thunder Bay Real Estate Professionals
Here is a list of trusted real estate professionals that service the Thunder Bay real estate market.
Mortgage Brokers
LendCity Mortgages
If you would like to learn how to properly finance your Thunder Bay real estate investments, click the link below to book your free strategy call with us at LendCity today.