2011 MEGAPOLITAN SYMPOSIUM

Growth and Change in the Region and the Canadian Urban System

Dr Tom Hutton [email protected]

Centre for Human Settlements School of Community & Regional Planning University of British Columbia Vancouver Québec City – 23-28 August 2011 2011 Megapolitan Conference Purpose and Outline

1. Present profile of processes of growth and change in the Canadian urban system

2. Canadian cities in context: in what ways do they follow ‘structural’ (or general processes) – and in what ways are there important factors of contingency? (location, development history, culture, urban scale, policy and planning)

3. Case study of Vancouver: processes and experiences of structural change since the ‘decisive decade’ of the 1980s (contraction of resource economy, major immigration inflows, Expo ‘86, major capital projects, important planning events) 2011 Megapolitan Conference Project Background for Presentation Multilevel Governance in Canada (PIs: Robert Young and Andrew Sancton, University of Western Ontario: PI)

Innovation Systems Research Network: Innovation and Creativity Canadian City-Regions (PIs: David Wolfe and Meric Gertler, University of Toronto)

National Research Cluster: Beyond the Postindustrial City (PIs: Larry Bourne, University of Toronto, and Tom Hutton, UBC)

Remaking Vancouverism (Jamie Peck, Elvin Wyly, Trevor Barnes and Tom Hutton

A Tale of Two Cities: A Comparison of Vancouver and Seattle (Trevor Barnes and Tom Hutton) 2011 Megapolitan Conference Canadian Cities in a Global Context Commonalities: similarities with other ‘advanced’ urban societies 1. Ongoing processes/experiences of industrial and socioeconomic restructuring (importance of specialized services, technology, rise of the cultural economy and creative workforce, competitive pressures on manufacturing = tends to favour the larger metropolitan cities) 2. International immigration and multiculturalism (impacts on the economy, labour and housing markets, identity and ideas of citizenship in a globalizing urban world) 3. Demographic factors (aging population, changes in family size and structure, gender issues) 4. Governance and policy (political and financial pressures on higher level of government , shift to ‘multilevel governance’ in many policy fields) 5. Critical policy challenge: pressures of competition – search for competitive advantage, versus sustainable development – imperatives of ecological stewardship and social justice 2011 Megapolitan Conference Canadian Cities in a Global Context

Contrasts: in what ways are Canadian cities ‘different’? 1. National development history context: primary and legacy effects of four centuries of resource economy – fish, furs, forestry, agriculture, energy: impacted patterns of urban growth, including early dominance of Montreal and Toronto as industrial/financial centres, and dispersed pattern of smaller urban centres in the resource ‘periphery’ (Harold Innis 1930s) 2. Geography of urbanization: Canada’s urban system dispersed over 5,000 kilometres from East to West – cities tend to be spatially separated (unlike Europe or U.S. eastern seaboard) 3. Distinctive governance structure and culture: nature of Canadian constitution and federalism since 1967; unique quality of official bilingualism and changing mosaic of multiculturalism 4. Strength of economic and social linkages with the U.S.: many attempts to diversify since the Trudeau years; but co- and inter-dependency of markets about as strong as ever (Auto Pact, NAFTA, importance of geographical proximity 5. Relationships with provincial governments: Canadian cities lack formal constitutional recognition, and are thus ‘creatures’ or ‘captives’ of provincial governments 2011 Megapolitan Conference Patterns of Growth and Change within the Canadian Urban System: Commonality, Convergence. . . or Divergence?

Similarities: there are important common features, shaped by development histories, federal programs, national culture, ‘Canadian values’, transportation and communication linkages

Divergence the major pattern? Canadian cities are in many ways becoming more ‘different’ (in terms of growth rates, industrial and labour market structure, prices and performance of housing markets, images and identity), owing in part to: local effects of globalization, changes in federal-provincial policies, programs and taxation and expenditure patterns, socio-ethnic consequences of contrasting sources of immigration Figure 1 Urban shares of Canada’s population. Figure 2 External influence: Exports and immigration Figure 3 Cross Border Air Passenger Flows, 1999. Figure 4 Sources of Immigration Figure 5 Foreign-Born Population, Selected North American Cities Figure 6 Percentage of Population (Ages 25-65 and 25 to 34) with a Bachelor’s Degree or Higher, Selected US and Canadian metropolitan Areas, 2006 Figure 7 Employment growth in five industry classes, Canada, 1989-2008 (1989=1.0). Source: Statistics Canada. 2008. Labour Force Historical Review 2008. Catalogue no. 71F004XCB. Ottawa: Statistics Canada. Figure 8 Net domestic migration, 2001-6. Source: Statistics Canada, Census of Canada, 2006. Ottawa: Statistics Canada. Figure 9 Per cent immigration, 2001-6 Source: Statistics Canada, Census of Canada, 2006. Ottawa: Statistics Canada Figure 10 Growth Parameters, 2001-6* Figure 11 Spending by Share Level Government Figure 12 Government Intervention and the Urban System Figure 13 Cumulative Percentage of Jobs and Residents across City-Regions Figure 14a Proportion of households with Figure 14b Proportion of households with incomes above $100,000/year incomes between $20,000 and $99,000 (constant 2000 dollars) (constant 2000 dollars)

Figure 14 Polarization in incomes: From declining middle to ballooning top. (Source: Calculated by the author from Census of Canada, 1981-2006, Custom Tabulations E1171, E982. Figure 15 Average personal income ratios (compared to CMA-wide average) for selected occupational groups, average for all five CMAs. Source: Calculated from Census of Canada, Public Use Microsample Files, 1981, 1991; special interest Tabulations, 2001, 2006. Figure 16 Homeowners getting richer, renters getting poorer: Median income by tenure, 1977-2005, All of Canada (with trend lines added). Source: Calculated by the Alan Walks from CHMC 2001; Census of Canada, 1996, 2001, 2006. Figure 17 High- and low-income neighbourhoods, Toronto, 2005. Source: Created by the author from Census of Canada, 2006. Figure 18 High- and low-income neighbourhoods, Vancouver, 2005. Source: Created by Alan Walks from Census of Canada, 2006. Figure 19 High- and low-income neighbourhoods, Calgary, 2005. Source: Created by Alan Walks from Census of Canada, 2006. Figure 20 Population distribution, case study cities, 2006. (one dot equals 10,000 persons.) Source: Statistics Canada, Census of Canada, 2006. Figure 21 Comparing the Case Study Cities Source: Statistics Canada, Census of Canada, 2006. Figure 22 Employment distribution, case study cities, 2006. Source: Statistics Canada, Census of Canada, 2006. Figure 23 Toronto and Vancouver in relation to Montreal, various indicators, 1971-2006. Figure 24 Employment by Place of Work: Greater Toronto Region, 1971-2006 and 2011-6 (for the Toronto, Hamilton, and Oshawa CMAs)* Source: Statistics Canada, Census 1971 and 2006. * For 1166 census tracts in the three CMAs Figure 25 The Changing Occupational Structure of Jobs in Toronto’s Downtown (CBD) core and the Toronto CMA, 2001-6 Source: Statistics Canada, Census 2001 and 2006. Place of work data, special tabulations (excluding those with no usual place of work) Figure 26 Employment Shares in Manufacturing and High-Order Services, Selected US and Canadian Metropolitan Areas, 2007 2011 Megapolitan Conference Case Study of Vancouver Vancouver as ‘outlier’ in the Canadian urban system, in terms of geography, development history (centre of provincial resource economy), regional setting (‘Pacific North West’ = ‘Cascadia’)

Strategic reorientation as node of Asia-Pacific capital circuits, trade, travel, culture and society since the 1980s

Widely viewed as ‘planning exemplar’ – commitments to protecting ‘green’ and ‘blue’ ecological assets, major investments in transit, strength of communities and neighbourhoods, success of Central Area Plan in residential reconstruction of the core; but also pressing issues: housing affordability, income gaps, pressures on the environment , question of economic future?

To follow: selective presentation of ‘multiscalar change’ – (1) major or ‘strategic’ transformations , and (2) changes in the metropolitan core: planning, land use, housing and economy, imageries and the built environment 2011 Megapolitan Conference Vancouver Case Study: Contextual Features 1. Regional setting within ‘Cascadia’ ( = Joel Garreau’s ‘Ecotopia’ in his ‘nine nations of North America)

2. Structure of metro/local government in Vancouver

3. Defining processes of change since the 1980s: a) ‘post-staples’ development – decline in Vancouver’s resource economy roles b) ‘post corporate’ economy - loss of head offices, and rise of Vancouver’s ‘entrepreneurial SME economy’ c) ‘multiculturalism and transnationalism’ – comprehensive shifts in land and housing markets, enterprise structure, communities and neighbourhoods, identities and social practices Vancouver in the ‘Cascadia’ Regional Context Metro Vancouver and its Constituent Municipalities

The 22 municipalities are the basic units of local government in the Vancouver City-Region Metro Vancouver and its Constituent Municipalities

The 22 municipalities are the basic units of local government in the Vancouver City-Region Developmental Context: Trajectories of Urbanization and Urbanism in Vancouver, 1980s to the present

1. High growth since the deep recession of the early 1980s: pressures on the land base 2. Post-staples /postindustrial development trajectory 3. ‘Urban transnationalism’ as defining trajectory: sustained high levels of immigration 4. Comprehensive social change: multiculturalism and rise of a ‘new middle class’ of professionals, managers, entrepreneurs – putative rise of the ‘creative class’? 5. Exemplary planning and local policy models: notably in the metropolitan core

2011 Megapolitan Conference – Québec City Post-staples Vancouver

Downtown Vancouver and , 1977

Downtown Vancouver and False Creek, 2007 Post-corporate Vancouver

• US resource corporations leave Vancouver from the late 1970s. • MacMillan Bloedel head office reduced from 11 floors to 1 by 1999. • Vancouver loses 30% of head office jobs between 1999-2005. • Conversion of head offices into condominiums.

“The Qube” formerly known as “The Westcoast Transmission Building,” W. Georgia Street, Vancouver Transnationalism: Asia Vancouver

• Vancouver historically connected to Asia even before the beginning. • 2006 18.2% of Metro Vancouver’s population is ethnic Chinese (3/4 born outside Canada), 9.9% S. Asian (2/3 born outside Canada). • Business Immigration Programme: “a source of capital but also as pioneers of high technology and value-added production for export” (David Ley, 2003) Punjabi market, Main Chinatown, Main and and 49th, Vancouver Georgia, Vancouver Table 1 Employment by Industry for Greater Vancouver, 1996, 2001, 2006 Annual averages (thousands of employees) 1996 2001 2006 Total employed, all industries 946.5 1,039.1 1,187.1 Goods producing sector 182.2 176.2 211.9 Agriculture 5.9 6.6 10.0 Forestry, fishing, mining, oil and gas 10.0 5.6 8.1 Utilities 5.3 5.5 3.7 Construction 59.4 53.5 85.3 Manufacturing 101.6 104.9 104.7 Services producing sector 764.3 862.9 975.2 Trade 152.0 165.7 191.8 Transportation and warehousing 58.1 66.8 67.6 Finance, insurance and real estate 78.2 77.8 88.0 Professional, scientific, & technical 74.1 95.8 112.0 Business, building, & support services 37.6 42.7 54.5 Educational services 55.8 72.5 92.4 Health case and social assistance 88.6 96.1 115.8 Information, culture and recreation 50.4 66.3 70.3 Accommodation and food services 74.6 84.9 86.9 Other services 45.3 52.8 52.7 Public administration 49.5 41.4 43.3

Source: Statistics , , p p ()

TABLE 2 INDUSTRY CHARACTERISTICS: VANCOUVER CMA 2006

Industry % of Labour Force % Change 2001-2006 % BA or Higher Average FT Income ($2005)

11 Agriculture, forestry, fish. & hunt 1.2 4.7 11.2 39,529 21 Mining & oil/gas exploration 0.4 95.1 46.2 119,659 22 Utilities 0.5 -8.1 36.0 71,719 23 Construction 6.4 36.4 10.9 54,693 31-33 Manufacturing 8.5 -1.3 18.8 53,726 41 Wholesale trade 5.4 10.1 23.2 57,353 44-45 Retail trade 10.9 7.2 17.3 41,078 48-49 Transport & warehousing 5.7 -0.2 15.5 53,723 51 Information & cultural 3.7 -5.0 34.4 65,147 52 Finance and insurance 4.8 2.8 37.6 70,219 53 Real estate/rental & leasing 2.6 19.6 27.4 62,014 54 Prof., sci. & tech. services 9.3 17.2 54.3 69,168 55 Mgmt. of companies 0.2 123.8 39.0 98,315 56 Admin./support & wst. mgt. 4.7 18 19.5 38,330 61 Educational services 7.2 11.7 66.0 53,292 62 Health care and soc. assistance 9.3 7.8 37.3 52,487 71 Arts, entertainment & rec. 2.4 13.7 28.4 40,848 72 Accom. & food services 8.0 12.3 12.5 29,928 81 Other services 5.1 14.4 21.0 38,960 91 Public administration 3.8 -1.1 36.6 61,063

All industries 1,150,490 9.6 29.0 53,995 2011 Megapolitan Conference

Multilevel Governance and Vancouver’s Development

Since the 1980s especially Vancouver has benefitted from major capital investments on the part of senior government (Government of Canada and Government of the province of British Columbia), including ‘linked projects’:

1980s: Expo ‘86 World’s Fair and the 1st Rapid Transit (Expo) line linking the downtown with the southeastern suburbs

21st century: Vancouver 2010 Winter Olympics and the construction of the ‘Canada Line’ rapid transit system Canada Line Route: Vancouver 2011 Megapolitan Conference

Planning and Development at the Local Level: The Reconstruction of the Central Area 1. Distinctive mix of global/market actors, social forces and local government in the redevelopment of the Central Area over the last four decades 2. Benchmarks: False Creek South residential redevelopment in the 1970s; Expo’ 86 and sale of Expo lands to Li Ka-Shing and Cheung Kong Holdings (HK); Concord Pacific ‘Urban Mega-project’ in False Creek North; the Central Area Plan (1991) and the shift from commercial to residential development (‘Living First’); 2010 Olympics and the Southeast False Creek Olympic Village (attempt to insert ‘sustainability’ values); ongoing policy struggles to locate the ‘optimal’ balance between housing and employment in an inflationary core. Public Policy, Place(re)Making, and Municipal Image-Building

Public Policy and the Re-making/Re-Imaging of False Creek Dialectics of the Market, Social Forces and the State, 1970s-2010 Phase 1: Conversion of False Creek South, early 1970s

• Reflects changing urban social class structures, political affiliation, and planning values of ‘postindustrialism’ (TEAM Council) • Shift from ‘ethic of growth and the production of goods to an ethic of amenity and the consumption of services’ (David Ley 1980) • Important example of multilevel governance in place remaking and image- building: City of Vancouver owned much of the land, developed vision, and exercised development control powers; federal Government also assembled land and other resources Zonal structure of Vancouver’s central area at mid-century. Public Policy and the Remaking/Re-Imaging of False Creek Phase 2. The ‘Hallmark Event’ of EXPO ‘86 and the Globalization of False Creek North in the 1980s • 1986 International Exposition coincident with secular decline in Vancouver’s resource industry ‘vocation’ and roles

• multilevel governance actions served to ‘potentiate’ impacts of Expo ’86 - City Council initially skeptical - Government of BC as lead agency (investments, marketing) - federal Government strong supporter (federal pavilion and other investments) • sale of former Expo ‘86 site to Li Ka Shing : high ‘material’ and ‘symbolic’ value in City’s transformation • formation of Asia-Pacific Initiative and Asia-Pacific Foundation of Canada key multilevel government legacies Public Policy and the Remaking/Re-Imaging of False Creek Phase 3: The Central Area Plan (1991): Exemplar of ‘good public policy’

• bold decision by City Council to eschew ‘incrementalist’ planning approaches in favour of more strategic reallocation of land resources in the core

• ‘Living First’ philosophy consistent with long-established commitment to ‘livability’ and the ‘congenial city’

• achieved through ‘consolidation’ of Central Business District office zone, and ‘privileging’ of land in the inner city for residential development and public amenity

• Central Area Plan also facilitated the emergence of a ‘New Economy’ of specialised industries, upscale consumption, in the core Public Policy and the Remaking/Re-Imaging of False Creek Phase 3: The Central Area Plan (1991): Exemplar of ‘good public policy’

• bold decision by City Council to eschew ‘incrementalist’ planning approaches in favour of more strategic reallocation of land resources in the core

• ‘Living First’ philosophy consistent with long-established commitment to ‘livability’ and the ‘congenial city’

• achieved through ‘consolidation’ of Central Business District office zone, and ‘privileging’ of land in the inner city for residential development and public amenity

• Central Area Plan also facilitated the emergence of a ‘New Economy’ of specialised industries, upscale consumption, in the core The space-economy of specialized production in Vancouver’s metropolitan core, 2007. Victory Square

. Historic banking, commercial and retail core of the original Vancouver townsite

. Decline from the 1970s as the city centre shifts westwards

. Insertion of artists in older housing

. Change in the social morphology, growth in crime and disorder in the Downtown Eastside

. Growth of new institutions for arts and design

. Impact of the Woodwards project: 500 housing units (market and social), SFU Centre for Contemporary Arts, new retail spaces

. Acceleration of transition and change in this historic district Victory Square heritage area and creative industry site. False Creek Flats : fortunes of a New Economy site

. Historic role as site of industrial production, warehousing and distribution

. Decline in the 1970s/80s:

. designated as ‘High Tech Zone’ in City plans of 1999: problems with the process

. Collapse of Tech Economy in 2000 compromised plans for a New Economy site

. Radical Entertainment (major video game publisher, owned by Vivendi, biotech firms, Great Northern Way Campus [degree program in digital design])

. Recent affirmation of City Council effectively extends the new creative production zones of the inner city eastward False Creek flats ‘New Economy’ site, Vancouver metropolitan core. Vancouver as Play Station IV? • Video game industry generated $41.9b worldwide in 2007 • Worth more than Hollywood films, more than global book sales, more than the global music industry (60% of all Americans play video games) • End of 2008 145 firms in BC (more than a 100 in Vancouver, 60 studios), 3500-4000 workers (risen by 1500 in five years) • In BC industry worth $1.5b (New Media BC) Primarily found in inner-city areas of: 1. 2. Victory Square 3. Gastown All former ware-house and retail centres that deteriorated after WW II, but became new industrial spaces from the late 1980s onwards Radical Entertainment:

False Creek Flats, Vancouver Yaletown: Vancouver’s New Economy ‘epicentre’

. Origins as major rail terminus and warehouse district

. Decline in the postwar period

. Stages of transition and succession in the 1980s and 1990s: loft housing, artists, New Economy phase in the late 1990s

. District of high-end housing, and also zone of intensive industrial innovation, as well as high aesthetics, rich consumption amenities

. = peak land values and rents in the Vancouver central

. Cachet of Yaletown: new imageries and reterritorialization of space in the metropolis: Yaletown – New Yaletown – Greater Yaletown : formerly 6 square blocks, now 1/6th of downtown area Distribution of firms, selected industries and ‘reterritorialization’, for Yaletown (2004) Yaletown New Economy site (foreground) and Downtown South condominium district (background), Vancouver. Completions of Space, residential and non-residential categories, for the downtown peninsula, City of Vancouver, 1981-2005. Source: City of Vancouver Planning Department