NANAIMO REGION ECONOMIC PROFILE TABLE OF CONTENTS EXECUTIVE SUMMARY .................................................................................................................... 4 ABOUT NEDC Mandate, Services ................................................................................................................................................. 5 AREA PROFILE Location, Climate, History ................................................................................................................................... 5 DEMOGRAPHICS 1. Population Trends .......................................................................................................................................... 8 2. Age Breakdown, Age Distribution Projections ....................................................................................... 9 3. Migration ........................................................................................................................................................11 ECONOMIC TRENDS 4. Gross Domestic Product (GDP) ................................................................................................................12 5. Inflation Rate ................................................................................................................................................. 13 6. Exchange Rate .............................................................................................................................................. 14 7. Development Trends ...................................................................................................................................15 • Building Permits ....................................................................................................................................... 15 2 | NANAIMO REGION ECONOMIC PROFILE NANAIMO ECONOMIC DEVELOPMENT CORPORATION • Housing Starts ................................................................ 17 • Major Projects ................................................................20 8. Business Environment .......................................................21 • Business Composition • Leading Employers 9. Labour Market ....................................................................27 • Employment by Industry • Employment by Occupation • Workforce Education Attainment • Labour Force Participation Rate • Unemployment Rate 10. Income ..................................................................................34 • Per Capita Income • Median Income • Income by Source 11. Real Estate Market .............................................................40 Residential ............................................................................40 • House Prices • Rent and Vacancy Rates Commercial ..........................................................................44 • Lease Rates, Vacancy Rates Senior’s Housing ................................................................. 45 12. Tourism Indicators ..............................................................46 INFRASTRUCTURE 13. Transportation & Logistics ...............................................48 14. Taxes and Fees ...................................................................54 15. Utilities .................................................................................57 16. Telecommunications .......................................................... 59 17. Education & Training .........................................................62 18. Government & Community Services .............................70 Appendix A .................................................................................73 Appendix B ................................................................................. 74 Photo credits: Cinnabar Vista Productions/NEDC NANAIMO ECONOMIC DEVELOPMENT CORPORATION NANAIMO REGION ECONOMIC PROFILE | 3 EXECUTIVE SUMMARY Nestled between the mountains and the ocean, Nanaimo is a 15 minute flight from downtown Vancouver or a 95 minute ferry ride from West Vancouver. The economic hub of Vancouver Island, Nanaimo region is easily accessible by sea or air to the lower mainland and the Pacific Northwest. With its talented workforce, extraordinary beauty, enviable lifestyle, first rate infrastructure Nanaimo region is attracting new business and residents to the area. The region’s climate and quality of life inspires migrants from across the country. The region’s population grew by 5.7% between 2006 and 2011. The Nanaimo Regional District is home to 154,572 (BC Stats) residents and is expected to grow by 30% in the next 25 years. Over half of all new residents come from other provinces in Canada and many include working aged families with young children in addition to empty nesters and pre-retirees. Construction activity is strong and continues to thrive as Nanaimo’s economy experiences residential and commercial growth. More people moving here translates into more demand for local products and services. With close to 5,800 businesses licensed within just the City of Nanaimo, the business community has grown by 23% since 2002. More products and services have brought more variety and strengthening of Nanaimo’s role as a regional service Centre for much of Vancouver Island. Nanaimo’s Trade area is over 388, 937 residents. Its companies are unique and offer their products and services, regionally, nationally and globally. Nanaimo region is home to a well-trained, highly motivated, stable and educated workforce. The proportion of Nanaimo residents who have apprenticeship/trades or certificate/diploma is higher than the provincial average. Helping build the human capital of the future is Vancouver Island University (VIU). Located in Nanaimo, VIU is a leader in contract training for business and industry and is instrumental in producing many of the Island’s most qualified and sought-after recruits. VIU provides training in academic, vocational, and technical fields ranging from basic literacy to Bachelor and Master’s degrees. Nanaimo region is well wired for the information highway. Technology companies love the Harbour City because of its fibre optic networks, and access to high-speed telecommunications. All of this with great waterfront ambience and affordable operating costs. At one third the price of Vancouver and roughly half that of Victoria, business owners and employees are often pleasantly surprised at the cost advantages of doing business and owning real estate in Nanaimo. With a full spectrum of housing options, most with spectacular ocean and mountain views, Nanaimo offers the most bang for your buck in real estate. Knowledge based businesses such as the technology sector, sustainable technology sector (Clean Tech and Green Energy) and specialty manufacturing lead the pack right now as the focus for retention, expansion and attraction for new businesses in Nanaimo. The timing has never been better or more exciting to build your business in Nanaimo. For most recent quarterly statistics visit www.investnanaimo.ca 4 | NANAIMO REGION ECONOMIC PROFILE NANAIMO ECONOMIC DEVELOPMENT CORPORATION NANAIMO ECONOMIC DEVELOPMENT CORPORATION (NEDC) The Mission of the Nanaimo Economic Development Corporation is to build a prosperous community through economic opportunity. NEDC is a catalyst for ideas, a connector to realize opportunities and a story teller to share the region’s Economic and Tourism strengths, attributes and success. Nanaimo Economic Development provides advice on business start-up, growth, and relocation. This supports local business retention and expansion, and assists new businesses to establish in the area and attract talent. Our services include: • Business Investment & Attraction • Business Retention & Expansion • Trade Development • Workforce Development • Research and Information AREA PROFILE Map 1: Vancouver Island Location Nanaimo is located on the east side of Vancouver Island off the southwest coast of British Columbia. Vancouver Island is the largest North American island in the Pacific Ocean. The Vancouver Island/Coast region is the second most populous economic region in the province, accounting for 17.3% of the provincial population, covering 9.1% of the total provincial land mass. With a population base of 789,396 (2015) Vancouver Island varies from small rural communities to modern urban centres like Nanaimo. The island stretches approximately 500 km long and 200 km wide, with 3,440 km of spectacular coastline that ranges from rugged to sand swept. Total area for Vancouver Island region is 84,231.41 sq km. With a landmass of 32,261 km, Vancouver Island is comparable in size to the Netherlands. NANAIMO ECONOMIC DEVELOPMENT CORPORATION NANAIMO REGION ECONOMIC PROFILE | 5 Vancouver Island is divided into six regional districts stretching south to north: The Capital District, Cowichan Valley, Alberni-Clayoquot, Nanaimo, Comox-Strathcona and Mount Waddington. The Regional District of Nanaimo (RDN) is the second most heavily populated part of the island. With 154,572 (2015) residents (19% of Vancouver Island Coast total), it trails only to the Capital Regional District in both total population size and density. The RDN is the smallest regional district in geographic size, with just over 2,000 km2 (2% of the total). Regional District of Nanaimo is the 5th most populated regional district in the province of British Columbia. Nanaimo The City of Nanaimo is the second largest urban centre on Vancouver Island. Nanaimo is located on the east side of Vancouver Island, 23