Gas stations cashing out on Vancouver Real Estate

Vancouver will likely lose more gas stations as land values rise and high density zoning along major corridors in the city encourages more fuel companies to cash out.

Gas stations are typically located in prime areas on corners of major crossroads, and as the opportunity costs of capital that's built within those sites, and how it has been growing over the years, makes sense that the gas stations who are cashing out.

This month alone, Chevron Canada confirmed that it would be selling and closing five more gas stations in Vancouver. They are located at Cambie and West 16th, Oak and West 41st, Broadway and Alma, Cambie and West 59th and West 4th and Macdonald. Of these five, 2 have already ceased operations with deals completed and the other 3 have offers with expectations that they will be closed in the next 4  to 6 weeks.

These sales follow Chevron's previous closures of it downtown station at 1698 W. Georgia St which sold for a reportedly $72 million.

Chevron still has the largest market share in the city and will continue to operate its remaining 17 retail stations in the city.

Chevron's land sales remain unique to Vancouver at this time, and despite skyrocketing land values across Metro Vancouver, there are no plans to sell locations in other municipalities.

While it seems that more people in  Vancouver are walking, cycling and taking transit, its a myth that drivers are using less fuel. Chevron has a certain amount of volume that they can sell, and it's based on what they can produce at their Burnaby refinery dailly. Volumes have increased over the last couple of years in Vancouver and each year there are more vehicles on the road.

Meanwhile, downtown Vancouver is facing the fact of having no gas stations in the downtown core.  Esso's station at Burrard and Davie is currently for sale.

The Esso station at Burrard and Davie is up for sale. The city's West End plan allows for a 300-foot tower on the site.



No comments

Post Your Comment:

Your email will not be published
Reciprocity Logo The data relating to real estate on this website comes in part from the MLS® Reciprocity program of either the Real Estate Board of Greater Vancouver (REBGV), the Fraser Valley Real Estate Board (FVREB) or the Chilliwack and District Real Estate Board (CADREB). Real estate listings held by participating real estate firms are marked with the MLS® logo and detailed information about the listing includes the name of the listing agent. This representation is based in whole or part on data generated by either the REBGV, the FVREB or the CADREB which assumes no responsibility for its accuracy. The materials contained on this page may not be reproduced without the express written consent of either the REBGV, the FVREB or the CADREB.