MANITOBA BUSINESS WEB NEWSWIRE   

Real Estate Prices Fall
The Winnipeg real estate market in February saw its activity fall to 2003 levels which is below 700 units sold, according to WinnipegREALTORS.

While there is no question some buyers, especially ones purchasing homes under $200,000, are being more hesitant this year than last due to global economic uncertainties and a drop in consumer confidence, harsh February weather as a factor in keeping away more buyers than usual.

On the other hand February dollar volume remained strong as the level resulted in the third highest on record. It was only less than 2007 and 2008 - WinnipegREALTORS® only years where MLS® dollar volume surpassed $2 billion. However, the reason for February being as high as it was is due to a clear compositional shift where home sales activity, in comparison to the same month last year, was quite different. Sales in the price ranges under $200,000 were noticeably down whereas sales over $200,000 were only slightly off last year.

Confirmation of a balanced MLS® market is shown in a new chart (see below) that tracks the number of months of MLS® inventory at the end of each month of sales activity. A balanced market is considered to be between 3.5 and 4.5 months worth of supply and we recorded 3.8 months at the end of February. This is an all property type number for the entire WinnipegREALTORS® market territory

Silver Honored
Winnipeg businessman Bob Silver will be honoured by a Jewish organization for his contributions to the Winnipeg community. The Jewish National Fund of Canada (JNF) was founded in 1901. Its efforts are dedicated to the State of Israel. Since its inception the JNF has evolved into a global environmental leader, planting over 240 million trees, constructing more than 200 reservoirs and dams, and developing over 250,000 acres of land, along with creating more than 1,000 parks and providing infrastructure for over 1,000 communities. In honouring Mr. Silver he is being recognized both an active member and a mentor in Winnipeg’s business community. He is President of Western Glove Works, co-owner of the Warehouse One retail clothing chain and part owner of the Winnipeg Free Press daily newspaper and Brandon Sun. He is also a founder of Canterbury Park Capital LP. As an active volunteer in the broader community he chaired last year’s United Way campaign and services as co-chair of the Premier’s Economic Advisory Council, is co-chair of the Winnipeg Library Foundation and board member with the Canadian Apparel Federation and Destination Winnipeg, as well as the founding chair of Grow Winnipeg. Bob also chaired the Smart Park at the University of Manitoba, and was recently appointed to serve as the University of Winnipeg’s seventh Chancellor, beginning July 1, 2009.

Downturn Strategy
With the economic downturn, business owners may be feeling the impact on many of their investment vehicles. Family trusts, holding companies, securities portfolios-as well as the potential loss in value of the business itself-are just a few of the areas that privately held business owners are keeping a close eye on. There are many reasons to be cautious at this time, but opportunities for tax minimization may exist in the lower values just waiting to be taken advantage of.

Kay Gray, CGA, Tax Services, Grant Thornton LLP says, "Where the value of your investment assets is expected to recover and grow, an 'estate freeze' may not only reduce your tax liability, it also has great value as both a financial planning and a business succession strategy. Gray says freezing, re-freezing and income-splitting may sound like complicated matters, but they're really just terms used to describe great opportunities for Canadian business and investment owners. She says it's time to spin the downturn into an upturn in your direction.

"The big freeze", a paper by the firm, offers several estate freeze or re-freeze strategies that could provide positive benefits during these uncertain times. A succession and estate planning specialist can determine if the advantages of an estate freeze or re-freeze can benefit individuals and owners of privately held businesses alike. - News Release Grant Thornton.

More Workers
According to a new study of employment in the city's core about 57,000 people work downtown and another 9,700 could join them during the next 25 years spawning spark the construction of 18 new office towers. The city-commissioned Downtown Winnipeg Employment Study by Toronto consulting firms Altus Clayton and Urban Strategies Inc. was based on Statistics Canada employment data and found Winnipeg ranked third among eight Canadian metropolitan areas in terms of the concentration of jobs based in their respective core business districts. Only Regina and Calgary -- two cities with downtown reputation issues of their own -- had more jobs based in their respective cores. The results are interesting, in that inner-city Winnipeg suffers from a negative reputation due to its relatively large size and relatively small population. Only about 13,000 people reside within the formal boundaries of downtown Winnipeg, giving rise to the perception the area is unsafe because few people are on the street during evenings and weekends.

Tour Gone
THE captain of a riverboat set adrift by a city budget cut will fight for the right to keep plying Winnipeg's waterways. Larry Gillings hopes to convince city councillors to reinstate Winnipeg's river interpretive tours, which are slated to be cut from the 2009 operating budget because some members of Mayor Sam Katz's cabinet no longer consider the voyages a core service. For the past four decades, the city has operated boat tours that focus on the natural and human history of the Red, Assiniboine and Seine Rivers.

Outfitters Concerns
Hunting and fishing businesses say the Manitoba government isn't doing enough to market local outfitters at a time when out-of-province tourists are watching their dollars. Ryan Suffron, executive director of Manitoba Lodges and Outfitters Association (MLOA), said some of his 200 to 300 members have seen less business for the last six years, but this spring and summer will be a bellwether season. He say’s government hasn’t done good job promoting the provincial hunting sector.