Steve Carlisle is from Woodstock, but who is Steve Carlisle?

President of General Motors Canada tours Western University in London
Ingersoll's CAMI is busy building the Equinox model for GM

By Mark Schadenberg

Did you know that Steven Carlisle is from Woodstock?

Carlisle attended Eastdale school on Alice Street, and then Oliver Stephens public and College Avenue Secondary School. A brilliant auto industry and business mind, who grew up right here in Woodstock.

Steven Carlisle

Carlisle is GM Canada president

General Motors has had a long solid tenure in Oxford County – both with the parts distribution centre in Woodstock on Parkinson Road and the CAMI Automotive manufacturing facility in Ingersoll.

All reported sales results note that the Chevrolet Equinox is a very popular family vehicle. I heard a story today on the radio noting that 250 Equinox frames are sped down the 401 to Oshawa almost daily to be assembled there.

A story on CTV London on Friday discussed the fact that CAMI has 2,700 employees working on a six-day schedule to meet demands.  

CAMI in Ingersoll is so busy job security in Oshawa will likely be improving, as pointed in a London Free Press (LFP) story which was printed to explain an update on talks between GM and Unifor Local 88. I have great respect for the efforts of Ingersoll union chief Mike VanBoekel and his crew. Read the link below as penned by Norman DeBono of the LFP. As I have never worked on any type of an assembly line I will not pretend to create any analogy or comparison of work timetables in that environment except to note that it is important employees are paid proper compensation for hours worked and that safety would be the first concern if it was decided to increase production without increasing the size and abilities of the workforce.     

Mike VanBoekel

I guess I should get back to my opening paragraph. Steve Carlisle is the president of GM Canada and it’s interesting to see the relationship between Unifor talks with GM in the press on the exact same day Carlisle is in London at Western University to meet with a group of mechanical engineering students to discover the brilliance of a new generation of soon-to-be university grads. The TV story featuring Carlisle is also linked below.  

The 53-year-old Carlisle, who was a grad of the (systems design) engineering program at the University of Waterloo and began working as co-op student at GM back in 1982, has been president and managing director of GM Canada since November of 2014.

After earning a Master's degree in business administration at the Massachusetts Institute of Technology (MIT), Carlisle began compiling his GM resume, which you can see from his attached biography includes important positions around the globe for General Motors.

I find it interesting to note that in the world of shared resources there is a Woodstock Sentinel-Review link below written by the LFP, and the quickest connection I could find to a January 2016 story about a round of new hirings at CAMI was a Sentinel story appearing in the LFP. At the time, CAMI was essentially recruiting skilled trades for many departments, including electricians.

In Oxford, the success of CAMI and Toyota keeps the economy’s wheels turning in this region. Oxford has its role in the national auto scene with the accomplishments of Carlisle and VanBoekel, and let’s not forget former CAW boss Bob White was also from Woodstock.  

LINKS:

http://london.ctvnews.ca/video?clipId=832007

https://www.youtube.com/watch?v=Y8GHhiTNyuo

http://www.gm.ca/gm/english/corporate/about/ourcompany/board

http://www.gm.ca/gm/english/vehicles/chevrolet/equinox/overview

http://www.woodstocksentinelreview.com/2016/03/18/agreement-between-gm-and-unifor-local-88-could-save-jobs-at-oshawa-plant

http://www.lfpress.com/2016/01/24/gms-ingersoll-cami-plant-looking-to-hire-assembly-line-and-skilled-trade-workers

http://www.woodstocksentinelreview.com/2015/01/22/woodstock-native-steve-carlisle-visits-cami-plant-as-president-of-general-motors-canada

http://www.thestar.com/business/2014/11/20/stephen_carlisle_new_head_of_general_motors_canada.html

http://www.theglobeandmail.com/report-on-business/gm-canada-names-stephen-carlisle-new-president/article21665672/

Mark Schadenberg, Sales Representative

Senior Real Estate Specialist (SRES designation)

Royal LePage Triland Realty Brokerage

757 Dundas St, Woodstock

www.royallepagetriland.com

(519) 537-1553, cell or text

Email: mschadenberg@rogers.com

Twitter: markroyallepage

Facebook: Mark Schadenberg, Royal LePage Triland

Discussion . . . Direction . . . Determination . . . Destination

Steel Technologies to expand its Woodstock facility by about 64,000 sq ft

Company expected to hire 15 full-time to its Beards Lane manufacturing location
Queen's Park contributes a grant of $855,000 to expansion project

By Mark Schadenberg

A Woodstock manufacturer will be hiring and expanding thanks to a grant from the provincial government.

Steel Technologies Canada Ltd. receives more than $850,000 from Queen’s Park as announced earlier this week by Guelph-area MPP Liz Sandals.

The press gathering included Woodstock mayor Trevor Birtch who saw first-hand how important investment from Japanese companies can be when he visited Japan recently as part of a southern Ontario contingent.

"I am pleased with (this) announcement and am thrilled to see a local company continue to innovate so that they are ready for the next generation of manufacturing. On my recent business mission to Japan we visited with Mitsui to express our appreciation and pledge support to any future investments they may be considering which now makes this announcement even more special," said Birtch on Heart FM. 

Trevor Birtch

Steel Technologies supplies steel products to the automotive industry – to Toyota and Honda, but also to Ford, General Motors and Chrysler as well.

The source of the investment is the Southwestern Ontario Development Fund, noted Sandals.

"What we're specifically looking at is, number one, will the investment protect the jobs that are already in the company and grow the number of jobs because we're all obviously concerned about employment," Sandals said in a Woodstock Sentinel-Review story. "Is the investment going to beef up the technology that the plant is using? ... We also look at if this allows the company to maintain or expand its markets and, in this case, they'll be able to double production. 

"Short answer is, they met all of the criteria for receiving a grant."

The Woodstock location is on Beards Lane and opened its doors in 2008, while the company also has a production facility in Cambridge, and was founded in 1971 in Kentucky. According to the Steel Technologies website in the company timeline, it is noted that Mitsui and Steel Technologies merged in 2007. 
Steel Technologies plays a significant role in the automotive industry, but is also contributing products to other industrial sectors such as agriculture, HVAC, other construction materials, and household appliances.

The expansion at the Woodstock location will include an addition of more than 64,000 square feet to its current facility. The press clippings noted that the Woodstock location will hire 15 more full-time employees.

LINKS:

http://www.woodstocksentinelreview.com/2016/03/16/ontario-government-provides-855000-plus-grant-to-steel-technologies-canada-ltd-in-woodstock

http://www.1047.ca/news/local-news/steel-technologies-in-woodstock-accepts-provincial-grant/

www.steeltechnoligies.com

www.cometothecrossroads.com

http://cometothecrossroads.com/news-mobile/189-ontario-partnering-with-steel-technologies-to-expand-and-create-jobs-in-woodstock-province-investing-in-advanced-manufacturing-sector

Mark Schadenberg, Sales Representative

Senior Real Estate Specialist (SRES designation)

Royal LePage Triland Realty Brokerage

757 Dundas St, Woodstock

www.royallepagetriland.com

(519) 537-1553, cell or text

Email: mschadenberg@rogers.com

Twitter: markroyallepage

Facebook: Mark Schadenberg, Royal LePage Triland

Discussion . . . Direction . . . Determination . . . Destination

Ontario Trails Act hopes to define permanent parameters for trail creation

Everyone loves hikes through nature

Queen's Park had second reading of Bill back on Feb. 18

By Mark Schadenberg

Everyone loves nature.

Trails through nature are great for the environment as green space can be the life and breathe around communities – trees and recreation, flora (plants and their roots) and fauna (animals and many other assorted critters).

Trails are multi-use as they are terrific recreation for walkers, long-distance hikers, joggers, cyclists, horse-back riding, 4x4 riders, nordic skiing and snowmobiles. I’m not a fan of motorized vehicles on public lands as erosion can be a huge negative.

Currently the province of Ontario (Ministry of Transportation) is attempting to meld a series of laws, bylaws and guidelines into one law (Bill 100). This law would affect municipalities, counties, land owners, cycling clubs, snowmobile clubs, conservation authorities, environment associations, cottagers, and many many other interest groups.

However, one set of rules for everyone makes sense.

In the case of a land owner – often a farmer – there needs to be exact parameters defined and signatures on an agreement to permit anyone wanting to have a right-of-way (It’s trespassing without an agreement with a land owner of course) over any property.

The Ontario Trails Act 2015 (Bill 100) had its first reading last May and its second reading in Queen’s Park on Feb 18, 2016.

It’s the minister of Tourism, Culture and Sport – Michael Coteau, who is spearheading this blanket-covering legislation. I haven’t read every word of the proposed law, but must suggest it’s a great idea, but at the same time it’s going to be difficult to combine all land situations in Ontario under one trails umbrella as the land on the border of farm land and the Thames River in Oxford County can not be compared to a vast trail system in the hinterland north of Kenora, or abandoned railway lines scattered around Ontario, or for that matter a relatively secluded nature trail near the Don Valley in the metropolis we call the GTA.   

In the mean time, as snow disappears be sure to check out the spectacular trail system around Woodstock. If you ride a bike – go to The Pines and also be sure to buy a membership with the Woodstock Cycling Club.

LINKS:

http://www.woodstocksentinelreview.com/2016/03/06/trails-bill-would-provide-a-single-set-of-rules

http://www.ontla.on.ca/web/bills/bills_detail.do?locale=en&BillID=3338

http://thamesriver.on.ca/parks-recreation-natural-areas/

http://www.manitoulin.ca/2016/02/10/landowners-group-feels-snowmobile-trail-rights-of-way-could-compromise-land-use/

http://www.ontariolandowners.ca/news/bill-100-by-tom-black/

http://www.ontariolandowners.ca/news/ontario-government-proposes-easements-on-private-property-to-support-ontario-trails-by-shirley-dolan/

http://www.mto.gov.on.ca/english/engineering/management/corridor/snowmobile-trails-highway-guideline-2014.pdf

www.woodstockcyclingclub.ca

Mark Schadenberg, Sales Representative

Senior Real Estate Specialist (SRES designation)

Royal LePage Triland Realty Brokerage

757 Dundas St, Woodstock

www.royallepagetriland.com

(519) 537-1553, cell or text

Email: mschadenberg@rogers.com

Twitter: markroyallepage

Facebook: Mark Schadenberg, Royal LePage Triland

Discussion . . . Direction . . . Determination . . . Destination

Bank Of Canada interest rate unchanged in March

Stephen Poloz announces that the rate will remain at 0.5%

Several factors could eventually lead to an increase in borrowing charges

By Mark Schadenberg

Since it’s safe to say Gary Bettman is the top economic person in pro hockey circles, then it can also be said Stephen Poloz is the most important individual in Canada’s economy.

Interest rates are defined by the Bank Of Canada and its governor Stephen Poloz is the economic brain trust’s authority. On Tuesday, it was announced that the Bank Of Canada lending rate would remain unchanged at 0.50%. That number has been unchanged since last July, and obviously banks base their mortgage rates on today’s percentage indicated by the Bank Of Canada, but also on the future trends of attempting to forecast the money market two years and five years down the road.

The stability in the interest rate is great news for anyone borrowing money, but not so good news for people looking for ultra safe places to save money.

With the Canadian dollar faltering around 74 - 75 cents, is it safe to say the Bank Of Canada will not lower the interest rate in the very near future. The dollar versus the U.S. greenback is so important because the vast majority of our nation’s exports are shipped to the U.S.

Stephen Poloz

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Bank Of Canada statement:

An assessment of the impact of the upcoming federal budget’s fiscal measures will be incorporated into the Bank’s April projection. All things considered, the risks to the profile for inflation are roughly balanced. Meanwhile, financial vulnerabilities continue to edge higher, in part due to regional shifts in activity associated with the structural adjustment underway in Canada’s economy. The Bank’s Governing Council judges that the overall balance of risks remains within the zone for which the current stance of monetary policy is appropriate, and the target for the overnight rate remains at 1/2 per cent.

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There is a federal budget to be published by Parliament Hill on March 22, so it’s unknown if the next rate announcement on April 13 could see an alteration based on economic indicators and stimulating spending, and overall planned deficit levels. New spending could be projects surrounding the Canada 150 celebrations of 2017.

The worldwide price of crude oil is also a factor in the overall health of our nation’s economy and any expectation for growth.

The Globe And Mail piece below notes that the fourth quarter results of the Gross Domestic Product were higher than earlier predicted results, and that inflation levels are at or about guesstimates.

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From The Globe And Mail story:

“The Bank of Canada tried to say as little as possible today as it waits to see what stimulus the federal budget delivers,” CIBC World Markets said in a research note.

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A quick look at amortization charts and interest rates proves that with low interest rates it’s much easier to carry large amounts of debt in total monetary value

Interest rate and monthly payments on a $200,000 mortgage on a 5-year fixed rate based on a 25-year amortization.

3.0       $946.00

4.0       $1052.00

5.0       $1,163.00

6.0       $1,280.00

The reverse of this mathematics would indicate that if your lender suggested you could afford monthly payments of $1,163 based on both your total debt service ratio and gross debt ratio, you could afford payments on a $200,000 mortgage, but the answer would switch to ‘No’ if the best interest rate you could negotiate was 6.0%.

See calculator at: www.canadamortgage.com

It’s always a learning experience to delve into any economic announcement, but as a Realtor, it’s the outlook on interest rates which is always most interesting as some areas of the economy may require stimulus, while real estate sectors in the Vancouver and Toronto regions also need to be tempered or at least watched closely.

If you’re currently in the market for a mortgage, including re-financing your home as maybe your current mortgage is due for renewal, contact me for a list of names of people to contact. Keep in mind, you should (must) pre-qualify yourself before house hunting, but the additional reminder is that all lending institutions MUST qualify you based on the current 5-year fixed rate.

By the way, cash back mortgages are still attainable, but the caveat still continues that your interest rate will be higher.

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Christopher Ragan - associate professor of economics at McGill University in Montreal and a research fellow at the C.D. Howe Institute in Toronto. As published in The Globe And Mail. Full story below

For the six years after 2008, many Canadians recognized the aggressive actions taken by the Bank of Canada to stimulate our slumping economy. With the dramatic decline in the world price of oil over the past 18 months, many seem to expect equally aggressive actions. But they shouldn’t – instead, they need to recognize the genuine limitations of monetary policy.

Let’s begin with what monetary policy can do very well. When the Bank of Canada expands or contracts its balance sheet, it exerts a powerful influence on market interest rates, ranging from the overnight interest rate to yields on longer-term bonds. Such movements in market interest rates, which affect all regions and sectors, lead to changes in aggregate demand that, in turn, drive movements in real GDP.

When Canadian households are pessimistic about the future and reluctant to spend, lower interest rates on lines of credit can lead them to increase their spending, and lower mortgage rates can induce them to purchase new homes. Similarly, when Canadian firms are reluctant to expand their operations because they lack confidence about the future, lower interest rates can induce them to make new investments.

These are exactly the conditions we faced between 2008 and 2014. The global financial crisis led to a widespread and long-lasting collapse in confidence, and the bank responded appropriately with significant and sustained interest-rate reductions. . . .

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BANK OF MONTREAL

As the average Canadian treads water to pay mortgage payments and save for retirement years, it’s always interesting to read about the compensation received by some high-ranking corporate folks, including the story about the coins collected by David McKay to operate the Bank Of Montreal as CEO. Some of these pay packages are more than just excessive – likely in the range of 10 times more than what a person should be able to earn.

Read to story linked below, but McKay earned more than $10 million in fiscal year 2015. McKay – as the story points out – played a significant role in the bank Of Montreal purchasing the U.S.-based financial institution called City National Corporation.

LINKS:

http://www.theglobeandmail.com/report-on-business/economy/interest-rates/bank-of-canada-holds-rates-steady/article29099379/

http://www.thestar.com/business/2016/03/09/bank-of-canada-keeps-interest-rate-at-05-per-cent-ahead-of-budget.html

http://www.bankofcanada.ca/2016/03/fad-press-release-2016-03-09/

www.canadamortgage.com

OPINION COLUMNS

http://www.theglobeandmail.com/report-on-business/rob-commentary/we-should-be-thankful-stephen-poloz-understands-monetary-policys-limits/article28838323/

http://www.thestar.com/business/personal_finance/2016/03/09/low-interest-rates-have-given-us-too-much-of-everything-mayers.html

RELATED STORY:

http://www.thestar.com/business/2016/03/09/royal-bank-of-canada-ceo-gets-a-44-pay-hike-to-10m.html

Mark Schadenberg, Sales Representative

Senior Real Estate Specialist (SRES designation)

Royal LePage Triland Realty Brokerage

757 Dundas St, Woodstock

www.royallepagetriland.com

(519) 537-1553, cell or text

Email: mschadenberg@rogers.com

Twitter: markroyallepage

Facebook: Mark Schadenberg, Royal LePage Triland

Discussion . . . Direction . . . Determination . . . Destination

February pace in WIDREB sales was about average

Woodstock-Ingersoll district 'inventory' of listings still very low

Average price of a home in February was $254,248

By Mark Schadenberg

Buyers are frustrated and sellers are happy.

The adage in real estate about listing with the correct price is always true, but with the market in its current state, if your listing price is maybe tweaked slightly below market value, you will receive more than one offer and likely sell for much more than you expected. This could always be a gamble though.

Sharpen your pencil and list at the right price after a market analysis on your home compares to others which have recently sold, but be sure to factor in depreciated elements including flooring, furnaces, your roof, bathrooms, and kitchen. It is sometimes considered good strategy to attach a very attractive list price as an asking price too high in our current market will be noted quickly as a good house in a good location and with the right price should be sold in less than three weeks.

Good news for the seller, but not necessarily good news for buyers.

Market value in its simplest of terms is 'What someone is willing to pay for a property.'

WIDREB Last Month

February sales in the Woodstock-Ingersoll district area (WIDREB) were not spectacular, but when you consider available inventory, sales were brisk.

Sales last month were 84, which was down 3.4% from February of 2015.

I’ve never truly liked the method in which the ‘inventory’ number is calculated, but what the stat determines is exactly what I’ve stated about the need for good marketable listings. In February of 2016 it was calculated there was a 3.9 months of available inventory versus 4.7 in February of 2015. This abacus analysis basically says: how long would it take to sell the current total listings based on the current sales pace. This numerical guess assumes there will be no new listings, so automatically it’s logically flawed but is still a good monitoring bar.

The etched-in-concrete stat from WIDREB is that there 324 active residential listings as Feb 29th hit midnight – a decrease of 20.8% from the end of the second month of 2015.

By the way, the average sales price continues to climb upward, which means even if you’re not selling, your house is worth more than it was 29 days ago and 365 days ago. The average price is $254,248 for an increase of 3.5% when compared to February of 2015.

Among the links below is an update on national real estate sales totals. It truly is comparing apples to oranges to grapes to raspberries when you look at our local market and attempt to compare it to Toronto or Vancouver, and then some recent woes of Saskatchewan and Alberta.

In this geographical area of Ontario, however, Brantford, K-W and London are also in the midst of brisk sales.

The London – St Thomas board is one I follow closely as it’s further from the GTA (not closer) and our Royal LePage Triland head office is in London. The LSTAR area saw an increase of 21.9% over a slow February of 2015. With 652 sales in February and 1,146 new listings (19% decrease in new listings) you can see that the London area market is almost 10 times the size of Woodstock-Ingersoll (WIDREB).  

"According to the Canada Mortgage and Housing Corporation's forecast, sales are expected to grow more than new listings in 2016," says LSTAR president Stacey Evoy of Royal LePage Triland. "If you're thinking of putting your home on the market, this would be a great time to do that."

Evoy did point out that there were 39 sales reported on the leap day, which would somewhat contribute to the massive increase.
Also included below is a link to a London Free Press related story talking about home construction.

HUGE INCREASE

In Kitchener-Waterloo, which does include New Hamburg, Baden, Ayr and other nearby communities, the results for February were up more than 40% from February of 2015 with 452 transactions. That total is also 18.6% higher than the 5-year average. Single detached homes in K-W now sell for $419,000 on average, which is a 1-year gain of 7.7%.

I’m always impressed with how quickly WIDREB posts its new monthly numbers. As you will see from some of the links below, the Canadian Real Estate Association (CREA) totals below often still include end-of-January results.

  

LINKS:

www.widreb.ca

www.realtor.ca
http://www.lfpress.com/2016/03/06/despite-building-dip-economy-looks-good
http://www.crea.ca/news/canadian-home-sales-rebound-in-january/

http://creastats.crea.ca/brnt/

http://creastats.crea.ca/lond/

http://creastats.crea.ca/camb/

http://creastats.crea.ca/huro/

Mark Schadenberg, Sales Representative

Senior Real Estate Specialist (SRES designation)

Royal LePage Triland Realty Brokerage

Twitter: markroyallepage