PARADIGM SHIFTING
It’s exquisite outside! How often do we see gorgeous weather all weekend?! Stop reading this and go enjoy some vitamin D and a cool beverage!
Huh, a few of you stuck around, eh?
We’re really excited about the world opening up again, but we’ve noticed a hesitancy, and a resistance in some conversations. Some people are longing for things to “just go back to normal.” Is that really how you want to emerge from the pandemic hibernation?
Paradigm Shift is defined as “fundamental change in approach or underlying assumptions.” (from Oxford Languages and Google).
There is no doubt that for some people, it’s been a long 7 years in Calgary and in Alberta. Todd Hirsch recently published an article to address this, “The State of the Alberta Economy and The Path Forward.” https://www.policyschool.ca/wp-content/uploads/2021/05/AF2_AB-Economy_Hirsch_final.pdf His paper outlines a big picture view of jobs, employment and the Alberta economy.
If we look back, energy sector jobs dropped 30% between July of 2014 and July of 2016. Do we really want to go back to the boom-bust cycle? Mr. Hirsch is suggesting that some of those jobs may never come back, due to efficiencies in the Oil and Gas Business models. Those CEO’s and managers have already shifted their assumptions and changed their day-to-day practices. It’s time for us regular citizens to get on board. For example, we loved this week’s announcement of a huge new solar farm in Vulcan County, Alberta. Renewable energy jobs and the technology sector are growing! (slowly but surely)
How does all this paradigm shifting relate to real estate investors? A diversified economy means much more stability in our rental properties—and possibly growth! Our prime customer demographic, Millennials and Gen Z, value the quality of their life. Good jobs, in a province with great affordability, will attract renters and homebuyers. As rental housing providers, we love lower tenant turnover; similarly, business owners prefer less staff turnover to keep their operations running smoothly and for ideal productivity. Affordability, means money leftover for fun—for quality living time. Staff and tenants, bosses and homeowners, are all happier in a city and/or province with a variety of successful industries.
So truthfully, we’re not longing to “go back to normal.” We’re excited to emerge from the pandemic and the Alberta recession into a world full of opportunities. We’re privileged to be working with other real estate investors who can see the turning point and who embrace the change. The global economy is shifting again—whether we like it or not. What a great season to adapt, grow, learn and change—when so many people are shifting their paradigms too.
Like a bear coming out of hibernation, shake off that Covid-winter doom and gloom. Shed the negative fur coat that you don’t need in 30 degree sunshine. There will be work involved to get out there and find the best berries (opportunities)—but it will be sooo worth it! Are you ready for a paradigm shift? Are you up for the challenge?!!
Next week we’ll be sharing some upcoming learning and networking opportunities online: to help inspire and motivate our colleagues in the real estate investing world. Until then, happy summer!
