The following article originally appeared in the Kenora Daily Miner
& News. It is reproduced here with the permission of
the Kenora Daily Miner & News.
Kenora Daily Miner & News
March 10 2003
Part-time residents are full-time members of the community
By Bob Stewart
News Editor, Daily Miner & News
It's no secret that Kenora's summer residents have a big
impact on the community. Bracketed by the long weekends from
May to September, the increase in downtown vehicle traffic,
boat traffic on the lake and lineups at the supermarkets,
hardware stores and other businesses can hardly go unnoticed.
While some decry the congestion these visitors bring in
their foray to the lake, others, especially businesses, know
the influx brings with it a hefty financial boost to the local
economy and their own bottom line.
This past winter the Lake of the Woods District Property
Owners Association, which represents 3,800 of an estimated
8,000 year-round and seasonal waterfront property owners in
the region, undertook a survey in conjunction with the Lake of
the Woods Business Incentive Corporation to put a price tag on
that financial boost.
The results were published in the March issue of the Area
News, the property owners' five-times a year magazine.
The results burst a few myths about summer visitors and
should cause more than a few of those who question the value
of seasonal residents and their role in our community to
revise their thinking.
First, from a dollar point of view, the impact on the local
economy is huge. Based on survey results - 1,700 of the
association's 3,800 members completed the survey - association
members contribute $85 million to the Lake of the Woods area
economy. If you extrapolate that number to all waterfront and
rural property owners in the area that figure jumps to close
to $200 million annually.
And, according to the survey results, 79 per cent of that
spending is done in Kenora.
The survey fleshed out a trend that's been noted before.
Gone are the days when cottage owners came for long weekends
and two weeks in July. They are no longer occasional visitors,
but true residents, albeit not yet full-time. For seasonal
residents (91 per cent of the responders classed themselves as
part-time residents, while nine per cent were year-round) the
average time at the cottage was 79 days in the summer months
and over a third of them also used the cottage for an average
20 days in the winter.
Also of note, 16 per cent of those for whom the lake is now
a seasonal home plan to make it their permanent home within
the next 10 years.
That would more than double the current number of
year-round residences outside municipal boundaries in the
area. It adds a new dynamic to those planning infrastructure.
They'll have to factor in another 5,000 or so permanent
residents to the 20,000 or so now using roads, police and fire
services, recreational and social facilities and needing
doctors and health care institutions.
The survey also helps paint a much clearer picture of
waterfront housing. Often you hear references from municipal
officials and others to grandiose palaces going up on the
lake. And certainly, a quick perusal of real estate
advertisements would lead you to believe there's not a summer
cottage out there going for less than half a million dollars.
That's not the case. The average house size for those
completing the survey was 1,500 square feet - the size of a
basic home in other words. And the value, while higher than in
town, isn't in the stratosphere. The average worked out to
$200,000 while the most common owner estimate was $150,000.
And those who think waterfront living means escaping the
taxman's clutches and not contributing to tax-base funded
service costs because the property is outside municipal
boundaries would be wrong too.
Twelve per cent of those answering the tax questions on the
survey reported paying municipal taxes with combined municipal
and education taxes tallying $1,700 a year.
And those outside municipal boundaries hardly get a free
ride. The average tax bill for waterfront home owners came to
$1,077. For those outside municipal boundaries, provincial
land tax followed by education and provincial service taxes
were the most common ones paid. Other taxing authorities
included roads boards and local service boards. In total, the
survey calculated waterfront property owners contribute $4.1
million in property tax dollars to local, regional and
provincial coffers.
But the big story is the spending dollars and where they
go.
Those using their waterside homes during the summer months
spent close to $15,000 a year (excluding real estate
purchases) on everything from building supplies (about 50 per
cent of expenditures) boats, motors, auto repairs, liquor,
groceries, dining out and recreation.
Winter users add another $12,000 in average expenditures.
Some spending myths exploded by the survey include the
common belief summer residents, especially those from
Winnipeg, bring all their consumable supplies with them.
Not so, on average they spend $1,700 in the summer and
$1,100 in the winter at local grocery and liquor stores.
And their connection to the community is strong. The survey
calculated property owner association members alone
contributed close to $1 million to local charities in the past
year. Close to 60 per cent of respondents said they gave to
local fundraising causes with the average donation being $500.
The survey wrapped up with a top 10 wish list, and for
those who still think seasonal residents are different from
permanent residents, a review of the list shows their wants
aren't that much different from the rest of us.
The top 10 wants were: More and bigger stores, better
garbage/recycling service, good dining facilities, more boat
access/waterfront venues, greater variety of goods in local
stores, lower gas prices, golf, better service from trades
people, a book store and a fresh fruit store.
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