I’ve always been of the mindset that a “premium” view is only worth what the buyer is willing to pay above and beyond what the unit across the hall is worth, but there’s no denying that as buildings get taller and the city gets more dense, the view becomes a more marketable commodity.

Here are a few examples of what, why, and where a view can make all the difference…

Last year, I wrote a whole article on condominium views and why I generally couldn’t care less what direction my unit is facing, and what it looks out at.

However, this doesn’t mean that everybody feels this way, and I’ve come to see that I’m not always right, all the time, about everything….and anything.

Let’s make the assumption that a view does change the resale value of your condo.  Here are a few variables to look at:

1) Direction

This can make all the difference depending on what surrounds your building.  Generally speaking, south-facing units command a premium because they get more natural sunlight and face the water.  But consider a building such as my favorite at 15 Stafford Street for a moment…

Here is the view looking directly east of 15 Stafford:

Of course, it’s gorgeous!  It looks directly onto the park!

Now here is the view looking west of 15 Stafford:

See the difference?  Well of course you do!  The west-facing units overlook the street itself, and there are three other condominiums literally spitting distance from your balcony.  Immediately south of there (out of the photo) is a large, dilapidated commercial building which I believe is an auto mechanic’s garage.

So how do you value these two views?  Could the very same 1-bedroom unit sell for $289,000 facing west and $305,000 facing east?  That’s not out of the question.

2) Height

I’m not a fan of living on the 48th floor of a condominium, but that’s because I hate long elevator rides, AND because I’m deathly afraid of heights.  Yeah, seriously….call it an occupational hazard.

Last year, I emailed my friend Pete a listing in his building for a unit identical to his except for the level.  He is on the 17th floor, and this unit was on the 2nd floor.  The unit was priced substantially lower than he purchased his for.

The difference of course is that Pete’s unit overlooks the baseball diamonds at Little Norway Park, as well as the Island Airport and the lake itself.  The unit on the 2nd floor barely sees off the ground, and the only view is the people walking by below you that you can practically reach out and shake hands with.

The biggest selling point for a south-facing unit in this particular building is the view!  So if your unit is situated on the second floor, where is the value?  What distinguishes your unit from the 100,000 other condos in Toronto?  Is this another example of a $289,000 and $305,000 price difference for the two units?  Sure, that wouldn’t be a stretch at all.

3) Vacant, Adjacent Lots

On a long enough time horizon, everything will be a condo.

If you’re looking at a condo and you stick your head out the window to see a completely vacant lot next door, this should worry you!  Most people think, “Oh this is great!  There’s nothing next door, and we have a clear, unobstructed view!  This is fantastic!”

If you think that there aren’t already plans in the works to turn that vacant lot into a condominium development, then you are far too naive for your own good.  Almost every vacant piece of land in Toronto is already spoken for, and all of them come with gleamy-eyed developers with dollar-signs floating above their heads.

The only thing worse than losing your unobstructed view is having to deal with the noise and inconvenience of construction for over two years.  You’re better off buying a condo that already stares at another building rather than having your view slowly stolen away from you, and being forced to listen to jackhammering from 7AM every week day for twenty-four months.

4) Green Space & Parks

Units that overlook a park or a conservation area, especially a ravine, command large premiums for two reasons:
1) The beauty of the green space itself.
2) It will never be built on.

If it sounds like these reasons are all starting to overlap, it’s because they are.  An unobstructed view is great, so long as it stays that way.  And parks or ravines will never be built on, thus you get to enjoy their beauty for as long as you own your condo.

Of course, there’s also the added benefit of having a sports field, jogging route, or dog-walking area right out your back window.  This is why I’d pay the extra money for a green-view; it’s all about living downtown but not feeling like it, and staring at grass instead of concrete is how you make that happen.

5) Intangible Features

This is where my own condominium unit comes into play.  My “view” is completely non-existent, as not only am I buried between two buildings, but I’m on the second floor so even if I wasn’t staring at a brick wall, I still wouldn’t have much too look at.

But as I have mentioned (bragged about…) many times before on this blog, I have a 440 square foot private terrace where I have room for 18 cedar trees as well as a golf-net to hit whiffle balls into.

(excuse the mess….I was renovating at the time)

So in terms of the resale value of my condo, how does the lack of view play against the terrace?  Clearly in my mind, there was no comparison; I’d much rather have the terrace than a great view any day.  I’d like to think that everybody else feels the same way.

There are days that I step out onto a friend’s patio and actually think to myself, “Wow, what a view!”  But I still wouldn’t trade up my terrace for a premium view under any circumstances.

So there you have FIVE variables to consider when looking at the resale value of your view.

One thing I’ve learned over time: you can’t get a million-dollar view for nothing.

The best view I ever saw in a condo that I sold was in Palace Place down in lower Etobicoke.  Here is a photo I took myself:

That truly is a million-dollar view.

But you know what?  They paid over a million bucks for their condo, so they’re bloody-well entitled to the view…