The Town of Gibsons is going to look at expanding the marine business sector to bolster the economy of Lower Gibsons, after councillors reviewed phase one of the Harbour Area Economic Development Strategy.
Consultant Michael McLaughlin surveyed business owners and tourists over the last several months to give council a snapshot of the harbour area economy, and identify some potential opportunities for growth.
He presented his report at a Sept. 19 committee meeting.
McLaughlin found the “working harbour” sector – fishing and commercial marine services – brings in some $14.5 million per year, and supports the equivalent of 99 direct and indirect full-time jobs (FTE). When the recreational side of the marine economy is included, it generates $19.6 million annually and employs 135 FTE.
Restaurants in the Landing support 110 FTE with combined direct and indirect revenues of $10.7 million per year.
Retail stores generate just over $14 million in direct and indirect revenue every year and have 93 direct FTE employees, and support a further 29 indirect jobs.
McLaughlin told councillors the story behind those numbers is one of tourism dependence and, in the case of the marine sectors, limited physical space to grow.
“There’s a clear dilemma facing Landing retail and restaurant operators,” McLaughlin said. “They are highly dependent on tourism revenue, but for many, tourism is a long drink in the summer and then a long drought for the other nine months… Few stores sell essential household goods, so they do not attract resident shoppers. You essentially have a tourism-oriented retail economy.”
McLaughlin said that creates challenges and a situation where much of the retail economy is “on the brink of sustainability” and the food and beverage businesses are posting earnings that are below industry standards.
“There is momentum for growth on the tourism side,” McLaughlin added. “The number of tourists is growing, and the visitor survey shows Gibsons is a destination for many.” He went on to cite the Gibsons Public Market and George Hotel, if it meets its projections, as developments that could drive more tourism.
McLaughlin laid out five opportunities the Town could explore in the second phase of the strategy, either in partnership with other local governments through the Sunshine Coast Regional Economic Development Organization (SCREDO) or on its own.
They are: a marine services installation, such as dry-land repair or storage facilities for boats; an expansion of the recreational moorage space, possibly through a new marina; improving the seaside walkway and Armours Beach (which the Town is already pursuing); and two tourism-related initiatives tied to better signage and “place making” and creation of a destination development strategy.
McLaughlin’s report said there is a large market for in-water and dry-land marine services throughout the Salish Sea region, and Mayor Wayne Rowe agreed that commercial services and increased recreational moorage should be the top priorities.
“It seems to me that the capacity of this area, the harbour, to really expand the marine servicing as such is pretty much constrained… The one that strikes me as the biggest potential would be a substantial increase to the recreational moorage,” said Rowe.
Coun. Jeremy Valeriote said marine servicing would be a good fit for something that could be pursued in partnership with other local governments. “Knowing that it’s physically almost impossible within the town boundaries, it seems more the kind of thing we would work towards on a regional level.”
McLaughlin said even if a facility were located outside the town, Gibsons harbour would see the benefits. “This is a facility that would be outside your jurisdiction, but it would bring significant economic benefit because this is where your marine services industry already is… When 14 out of 14 people in that sector tell you, ‘Yes we need this thing,’ that to me is enough of an indication that you want to look at it more closely.”
Coun. Stafford Lumley, who owns a restaurant in the Landing, said there’s another idea the Town could pursue to bolster the harbour area economy – increased housing density.
“If more people lived here, more people would obviously shop down here,” he said. “With my 10 years of experience being down here, right on the water, I would tend to think it’s always going to be an uphill battle [in the winter months].”
The phase one study was funded through a $25,613 grant from the BC Rural Dividend program, with the Town contributing about $6,000 in cash and in-kind support. Phase two would be dependent on more funding becoming available.
Chief administrative officer Emanuel Machado said he’s confident about being able to secure further grants when a new intake of applications for the BC Rural Dividend opens.
While council waits for that, the phase one report will go to the Sunshine Coast Regional District, SCREDO, Sunshine Coast Tourism, and the Gibsons Landing Harbour Authority for comment.
(This story was edited to correct some of the revenue and employment figures)
