Developer Success Story
Paragon Living: Building A Profitable Portfolio of Purpose-Built Apartment Buildings With the Help of ICF Technology
The Key Players Involved in This Project
In Winnipeg, MB, Paragon Living is positioning itself as a design-build company reshaping the landscape with its unique approach to constructing purpose-built apartment buildings. Led by President Nigel Furgus, Paragon Living is creating a profitable portfolio of properties by harnessing the advantages of Insulated Concrete Forms (ICFs).
Their Goals and Challenges
Innovative Building Strategies
Paragon’s strategy focuses on constructing 75% of its properties to buy and hold, with the remaining 25% designated for forward sales or fee-for-service. The cornerstone of these projects is purpose-built apartment buildings, such as the Bridgewater and Young Street buildings, distinguished by being designed constructed with Logix insulated concrete forms (ICFs).
How We Helped
Cost-Effective Construction with Logix ICF
Firstly, Paragon achieves a 10%-20% construction cost advantage with Logix ICFs. This cost-effectiveness is achieved through design efficiency, minimizing the need for cutting and fabrication on-site. The Bridgewater and Young Street buildings, constructed with 13,133 and 5,758 LOGIX ICF blocks respectively, are testaments to this approach.
Enhanced Energy Efficiency and Financing Incentives
Building with Logix ICF not only reduces construction costs but also qualifies Paragon for significant CMHC financing incentives based on energy efficiency.
These incentives, combined with the cost-effective construction process and the inherent energy efficiency of ICF walls, enable Paragon to offer its apartment units at 10%-20% below typical market value.
The Outcomes and Lessons Learned
Fostering Community and Sustainability
Paragon boasts impressive occupancy rates, with 0% vacancy and 90% customer retention. Targeting young professionals and new Canadians, the company offers competitively priced rents and units with lower heating and cooling costs, thanks to the energy efficiency of ICF construction.
Moreover, the exceptional sound attenuation of ICF-constructed party walls enhances the quality of living for tenants.
Paragon’s buildings are quick to “rent up” and, with exceptional tenant retention, they stay that way.
Creating Lasting Value
Paragon’s buildings, characterized by concrete construction, are low-maintenance, high-profit assets with minimal long-term repair costs – essentials for a healthy real estate investment portfolio. These buildings are attractive to both residents and institutional investors, offering a sustainable and profitable model for urban development.
Supporting Paragon’s Vision
Paragon’s partnership with Logix ICF yields an industry-leading ICF product with full functionality and exceptional service from local manufacturing plant AMC Foam. Logix Brands and AMC Foam are proud to support Nigel and his company Paragon Living on their mission.
Tips and Tricks
Paragon Living’s story is a testament to the power of innovative construction methods in creating sustainable, efficient, and profitable real estate developments. Through strategic use of ICF technology and a focus on energy efficiency, Paragon is setting new standards in the design and construction of apartment buildings.
Download the Logix ICF Business Case for High Performance Mid-Rise Building