(upbeat chiming music)
- All right guys, so what
I've got here is an $83 bill
that I had from one trip on the 407
from Peterborough to Woodbridge.
It's a pretty big bill.
Everyone's asking what's
happening with the 407 extension?
How much it's going to be
a driver for traffic in Peterborough?
Let's get into it.
So in this video, I want to cover
what is the 407 extension?
What is the cost of use?
And how much of a driver
is it really going to be
for our economy, our real estate prices,
job creation, and our rental market?
So first off, what is the 407 extension?
The one we're referring to
here in Peterborough is a 14,
just over a 14 kilometer
section of highway
that was added by the
Ontario government to the
privately owned 407 ETR toll way.
Which makes the highway
much more accessible
for Peterborough residents, as it connects
to the highway 115-35 exit.
So we can essentially
reach the 407 toll way now
without having to go off of
our regular pathway on the 115.
What is the cost of
using the 407 toll way?
I had an $83 bill there,
that was a round trip
to Woodbridge and back.
If you're trying to make
this commute every day,
is this going to be a feasible way
of getting back and forth?
Are you going to be able
to make that trade off
and say, hey I don't want to
sit in traffic on the 401,
I'm going to be able to pay this amount
to commute every day?
What's that cost actually
going to break down to?
So that was one isolated trip,
but the 407 actually
has a rate calculator.
So you can go on the 407,
you can just Google 407 rate calculator
and they have a separate page
that just helps you calculate
your distance traveled
and pick the time of day because
the rate does fluctuate based
on the major times of usage.
And whether or not you have a transponder,
that fee is going to be
a little bit different
because you're going to
get separate camera fees.
But you can calculate your fee.
So, coming from Peterborough
and commuting to,
let's say, Scarborough,
and taking the 35-115 on ramp,
and then going to the
Markham road exit on the 115,
what's our cost going to be?
I plug that into the rate calculator,
and one way between 3-6 p.m.
we were $20.57.
So times two, plus tax,
that's $46.50 a day.
What's that add up to a month?
I'm going to go ahead and assume anybody
who's a working commuter is
working five days of the week,
four days a month, that
adds up to $930 a month.
So that's a basic commute.
If you have a transponder,
you're in a light vehi-
you're not in any kind
of commercial vehicle,
and you're going from
Peterborough to Scarborough,
$930 a month is going to be your cost.
What does that equate to
in terms of affordability
for people that might be
looking to work in the GTA
and trying to move further out of the city
to find value in terms of home prices?
Well if you've got to pay
a $930 a month commute
from Peterborough to the GTA,
we're talking Scarborough there,
that is the equivalent of the
payments on $245,000 mortgage.
That's 25 year amortization,
3% interest, 20% down.
$245,000 worth of mortgage
payments is $930 a month.
So that's a big decision to
make when you're looking at
how far to move out of the city
and how much more your
money's going to get you.
The further out you go,
when you have to keep
on adding dollars onto that commute price,
that's not even factoring
in any vehicle expenses.
Wear and tear, gas,
that's purely your toll expenses.
So our third question
was how much of a driver
is this going to be for the city?
Are real estate prices going to sky rocket
like everyone's been speculating?
I don't know, what do you guys think?
It's very expensive to use this toll way.
Yes, it's convenient.
I think the average person like me,
you're an occasional user,
if you're going to go down to the airport
or you have a conference,
or you're going to a Raptors game,
you might take the toll way
just to avoid the hassle,
if you're willing to
bite off that $60-80 bill
every once or twice a month.
But to rely on that
payment or expect that,
make that a part of your monthly expenses.
Is this going to be feasible for people
or are they going to sit in
the traffic and use the 401?
Is this going to be
enough for people to say,
hey, I'm living in Peterborough
but I know I can get a
better job in Toronto.
I think I can make it
happen with this toll way.
Is it going to be enough to
make people make the jump?
The rates are much higher
for commercial vehicles.
Is it going to be enough for businesses
to come and buy industrial
space out here knowing
that they have the ease of shipment?
Financially I don't know how
that's going to weigh out.
I'm interested to hear
your guy's opinions.
I've looked into a bunch
of the comment sections
on local publications like
For the Now and what not,
and a lot of the talk is
that the cost is very high.
Do you guys think this is
going to be a major driver
of immigration and new
occupants in our city that
are going to help push
up real estate values
and you know, further decrease
that vacancy in our city?
Or is it going to be kind of a neutral?
Yes, it's convenient but it's not going
to be an immediate major impact.
What do you guys think?
I'm interested to hear.
Thanks a lot for watching
these videos, guys.
I love all the feedback.
Please subscribe if you've been enjoying.
I believe it's down on
the right hand side corner
here if you're on YouTube.
If you're on Instagram,
feel free to share.
Thanks so much for all the support guys
and hopefully these
videos have been helpful.
We'll see you next time.
