Archive for June, 2006

Single detached housing starts up, multiple starts down in May

Friday, June 9th, 2006

Figures no surprise to CMHC analyst after multiple starts rose over several months

Michael Kane
Sun

Housing starts in Greater Vancouver took one step back in May while prices continued to climb and home builders continued working flat out in the face of high demand and low supply.

Starts dipped 29 per cent to 1,270 units compared to the same month last year, according to figures released Thursday by Canada Mortgage and Housing Corp. Single detached starts were up 18 per cent to 490 units while multiple starts fell 44 per cent to 780 units.

That came as no surprise to Cameron Muir, senior market analyst with CMHC in Vancouver, who said “a short-lived dip” in new construction activity is typical after rising multiple starts over a number of months.

“We had three big months — February, March and April — which were huge in terms of housing starts, particularly on the multi-family side,” Muir said in an interview.

CMHC says the lull is only temporary. Starts are expected to climb eight per cent to 20,500 units this year, the third-highest total ever and the highest in more than a decade.

Year-to-date, housing starts in the Vancouver metropolitan area are up 19 per cent to 8,667 units, compared to the same period last year. Single detached starts are up 40 per cent to 2,251 units while multiple starts are up 13 per cent to 6,146 units, compared to the first five months of 2005.

Muir said new home inventories remain historically low — 10 times lower than six years ago — while demand is being driven by a healthy economy, robust job growth, rising wages in many sectors, strong consumer confidence and borrowing rates that have inched up but remain relatively modest.

“What we have seen is demand in excess of what builders and developers have been able to build to date and that’s one of the strongest reasons for prices to rise as strongly as they have.”

CMHC expects prices to rise between 10 and 12 per cent this year, in line with construction costs, which could suggest some easing in the months ahead as affordability concerns drive more buyers from the market.

Prices for single family homes are already up 25 per cent in the first five months of this year, compared to the same period last year, according to the Real Estate Board of Greater Vancouver. Prices for condos are up 14 per cent and townhouses are up 13 per cent.

Year-over-year, the board says prices are up 30 per cent for detached homes, 21 per cent for condos and 16 per cent for townhouses.

Statistics Canada released data Thursday showing new home prices up only 6.1 per cent in the Vancouver area for the 12 months to April, below the national average of 8.2 per cent, but the agency’s Albert Near acknowledged that the survey’s methodology is under review after criticism that it fails to accurately reflect the Greater Vancouver marketplace.

StatsCan excludes apartment condos which dominate the Vancouver new homes market and critics say the survey is over-reliant on tract home builders, who tend to be more active in the lower-priced, outer suburbs.

Nationally StatsCan’s new housing price index rose 1.2 per cent in April, the biggest month-to-month increase since April 1989. Prices advanced in 14 of 21 metropolitan areas surveyed with Calgary leading the way for the seventh month in a row with a monthly increase of 4.7 per cent.

StatsCan registered a 0.9 per cent increase in Vancouver area prices in April, placing the metropolitan area fifth behind Calgary, Edmonton, Regina and Montreal.

© The Vancouver Sun 2006

The heart of the house

Friday, June 9th, 2006

Out goes the stainless steel desert, in comes a warm, multi-purpose room with wood everywhere

Karen Gram
Sun

Designer/author Johnny Grey has reinvented the kitchen with the accent on wood’s welcoming glow (above). He sees the kitchen as a sociable place where people can meet and where the chef is preferably looking out onto a relaxing scene, such as a garden. Definitely out are cabinets running along the wall. ‘Over,’ he says.

Gentle curves over hard edges in kitchen design

Johnny Grey’s kitchen design shuns the so-called work triangle for a sociable space, including bar stools at a wooden countertop.

The culture of a Johnny Greydesigned kitchen is one in which the space becomes a room where family and friends can gather in a relaxed and inviting setting

Johnny Grey eats breakfast like a normal guy, but he’s really a god, a kitchen god to be precise. The world famous kitchen designer, who has repeatedly blazed radical new directions in the fad-frenzied industry, was in Vancouver to preach the gospel recently.

He’s a rumpled god, long and lean, his grey hair mussed and his light linen jacket slightly wrinkled as befits a stylish, successful guy. Over breakfast at his hotel, Grey, a trained architect and author of several books including The Hardworking House and his latest, Kitchen Culture, talked about the need to revolutionize kitchen design. He says eventually new homes should be designed around his ideas, but for the time being, he just wants home-owners and designers to understand the principles he lives by. He’ll continue to tear down walls, both in the figurative and literal sense, until the revolution is here.

Grey is the fellow who started the whole unfitted-kitchen movement, in which long banks of cabinets and counters were replaced by individual pieces of furniture, each with its own personality.

He hit a zeitgeist. “All I did was point out to people what was so bloody obvious, which is what you don’t want a kitchen . . . a scientific laboratory full of plastic and fluorescent lights. What you want is a space that can be comfortable.”

That was back in the 1970s and it came about because of his great love of wooden furniture. He still loves it, still uses it, but now he’s onto something else. Something he calls the “active living space with a culinary zone,” otherwise known as the kitchen.

Grey says the modern home is deconstructing and the kitchen is extending into all the major downstairs rooms. The kitchen and dining room have long been connected, but now the kitchen has also invaded the living room and if he has his way, also the front hall and back terrace.

“It’s getting to the point where we are putting staircases into the kitchen,” he says. “It’s not a room, it’s a thoroughfare.”

A thoroughfare with several zones — one for food prep, another for eating, another for relaxing on sofas, perhaps a secondary eating zone, perhaps a computer zone. It’s an active living area with all the accoutrements of life.

Grey has been working with a neuro-scientist, who through science, confirms what Grey thinks instinctively. People have hard-wired needs for hearth, sunlight, nature, art, music, smells and most importantly, people’s faces. All of that belongs in the kitchen, he says, especially people’s faces.

“We can’t have sociability unless we can see faces,” he says. “We need to face into the room. All these kitchens with cabinets running along the wall — useless. Over. Really bad design. Consumers need to find this out. Cabinets are fine for storage, but not for working.”

That is why every kitchen Grey designs has an island where the prepping and cooking take place in such a way that the cook looks out, never towards the wall. Grey starts by locating what he calls the driver’s position. That is the premier spot, from which there is a view of the garden or nature, a view of the table, the hearth and the entrance. It’s where food prep and, ideally, washing up, occur.

He hates the “stainless steel deserts” that modern kitchens have become. He wants the room to be a warm, welcoming place in which to relax. He uses a lot of wood, gorgeous wood moulded into stunning pieces of furniture, and colour — lots of colour.

“You need the artifacts of culture around you,” he says, explaining why his kitchens often incorporate antiques, paintings, and perhaps a Persian rug.

The human touch is also evident in Grey’s use of “soft geometry.” No sharp angles for him. He loves curvy lines, round cabinets, surfaces that bend gently. He says it’s not just an esthetic, but is actually a nod to the way the eye works.

He says straight lines are all very good if you are looking straight ahead, but peripheral vision activates the self-defence mechanism in the brain so if the view from the side of the eye contains any hint of danger, the brain can think of little else.

“So particularly on things in the middle of the room, like an island, you don’t want sharp corners,” he says. “It’s not a nice idea. It’s a functional idea.”

His own kitchen, in West Sussex, England, where he lives with his wife and four children, is a large, almost country-style room with a lot of colours, multiple heights and his prototypes for soft geometry. It also has French doors leading to a terrace, with long views across big hills. “So being in this kitchen is a nice place to be. That is really important — getting the environment right.”

There is one kitchen design issue Grey wants tossed down the garburator with all the other rubbish in the kitchen. That’s the work triangle. Little aggravates him more than this persistent notion that to make a kitchen function, it simply needs a three point connection between the fridge, sink and cook-top. “A gross simplification,” he says. “Almost useless in terms of real design.”

Where do you prepare food in that triangle?” he demands. What about storage, or the position of the table, or the dishwasher. “It’s ridiculous. It’s a silly way of looking at kitchen design.”

Grey says there are 13 or more elements to consider in this active living area, not just three. The kitchen designer’s job is to provide a sense of order, he says. So everything has a home. While he says Americans have shown an astonishing lack of innovation when it comes to kitchen design, he credits them with the appliance garage, a cabinet in which all the counter-top appliances can stand, plugged in, but behind a closed door.

Grey also knows that kitchens can get messy, so he builds in low visual screens to hide the mess.

He believes the modern kitchen should accommodate the busy lifestyles and special diets of today’s families. While eating together at a table is wonderful, few families can manage it during the week. “It’s okay to create a kitchen that acknowledges the reality,” he says letting his inner therapist out for a moment. He suggests a raised food bar along one side of the island where families can scarf the reheated left-overs or take-out when necessary and a table for weekends and other slow times.

Grey’s proselytizing reached a receptive audience in Vancouver. More local designers and consumers came to hear him than came to his San Francisco talks. It’s nice, he says. Gods like to be heard.

“It’s pretty nice to come to a community of people who really are interested in being aggressive with design,” he says. “Because the kitchen industry is not a very design-aware industry. It’s sales driven and that means innovation is very low on the list.”

He aims to change that.

© The Vancouver Sun 2006

 

Despite dip, housing starts looking at 19% increase

Friday, June 9th, 2006

Ashley Ford
Province

Greater Vancouver housing starts took a bit of a breather last month, dipping 29 per cent from the same month a year ago, to 1,270 units.

Canada Mortgage and Housing Corp.’s latest figures, however, show single-detached starts increasing 18 per cent to 490 units, while multiple starts fell 44 per cent to 780 units, compared to May a year ago.

Housing officials says the blip is nothing to worry about and the market remains robust.

“Fewer housing starts in May were no surprise,” said Cameron Muir, CMHC senior market analyst. “Typically, rising multiple starts over a number of months, as was experienced February through April, will precipitate a short-lived dip in new construction activity.”

“Low new-home inventories and favourable economic conditions will keep Greater Vancouver home builders working flat-out again this year,” added Muir.

Peter Simpson of the Greater Vancouver Home Builders Association said, “There is nothing unusual about these numbers.”

“Five months do not a year make,” he said. “We are still looking at a 19-per-cent increase this year over last.

“If that is attained, it will make 2006 the best year since 1993. There are still significant projects to come and, looking ahead, 2007 will again be a robust year.”

CMHC forecasts Greater Vancouver starts to increase to 20,500 units in 2006, the highest number in more than a decade.

Year-to-date, housing starts across the Lower Mainland have increased 19 per cent to 8,667 units compared to the same period last year.

The CMHC and Statistics Canada also said yesterday that the number of new home buyers slipped for the fourth consecutive month as the red-hot housing market began to cool amid rising mortgage rates and the biggest home-price increase in 17 years.

StatsCan said the new housing price index rose 1.2 per cent in April to 138.2, the biggest month-to-month jump in 17 years. Prices rose in 14 of the 21 metropolitan areas, the agency said.

© The Vancouver Province 2006

Sales of apartment buildings show surge

Thursday, June 8th, 2006

Shortage of supply and low vacancy rate make it the best market since 1989

Gillian Shaw
Sun

Sales of rental apartment buildings in greater Vancouver are up 30 per cent in the first five months of this year, compared to the same period in 2005, in a market realtors say they haven’t seen since the late ’80s.

A short supply of listings along with low vacancy rates are luring landlords into a buying spree unmatched since speculators snapped up buildings sight unseen in 1989.

However, realtors say today’s buyers are in it for the longer haul, planning to remain landlords instead of flipping the properties for a quick profit. In many cases they are spending money on renovations to help bolster their revenue potential.

“The market peaked in ’89 and this is the strongest we have seen it in the 17 years since,” said David Goodman, a commercial realtor with Macdonald Commercial Real Estate Services and co-author, with son Mark Goodman, of the Goodman Report, an online publication and marketing service at that tracks market trends and sales in the greater Vancouver apartment market.

The average price per unit is up about 11 per cent so far this year in Vancouver, at $162,373 per apartment compared to $146,177 for 2005. In suburban Vancouver, stretching from Langley and Maple Ridge to West Vancouver, the average price per unit dipped to $92,707 compared to $101,047 in 2005. That drop was largely driven by a per unit price of $65,000 for Surrey sales this year.

There were 162 apartment buildings sold in the greater Vancouver area in 2005 and Goodman said about 60 were sold by this time last year. By comparison, 79 buildings have sold to date this year putting the year-over-year increase at around 30 per cent. If the pace continues, Goodman projects it will translate into sales of 189 buildings for 2006.

The activity comes despite rates of return that have dropped as low as 31/2 to four per cent, continuing a decline that has seen them dip from an average of six per cent in 2001. Known as the capitalization rate, it’s based on the return an investor will receive on capital expenditures, before debt service and after taxes, insurance and other expenses. At a four-per-cent capitalization rate, a $1 million building would net $40,000 a year.

“Some sales in the west end were under four per cent yields, it’s astonishing,” said Goodman. “If the cost of money is five per cent and they are buying at a four per cent cap rate, it’s not rocket science, they are feeding the building.”

Buyers are boosting their returns by refurbishing suites and raising rents to market values. Goodman says upgrading apartments can raise monthly rents on one-bedroom apartments that were priced at $800 to $850, to $1,100 to $1,150 a month in prime areas like Vancouver’s south Granville, Kitsilano and Kerrisdale.

“They’ll go in and spend up to $10,000 a suite and they will move up their rents on turnover,” said Goodman.

“It is very labour intensive. They’ll do it a floor at a time or two to three suites at a time, whatever they are turning over.”

Eugen Klein, president of the commercial division of the Real Estate Board of Greater Vancouver and a commercial realtor with Royal LePage City Centre in downtown Vancouver said the market is the best he has seen, despite low returns on investment.

“My phone rings probably 75 times a day and I even get clients calling from Alberta looking for product, very, very frequently,” he said. “Usually 15 to 20 per cent of calls are from out of town, but now I think it is close to 40 per cent.

“They see an upside to the Olympics,” he said. “They are anticipating it’s going to rise. “And they are hedging themselves to position themselves to be in the market for the upcoming years.”

According to the Credit Union Centre of British Columbia’s housing market forecast for 2006-2007, the rental market is expected to tighten even further this year and next, due to strong job growth and worsening affordability for first-time buyers.

According to the report, the rental vacancy for apartments and townhouses is forecast to decline to 1.7 per cent this October and to 1.3 per cent in October, 2007.

Goodman said that while vacancy rates for greater Vancouver are 1.4 per cent, it is much lower in popular areas of the city. The west end, south Granville and Kitsilano all have an average vacancy rate of 0.3 per cent. Kerrisdale is at 0.2 per cent, compared to Surrey which is at 4.7 per cent.

Goodman said institutional buyers — rental companies that have large portfolios with thousands of units across Canada — are very active in this market. They are competing with local apartment owners who may own up to 25 or 30 buildings.

Make Gastown a ‘destination,’ shops urge

Thursday, June 8th, 2006

Merchants opposed to the soccer stadium proposal urge a master plan for the area

William Boei
Sun

Illustration of a possible development scenario for the railway and port lands between Waterfront Station and Main Street north of Gastown.

VANCOUVER – The Vancouver waterfront between Granville and Main streets should be developed according to a master plan, not with one-off developments like the elevated stadium proposed by the Vancouver Whitecaps soccer club, Gastown merchants said Wednesday.

But the club is sticking to its guns, saying the city should let it build the stadium and worry about developing the rest of the waterfront later.

The Gastown Business Improvement Society put forward several scenarios, the most ambitious of which shows Granville, Cambie and Carrall streets extended to the harbour. They now end either at Cordova Street or at the CP Rail tracks north of Gastown.

It would see dozens of new buildings, including several highrises, built on CP’s railway land south of Waterfront Road, and on Vancouver Port Authority land from the road to the shoreline.

The Main Street overpass could be removed and a pier with a fish market, perhaps along the lines of San Francisco’s Fisherman’s Wharf, extended into the harbour, urban planner Lance Berelowitz suggested.

Berelowitz and architect Jennifer Marshall were hired by the Gastown business group to sketch out development possibilities.

Only one of their three scenarios includes a soccer stadium, and it would be at ground level east of Waterfront Station and a new transit hub.

Portside Park would remain as it is or be expanded, but would become more accessible.

However, the railway tracks are expected to stay put for several decades or longer, and another development scenario would see a platform built over the tracks and buildings put on top and to the north of the platform.

Berelowitz said the scenarios were not meant as concrete proposals, but to illustrate that the area — Vancouver’s last stretch of developable downtown waterfront — has potential for major coordinated development on the scale of the north False Creek and Coal Harbour neighbourhoods.

“We’re encouraging city council to really take a second to think about that, [and] do the appropriate planning for the whole area as they’ve done in other areas,” he said.

“We’re really offering it as a set of, we hope, intelligent questions around what we might see in this area, and whether or not the stadium fits into that bigger planning picture.”

Gastown Business Improvement Society President Paul Ardagh said the waterfront land can become “a destination . . . to accommodate a variety of interests — tourism, retail, business, transit and entertainment — in one location.”

But Vancouver Whitecaps Director of Operations Bob Lenarduzzi said the club is focused on just one goal: getting its stadium built.

The soccer club bought the whole stretch of railway land from Waterfront to Main Street because CP wouldn’t break it up into parcels, but “we have no plans for that right now,” Lenarduzzi said. “The single purpose that the land was purchased for was to build a stadium.”

He said the club is expecting the tracks to stay in place, and has not considered larger development schemes. The sale includes an easement giving CP the right to keep using the land.

The Whitecaps are dealing with city hall concerns, including making the stadium proposal fit better with historic Gastown, providing an adequate street network, addressing dangerous-goods movement by rail under the stadium and its impact on the port lands to the north.

“We feel that those issues can be overcome and we move forward,” Lenarduzzi said. “We’re confident that on June 27 council will vote to send the process to the next stage.”

He wouldn’t commit to the club’s earlier goal of building the stadium by early 2009, but said it is asking the city “to prioritize the time line . . . and make it a project that they’re prepared to pull out from the rest of the development of the waterfront.”

 

© The Vancouver Sun 2006

City to oppose core of Gateway Program

Wednesday, June 7th, 2006

William Boei
Sun

Vancouver intends to oppose the core of the provincial government’s controversial Gateway Program, Mayor Sam Sullivan said Tuesday.

However, he said the city should also accept political reality and plan for the possibility that the Port Mann Bridge and the Trans-Canada Highway will be expanded over its objections.

Sullivan’s Non-Partisan Association majority voted to defer until next week a motion to reject the bridge and highway expansion while giving conditional approval to the rest of the program — new truck routes along both shores of the Fraser River and a new Pitt River Bridge.

Opposition council members accused Sullivan of being soft on Gateway despite warnings that it could destroy the city’s world-famous livability.

Sullivan denied it.

“I’m trying to keep an open mind,” he said in an interview, “but I am on record as supporting the official city position, being opposed to the widening and the twinning.

“I also recognize the political realities that are driving this.”

Transit advocates and environmental groups had urged council to lead the region in a fight against the project, which they say will cause sprawl into the Fraser Valley and more traffic congestion in the city.

“Please don’t roll over and play dead on this issue,” Eric Doherty of the Livable Region Coalition told council. “People are looking for leadership from the City of Vancouver.”

“We were not asked whether we want to become the loading dock for North America,” added Surrey resident Pierre Rovtar of the Fraser Valley Conservation Coalition.

But Rovtar and others questioned whether goods movement is the real agenda.

“This is not about creating capacity for the movement of goods,” said film producer Colleen Nystedt, a former council candidate and the daughter of Walter Hardwick, who helped stop freeway construction through Vancouver and was a driving force behind the region’s growth strategy.

“It is about land use decisions and particularly real estate speculation,” Nystedt said.

NPA councillors agreed with the COPE and Vision civic parties that Vancouver doesn’t need more traffic, but argued in favour of a staff recommendation to ask the province to include “mitigating” measures if Gateway goes ahead.

Critics, led by COPE Coun. David Cadman, said that amounts to giving a green light on a project that “basically takes the whole regional strategy and destroys it.”

The proposed mitigating measures include using tolls not only to pay for the project, but also to manage transportation demand; giving priority to transit, high-occupancy vehicles and trucks ahead of single-occupant vehicles; and not promoting the Pattullo Bridge as an un-tolled alternative to the Port Mann Bridge.

City staff said traffic diverting to the Pattullo and Queensborough bridges to avoid tolling on the Port Mann is likely to add to congestion on the Kingsway and Marine Drive corridors into southeast Vancouver, in addition to arterial roads that carry traffic from the highway in northeast Vancouver.

Cadman and Vision councillors Raymond Louie and Heather Deal also complained that by deferring the vote, the NPA is preventing the city from taking a clear stand at this Friday’s Vancouver Caucus, a meeting of council with local members of Parliament and the legislature.

But Sullivan said Gateway is not on Friday’s agenda because there is only so much time. He also deflected criticism that he has been lobbying federal politicians on Vancouver’s behalf without bringing up the Gateway project as one of Vancouver’s 30 priority issues.

“What are those 30 issues?” Cadman asked. “If this isn’t a priority for this city, what are they?”

Sullivan said he didn’t bring it up in Ottawa because the controversial parts of the Gateway Program — the bridge and highway expansion — are driven and will be paid for by the provincial government.

© The Vancouver Sun 2006

 

Bad guys bank on ignorance of computer users

Wednesday, June 7th, 2006

Jim Jamieson
Province

Computers are becoming as commonplace and utilitarian as any household appliance, but that doesn’t mean users shouldn’t pay attention to security. Any computer that’s connected to the Internet can make our lives more efficient and enjoyable. But it can also wreak havoc through the loss of personal information leading to identity theft.

“A computer has become just another tool for us, just like an automobile,” said Derick Wong, senior security product manager for Microsoft Canada.

“With an auto we put in electronic alarms or The Club to keep people from taking it. So we have to educate users that The Club has to be on their computer to keep it from being hijacked.”

Wong said Internet attacks are trending more toward social engineering, where the recipient has to click on a file or go to a website.

“The bad guys are banking on the [lack of] education of the users, not being careful of what attachments they open,” he said. “We’ve been trying to push education for a long time, but you have to keep drumming it in. It’s like drinking and driving.”

Wong said that, at minimum, users should make sure their operating system and antivirus software are updated regularly, have a firewall installed and never open an e-mail attachment unless certain of its origin.

Microsoft also offers PC security tips at www.microsoft.ca/protect.

© The Vancouver Province 2006

 

Fewer permits issued, but it’s still boom time

Wednesday, June 7th, 2006

‘This year will have highest number of starts ever recorded’

Wendy McLellan
Province

B.C.’s construction boom shows no sign of slowing despite a dip in the number of building permits issued by municipalities during April, according to local industry watchers.

A Statistics Canada report released yesterday shows that builders took out 20 per cent fewer permits in April than in March. Permits for non-residential construction were down 30 per cent, while residential intentions dropped nearly 16 per cent. The total value of permits issued in April fell $82.2 million to $832.9 million.

But the number of permits issued so far this year has increased a hefty 8.5 per cent compared to the first four months of 2005, matching the national average for the same time periods. B.C. recorded a 12-per-cent jump in residential permits and a 1.7-per-cent increase in non-residential permits in the first quarter of the year compared to the same period last year.

“Construction has some volatility month to month, but if you look at the year-over-year figures, B.C.’s numbers are strong,” said Keith Sashaw of the Vancouver Regional Construction Association. “March was one of the best months on record, so we’re coming off a very high level of activity.

“There is nothing in these numbers that causes alarm — everyone in the construction industry is working full out and we expect that to continue.”

In fact, based on planned, non-residential projects, Sashaw said construction in the sector is expected to remain strong until the end of 2010 and likely into 2011.

“This is becoming repetitive,” Peter Simpson of the Greater Vancouver Home Builders’ Association said. “This year is already higher for the first four months than for the same time last year, and even if activity moderates, it will be a very successful year.

“But if things continue like this, this year will have the highest number of housing starts ever recorded. There is no shortage of work.”

Nationally, construction intentions cooled in both residential and non-residential sectors in April, according to the StatsCan report. Builders took out $5 billion in permits, down 10.6 per cent from March.

During 2006’s first four months, Vancouver, Calgary and Edmonton recorded the largest increases compared to 2005, and the housing market was the main driving force in all three centres.

© The Vancouver Province 2006

 

Financing a rec property – CHMC new rules allows 5% down

Tuesday, June 6th, 2006

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Google introduces spreadsheet in latest shot at Microsoft

Tuesday, June 6th, 2006

USA Today

SAN FRANCISCO (Reuters) — Google  is going back to the future by reinventing the spreadsheet as a Web-based application, seeking a simpler on-ramp for consumers to input data into databases, the company said Monday.

The Web search leader will begin a limited trial Tuesday of the classic software application defined by its grid of rows and columns and simple calculating capabilities that allow users to enter and organize information in structured form.

The electronic spreadsheet pioneered in 1978 by VisiCalc is remembered as the PC era’s first “killer application.”

The Mountain View, California-based company said its free, Web-based application can be shared with up to ten users simultaneously, improving upon a key limitation of Microsoft.’s  Excel, the dominant stand-alone spreadsheet.

“Many people already organize information into spreadsheets,” said Jonathan Rochelle, product manager for Google Spreadsheets, as the trial product is known. “Where they are struggling is to share it.”

Google is joining a variety of Web start-ups that already offer Web-based spreadsheets, including JotSpot, a company founded by Internet pioneer Joe Kraus, Thinkfree Corp. and Smallthought Systems’s Dabble DB. Microsoft has begun offering its own add-on technology for sharing spreadsheets.

For now, the Google Spreadsheet, which can import or export data from Excel’s .xls format or the open Comma Separated Value (.csv) format, is aimed at small work teams in social life or small business, not big enterprises, Rochelle said.

The program is designed to help people organize their own information and make it more easily accessible to others via the Web. Data in the spreadsheets are saved automatically with each user action over the Web onto Google computer servers.

Google Spreadsheet relies on technology the company acquired from a small Wall Street software developer it bought last year called 2Web Technologies, which in 2004 introduced tools to convert Microsoft Excel spreadsheets into Web services.

“What is missing is the ability to share data more easily,” Rochelle said.

Users can sort data and take advantage of 200 functions and common spreadsheet formulas for doing basic calculations of numerical data. Google is working on improving printing, charts, filtering and “drag and drop” features, he said.

Rochelle said his company would be studying how much demand there is for Google Spreadsheet to work with Google Base, an online database service that allows Google users to post various types of information online.

“Databases in themselves are really hard to program,” said Charlene Li, an Internet analyst with Forrester Research. “What people use spreadsheets for is low-end databases,” she said.

Google Base is viewed by analysts as a stepping stone into the classified advertising or e-commerce markets, by helping users feature relevant information on Google’s main search index, the Froogle shopping site and Google Local search.

Google Spreadsheet is one of a string of user productivity applications that Google has been testing, including the Writely word processing application it acquired earlier this year and its internally developed Google Calendar.

Users interested in experimenting with the application can go to Google Labs (http://labs.google.com/) to sign up Tuesday. An undisclosed number of users can join the initial trial phase on a first-come, first-served basis, it said.