Vancouver city administrators are expected to look formally into converting extra office space into pod hotels.

City council will consider a motion Wednesday to instruct administrators to examine ways to develop pod hotels as the city prepares to host such major international events as the 2025 Invictus Games and soccer’s 2026 FIFA World Cup. The motion calls for administrators to assess the pros and cons of converting extra office space temporarily or permanently into pod hotels.

Vancouver faces a severe hotel shortage in coming years. Pod hotels can meet near-term and long-term hotel-room demand and reduce short-term rentals’ pressure on rental housing stock, the motion assets.

The motion is expected to pass easily because the two councillors backing it, Sarah Kirby-Yung and Lisa Dominato, are members of the governing ABC Party that holds a vast majority.

Pod hotels originated in Japan, where they are quite common, and have gained niches in other parts of Asia and Europe.

Rooms are quite small and often contain bunk beds or sleep concepts that fit into small spaces, according to reports. As in a youth hotel or college dormitory, dining areas, washrooms and bathing facilities are located in other parts of the building.

Pod hotels are also known as capsule hotels.

Although the spaces might pose challenges for tall guests, the rooms are popular because of their affordable rates.

Prior to the COVID-19 pandemic and advancement of the hybrid-work movement, Vancouver was a North American bastion of low office vacancy. But the delivery of new supply that was in the pipeline before the pandemic has greatly increased availability, particularly in B and C class buildings.

All other B.C. municipalities administer the B.C. Building Code and, therefore, can legally convert office space to hotel use with only project-based building structural upgrades to ensure life safety and reduce earthquake hazard, according to the motion. But Vancouver’s building by-law requires costly full building upgrades to repurpose office towers as hotels.

Two prominent pod hotels are located in and near Metro Vancouver.

The Pangea Pod Hotel opened in the resort town of Whistler, B.C., in 2018 as a strata residential property was converted to hospitality use. The Panda Pod Hotel opened in the Vancouver suburb of Richmond, B.C., in 2019, replacing a thrift store and condominium development presentation centre.

“The aim here is to give the opportunity to get something done for [the World Cup],” Kirby-Yung told Postmedia. “But I do want to stress: It’s not just for [the World Cup], that these pod hotels have value beyond that to become part of our hotel stock so that people have options, particularly more affordable options.”

If the motion passes, city administrators must report back to council as soon as possible.

Photo: Tourism Richmond