|
|
|
|
|
|
|
|
| Woodside Avenue Brownfield Redevelopment Project Wins National Award
KITCHENER -- The City is proud to be among a group of partners honoured with a national award for supporting brownfield redevelopment, last Thursday at the 2007 CUI Brownie Awards in Montreal, Que.
The CUI awarded the top prize for the Best Small-Scale Project to the reurbanization project at 90 Woodside Ave. -- now known as The Intowns; a project that was spearheaded three years ago by the City, developer Stirling Bridge Limited and the neighbourhood's residents.
The project has succeeded in remediating an industrial brownfield site into a well-designed and integrated medium-density residential development.
When complete, the redevelopment will offer a 128-unit townhouse and live/work community with individually owned lots fronting a private road in the existing Mill-Courtland Woodside Park community.
''The project illustrates best practices for small cities in community engagement, municipal coordination, and urban design,'' according to the CUI awards committee.
"At one time, the property owner was considering the site for the recycling of trucked in contaminated soil. Residents stood up for their neighbourhood and what resulted was a very successful collaboration between the residents, a new developer and the City -- and a wonderful new life for a former industrial site that everyone can be happy with," said Councillor John Gazzola, who accepted the Brownie Award on behalf of site developer, Stirling Bridge Limited. "This project will undoubtedly act as a catalyst for future brownfield redevelopment projects in the city and region."
Councillor Christina Weylie called the Intowns project a wonderful addition to her ward.
''This redevelopment will bring so much to the area aesthetically and in terms of livability,'' she said. ''With the park areas that have been included in the project plan, the new homes will be very appealing to young families which, in turn, will support our goal of revitalizing the downtown.''
The 90 Woodside Ave. project is a tangible example of the success of City incentive programs, such as the Brownfield Remediation Community Improvement Plan, that provide grants, loans and other assistance to eligible property owners, investors, developers and business owners.
The project also benefited from the City's policy to issue reduced development charges in central neighbourhoods, development-charge credits; as well as City Council's willingness to improve the parks that support this development.
''Incentive programs such as this one have encouraged people to pursue projects that benefit themselves through monetary savings as well as the community through a prosperous, growing economy,'' said Terry Boutilier, the City's senior business development officer.
''Considering the concern the future of this site caused the City and residents a number of years ago, it's satisfying to know that all of the hard work we've all put in to helping this property redevelopment has been recognized and rewarded,'' added Brandon Sloan, a senior planner with the City.
Background:
Located in one of Kitchener's central neighbourhoods near Queen Street and Highland Road, the Intowns site is now addressed as 110 Highland Rd. E., and the model town homes for the new development are constructed and open to the public.
Initially, a plan was needed that would satisfy everyone, so the process involved a unified collaboration among City staff, the developer Stirling Bridge Limited and local residents, based on many one-on-one meetings, a design charette, public meetings and extensive ongoing communication.
In 2004, City staff, residents and members of the Concerned Citizens for Neighbourhood Protection recommended the City initiate redevelopment of the former industrial site.
Within six months, the City approved all development applications to create a 128-unit townhouse, live/work and park development. Soil remediation on the contaminated brownfield site was completed and redevelopment began.
The project is a prime example of Kitchener's support for the Province's Places to Grow report, as well as the Waterloo Regional Growth Management Strategy.
In 2005, the City-supported Kaufman Lofts project also earned a CUI Brownie Award in the Heritage/Adaptive Reuse category.
|
CMHC Releases Comprehensive Report on Housing in Canada
OTTAWA - Building greener homes in higher-density neighbourhoods near public transit, rather than in sprawling suburbs, is key to reducing the housing sector's impact on the environment and lowering greenhouse gas emissions, according to the 2007 Canadian Housing Observer released today by Canada Mortgage and Housing Corporation (CMHC).
"The focus on sustainable housing in this year's Canadian Housing
Observer is particularly timely given growing public interest in the
environment," said Karen Kinsley, President of CMHC. "The Observer is a
reliable source of current and comprehensive analysis of housing trends and
conditions in Canada."
The 2007 Canadian Housing Observer analyzes the relationship between
environment-friendly housing construction, neighbourhood design and
transportation. It found that downtown living, which provides easy access to
workplaces, schools, and shops, as well as housing located close to public
transit, lead to reduced automobile use. Also, better design of the suburbs
results in less short-distance driving and lower greenhouse gas emissions.
The 2007 Canadian Housing Observer also examines recent trends in
affordable housing, housing finance and market developments. A key conclusion
about the living conditions of Canadians, which is based on new CMHC
information, found that the level of Canadians living in core housing need(1)
has declined slightly from 13.9 per cent in 2002 to 13.6 per cent in 2004.
Other key findings of this year's Canadian Housing Observer include:
<<
- Housing-related spending grew by 6.1 per cent in 2006, contributing
more than $275 billion to the Canadian economy;
- Total mortgage credit outstanding in 2006 reached an annual average of
$694 billion, up 10.7 per cent from 2005. This is mainly due to
increased property values, which in turn increased the average mortgage
amount approved;
- Environment-friendly, energy-efficient housing is expected to become
more the Canadian norm in the future thanks to initiatives such as
CMHC's EQuilibrium sustainable housing initiative.
- All of the fastest-growing metropolitan areas in recent years were in
Alberta, Ontario and British Columbia, with the exceptions of Moncton,
New Brunswick and Sherbrooke, Québec.
"At TD Economics we rely on CMHC's Canadian Housing Observer for analysis
and data to help us formulate answers. The 2007 edition is special because for
the first time it gives data on housing conditions for between census years,"
said Don Drummond, Chief Economist, TD Bank Financial Group.
This year's print edition of the Canadian Housing Observer is complemented
by a detailed array of online housing market and housing conditions data
resources at www.cmhc.ca. This includes CMHC's Housing in Canada Online
(HiCO), a powerful and free interactive tool that provides access to data on
national, regional, local and off-reserve housing conditions, including core
housing need.
The attached backgrounder provides an overview of key findings from the
2007 Canadian Housing Observer.
As Canada's national housing agency, Canada Mortgage and Housing
Corporation (CMHC) draws on more than 60 years of experience to help Canadians
access a variety of quality, environmentally sustainable, and affordable homes
- homes that will continue to create vibrant and healthy communities and
cities across the country.
(1) Core Housing Need: Households which occupy housing that falls below
dwelling adequacy, suitability or affordability standards, and which
spends 30 percent or more of their before-tax income for the median
rent of alternative local market housing that meets all three
standards.
Backgrounder - 2007 Canadian Housing Observer - Key Findings
New Housing for a Changing World (Chapter 2)
- Houses are a major consumer of energy, land, water and raw materials.
The residential sector is responsible for 60 per cent of water
consumption and 17 per cent of energy used.
- CMHC's EQuilibrium sustainable housing initiative promotes market
acceptance and builds industry know-how for healthy, affordable,
sustainable and energy-efficient housing.
- Savings in residential energy and water consumption can be achieved in
a number of ways, including photovoltaic panels, solar heating, ground-
source heat pumps, low-flow fixtures and appliances, and greywater
(from dishwasher/shower) recycling and reuse.
- Developers in the Netherlands, Japan, Germany, the United Kingdom and
the United States are already building and selling homes targeting
annual net-zero energy consumption.
- It is expected that sustainable housing design and construction, now a
market niche, will become more the norm.
Demographic and Socio-Economic Influences on Housing Demand (Chapter 3)
- Canada's population grew at a slightly faster pace in recent years than
in the late 1990s mainly due to increased immigration. Senior,
immigrant and Aboriginal groups are growing more rapidly than the
general population.
- From 2001 to 2006, the vast majority (86 per cent) of population growth
took place in metropolitan areas.
- The number of households in Canada owning second homes, vacation homes,
or cottages reached 1.1 million in 2005, about 200,000 more than in
1999.
- From 1990 to 2004, high-income earners enjoyed much stronger income
growth than those with low incomes.
- From 1999 to 2005, the average net worth of households in Canada, after
adjusting for inflation, grew at an annual rate of more than four per
cent. Increased equity in real estate played a major role in this
increase.
Market Developments (Chapter 4)
- The strong housing market in 2006 was led by high demand in the western
provinces.
- In 2006, the proportion of gross domestic product spent on housing
increased to 19.1 per cent compared to 18.9 per cent the previous year.
- Total housing starts in 2006, at 227,400 units, were at the second
highest level since 1987.
- The average MLS(R) home price - driven by the strong seller's markets
in western provinces - increased by 11.1 per cent to $277,000 in 2006,
the largest price increase since 1989.
- The average estimated rent for two-bedroom apartments in existing
structures rose in 27 out of 28 major centres between October 2005 and
October 2006, resulting in an average increase of 3.2 per cent.
- Total spending on housing renovations, repair and maintenance reached
$43.9 billion in 2006, an increase of nine per cent compared to 2005.
Housing Finance (Chapter 5)
- From a record low of 5.99 per cent in 2005, mortgage rates rose to an
average posted rate of 6.66 per cent for a five-year term mortgage in
2006. They were still low by historical standards.
- CMHC's 2006 Mortgage Consumer Survey found that the majority of
mortgage consumers (84 per cent) were satisfied with the services they
received when negotiating their current mortgage.
- About 70 per cent of mortgage consumers prefer to use one of the major
lending institutions to obtain a mortgage.
- Issuance of National Housing Act Mortgage Backed Securities and Canada
Mortgage Bonds rose 19 per cent in 2006 to $36 billion.
Transportation and sustainable, healthy communities (Chapter 6)
- The location of a home and the neighbourhood design help determine how
much driving a household does.
- Automobile use could be reduced by concentrating development along
public transportation corridors and closer to the urban centre, rather
than at the urban fringe.
- Municipalities and developers are increasingly turning to Transit-
Oriented Development.
- Infill developments that increase housing density have been found to be
more effective at lowering transportation-related greenhouse gas
emissions than greenfield (suburban) developments specifically designed
to reduce car dependency.
Recent trends in housing affordability and core housing need (2002-2004)
(Chapter 7)
- Urban households in British Columbia and Ontario continued to
experience a high level of core housing need between 2002 and 2004.
- One-person households accounted for almost half (46.7 per cent) of
Canadian urban households in core housing need, up from 43.7 per cent
in 2002.
- The incidence of core housing need among senior-led urban households
declined from 15.4 per cent in 2002 to 13.9 per cent in 2004.
- The percentage of immigrant urban tenant households in core housing
need increased to 36.3 per cent in 2004 from 34.4 per cent in 2002.
- The 20 per cent of households having the lowest incomes accounted for
about 81 percent of all urban households in core housing need in 2004,
up from about 78 percent in 2002.
|
Investment in non-residential building construction marked its fourth consecutive year of uninterrupted growth, fuelled mostly by sustained commercial investment in Central Canada and Alberta.
Non-residential investment hit $10.4 billion in the third quarter, up 4.9% from the second quarter.
In constant dollars, third-quarter investment was up 0.9% from the second quarter.
Growth in the non-residential sector has been on an uninterrupted upward trend since the middle of 2003.
The third-quarter increase was due mainly to the construction of major office buildings underway in Alberta, Quebec and Ontario.
Investment in the commercial component led the way with a 5.2% increase to $6.2 billion. In the institutional component, investment rose 5.3% to $2.7 billion, while investment in the industrial component increased 3.1% to $1.5 billion.
Overall, eight provinces and two territories recorded increases, but the biggest gains, in dollars, occurred in Ontario and Quebec. In both provinces, investment rose in all three components, reaching new record highs.
Among the factors sparking the non-residential sector are a strong labour market, high profits recorded by Canadian corporations, healthy retail and wholesale sectors, declining vacancy rates in large urban centres and Western Canada's dynamic economy.
Of the 34 census metropolitan areas (CMAs), 23 showed gains in the third quarter, with Toronto, Calgary and Montréal showing the largest increases (in dollars). Calgary and Montréal both set a new quarterly high.
| Investment in non-residential building construction, by census metropolitan area1 |
| |
Third quarter 2006 |
Second quarter 2007 |
Third quarter 2007 |
Second quarter to third quarter 2007 |
| |
Seasonally adjusted |
| |
$ millions |
% change |
| St. John's |
40 |
47 |
51 |
10.6 |
| Halifax |
122 |
97 |
86 |
-11.8 |
| Moncton |
26 |
45 |
52 |
17.0 |
| Saint John |
25 |
33 |
39 |
19.5 |
| Saguenay |
31 |
31 |
43 |
39.9 |
| Québec |
166 |
190 |
219 |
15.4 |
| Sherbrooke |
48 |
43 |
44 |
2.9 |
| Trois-Rivières |
32 |
44 |
53 |
21.9 |
| Montréal |
739 |
816 |
886 |
8.5 |
| Ottawa–Gatineau, Ontario/Quebec |
417 |
427 |
422 |
-1.3 |
| Ottawa–Gatineau (Que. part) |
45 |
44 |
49 |
13.4 |
| Ottawa–Gatineau (Ont. part) |
372 |
384 |
373 |
-2.9 |
| Kingston |
32 |
50 |
50 |
-0.2 |
| Peterborough |
19 |
14 |
15 |
7.4 |
| Oshawa |
103 |
96 |
97 |
1.0 |
| Toronto |
1,608 |
1,603 |
1,729 |
7.9 |
| Hamilton |
167 |
135 |
128 |
-5.4 |
| St. Catharines–Niagara |
92 |
72 |
67 |
-7.4 |
| Kitchener |
141 |
134 |
138 |
2.6 |
| Brantford |
19 |
40 |
39 |
-1.6 |
| Guelph |
44 |
51 |
51 |
1.0 |
| London |
117 |
110 |
135 |
22.8 |
| Windsor |
83 |
90 |
86 |
-3.8 |
| Barrie |
54 |
54 |
64 |
18.5 |
| Greater Sudbury |
34 |
59 |
68 |
15.9 |
| Thunder Bay |
28 |
21 |
20 |
-7.3 |
| Winnipeg |
177 |
164 |
164 |
0.0 |
| Regina |
58 |
59 |
70 |
17.1 |
| Saskatoon |
98 |
101 |
89 |
-11.6 |
| Calgary |
674 |
1,145 |
1,259 |
10.0 |
| Edmonton |
394 |
456 |
447 |
-1.9 |
| Kelowna |
37 |
50 |
64 |
28.5 |
| Abbotsford |
79 |
72 |
62 |
-13.3 |
| Vancouver |
735 |
843 |
884 |
4.9 |
| Victoria |
113 |
104 |
112 |
7.5 |
| 1. | Go online to view the census subdivisions that comprise the census metropolitan areas. |
|
Commercial: Robust gains in office building in Alberta, Quebec and Ontario
Investment in commercial building construction hit another record high, in the wake of robust activity in office building sites in Alberta, Quebec and Ontario.
Overall, seven provinces showed gains in commercial investment in the third quarter. Alberta (+7.8% to $1.6 billion), Ontario (+4.2% to $2.2 billion) and Quebec (+5.9% to $909 million) experienced the largest investment growth (in dollars), and each set a record high.
On the other hand, Nova Scotia experienced a second consecutive decline, which was the largest among the provinces. This decrease was the result of commercial construction projects started in mid-2005 and early 2006 and now mostly completed.
Among the 34 CMAs, 21 registered quarterly growth. The strongest gain (in dollars) was in Calgary, where investment rose 15.3% to $928 million. It was followed by Toronto, with a 6.0% increase to $1.2 billion.
Several economic factors were consistent with a fertile environment for the commercial sector. These included the vigorous retail and wholesale sectors and declining vacancy rates for office buildings in major Canadian urban centres. These declining rates have provided added incentive for office building construction and the construction of shopping malls and warehouses.
Institutional: New record, thanks to gains in educational building
Investment in institutional building construction increased for the third straight quarter. This robust gain was largely the result of strong spending on the construction of educational facilities in seven provinces.
Provincially, the biggest third-quarter increase (in dollars) occurred in Quebec, where investment rose 16.4% to $491 million, the third straight quarterly gain. This increase was the result of projects in educational and health care building construction.
In Ontario, which recorded growth for a second consecutive quarter, institutional investment increased 5.8% to $1.0 billion.
In contrast, British Columbia posted the biggest decline (in dollars). This decrease was the result of institutional construction projects started in mid-2005 and early 2006 and now mostly completed.
In total, 24 of the 34 CMAs posted gains. Toronto led the way in terms of growth (in dollars), its second consecutive quarterly gain. In contrast, Ottawa recorded the most significant decline.
Industrial: Back-to-back quarterly increases
Investment in industrial building construction increased for the second straight quarter.
Strong investment gains in primary industrial buildings in nine provinces, particularly Ontario and Quebec, more than offset declines in the other industrial categories.
At the provincial level, the largest contribution to the quarterly increase (in dollars) occurred in Ontario, the result of gains in all industrial construction buildings. This reflected a higher number of major projects for manufacturing plants and utilities buildings that began in 2007.
Alberta posted the largest decline (in dollars), as investment in all industrial building categories dropped after high spending in previous quarters. This decline was the result of several industrial projects that started in 2006 and that are now mostly completed.
In the third quarter, manufacturers continued to face increased production costs, stronger global competition and the appreciation of the Canadian dollar. On the other hand, the industrial capacity utilization rate among Canadian industries increased slightly in the second quarter of 2007.
Of the 34 CMAs, 21 posted increases. Toronto and Montréal posted the highest third-quarter increases, the result of further major industrial construction projects that started at the beginning of 2007.
After posting a record high in the second quarter, Calgary registered the most significant decline in dollars, in the wake of a drop in all industrial construction building categories.
| Investment in non-residential building construction |
| |
Third quarter 2006 |
Second quarter 2007 |
Third quarter 2007 |
Second quarter to third quarter 2007 |
| |
Seasonally adjusted |
| |
$ millions |
% change |
| Canada |
9,051 |
9,888 |
10,376 |
4.9 |
| Newfoundland and Labrador |
59 |
71 |
83 |
18.0 |
| Prince Edward Island |
37 |
31 |
29 |
-4.3 |
| Nova Scotia |
216 |
187 |
186 |
-0.4 |
| New Brunswick |
158 |
151 |
170 |
12.5 |
| Quebec |
1,464 |
1,584 |
1,708 |
7.8 |
| Ontario |
3,574 |
3,562 |
3,756 |
5.4 |
| Manitoba |
241 |
241 |
246 |
2.3 |
| Saskatchewan |
229 |
233 |
237 |
1.8 |
| Alberta |
1,712 |
2,311 |
2,403 |
4.0 |
| British Columbia |
1,336 |
1,488 |
1,519 |
2.1 |
| Yukon |
16 |
17 |
18 |
2.9 |
| Northwest Territories |
8 |
8 |
17 |
107.6 |
| Nunavut |
3 |
5 |
3 |
-24.8 |
Note to readers
Unless otherwise stated, this release presents seasonally adjusted data, which ease comparisons by removing the effects of seasonal variations.
Investments in non-residential building construction exclude engineering construction. This series is based on the Building Permits Survey of municipalities, which collects information on construction intentions.
Work put-in-place patterns are assigned to each type of structure (industrial, commercial and institutional). These work patterns are used to distribute the value of building permits according to project length. Work put-in-place patterns differ according to the value of the construction project; a project worth several million dollars will usually take longer to complete than will a project of a few hundred thousand dollars.
Additional data from the capital and repair expenditures surveys are used to create this investment series. Investment in non-residential building data is benchmarked to National Income and Expenditure Accounts of non-residential building investment series.
For the purpose of this release, the census metropolitan area of Ottawa–Gatineau is divided into two areas: Ottawa–Gatineau (Que. part) and Ottawa–Gatineau (Ont. part).
|
CMHC REPORTS KITCHENER NEW CONSTRUCTION NUMBERS STEADY
Housing starts for the first three quarters of 2007 were virtually unchanged
TORONTO - Canada Mortgage and Housing Corporation (CMHC) released Kitchener's preliminary housing starts data for the month of September today. Construction began on 245 homes in the Kitchener Census Metropolitan Area (CMA), an increase of 40 per cent from the 175 units started in the same month last year.
Both single-detached and multiple-family home starts recorded increases over September 2006. A total of 100 single-detached foundations were poured in September, up four per cent from 96 units started in September 2006. At 145 units, multiple-family home starts (which include semi-detached homes, townhouses and apartments) were up 84 per cent from the 79 units started in September 2006.
Housing starts for the first three quarters of 2007 were virtually unchanged, down only 0.7 per cent from the same period of 2006. While single-detached construction has fallen by 35 per cent, new home figures have been boosted by the more than 49 per cent increase in multiple-family construction this year.
“The high cost of new single-detached homes in the Kitchener CMA has encouraged homebuyers to purchase either a new multiple-family or a resale home” said Erica McLerie, Market Analyst for the Kitchener CMA. “Price conscious homebuyers have propelled existing home sales to record levels. Multiple-family home starts are up and single-detached home starts down, in line with the policy to move to higher density communities,” added McLerie.
|
Canadian Housing starts move higher in September
OTTAWA - The seasonally adjusted annual rate(1) of housing starts was 278,200 units in September, up 19.6 per cent from 232,700 units in August, according to Canada Mortgage and Housing Corporation (CMHC).
"The rise in September housing starts reflects a strong multiple starts
segment," said Bob Dugan, Chief Economist at CMHC's Market Analysis Centre.
"In particular, the robust results achieved this month can be mostly
attributed to increased condominium starts, which reflect strong condo sales
over the past 12 to 24 months. Despite this sizeable growth in September, we
continue to expect that housing starts will decrease gradually between now and
the end of 2008."
The seasonally adjusted annual rate of urban starts increased
22.9 per cent to 244,400 in September, compared to August. Urban singles were
down 4.3 per cent to 90,300 units in September, while multiple starts
increased 47.5 per cent to 154,100 units.
In September, the seasonally adjusted annual rate of urban starts
increased in all five regions. Urban starts registered an increase of
3.0 per cent in the Atlantic region, 46.0 per cent in Quebec, 23.6 per cent in
Ontario, 11.1 per cent in the Prairies, and 15.8 per cent in British Columbia.
Urban single starts were down in all regions except Quebec, where single
starts were unchanged at 16,400 units. All regions saw double-digit increases
in urban multiple starts with Quebec leading the way with a 75.2 per cent
increase.
Rural starts were estimated at a seasonally adjusted annual rate of
33,800 units in September.
Actual starts, in rural and urban areas combined, were up an estimated
0.2 per cent in the first nine months of 2007 compared to the same period in
2006. In urban areas, actual total starts grew by an estimated 1.2 per cent
year-to-date. Single starts growth was -4.7 per cent while multiple starts
grew by approximately 7.0 per cent.
|
| Kitchener Waterloo Realestate Boards September 2007 Sales Statistics (PDF) |
Building permits continue to surpass the $6 million mark in August 2007
The value of building permits surpassed the $6-billion mark for the fourth consecutive month in August with strong performances in both residential and non-residential sectors.
Municipalities issued permits worth $6.3 billion, up 1.4% from $6.2 billion in July, pointing to a busy fall in the construction industry. The value of permits hit its highest level on record at $6.9 billion in both May and June.
Contrary to the situation in the United States, the residential sector remained clearly healthy in Canada. The value of housing permits was virtually unchanged from the previous month, but it was still a strong $3.9 billion. An increase in single-family permits offset a decline in the multiple-family component.
The comparison of non-seasonally adjusted data showed that municipalities authorized a total of 161,510 new dwellings between January and August 2007, up 2.5% from the same period in 2006. In the United States, during the same period, the number of privately-owned approved units plunged 24.9%.
In Canada's non-residential sector, municipalities issued $2.4 billion worth of building permits, up 4.3% from July. The value of institutional and commercial permits increased, while industrial permits fell 8.6%. Even so, industrial intentions remained above the monthly average so far this year.
Provincially, Ontario recorded the biggest increase in the total value of permits, but it was offset by a decline in Alberta. This left room for a gain in Saskatchewan to have an impact on the overall result.
Housing sector: Multi-family permits down, while single-family permits remain very high
The value of single-family permits hit its second highest monthly level on record in August, offsetting a decline in intentions for multi-family dwellings.
Contractors took out multi-family permits worth $1.4 billion in August, down 4.3%, the second consecutive monthly decline. Municipalities approved 10,334 multi-family units, a 9.1% decline. Even so, the demand for new multi-family dwellings remained 8.6% higher than the average monthly level in 2006.
On the other hand, the value of single-family permits rose 2.2% to $2.5 billion, slightly below the previous peak attained in June 2007. This gain was fuelled by a 3.7% increase in the number of units authorised. They reached 9,975, the highest number so far this year.
Several factors continued to have a positive impact on housing demand, including strength in employment, growth in disposable income, low inflation, tight apartment vacancy rates in several centres and attractive financing options.
Provincially, the largest decline (in dollars) occurred in British Columbia, where the value of housing permits fell 7.0% to $683 million, the result of a 13.6% decrease in multi-family permits.
Residential intentions in Alberta fell 4.1% to $808 million, the third monthly decline in the last four months. This came in the wake of a 22.4% decrease in multi-family housing, which was offset somewhat by a gain in single-family permits.
Despite the reduced pace in Alberta, the impact from the resource-based boom in the West was still present. For example, residential housing intentions for August in Saskatchewan remained virtually unchanged from July, thanks to a 12.1% increase in the value of single-family permits.
A decline in residential permits in Ontario was due to a substantial drop in multi-family permits, which was only partially offset by an increase in single-family housing.
On the other hand, strength in the multi-family component led to increases in the total values of residential permits in Quebec (+5.2% to $778 million), Nova Scotia (+32.8% to $99 million) and Newfoundland and Labrador (+74.9% to $59 million).
Non-residential sector: Upward trend continues
The 4.3% increase in non-residential permits in August extended an upward trend in the sector that has been continuing almost without interruption since the beginning of 2006.
The commercial component has had a big impact on the increase in non-residential permits. Municipalities issued $1.3 billion worth of commercial permits in August, up 9.9% from July. The gain followed two substantial declines in June (-16.6%) and July (-29.8%). These summertime intentions halted an upward trend in commercial permits that lasted throughout 2006 and the first half of 2007.
The increase in commercial permits came from a wide variety of buildings such as hotels, office buildings, shopping malls and warehouses. Furthermore, the three westernmost provinces accounted for more than 80% of the increase in commercial permits.
In the institutional sector, the value of permits hit $618 million in August, up 3.9% from July. This gain, the third over the last four months, was fuelled largely by projects for hospitals and nursing homes.
Gains in institutional intentions in Ontario, British Columbia and New Brunswick more than offset the declines in all other provinces.
In the industrial sector, the value of permits fell 8.6% to $462 million after a 24.3% gain in July. This decrease was not sufficient enough to reverse the upward trend recorded since March 2007 in the industrial intentions.
The decline in August came largely from lower construction intentions for manufacturing buildings in Ontario and Alberta.
The demand for office space in several centres, strong corporate profits, healthy retail and wholesale sectors and the dynamic economy in Western Canada are among the factors that continued to drive non-residential construction intentions.
Provincially, the largest increases in non-residential permits occurred in Ontario, Saskatchewan and British Columbia.
In Ontario, the gain was due solely to institutional permits. The value of permits in this category ($390 million) was at its highest level since August 2005, thanks to projects for hospitals and schools.
In Saskatchewan, the value of non-residential permits surpassed the $100-million mark for the second time in three months, as permits in the industrial and commercial sectors surged.
In British Columbia, non-residential intentions rose for the third time in the last four months, thanks to gains in all three components.
Quebec and Alberta posted the largest declines (in dollars) among the provinces in non-residential permits. In both provinces, the drop was due to marked declines in institutional permits.
Metropolitan areas: Annual record already for Saskatoon
For the first eight months of 2007, the total value of building permits in Saskatoon totalled $456 million, which already surpassed the annual record of $421 million reached in 2006.
Toronto, Calgary and Vancouver showed the strongest year-to-date advances (in dollars) among the metropolitan areas in 2007, thanks to rises in both the residential and non-residential sectors. Windsor and Oshawa showed the largest declines.
In August, 18 out of the 34 metropolitan areas showed gains in the total value of building permits, with Edmonton, Québec and Saskatoon showing the largest increases (in dollars). Edmonton and Saskatoon each set a new monthly record in August.
| Value of building permits, by census metropolitan area1 |
| |
July 2007r |
August 2007p |
July to August 2007 |
January to August 2006 |
January to August 2007 |
January–August 2006 to January–August 2007 |
| |
Seasonally adjusted |
| |
$ millions |
% change |
$ millions |
% change |
| St. John's |
32.5 |
51.7 |
59.1 |
209.8 |
239.2 |
14.0 |
| Halifax |
59.2 |
81.6 |
37.8 |
418.7 |
433.4 |
3.5 |
| Moncton |
24.1 |
33.1 |
37.3 |
148.8 |
183.3 |
23.2 |
| Saint John |
14.9 |
8.4 |
-43.3 |
117.2 |
155.3 |
32.5 |
| Saguenay |
22.1 |
22.3 |
0.9 |
135.2 |
140.7 |
4.1 |
| Québec |
99.3 |
172.4 |
73.6 |
764.7 |
966.9 |
26.4 |
| Sherbrooke |
29.5 |
21.8 |
-26.3 |
223.4 |
200.9 |
-10.1 |
| Trois-Rivières |
26.6 |
23.8 |
-10.5 |
162.7 |
192.8 |
18.5 |
| Montréal |
633.3 |
558.8 |
-11.8 |
3,847.7 |
4,380.0 |
13.8 |
| Ottawa–Gatineau, Ontario/Quebec |
195.2 |
229.8 |
17.8 |
1,464.3 |
1,670.8 |
14.1 |
| Ottawa–Gatineau (Que. part) |
70.8 |
51.6 |
-27.1 |
328.6 |
428.7 |
30.5 |
| Ottawa–Gatineau (Ont. part) |
124.3 |
178.2 |
43.3 |
1,135.8 |
1,242.1 |
9.4 |
| Kingston |
36.5 |
25.5 |
-30.2 |
176.7 |
188.4 |
6.6 |
| Peterborough |
25.4 |
23.7 |
-6.7 |
101.8 |
98.1 |
-3.7 |
| Oshawa |
67.2 |
57.9 |
-13.8 |
593.2 |
481.2 |
-18.9 |
| Toronto |
1,025.8 |
1,023.1 |
-0.3 |
6,979.8 |
8,256.5 |
18.3 |
| Hamilton |
118.7 |
58.4 |
-50.9 |
580.2 |
735.7 |
26.8 |
| St. Catharines–Niagara |
31.2 |
35.5 |
13.7 |
374.9 |
284.9 |
-24.0 |
| Kitchener |
75.1 |
77.6 |
3.3 |
619.7 |
578.0 |
-6.7 |
| Brantford |
10.6 |
29.1 |
173.3 |
127.8 |
136.3 |
6.6 |
| Guelph |
29.1 |
38.3 |
31.6 |
240.5 |
214.2 |
-10.9 |
| London |
61.3 |
76.8 |
25.4 |
623.0 |
616.0 |
-1.1 |
| Windsor |
21.3 |
32.7 |
53.2 |
334.8 |
223.0 |
-33.4 |
| Barrie |
26.5 |
50.7 |
91.6 |
362.3 |
270.1 |
-25.5 |
| Greater Sudbury |
22.6 |
37.1 |
64.0 |
140.8 |
266.3 |
89.2 |
| Thunder Bay |
7.3 |
6.6 |
-9.7 |
59.4 |
58.8 |
-1.1 |
| Winnipeg |
76.1 |
82.4 |
8.3 |
586.8 |
611.9 |
4.3 |
| Regina |
27.4 |
26.8 |
-2.2 |
205.7 |
257.9 |
25.4 |
| Saskatoon |
40.3 |
108.1 |
168.4 |
294.3 |
456.1 |
55.0 |
| Calgary |
548.1 |
367.3 |
-33.0 |
3,426.0 |
4,424.1 |
29.1 |
| Edmonton |
287.6 |
421.3 |
46.5 |
2,175.9 |
2,746.7 |
26.2 |
| Kelowna |
41.3 |
76.5 |
85.3 |
391.2 |
547.7 |
40.0 |
| Abbotsford |
24.8 |
17.1 |
-31.1 |
251.0 |
199.7 |
-20.4 |
| Vancouver |
602.9 |
534.6 |
-11.3 |
4,048.9 |
4,964.4 |
22.6 |
| Victoria |
64.1 |
60.1 |
-6.1 |
524.3 |
690.8 |
31.8 |
| r | revised |
| p | preliminary |
| 1. | view the census subdivisions that comprise the census metropolitan areas. |
| Note: | Data may not add up to totals as a result of rounding. |
|
| Value of building permits, by province and territory |
| |
July 2007r |
August 2007p |
July to August 2007 |
January to August 2006 |
January to August 2007 |
January–August 2006 to January–August 2007 |
| |
Seasonally adjusted |
| |
$ millions |
% change |
$ millions |
% change |
| Canada |
6,203.9 |
6,291.5 |
1.4 |
42,422.5 |
49,151.9 |
15.9 |
| Residential |
3,900.1 |
3,888.0 |
-0.3 |
26,692.2 |
29,572.6 |
10.8 |
| Non-residential |
2,303.8 |
2,403.4 |
4.3 |
15,730.4 |
19,579.3 |
24.5 |
| Newfoundland and Labrador |
54.1 |
68.8 |
27.3 |
310.8 |
381.6 |
22.8 |
| Residential |
33.8 |
59.1 |
74.9 |
221.9 |
266.8 |
20.3 |
| Non-residential |
20.3 |
9.7 |
-52.1 |
88.9 |
114.8 |
29.1 |
| Prince Edward Island |
13.7 |
12.0 |
-11.9 |
142.3 |
102.2 |
-28.2 |
| Residential |
10.3 |
9.3 |
-10.1 |
82.8 |
78.2 |
-5.6 |
| Non-residential |
3.3 |
2.7 |
-17.4 |
59.5 |
24.1 |
-59.5 |
| Nova Scotia |
119.6 |
136.7 |
14.3 |
824.3 |
855.2 |
3.8 |
| Residential |
74.8 |
99.3 |
32.8 |
541.1 |
558.8 |
3.3 |
| Non-residential |
44.8 |
37.4 |
-16.6 |
283.2 |
296.4 |
4.7 |
| New Brunswick |
85.7 |
95.1 |
10.9 |
613.8 |
651.1 |
6.1 |
| Residential |
56.4 |
52.6 |
-6.6 |
336.4 |
366.1 |
8.8 |
| Non-residential |
29.4 |
42.5 |
44.6 |
277.4 |
285.0 |
2.7 |
| Quebec |
1,167.9 |
1,150.4 |
-1.5 |
7,537.2 |
8,580.8 |
13.8 |
| Residential |
738.9 |
777.6 |
5.2 |
4,963.6 |
5,467.1 |
10.1 |
| Non-residential |
429.0 |
372.8 |
-13.1 |
2,573.6 |
3,113.7 |
21.0 |
| Ontario |
2,088.9 |
2,199.6 |
5.3 |
15,220.1 |
17,093.3 |
12.3 |
| Residential |
1,245.2 |
1,225.5 |
-1.6 |
9,498.4 |
9,549.4 |
0.5 |
| Non-residential |
843.7 |
974.0 |
15.4 |
5,721.7 |
7,543.9 |
31.8 |
| Manitoba |
121.4 |
118.8 |
-2.1 |
896.0 |
1,015.5 |
13.3 |
| Residential |
78.0 |
92.7 |
18.9 |
544.1 |
640.8 |
17.8 |
| Non-residential |
43.3 |
26.1 |
-39.8 |
351.9 |
374.7 |
6.5 |
| Saskatchewan |
137.1 |
178.2 |
30.0 |
726.7 |
1,023.3 |
40.8 |
| Residential |
73.8 |
73.4 |
-0.5 |
284.5 |
536.2 |
88.5 |
| Non-residential |
63.4 |
104.8 |
65.4 |
442.2 |
487.2 |
10.2 |
| Alberta |
1,386.8 |
1,303.9 |
-6.0 |
8,704.3 |
10,667.3 |
22.6 |
| Residential |
842.2 |
808.0 |
-4.1 |
5,358.2 |
6,245.6 |
16.6 |
| Non-residential |
544.6 |
495.8 |
-9.0 |
3,346.1 |
4,421.8 |
32.1 |
| British Columbia |
1,010.2 |
1,013.4 |
0.3 |
7,307.7 |
8,615.6 |
17.9 |
| Residential |
733.9 |
682.9 |
-6.9 |
4,804.6 |
5,778.1 |
20.3 |
| Non-residential |
276.4 |
330.5 |
19.6 |
2,503.1 |
2,837.5 |
13.4 |
| Yukon |
6.5 |
6.0 |
-7.5 |
73.3 |
55.5 |
-24.3 |
| Residential |
5.4 |
3.2 |
-41.0 |
26.1 |
25.2 |
-3.2 |
| Non-residential |
1.0 |
2.8 |
172.0 |
47.3 |
30.3 |
-36.0 |
| Northwest Territories |
9.9 |
4.4 |
-55.1 |
25.0 |
54.6 |
118.1 |
| Residential |
5.3 |
1.4 |
-73.9 |
12.5 |
13.4 |
7.1 |
| Non-residential |
4.5 |
3.0 |
-33.0 |
12.5 |
41.1 |
229.6 |
| Nunavut |
2.2 |
4.2 |
87.4 |
40.9 |
55.8 |
36.5 |
| Residential |
2.1 |
2.9 |
37.5 |
17.9 |
46.9 |
161.6 |
| Non-residential |
0.1 |
1.3 |
835.3 |
23.0 |
8.9 |
-61.1 |
| r | revised |
| p | preliminary |
| Note: | Data may not add up to totals as a result of rounding. |
|
Note to readers
Unless otherwise stated, this release presents seasonally adjusted data, which ease comparisons by removing the effects of seasonal variations.
The Building Permits Survey covers 2,380 municipalities representing 95% of the population. It provides an early indication of building activity. The communities representing the other 5% of the population are very small, and their levels of building activity have little impact on the total.
The value of planned construction activities shown in this release excludes engineering projects (e.g., waterworks, sewers or culverts) and land.
For the purpose of the Building Permits release, the census metropolitan area of Ottawa–Gatineau is divided into two areas: Ottawa–Gatineau (Quebec part) and Ottawa–Gatineau (Ontario part).
|
Ontarians could be curbing their enthusiasm for home makeovers, as intentions to renovate decrease, RBC survey
TORONTO - The frenzied pace at which Ontarians have been renovating appears to be moderating, according to a new survey from RBC and Ipsos-Reid.
According to the 2007 RBC Renovation Survey, renovation intentions are
levelling off, with 53 per cent of Ontario homeowners expect to renovate or
make home improvements within the next 12 months, a decline of four per cent
from 2006. Two-thirds (66 per cent) of the province's homeowners intend to
renovate within the next two years and they expect to spend an average amount
of $10,495 on renovations. Bathrooms (35 per cent), kitchens (30 per cent) and
basements (27 per cent) are the most likely targets for makeovers.
Of Ontarians who have renovated in the last two years, 72 per cent had a
budget and 42 per cent of that group went over budget. On average they went
over budget by 80 per cent, the highest percentage when compared to home
owners in other parts of Canada.
"It's crucial to get quotes, investigate financing options and be
realistic about how much the project is really going to cost," said Catherine
Adams, vice-president, Home Equity Financing. "Otherwise, it's easy to
overlook your budget and to keep adding projects to the "to do" list. It's a
typical pitfall of renovating."
As for how Ontarians compare to homeowners in other regions:
<<
- Most likely to indicate they are not planning to renovate in the next
two years (27%)
- Most likely to pay for their renovations with cash or savings (54%)
- Most likely, along with British Columbia, to use a contractor (42%)
- Most likely to have a budget when renovating (72%)
- Least likely (37%) to consider borrowing against the equity in their
home to finance a renovation
|
| Avoiding Basement Flooding - Protect your home - and your investment
OTTAWA - With up to 40,000 reported cases in Canada each year, basement flooding is a serious problem in many parts of the country. Damages resulting from a flooded basement average between $3,000 to $5,000, but it can also be a lot more. Plus, in addition to the mess and inconvenience, flooding can cause health hazards, and lead to structural damage. To help you protect your basement, the health of your family and your pocketbook, Canada Mortgage and Housing Corporation (CMHC) has a number of practical steps you can take to avoid basement flooding in your home, including:
- Clean debris from your eavestroughs on a regular basis, and make sure
your downspouts extend at least 1.8 metres (six feet) away from your
basement wall, and drain away from your house toward the street, rear
yard or back lane. If your downspouts are connected to your home's
sewer system or weeping tile, disconnect them.
- If the land around your home slopes inward, fill in and grade the
ground so that it slopes away from your house for at least 1.8 metres
(six feet) out from the foundation. Also, examine sidewalks, patios,
decks and driveways to be sure they aren't causing water to drain back
towards your basement walls.
- If your drainage system tends to overload, consider installing one or
more floodproofing devices, such as a sump pump or back flow valve.
Some devices may require a plumbing permit, so check with your
municipal office or a qualified plumber before carrying out any
installation. Plus, keep all floodproofing devices and plumbing
fixtures clean and well maintained, and have a qualified plumber
inspect them regularly to ensure that they're operating properly.
- For severe storms or power blackouts, you may want to invest in a
battery-powered backup sump pump, or a water-powered pump that runs by
city water flowing through the pump impeller.
- To lessen the potential damage from flooding in your basement and make
cleaning up afterwards easier and less expensive, install impermeable
floor and wall finishes such as ceramic tile. In addition, make sure
any furniture in the basement has legs to keep the fabric above the
water level, and consider using area rugs as an alternative to
broadloom for easier removal and cleaning.
- Finally, check with your insurance agent or broker to ensure that you
have adequate coverage against flood damage. Keep your insurance
policies and related records in a safe location that is easily
accessible after an emergency, and maintain a detailed inventory of
everything in your residence for use in the event of a loss.
For more information or a free copy of the "About Your House" fact sheet
Avoiding Basement Flooding or other fact sheets on virtually every facet of
owning, maintaining or renovating your home, ask CMHC at 1-800-668-2642 or
visit our website at www.cmhc.ca. CMHC is Canada's national housing agency and
a source of objective, reliable housing expertise.
|
Bell Canada Announces the Phase II of New Headquarters on Nuns' Island
Additional building expands campus work environment promoting close collaboration and innovation
MONTREAL - Bell Canada, together with the Montreal property developers Canderel and Proment Corporation, announced today Phase II of the construction of new Bell Canada headquarters on Nuns' Island. The second phase is anticipated to be ready for occupancy by February, 2009. Phase I, started in February this year, is slated to be ready for occupancy by September, 2008. Both phases will welcome approximately 4,000 Bell employees.
Jonathan Wener, Chief Executive Officer of Canderel, says, "This is the second phase of one of the largest private-sector developments in Montreal in over 30 years, which represents an investment of $250 million. This project intelligently and sensitively develops one of the last major properties on the St. Lawrence waterfront, for the benefit of Bell's employees, certainly, but for all Montrealers."
For Bell CEO Michael Sabia, the project is a renewal of Bell's commitment to Montreal, where the company broke ground on its Beaver Hall Hill headquarters exactly 80 years ago. "This is also the flagship of a more innovative Bell - one that is capable of working more collaboratively, more cohesively and more rapidly. This new campus will provide our people with an inviting space, a catalyst for a more creative way of working. And it reflects in a tangible way the environmental values of our employees - and our company."
A project that will change Montreal's landscape
Located at the gateway to Montreal and just minutes from the downtown core, the project is being constructed in the vicinity of the Bonaventure Autoroute and the Champlain Bridge where approximately 130,000 vehicles pass daily. Bell's headquarters will have outstanding visibility, spectacular views of the city and access to the St. Lawrence River.
"The realization of the Bell campus in Montreal clearly demonstrates the capacity of our city to mobilize its forces in order to spearhead major projects. It also confirms and reinforces our advanced status in the information technology and communications sectors. With this new campus, Bell Canada is equipping itself with a very strong instrument for growth while contributing to reinventing Montreal with us" notes Mayor of Montreal, Gerald Tremblay."
"We're pleased to welcome our country's communications leader to our borough. This good news is a reflection that Verdun, and its L'Ile-des-Soeurs neighbourhood, provide an outstanding living and working environment", adds Claude Trudel, Mayor of the Borough of Verdun.
A LEED approach to development
Phase II will consist of two multi-story buildings on the north tip of the island linked by a glass-enclosed passageway to Phase I. It will comprise 240,000 square feet of office and amenities and will complement the existing 600,000 square feet of campus under construction, bringing the total to 840,000 square feet. The building will have underground parking in order to preserve the green space for which the area is renowned. Both phases have been designed by Brian Burrows of Architex and are being constructed by Reliance Construction.
As a proposed LEED-project, the buildings are designed to be environmentally sensitive, functional and ecologically friendly. LEED is the most rigorous international standard for environmental and sustainable development norms. This will be the first major Montreal office building to adopt a LEED approach to development.
"The integrated campus of Bell's headquarters, conceived in such an architecturally attractive manner and in such a beautiful green environment, incorporates many sustainable features and is designed for LEED certification," adds Samuel Gewurz, President of Proment Corporation.
Attending an event on the site of the future Bell Canada Campus today, Minister of Public Works and Government Services Canada and Minister responsible for the Montreal region, Michael M Fortier, comments, "In keeping with the adoption by Canada's new government of LEED standards for all its new office buildings, Bell Canada takes to heart the well-being of future generations and respect for the environment. By selecting creatively designed installations that meet higher environmental standards, Bell Canada is demonstrating leadership and reaffirming its drive for innovation that has brought success and renown to the company. Today's announcement is therefore excellent news, not only for Montreal, but for all of Canada as well."
"The Quebec government is delighted with the start of construction for the second phase of the Bell Canada campus. It is crucial that we retain companies that have greatly contributed to Quebec's economic development and prosperity. With its modern and esthetic look, the eco-friendly Bell Canada campus will further improve Montreal's landscape", states Henri-Francois Gautrin, Quebec's Deputy Government House Leader, Parliamentary assistant to the Premier and MNA for Verdun.
|
Toronto, Ottawa Condo Markets Grow With Boomers
Genworth Report: Condo starts have risen in lockstep with buyers over 55
TORONTO - Demand from baby boomers over age 55, many downsizing from "empty nest" homes, will support long-term growth in Toronto and Ottawa condominium markets, according to new data released by Genworth Financial Canada, a subsidiary of Genworth Financial, Inc.
Genworth's Summer 2007 Metropolitan Condominium Outlook report forecasts
local condominium resale prices in Toronto and Ottawa to post average annual
increases of about 3.3 per cent and 3 per cent respectively from 2008 to 2011.
By 2011, the average resale condo price is forecast to be $254,049 in
Toronto and $208,926 in Ottawa.
"Both new construction and resale activity consistently demonstrate that
the Toronto and Ottawa condo markets are healthy. Beyond the affordability
factor, the baby boomer demographic is increasingly driving demand in these
markets'" said Peter Vukanovich, president Genworth Financial Canada. "In
Toronto and Ottawa, price growth will remain steady through 2011, in line with
the increasing over 55 population share. That will benefit all homebuyers who
might otherwise have worried about potential market declines."
The over 55 populations of Toronto and Ottawa have grown rapidly - from
19 per cent in both cities in 1996, to 21 per cent and 22.5 per cent
respectively, in 2006. Outside affordability factors, this trend will help
maintain long-term condo demand, as boomers look to downsize their homes.
Census figures release in July by Statistics Canada show the number of
people in Canada aged 55 to 64, many of whom are approaching retirement, is at
a record high of 3.7 million.
"Condos have traditionally been the entry point for first-time homebuyers
and we continue to see that in major urban centres. But we're also seeing a
clear trend among baby boomers who are looking for convenience, security and
the ability to enjoy their retirement living in a condo where they can walk to
restaurants and shopping, transit, and enjoy a new lifestyle," said Bob
Finnigan, President of the Building Industry and Land Development Association
(BILD).
"We are witnessing the aging population downsize their lifestyles.
Boomers enjoy the security, maintenance and simplicity that condominiums
provide. In the long term, we will continue to look at the baby boomer market,
as there is little doubt that they will continue to play a role in supporting
condo demands," said developer Chris Sherriff-Scott, Senior Vice President of
MintoUrban Communities Inc.
The Summer 2007 Metropolitan Condominium Outlook reviewed resale condo
markets in Quebec City, Montreal, Ottawa, Toronto, Calgary, Edmonton,
Vancouver and Victoria. All eight markets registered price growth in 2006 and
are forecast to continue to grow this year and through 2011.
The Genworth report also noted that condos are becoming a more attractive
option for first-time homebuyers, given the rising price of new detached homes
in Canada. As reported by Genworth's Summer 2007 Metropolitan Housing Outlook,
new homes are forecast to average $378,000 in Canada this year, a six per cent
annual increase.
"We work with our lender partners and mortgage professionals to provide
low-down payment mortgages for these first-time buyers," said Vukanovich. "The
affordable monthly payments allow them to become homeowners and start building
equity sooner."
The full Summer 2007 Metropolitan Condominium Outlook is available at www.genworth.ca |
ONTARIO STARTS EDGE HIGHER IN AUGUST 2007
Toronto - For a second consecutive month, Ontario home starts moved higher in August. The Seasonally Adjusted Annual Rate (SAAR) of urban* starts rose to 61,700 units, up from 59,100 unit starts registered in July. Residential construction was driven higher by both the single detached and multi-family home segment. Greater Sudbury and Hamilton areas, Ontario's tightest resale markets, continue to be the construction bright spots across the province.
The longer term trend for Ontario housing starts has been one of high starts levels gradually edging lower from peak levels in 2003-04. For example, while actual urban Ontario home starts for the year are 14 per cent lower compared to 2006, home starts this year are expected to remain at historical averages.
“The single detached home construction sector is weathering headwinds caused by rising home prices and slower job growth,” said Ted Tsiakopoulos, CMHC's Ontario regional economist. “Low inventories of unsold homes and a growing affluence among Ontario's baby boom generation are factors supporting the province's more expensive real estate sector. While detached home construction weakens next year, a stronger apartment sector will support new construction activity in the back half of this year and into 2008,” added Tsiakopoulos.
|
Pace of growth in new housing prices slowed for the 11th consecutive month in July 2007 , despite the ongoing red-hot pace in Saskatchewan.
Contractors' selling prices increased 7.7% in July compared with July 2006, a slightly slower rate than the 7.8% gain in June. Prices have been decelerating since August 2006 when the year-over-year rate of growth peaked at 12.1%.
On a monthly basis, prices increased 0.9% between June and July. The New Housing Price Index increased to 154.4 (1997=100).
Demand for new housing remained hot in Saskatchewan. Prices in Saskatoon set a record high year-over-year increase for the fifth consecutive month (+51.4%). Regina also registered a record 12-month increase of 23.0%.
Prices in Winnipeg were 15.7% higher than in July 2006 in the wake of land shortages and development costs, combined with labour rates for framers and concrete workers.
In Alberta, new housing prices in Edmonton continued to increase at a fast pace with a year-over-year increase of 38.4%. Hikes in land values from developers were a major contributor. On the other hand, a cooling trend continued in Calgary, where the year-over-year increase was only 9.8%, the slowest gain in almost two years.
A healthy housing market in Vancouver resulted in a year-over-year increase of 9.2%, down slightly from the 9.8% increase recorded in the previous month.
Housing prices remained strong in Halifax, rising 6.8% over July 2006, despite only a small monthly increase of 0.1%.
In Windsor, new housing prices fell 3.5% below levels in July 2006 as builders priced to sell in a depressed market.
On a monthly basis, the fastest gain occurred in Edmonton (+7.0%), which registered its largest one-month increase in over 20 years. It was followed by Winnipeg (+4.3%), Saskatoon (+3.0%) and Regina (+1.6%).
The only census metropolitan areas registering declines from June were Windsor (-0.6%) and Greater Sudbury and Thunder Bay (-0.4%).
|
CMHC REPORTS KITCHENER NEW CONSTRUCTION NUMBERS STEADY
Waterloo Region - Canada Mortgage and Housing Corporation (CMHC) released Kitchener's preliminary housing starts data for the month of August 2007.
Construction began on 212 homes in the Kitchener Census Metropolitan Area (CMA), an increase of eight per cent from the 197 units started in the same month last year. Both single-detached and multiple-family home starts recorded slight increases over August 2006. A total of 151 single-detached foundations were poured in August, up five per cent from August 2006. For the first time in more than a year, single-detached starts recorded a monthly year-over-year increase. At only 61 units, multiple-family home starts (which include semi-detached homes, townhouses and apartments) were up 15 per cent from the 53 units started in August 2006.
Housing starts for the first eight months of 2007 were down only four per cent from the same period of 2006. While single-detached construction has fallen by 38 per cent, the 46 per cent jump in multiple-family construction has kept new home figures at a respectable level.
“Housing demand in the Kitchener CMA is very strong. With limited choice in new single-detached homes, more homebuyers are opting to purchase either a new multiple-family home or a resale home,” said Erica McLerie, Market Analyst for the Kitchener CMA. “As a result, existing home sales have reached record levels this year and multiple-family home starts are above average,” added McLerie.
|
| Kitchener Waterloo Realestate Boards August 2007 Sales Statistics (PDF) |
Building permits Cool for July 2007 after Hot Performaces
Statscan - Construction intentions cooled down in July as the value of building permits declined, halting two months of record-setting performances. Municipalities issued building permits worth $6.2 billion, down 11.3% from $6.9 billion in June.
Still, July was one of only a handful of months in which permits exceeded the $6-billion mark.
At $6.9 billion in both May and June, the total value of permits was at its highest level on record.
Losses occurred in both the residential and non-residential sectors. The value of residential permits fell 6.3% to $3.8 billion, with declines in both the single-family and multiple-family components.
Contractors took out $2.3 billion in permits in the non-residential sector, down 18.6%. The value of institutional and commercial permits decreased, while industrial permits rose to their second-highest value in just over a year.
The value of permits increased in only three provinces: Newfoundland and Labrador, Prince Edward Island and New Brunswick.
Housing sector: Multi-family permits recede
Intentions in both components of the housing sector eased down in July.
Municipalities issued $2.4 billion worth of single-family permits, a 3.1% decline from June. Still, it was the third-highest value on record. A total of 9,553 single-family units were approved, a 2.4% decline.
The value of multi-family permits tumbled 11.1% to $1.5 billion, the first decline in five months. Municipalities approved 11,041 multi-family units, a 5.8% decline. Even so, the demand for new multi-family dwellings has been on an upward trend since the beginning of the year.
The high price tag associated with the purchase of single-family dwellings has contributed to an increasing shift in housing demand towards multi-family units. So far this year, 51.4% of the new units approved have been multi-family dwellings. The last time such a high proportion was observed for a whole year was in 1982.
Strength in employment, growth in disposable income, tight apartment vacancy rates in several centres and attractive financing options continued to have a positive impact on housing demand.
Residential permits declined in four provinces. The significant drops in Alberta, British Columbia and Ontario more than offset modest increases in permit values elsewhere.
The largest decline (in dollars) occurred in Alberta, where the value of permits fell 15.3% to $827 million, the result of decreases in both single- and multi-family permits. Despite the decline, Alberta's level was still 8.0% above its average value of residential permits for the first six months of 2007.
The drops in total residential permit values in British Columbia (-11.3% to $718 million) and Ontario (-5.8% to $1.2 billion) were mainly precipitated by falling levels of multi-family permits.
On the other hand, strength in the multi-family component led to increases in the total values of residential permits in Quebec (+4.2% to $718 million) and Nova Scotia (+29.6% to $75 million).
Ontario's decline in multi-family permits was largely the result of a decrease in the average value of such units approved.
Non-residential sector: Decline halts two strong months
Contractors took out $2.3 billion in non-residential permits in July, an 18.6% decline. This followed two very strong months, as non-residential permits totalled $3.1 billion in May and $2.8 billion in June.
Despite the decline, July's level was still nearly 10% above the average monthly level in 2006. Furthermore, the value of non-residential permits has been generally on an upward trend since the beginning of 2006.
In the commercial component, the value of permits totalled $1.2 billon, down 29.4% from June. Lower construction intentions were spread across a wide variety of buildings, such as office buildings, hotels, warehouses, shopping malls and retail stores. Intentions fell in seven provinces.
July's level was the lowest in five months. Despite the decline, the value of commercial permits has been on an upward trend since October 2005.
In the institutional sector, the value of permits dropped 16.9% to $592 million following gains of 14.6% in June and 78.6% in May. Lower construction intentions in educational buildings and nursing homes contributed to this decline.
Overall, seven provinces and two territories recorded declines. However, Ontario and British Columbia registered the most significant drops (in dollars), offsetting a strong gain in Alberta.
In the industrial component, the value of permits jumped 23.8% to $503 million, after a 6.6% drop in June.
The gain was based mainly on strong construction intentions for manufacturing buildings in Ontario and Alberta. In contrast, after five consecutive monthly increases, Quebec recorded the largest decline as a result of lower construction intentions in the utility and manufacturing building categories.
Several factors are consistent with the strength in the non-residential sector in recent months. These include strength in the retail and wholesale sectors, high corporate profits, and declining vacancy rates for office buildings in certain major urban centres.
Among the provinces, British Columbia and Ontario recorded the greatest decreases in the non-residential sector. In British Columbia, the $269 million worth of permits issued in July was the lowest level since the beginning of the year.
Metropolitan areas: July's decline widespread across the country
Among the 34 census metropolitan areas, 24 posted declines in the total value of building permits in July.
The largest decreases (in dollars) occurred in Vancouver, Toronto and Calgary. In each area, retreats occurred in both the residential and non-residential sectors, and were preceded by a strong showing in June. A strike in the city of Vancouver contributed to the decline in the total value of permits for the Vancouver area.
Despite the declines in July, Vancouver, Toronto and Calgary showed the strongest year-to-date advances (in dollars) among the metropolitan areas compared with the same period in 2006.
| Value of building permits, by census metropolitan area1 |
| |
June 2007r |
July 2007p |
June to July 2007 |
January to July 2006 |
January to July 2007 |
January–July 2006 to January–July 2007 |
| |
Seasonally adjusted |
| |
$ millions |
% change |
$ millions |
% change |
| St. John's |
28.8 |
32.9 |
14.1 |
181.2 |
187.8 |
3.7 |
| Halifax |
71.1 |
58.8 |
-17.3 |
373.0 |
351.4 |
-5.8 |
| Moncton |
32.3 |
24.2 |
-25.0 |
127.7 |
150.4 |
17.7 |
| Saint John |
15.8 |
15.0 |
-5.5 |
92.9 |
147.0 |
58.3 |
| Saguenay |
34.9 |
22.3 |
-36.0 |
108.5 |
118.6 |
9.3 |
| Québec |
144.4 |
100.5 |
-30.4 |
656.2 |
795.8 |
21.3 |
| Sherbrooke |
29.4 |
29.8 |
1.5 |
201.6 |
179.4 |
-11.0 |
| Trois-Rivières |
28.8 |
26.9 |
-6.8 |
123.2 |
169.2 |
37.3 |
| Montréal |
617.3 |
609.2 |
-1.3 |
3,375.0 |
| | |
