Building Links Blog
Read our blog to stay informed on the news for the construction and real estate industry for the Comox Valley, Campbell River, Comox, Port Alberni, Powell River, Tofino and Vancouver Island. Stay connected to get connected!
2022 Building Permit Statistics in Around Town
Your Weekly Construction Briefing
Compared to 2021, total building permit values in 2022 decreased by 24 per cent from $452 to $334 million. The number of permits issued also decreased by 26 per cent from 1124 permits in 2021 to 852 in 2022.
The decline in the number of permits hit all categories, with the exception of a 50% increase in attached and detached secondary suites. Commercial and residential renovations decreased by 12 and 15 per cent while single-family, duplex to fourplex, and multi-family decreased by 37, 29 and 50 per cent.
Between 2021 and 2022, single-family permits declined in all Quarters, with a 21% decline between January to June and 41% decline between July to December when the interest rate was steadily increasing.
When comparing detached single-family (SF) construction in 2022, versus the 5 previous years (2017 to 2021), 2022 had a total of 236 SF permits versus a 5-year average of 365 units annually.Â
While the total of single-family permits issued in 2022 were 37 per cent lower than in 2021, there was a similar decline in 2015 and rebound in 2016. In 2014, permits were issued for 345 units, dropping to 245 in 2015, and then up to 375 in 2016. Between 2017 and 2021, the number of single-family permits remained steady between 343 and 389 annually. Â
As for multi-family units, while there has been a 50% decline between 2021 and 2022, there has also been a substantial increase over the last 6 years and applications for 600+ units are waiting to be approved. In the last 6 years, over 2900 multi family units have been built or are wrapping up construction. In 2017, permits were issued for 146 units, reaching a high of 1059 units by 2020. In 2021, units dropped to 599, and dropped again to 301 in 2022.
While these declines could imply that a recession is looming, it’s going to take another year of statistics to help forecast what the next 5 years has in store. The construction sector is obviously on a downhill slide while the interest rate slows the economy, and some developers and builders assume a slower pace. That being said, several projects with over 3000 mixed units are under various levels of approvals and the next year or two may provide some normalcy before the market ramps up again.
The 2022 Year End Building Permit Statistics in this week’s issue. Subscribe now for access.
Building Links Construction Reports and Statistics: The weekly #1 construction projects resource for 27 years. New and updated projects, permits, tenders, and industry connections for Vancouver Island – Central North, West Coast and Powell River. Helping you build connections so you can build communities! Where are you getting your information from? Support local trades – Subscribe Now!
Your Weekly North Vancouver Island Construction News
In this Week’s Issue of Building Links
- Ucluelet: Approvals proceeding for 212 residential units on a 24.8 acre property
- Tofino: Proposed renovation to the Municipal Hall may begin in February.
- Campbell River: Â Adult Care Society is proposing a 4 storey building for rentals and senior programs.
New Home Buyer Rescission Period in Around Town
Your Weekly Construction Briefing
The new buyer protection initiative came into force January 3, 2023. The ‘cooling off period’ will allow buyers to change their minds within three days of having their offer accepted on resale or newly built homes.
The right of rescission is imposed by legislation, and parties cannot come to an agreement between themselves not to exercise this right. If the buyer chooses to rescind, they must serve written notice that includes the property address or legal description, the name and signature of the person exercising the rescission right, the name of all sellers in the contract of purchase and sale, and the date the right of rescission is being exercised.
This does not replace the common due diligence options that can be included in an offer, such as financing or a home inspection. It simply allows buyers to change their mind by paying 0.25% of the purchase price as compensation.
The three-business day period is intended to strike a balance that minimizes potential delays for sellers while still being a mechanism to assist buyers, particularly in hot and high-pressure markets. The idea seems to be to give buyers time to complete diligence activities such as confirming financing, reviewing relevant documents regarding the property, and undertaking inspections.
During the three days, the seller does not need to provide access to the property unless it’s requested in the contract. Therefore, if the offer is subject free, it will still require a term permitting the buyers access to the property for due diligence.
For more information, read about the new recission period in BC Real Estate Association’s FAQs.
Building Links Construction Reports and Statistics: The weekly #1 construction projects resource for 27 years. New and updated projects, permits, tenders, and industry connections for Vancouver Island – Central North, West Coast and Powell River. Helping you build connections so you can build communities! Where are you getting your information from? Support local trades – Subscribe Now!
Your Weekly North Vancouver Island Construction News
In this Week’s Issue of Building Links
- Powell River: City moving forward with the potential development of a city owned apartment building.
- Courtenay: NIC has announced the contractors for the student housing project.Â
- Campbell River: Approvals moving forward for over 600 mixed units.Â
National Price Decline vs Affordability in Around Town
Your Weekly Construction Briefing
House prices across the country have fallen precipitously in response to rising interest rates. The Canadian Real Estate Association (CREA) recorded a decline in their benchmark housing price of 16.4% from the market peak in March to November 2022. This marks the deepest 8-month decline in their records dating back to 2005.
(more…)Your Weekly North Vancouver Island Construction News
In this Week’s Issue of Building Links
- Campbell River: Seven commercial-retail buildings proposed for Jubilee Heights.
- Cumberland: Development Permit approved for a two building storage unit project.
- Comox: Proposed six storey mixed-use building with 52 residential units.
Wishing You a Happy Holiday Season in the final Around Town of 2022!
Your Weekly Construction Briefing
It is traditional at this time of year for us to thank the staff in municipal offices for their assistance in providing us with timely and pertinent information throughout 2022. We also extend our appreciation to the consultants, architects, engineers, realtors, contractors, project managers, builders and developers who share up-to-date information on the projects that we report on.
(more…)Your Weekly North Vancouver Island Construction News
In this Week’s Issue of Building Links
- Tofino: BC Hydro upgrading power lines to support the new water treatment facility.
- Comox Valley Regional District: DP approved for a 51 unit campground near Fanny Bay.
- Campbell River: Applications are under review for a proposed 99-unit townhome development.
Trend Continues – Listings Up, Sales Down In Around Town
Your Weekly Construction Briefing
Last month, there were 1195 active listings in the VIREB areas for single-family detached properties, compared to 301 in November 2021. There were 286 condos listed, up from 96 listings one year ago, and 266 townhouses compared to 64 one year ago.According to an industry wide survey released in April 2021, BC’s construction industry continues to be the number one employer in BC’s goods sector, with more than 219,500 people relying directly on construction for a paycheque.
(more…)Your Weekly North Vancouver Island Construction News
In this Week’s Issue of Building Links
- Comox: 60 lot subdivision proposed near airport
- BC Hydro Campbell River: Contract awarded for John Hart Dam civil works.
- Campbell River: Approvals moving forward for 142 acres with single family, suites and multi-family.
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