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Surrey launches AI tool to improve permitting

City of Surrey has launched an artificial intelligence (AI) Development Inquiry Assistant (DIA) pilot, aimed at connecting applicants more easily and quickly to accurate information about the permitting process. This initial release will focus on providing information for single-family dwelling building permits and tenant improvement building permits, with the goal of raising awareness of the process and ultimately, expediting timelines and improving the quality of applications.

“I am so happy that we are able to better connect building permit applicants with the information they need to create a more seamless application process,” said Mayor Brenda Locke. “Using artificial intelligence, we are streamlining, simplifying and expediting our processes. We plan to continue making improvements to the Development Inquiry Assistant to reduce wait times to better serve our community and ultimately, speed up the delivery of new homes in the City of Surrey.”

DIA is expected to provide the following benefits for the city and its citizens:

  • Enhance customer service and information accessibility by providing instant and accurate answers to development inquiries 24/7 using publicly available information from surrey.ca.
  • Increase awareness and understanding of the city’s permitting requirements and development potentials.
  • Improve the response time for staff who handle building and construction inquiries
  • Raise the quality and completeness of building permit applications, improving the overall efficiency of the permit approval process.

DIA is intended to provide customers with a conversational experience as it guides them through the permitting process and provides responses to their single-family dwelling and tenant improvement inquiries. Moving forward, the city will continue to improve DIA with additional functionality and information.

The project was made possible in part through a grant the city received from the Canada Mortgage and Housing Corporation (CMHC) under the Housing Accelerator Fund (HAF) program in December 2023. The city’s HAF Action Plan includes researching and implementing artificial intelligence (AI) technology to enhance customer service and accelerate the permitting process.

 

Zeidler reveals new West Broadway hotel designs

Zeidler Architecture has revealed updated designs for 901 West Broadway, a new hotel project by Hallmark Hospitality that signals the beginning of the redevelopment of the West Broadway corridor in Vancouver.

Located at northwest corner of West Broadway and Laurel Street, the hotel will become one of the first projects to respond to the City of Vancouver’s Broadway Plan, which aims to transform Broadway into a high-density corridor. The evolved design represents a sophisticated and refined architectural solution to a complex site that places emphasis on activating the public realm.

The 901 West Broadway design features a 12-storey tower with 151 guest rooms and a three-level parkade that, once complete, will offer a unique and visually captivating experience for guests, residents, and the broader Vancouver community.

“We are thrilled to be working with Hallmark Hospitality on a hotel project that will contribute to the transformation of the Broadway corridor in Vancouver and provide much needed hotel rooms for the city,” says James Brown, Partner, Zeidler Architecture.

“The site came with multiple restrictions, and it was up to our team to develop innovative design solutions in partnership with the city. From the outset, we approached the design as an opportunity to provide an exceptional experience for guests and pedestrians alike, which has ultimately resulted in a better building. We succeeded in developing a design that activates each side of the building while animating the façade and elevating the street level experience along West Broadway and Laurel.”

The hotel’s main design feature is a striking, gradated façade that seamlessly connects to a solid, brick-laced podium that emulates the material used in historic buildings on Broadway. The design introduces large, offset panels that begin on the south and transition to smaller, in-line panels on the north side of the building.

The result is a dynamic, shimmering presence that changes with the light throughout the day. A brushed metal panel system wrapped around a wood base adds texture and warmth to the intersection, contributing to the street’s character and exemplifying Vancouver’s urban aesthetic.

 

New measures announced in Canada’s Housing Plan

Canada’s newly announced housing plan includes a variety of measures intended to encourage faster, lower-cost construction, increase housing affordability, and ultimately make it easier for Canadians to rent or buy a home. Calling it “the most comprehensive and ambitious housing plan ever seen in Canada,” Prime Minister Justin Trudeau emphasized that his “bold new strategy” would lead to the construction of 3.87 million homes by 2031.

While the Federation of Rental-Housing Providers of Ontario (FRPO) says it welcomes the government’s introduction of “significant and expanded low-cost financing” and other financial supports to encourage high-density, purpose-built rental construction, some groups felt the plan left a little to be desired. Betsy Agar, director of the Buildings Program at the Pembina Institute described the government’s green housing initiatives as “a good first step” but with a few notable gaps.

“We welcome the federal government housing plan announcement and the $903.5 million investment in the Canada Greener Homes Affordability Program, renewing and improving existing energy efficiency programs and continuing to develop national approaches to home energy labelling,“ she wrote. “While these investments represent progress on some priority issues for greener housing, it leaves significant gaps on other critical housing safety and affordability challenges for Canadians and falls short of what’s needed to reach a rate of 600,000 home retrofits per year.”

The plan includes another $400 million toward the Housing Accelerator Fund (HAF) in addition to a new $6 billion Canada Housing Infrastructure Fund to accelerate both the construction and upgrading of critical housing infrastructure. It also legalizes more housing types by adopting zoning that allows four units as-of-right and that permits more “missing middle” homes, including duplexes, triplexes, townhouses, and small multi-unit apartments.

New (and previously announced) supply-boosting measures include:

  • A Public Lands for Homes Plan to lead a national effort to build affordable housing on federal, provincial, territorial, and municipal lands across the country.
  • $15 billion in additional loans for the Apartment Construction Loan Program to build a minimum of 30,000 new rental apartments, in big cities, small towns, and rural communities. With this additional financing, the program is on track to build over 131,000 new apartments by 2031-32.
  • Launching Canada Builds, a “Team Canada” approach to building affordable homes for the middle class on under-utilized lands. Canada Builds combines federal low-cost loans with provincial and territorial investments to scale up construction on rental homes for the middle class.
  • Supporting Indigenous Peoples living away from their communities in urban, rural, and northern areas through investments in Indigenous housing to be delivered by Indigenous governments, organizations and service providers.
  • Putting measures in place to protect tenants against “unfairly rising rent payments” including the Tenant Protection Fund.
  • Extending mortgage amortizations to 30 years exclusively for first-time home buyers purchasing new builds.
  • Providing $1 billion for the Affordable Housing Fund to build affordable homes and launch a permanent Rapid Housing Stream to build on the success of the previous three rounds.
  • Launching a $1.5 billion Canada Rental Protection Fund to protect and expand affordable housing.

The Prime Minister also announced the following new measures to attract, train, and hire the skilled-trade workers Canada needs to build more homes:

  • $90 million for the Apprenticeship Service, creating apprenticeship opportunities to train and recruit the next generation of skilled trades workers.
  • $10 million for the Skilled Trades Awareness and Readiness program to encourage high school students to enter the skilled trades.
  • $50 million in the Foreign Credential Recognition Program, with a focus on residential construction to help skilled trades workers get more homes built. Like the previous $115 million investment, this funding will remove barriers to credential recognition so workers spend less time dealing with red-tape.

Click here for more info: Canada’s Housing Plan | Prime Minister of Canada (pm.gc.ca)

 

 

Construction begins on Etobicoke Civic Centre

The new Etobicoke Civic Centre will mark Toronto’s first civic centre development in 50 years once its complete. The project broke ground on city-owned lands at Etobicoke’s Bloor-Kipling precinct last week.

The design features more than 508,000 square feet of accessible public-facing space and  includes municipal office towers, a podium-level multi-purpose council chamber, a child care centre, a new Toronto Public Library branch, a public health clinic for dental services and breastfeeding, a fully equipped recreation centre, ceremonial rooms, public meeting rooms, an art gallery and retail spaces.

Connected to these spaces will be a civic square with a Sacred Fire Vessel and two-level parking built below grade. Enwave Energy Corporation will manage a district energy plant in the basement level, which will provide energy to the entire precinct, making it Toronto’s first near-zero emissions community.

Project partners include CreateTO, Adamson Associate Architects, Henning Larsen Architects and PMA Landscape Architects. MGAC Canada is the City’s project management consultant and Multiplex is the general contractor.

The structure is targeting Toronto Green Standard (TGS) Version 3, Tier 4 and is aligned with the City’s TransformTO Net Zero Strategy to reduce community-wide greenhouse gas emissions in Toronto.  The centre is located on the city’s block plan to reconfigure the former Six Points Interchange that decommissions the site and unlocks 18 acres of land. The land was parcelled into seven mixed-use redevelopment blocks.

Once built, the new civic centre will be near five Housing Now development blocks including 5207 Dundas Street West that broke ground in August 2023. These sites have been identified for more rental housing development for at least 2,781 residential homes, 904 of which will be affordable rental homes. Plans for the area also detail 10,000 square metres of parkland.

Etobicoke residents have long been waiting for a civic space. “With the Council Chamber and municipal offices co-located with many public facilities, the new Etobicoke Civic Centre will truly be a people-oriented development,” said Stephen Holyday, councillor of Etobicoke Centre and chair of the Etobicoke York Community Council.

Preferred proponent selected for SkyTrain stations

South Fraser Station Partners has been selected by the Government of British Columbia as the preferred proponent for the stations contracts on the Surrey Langley Skytrain project.

The project includes the design and construction of eight stations, three transit exchanges, nine power substations, and 250 metres of guideway at the SkyTrain’s terminus station.

The team consists of Aecon Constructors, a division of Aecon Construction Group Inc., Acciona Infrastructure Canada Inc., Pomerleau BC Inc. and AECOM Canada Ltd.

“Aecon looks forward to working with our client and partners to provide a more sustainable transit option for one of the fastest growing areas in Metro Vancouver,” said Jean-Louis Servranckx, president and chief executive officer, Aecon Group Inc. “Aecon is proud to bring its experience building large scale transit infrastructure to help deliver this essential project.”

The Surrey Langley SkyTrain project is a 16-kilometre extension of the Expo Line from King George Station to Langley City Centre and is the first rapid-transit expansion south of the Fraser River in 30 years, a release said.

As B.C. enters into contract negotiations with South Fraser Station Partners early works such as pre-construction site surveys, locating utilities, geotechnical drilling and station design work will begin.

Other early works underway along the Fraser Highway corridor include work to relocate powerlines and prepare for the start of major construction this year, the release said.

The Surrey Langley SkyTrain project is being delivered through three separate contracts. Last month, the province announced that SkyLink Guideway Partners was chosen as the preferred proponent to design, build and finance the elevated guideway and associated roadworks, utilities and active transportation elements of the project.

The competitive selection process for the systems and trackwork contract is ongoing. Requests for proposals for all three phases were issued in early 2023. Formal contract-award announcements are anticipated in the coming months.

Thormanby – Project 22 Design

Located on North Thormanby Island, this stunning custom family home was designed  to encourage a simple and sustainable lifestyle focused on seaside living.

The waterfront house sits adjacent to sheltering sand cliffs at one end of Vaucroft Beach, offering expansive views of the Pacific Ocean.

“We wanted to create a generational destination for our clients and their parent’s siblings and kids. Thormanby is a destination to create memories and enjoy nature,” says interior designer Denise Ashmore, principal of Project 22 Design.

Only reachable by boat with no car access to the island, the site was a challenging location. The remoteness drove the design of the two-level structure—a three-season holiday home for a young family with two children and a dog—using materials that are low-maintenance, hard-wearing, and long-lasting.

“We selected a palette of materials from the surrounding beach, rock and ocean. Big windows maximize the views and cozy areas like bunk room and living room allow places to retreat and read,” says Ashmore.

Everything is tactile and muted rather than glossy and sleek, playing up the rustic setting and meant to age beautifully and add more character with use and exposure.

Functional design was at the forefront of this off-grid project. There’s no drywall in this 2,400-square-foot four-bedroom home. Instead, the walls and ceilings are clad in nickel-gap whitewashed cedar, exuding warmth and welcome.

The white-oak floors complement the palette of natural and neutral tones found throughout the home, which were drawn from a collection of stones and rocks found on the property by the clients, as well as the soft and subdued shades of beach glass.

These organic elements were inspirational in developing the design as site visits were only conducted jointly by the clients and design team via Zoom to save costs and due to  pandemic travel restrictions.

Working remotely through COVID and a boat access only property were the main challenges, requiring a strong relationship with the contractor and a very organized client.

“We did a lot of FaceTime video calls from site to studio to work out details, tile layouts. We even worked on the exterior palette of this home,” says Ashmore.

The well executed design earned the project a 2024 Shine Award of Excellence, residential category.

“It’s an incredible honour to win excellence in this category within this talent group,” says Ashmore.

 

 

Making a case for micro-unit apartments

As housing affordability and climate concerns continue to reach crisis levels in major urban centres around the globe, micro-unit apartments are emerging as a promising, low-cost solution thanks to innovative design concepts improving interior efficiencies. For tenants, the benefits include better privacy and security compared to living with roommates; modern, well-appointed rental accommodations; on-site, all-inclusive amenities; and monthly savings of up to 25 to 40 per cent. From a construction standpoint, the smaller unit-size is more cost-effective compared to larger units, and demand for affordable rental accommodations is only expected to grow.

The question is, are Canadians willing to exist within 300 square-feet of total living space?

“There may be initial concerns for some Canadians, but we believe that with the right approach, micro-units can offer a compelling housing option to young professionals, students, empty-nesters, and individuals seeking affordable urban living,” said Riz Dhanji, President and Founder of RAD Marketing, a real estate development firm in Toronto. “With my 30-plus years of experience in real estate, there has been a noticeable cultural shift towards embracing smaller living spaces, particularly in urban areas like Toronto where affordability and convenience are key drivers for many.”

Recently, Urbanation produced a white paper on behalf of RAD Marketing to investigate the viability of micro-units as a long-term solution to Canada’s housing crisis. Diverse perspectives shared in the report include representatives of the provincial government, housing stakeholders and designers, with renting and owning both considered as options.

According to Dhanji, the consensus is that micro-unit dwellings have a great deal of potential for high-rent cities like Toronto and Vancouver, and any concerns that tenants will reject the small living space are already dissipating thanks to the bigger-picture benefits.

“We’re finding that the end user is placing more emphasis on amenities and location over square footage,” he said. “Developers understand this and are finding more and more innovative solutions to maximizing space. What we’re seeing in all the high-rent cities is that the way people live, and work, is evolving with an increasing emphasis on flexibility, mobility, and sustainability. Micro-units align with these changing lifestyles by offering a low-maintenance, lock-and-leave living environment that complements the modern urban lifestyle.”

Looking to other markets

While yet to take off here in Canada, several major cities in Europe, Asia and the U.S. have already embraced the micro-unit housing model and are reaping significant benefits.

“We have seen this model pop up in high-rent cities such as in New York and San Francisco, addressing the pressing need for affordable housing,” Dhanji said. “We’ve also seen them work in European cities like London and Berlin as a solution to housing shortages. In these markets, the adoption of micro-units has not only addressed housing affordability challenges but also fostered vibrant and inclusive urban communities, demonstrating the transformative potential of this housing model on a global scale.”

It’s no stretch to assume, then, that micro-units would work in a young, vibrant city like Toronto with its growing population of young professionals and in-flux of newcomers seeking rental housing.

“It could help provide a kickstart to their futures, offering an affordable entry point into homeownership,” he said. “Even better, it could help solve the city’s housing affordability challenges while fostering a dynamic and prosperous urban environment for its residents.”

 Technology & innovation

Playing a pivotal role in whether micro-units will be embraced here in Canada, design innovation and advancements in proptech are already changing the game. Successful micro-suites will offer seamless ways to maximize space efficiencies, address the challenge of limited square footage, and ensure functionality and comfort while keeping costs to a minimum.

“Technology stands as the driving force behind these advancements, enabling tenants to easily transition their spaces from bedrooms to living areas and beyond,” Dhanji said. “Smart furniture and modular systems are key components of this innovation, allowing for versatile arrangements that cater to diverse needs within a single space.”

Given every square-inch must be usable, the intentional selection of furniture with multiple functions is the cornerstone of micro-unit design.

“Beds that fold into walls, extendable tables, and coverable seating exemplify this approach—but the success hinges on the meaningful engagement of developers, architects, and interior designers,” he points out. “They have no choice but to stay on top of the latest technology and design trends, and continually push the boundaries of what is achievable within the constraints of micro-unit living.”

The path to widespread adoption

In short, Dhanji said he expects the widespread adoption of micro-units here in Canada to materialize within the next three to five years. But getting to that point will rely on industry partners working together to create replicable designs that can be scaled, in addition to support and collaboration from the different levels of government.

“Cooperation with financial institutions and the Canada Mortgage and Housing Corporation (CMHC) would help to catalyze their proliferation, as well,” he said. “Offering options with reduced deposit requirements and CMHC-backed secured financing, along with extended amortization periods, will all contribute to making these units more accessible.”

Lower carbon footprint

Of course, there are several environmental benefits that can’t be ignored, which is another reason other cities are turning to this housing model. By promoting higher density living, micro-unit apartments help preserve natural spaces and reduce urban sprawl, thus contributing to more efficient land use; they also use fewer resources and create less waste compared to larger dwellings, which translates to an overall lower carbon footprint.

At the construction level, micro-apartments require fewer materials and transportation. In fact, according to the 2019 UN Emissions Gap Report, reducing a dwelling’s per capita floor space by 20 per cent could reduce the emissions associated with the production of building materials by 50 to 60 per cent by 2050. It would also reduce heating and cooling demand by up to 20 per cent.

Urban planning and housing policies that encourage more dense and affordable multifamily housing can reduce commuting needs and energy demand. Additionally, higher-density development generates less traffic than low-density development per unit. It makes walking and public transit more feasible and creates opportunities for shared parking. It further minimizes impervious surface area, which causes erosion and polluted stormwater runoff. Pedestrian-friendly, higher density developments offer general health benefits for residents, as well.

For more information on the micro-unit housing model, visit www.radmarketing.ca

More lucrative support for NS accessory units

Nova Scotia homeowners have more lucrative support to create secondary or backyard residential suites and an expanded list of prospective tenants. Partially forgivable provincial loans of up to $40,000 are now on offer to landlords who commit to affordable rents that are no more than 80 per cent of the current market rate.

The newly augmented loan amount is a 60 per cent increase from when the Nova Scotia government introduced the program last October, and the 25 borrowers who have already been approved automatically qualify for the new top-up. Up to $20,000 or 50 per cent of eligible capital costs, whichever is the lesser amount, will be forgiven.

Previously, the loan was available only if homeowners’ senior parents/step-parents (65+ years) or adult children/stepchildren were slated to be the tenants of the new accessory unit. The eligibility criteria now extends to other relationships including grandchildren, siblings, aunts, uncles, niece, nephews or any other family member living with a disability.

“These changes will help more people build affordable homes for people who need them, whether that’s a family member with a disability who needs an accessible unit, a senior family member or a post-secondary student,” says John Lohr, Nova Scotia’s Minister of Municipal Affairs and Housing.

“This means people won’t have to leave their communities of choice to find accessible housing,” maintains Lora Church, executive director of Nova Scotia Residential Agencies Association, which advocates for people with disabilities. “People will be able to live more independently, but with support from family members close by if they need it.”

CIB invests in $52M Tilley solar project

The 23.6 megawatt Tilley Solar project in Newell, Alberta has reached financial close. The project will be built on Treaty 7 territory located 200 kilometres southeast of Calgary.

Partners include Concord Green Energy (a subsidiary of Vancouver’s Concord Pacific),  the Alexander First Nation, and the First Nation Power Development (FNpower).

The Canada Infrastructure Bank (CIB) has committed $33 million to the Tilley Solar project. The total project cost is $52 million and will include the economic interests of the Alexander First Nation and FNpower, an Indigenous-owned organization dedicated to empowering First Nation community ownership and participation in the emerging renewable energy industry.

“Directly impacting the Alexander First Nation through job creation and long-term economic prosperity, our investment in the Tilley Solar Project will help foster economic reconciliation while advancing a more sustainable grid. Our collective approach to project development sets an example for future partnerships of Indigenous leadership in renewable projects that can be replicated across Canada,” said Ehren Cory, CEO, Canada Infrastructure Bank.

The solar farm, which includes 69,450 fixed-tilt solar photovoltaic panels, will help reduce greenhouse gas emissions in Alberta by approximately 14,200 tonnes annually.

The sustainable, large-scale energy project will support long-term socio-economic benefits for the Nation and their partners. The project will generate more than 280 full-time jobs at peak and is estimated to create $14 million in direct labour income and add $6 million of indirect labour income.

“This great partnership with Chief George Arcand and the Alexander First Nation is our second major solar project with Alberta First Nations. We have been seeing this sector grow in Alberta and look to scale up on more projects in solar and hydro like Amisk Hydroelectric on the Peace River,” said Terry Hui, president and CEO, Concord Pacific Group

Following the CIB’s recent investment in the Deerfoot and Barlow Solar projects in Calgary, Tilley Solar represents the CIB’s second Indigenous Community Infrastructure Initiative clean power investment to reach financial close in Alberta.

 

New B.C. mass timber code changes in effect

The mass-timber updates to the BC Building Code are now in effect. The changes permit the use of mass timber in buildings, such as schools, shopping centres and housing, so they can be built faster and more sustainably.

“These changes will help reduce carbon pollution, support the forestry sector, create jobs, build more homes and lead to more vibrant communities,” said Ravi Kahlon, minister of housing. “We know mass timber looks great, and now we can use it in larger buildings and more types of buildings.”

The mass-timber updates to the BC Building Code will:

  • enable taller encapsulated mass-timber construction (EMTC) buildings with as many as 18 storeys for residential and office buildings, an increase from the previous 12-storey limit;
  • expand EMTC to new building types, such as schools, libraries, retail, light- and medium-industrial occupancies, and care facilities; and
  • allow for more exposed mass timber in buildings, based on a building’s height and use, such as residential buildings with as many as eight storeys.

The BC Building Code changes for mass timber were developed by a national joint task group co-chaired by B.C. and Quebec. The code changes were reviewed by an expert technical advisory group that included representatives from multiple provinces, the fire services community, fire safety engineers, technical building code experts, regulators and industry.

Other provinces are expected to follow B.C.’s lead and adopt these changes into their building codes. The code changes will be submitted into the national code system for future consideration for the national building codes.

Mass timber’s capacity to accelerate construction timelines with minimal on-site disruption, coupled with its significant environmental advantages, make it a perfect fit for meeting the considerable demand for new housing quickly and sustainably.

 

Major Victoria waterfront development proposed

The first rezoning submission for Victoria’s Arts and Innovation District by Reliance Properties will see a major mixed-use development on 6.7 acres of largely undeveloped land in Victoria Inner Harbour.

The proposal for Capital Iron Lands will incorporate the site’s three heritage buildings into a vibrant community with homes, live-work artist studios, a reopening of the landmark Capital Iron store, hundreds of new high-value job spaces, heavy and light industrial uses, institutions, and public outdoor and cultural amenities, including an extension of the waterfront walkway and a new public plaza adjacent to the proposed art gallery. The Art Gallery of Greater Victoria plans to relocate to the site.

“The Capital Iron Lands are underutilized with few job spaces, no homes and an inactive waterway. We designed a comprehensive smart-growth community that manifests Victoria’s 3.0 Vision of a ‘future-ready global influencer and innovator,’” said Reliance Properties CEO Jon Stovell. “Our proposal offers limitless economic growth potential and spinoff benefits that will ensure the district is unique, attractive and exciting for arts, innovation and entrepreneurship.”

Local company, Finest at Sea Ocean Products, is considering relocating to the Upper Harbour along most of Capital Iron Lands’ 400 feet of water frontage.

“We envision a move that helps revitalize the local fishing industry, including collaborating with First Nations groups, as our proposed water lot falls on traditional territory,” said Bob Fraumeni, owner of Finest at Sea.

The Art Gallery of Greater Victoria’s new home is envisioned to be a five-storey building.

“As a major public art museum in B.C., moving to a vibrant new space in a central district dedicated to arts and culture will create enhanced opportunities for Victoria residents and visitors to access our collections, programs and exhibitions,” said Nancy Noble, the AGGV’s CEO and director.

 

Spring cleaning your warehouse

Often, we focus on the interior of the building and the grounds when spring arrives, but does your warehouse need a little TLC? Changing seasons presents you with the opportunity to do away with old methods of maintaining that space in favour of a fresh approach and a new strategy.

Here are some suggestions for getting your warehouse back into tip-top shape this spring and summer:

  • Start by auditing and decluttering your warehouse. This includes managing inventory, assessing equipment, getting rid of any obsolete items, and updating your inventory records accordingly.
  • Put everything away so you know where to find it. If you have cleaning supplies, brooms, paperwork, or loose items laying around, find a spot for them where you can easily have access when you need them next.
  • Assess whether you are making the most of your storage space. Is there a more efficient system that might work? Could you add vertical storage to save space in your floor plan?
  • Once you have reorganized and removed anything you don’t need, take the time to deep clean the space. Clean the floors, inside garbage and recycling bins, and storage rooms to get rid of all dust, dirt and debris, and open up the bay doors if you can, to let light and fresh air inside.
  • Take a look at your equipment including forklifts, machinery, and equipment. Identify any signs of wear and tear, note any replacement or repairs required, and set a schedule for your budget.
  • While you are looking at your equipment, top-up first aid kits, test fire alarms and emergency exits so you know that everything is in working order for the season.
  • Consider updating your tools to better manage the warehouse. From inventory management to order fulfilment, it might be time to add technology to streamline operations and increase efficiency.
  • Pay attention to the outside of your warehouse too. Clean and clear all loading ramps and doors to simplify deliveries and keep that space clean.
  • If spring cleaning is not part of your regularly scheduled maintenance, set up a plan to conduct a thorough audit, organization, and cleaning seasonally.

Spring is a great time to take another look at the condition of your warehouse, tighten up inventory management, and set yourself up for success through the rest of the year.

Ontario introduces new ‘cutting red tape’ legislation

Ontario introduced legislation to cut red tape and build at least 1.5 million homes by 2031.

The Cutting Red Tape to Build More Homes Act, 2024, announced on Wednesday, contains a variety of measures to remove barriers for municipalities and homebuilders who are having a tough time getting shovels in the ground.

“This legislation is certainly positive news for builders,” said Richard Lyall, president of the Residential Construction Council of Ontario. “Bureaucracy and red tape are two significant obstacles that builders must overcome in trying to get housing projects underway. This legislation will help to streamline and accelerate approvals and has a number of proposals to reduce building costs and prevent delays.”

If passed, the legislation would also help municipalities build homes faster at a lower cost, let homebuyers and homebuilders decide on the number of parking spaces in new residential developments near major transit stations, and make it easier to build more garden, laneway and basement suites.

The legislation would also reduce project delays by streamlining the system to get quicker planning approvals from the Ontario Land Tribunal, exempt publicly assisted universities from the Planning Act, allowing them to accelerate the building of new student housing, which would ease demand on market-housing options. It would also support standardized designs to reduce delays and costs, including for modular homes and support innovative construction methods such as mass timber.

The Ontario government also intends to release the next edition of the Ontario Building Code, with a focus on enabling more housing supply, which will also be good news for the industry, RESCON noted.

“The new legislation reiterates the government’s commitment to tackling the housing supply and affordability crisis,” said Lyall. “To keep the dream of home ownership alive in Ontario, we must get shovels in the ground quicker and make them affordable. Presently, the system is on life support.”

Construction labour crunch at odds with housing targets

Canada’s residential construction industry will need to attract more than 1,030,000 workers—83 per cent above the status quo—in order to reach the 5.8 million housing starts required to address housing affordability, warns a new report from BuildForce Canada.

The residential employment outlook for 2024-2033 assumes starts would begin to rise this year, peak at 691,600 starts in 2029, and see a gradual de-escalation from the peak through to 2033, at which point historically normal levels of building activity would resume. The escalation in residential construction investment would be 109 per cent, which the Canadian Home Builders’ Association (CHBA) says Canada needs for its economic growth and productivity.

CHBA has long been advocating for increasing the residential construction workforce. “Reaching the Government of Canada’s target of 5.8 million new homes will require nearly doubling housing starts,” said CHBA CEO Kevin Lee. “While that increase in starts should have begun two years ago, the current economic challenges for prospective new home buyers, including higher interest rates and restrictive mortgage rules, did not result in the increase Canada needed, and substantial change is necessary on many fronts to get headed in the right direction. If buyers can’t get a mortgage to buy a home, then builders cannot build.”

Challenges facing the sector include more than 22 per cent of workers retiring over the next decade, and 40 per cent reaching past age 55. There aren’t enough workers funnelling in to make up the difference.

CHBA is calling on the federal government to address three key areas:

  • Encourage more Canadians to consider a skilled trade, particularly youth, equity-deserving groups, immigrants, and those seeking a second career,
  • Update the immigration system to proactively attract much-needed skilled workers in residential construction, including enhancing the express entry system to support the specific labour needs of the residential construction sector, including bringing in TEER 5 construction labourers and assistants, and
  • Support increased productivity as detailed in CHBA’s Sector Transition Strategy, which lists changes and supports needed to build 5.8 million homes in the next decade that will boost supply and improve affordability.

Lee said a thorough approach to financing, policy, labour, and productivity is needed to build these homes over the next decade. ““Canada must fix the current challenges preventing Canadians from buying homes, especially by supporting first-time buyers’ need to enter the market to drive starts,” he said. “We also need substantial policy change to get houses built faster and avoid adding more costs through things like development taxes and expensive changes to codes.”

Addressing hidden damages in condominiums

The life cycle of a condominium includes five stages, each presenting unique vulnerabilities and budget challenges directly tied to the aging process.

In the earliest stages, the building envelope is particularly susceptible to direct damage that, when not detected early enough, causes indirect damage that is slow and progressive until it penetrates the interior. Condo corporations face ongoing costs as a result of what gets overlooked. Inspections play an essential role in effective management throughout the life cycle, providing insights into hidden damage risks and helping to address high-cost deficiencies.

Condo managers who understand a condo’s life stages, hidden damages, and inspections are more likely to develop effective reserve fund plans with logical budget allotments. Here, let’s explore how condo buildings are vulnerable at each stage of the aging process and why building envelope inspections are critical budget items early on. When funding is used to address early direct damage repairs, condos incur lower costs in the later stages while avoiding costly, secondary damage.

The pre-natal stage

In the first year, buildings are vulnerable to minor issues. Because everything is new and under warranty, common element fees can fund inspections. Although pre-natal inspections are unlikely to find anything, any minor discoveries are addressed a) while under warranty and b) before they develop into severe issues in a year or two. With low maintenance costs, investment in inspections is manageable, saving money in the first five years of the building’s life.

The childhood stage

In years one through 16, inspections continue to play an essential role in spotting necessary repairs that can extend the life of exterior materials and interior systems. You can include the most vulnerable building elements in a preventative maintenance plan, and ensure you leverage warranties before they run out. Inspections and reserve fund studies every three years reveal the need for replacements, such as: water heaters, circulating pumps, garage gate motors, sump pump overhauls, exterior sealant replacement, aesthetic upgrades, such as exterior painting, and hallway improvements.

The adolescent stage At ages 17 through 29, expect to face bigger ticket items despite investing in ongoing maintenance and repairs. Vulnerabilities lie in a deterioration of assets where inspections contribute to reliable reserve fund study planning. New calculations will address funds for higher ticket items including: new roofing, elevator updates, heating boiler replacements, new plumbing distribution systems, and window replacements.

Adulthood

As the building ages, costs become less manageable, spanning 30 to 49 years. A healthy reserve fund becomes critical as you encounter your most expensive asset replacements with vulnerabilities related to items you replaced in the adolescence stage, as well as: updating fire alarm panels, entire exterior cladding upgrades, concrete and paved roadway replacement, and major common area renovations/redecorating.

Old age Buildings over age 50 mimic the same vulnerabilities as childhood, experiencing a repetition as replacements complete the same aging patterns. As a result, it helps facilitate budgeting accuracy, as a condo can rely on the same predictive budget and project prioritization. However, the original budget won’t apply in dollars and cents and instead must include the following considerations: advancements in materials, increasing or decreasing costs, and efficiencies and life cycles of modern envelopes and building elements.

The unexpected impact of hidden damages

Building inspections are also the best way to address the most insidious types of hidden damages. They provide insights into what is most likely to cause high-cost deficiencies so appropriate preventative steps can be taken. Hidden damages cause unexpected impacts on the building and operations, including:

Moisture: Water damage spreads slowly, leading to severe and costly interior damage. This includes damage to materials used in units and common elements.

Air leakage: Air penetration damages envelope layers, impacting your HVAC’s effectiveness and wasting energy as residents put more demand on the system. It can also lead to dangerous carbon monoxide levels from garage car exhaust.

Thermal movement: Thermal movement breaks down materials, causing breaches and failures, such as cracks in sealant, serious separation of envelope layers and interior degradation over time. Again, it is that critical tie between life stages and inspections that help predict and avoid hidden damage.

How inspections help prevent indirect damage

Building envelope inspections identify deficiencies and life stage vulnerabilities that contribute to energy loss, deteriorating interior comfort, and aging building aesthetics. Recommended repairs prolong longevity, providing the following benefits:

  • Smart maintenance strategy in the pre-natal stage when maintenance costs are still low,
  • Leveraging warranties in the childhood stage,
  • Reducing occupant complaints regarding unit comfort, value retention, air and water leaks, energy efficiency, etc. as the building ages,
  • Reducing risk for secondary damage to unit walls, floors, furniture, etc.,
  • Ongoing advice and expertise to avoid envelope fatigue and prevent secondary damage,
  • Reduced interior leak damage costs for secondary interior damage in units and common areas,
  • Facilitating a preventative strategy to further cost-effectiveness,
  • Eliminating a reactive maintenance strategy, handling damage before it leads to severe issues like concrete deterioration,
  • Effective risk management to avoid costly litigations related to accidents and property damage, and
  • Maintaining a transparent audit trail tracking the proper steps taken to protect the building, occupants, and community.

Condo managers can make far more accurate cost predictions based on what will likely impact building damage at the pre-natal and childhood stages of the building than they can at the adulthood and old age stages. However, building inspections help inform predictive maintenance plans, budget allotment, and reserve fund planning through the whole life cycle.

As a result, managers can create effective reserve fund plans with more accurate fund allotment at each life stage. This helps contend with advancements in materials, increasing costs, and the efficiencies and life cycles of modern envelopes in old age.

Vadim Koyen is the President of CPO Management Inc. CPO Management Inc. is a full-service property management company specializing in residential and commercial condominiums in Toronto and the GTA. With over 10 years in the industry, CPO offers a wide spectrum of services from strategic and financial planning to accounting, building maintenance, and capital improvement. For more information, visit: https://www.cpomanagement.ca/

Metropia breaks ground for Union City under new president  

Metropia broke ground Wednesday for its Union City condo community in Markham.

The Unionville neighbourhood development is also moving forward with a new president at its helm. Metropia announced that Samuel Frum is taking on the role and Howard Sokolowski, the former president of over 15 years, will continue on as CEO and chair of the risk committee.

Sokolowski will continue shaping Metropia’s day-to-day management and strategic initiatives and work closely with Frum. He has overseen a number of key projects in the Greater Toronto Area, including Union City, Union Village, The New Lawrence Heights, Emerald Park and 11YV. According to Altus Group’s 2023 High Rise Report, Metropia was the top selling high-rise developer in the GTA.

“Over the last few years, Sam has launched into various aspects of the business and has contributed in ways beyond my imagination,” he said in a statement. “Alongside our leadership team, Sam and I are thrilled to continue to uphold the legacy we’ve created together, delivering quality homes across the GTA.”

At Metropia, Frum has previous experience as a financial analyst to the vice president of investments. Over the last six years, he oversaw and contributed to the firm’s expansion, launching eight projects, and doubling the size of the internal team.

“I am extremely humbled and eager to step into this role and continue to foster and enrich Metropia’s legacy in the industry,” said Frum. “Under Howard’s leadership, we have earned numerous accolades for our unwavering dedication to customer satisfaction, market expertise, and innovative urban development, and I intend to do the same with our upcoming pipeline.

“Howard’s invaluable expertise will complement our leadership team’s vision and foster a seamless transition, positioning Metropia for sustained growth.”

Metropia also announced another appointment. Ruo Wu was named vice president of sales and marketing. Over the past decade, Wu held positions with Empire Communities and Aoyuan International. Most recently, he was the director of sales at Marlin Spring Developments where he led the launch of seven residential projects in two years.

“Joining Metropia presents an incredible opportunity to contribute to the growth and success of one of the GTA’s premier developers.

“Working alongside industry pioneers as well as the new generation of industry leaders invigorates my passion to create strong, welcoming communities in the GTA,” he said. “I am thrilled to work alongside Sam and Howard and the rest of the team to bring future phases of Union City and other projects in our pipeline to life, creating lasting value for our future residents and investors.”

Wu is currently leading the sales and marketing efforts for Union City Phase 1 final release of suites. The final release will launch on April 11th and feature a product mix of townhomes, penthouses, and one to three-bedroom units.

 

Feature photo: Metropia’s Howard Sokolowski and Samuel Frum were joined by Mayor Frank Scarpitti and Markham City councillors for the groundbreaking event for Union City. Photo courtesy of Norm Li. 

B.C. construction’s push for payment certainty

Cash flow is the lifeline for any business to not only survive, but to thrive. In B.C., this lifeline for contractors is being severely restricted by payment delays or non-payment.

The urgent need for payment certainty is a longstanding issue that continues to be at the forefront of advocacy efforts across the industry. When contractors are not being paid for up to 90, 120 and 180 days, the financial pressure is detrimental, especially for smaller businesses.

While some companies are large enough to carry millions in late payments, the vast majority of B.C. construction contractors cannot.

Ontario, Alberta, Nova Scotia, Saskatchewan and most recently, the federal government have all enacted prompt payment legislation.

“We’re lagging behind other Canadian jurisdictions in prompt payment. It really places the province and its construction industry at a competitive disadvantage,” said Chris Atchison, BC Construction Association (BCCA) president, speaking at Buildex Vancouver. “Having payment certainty is critically important.”

He advised that BCCA released a comprehensive cross-jurisdictional report last year that provides a careful analysis of jurisdictions that have implemented prompt payment and adjudication. Atchison called the report a “foundational document” that will help the province draft legislation that works best in B.C.

“It’s a very important document in this discussion,” he said, noting contractors continue to be under a lot of pressure due to issues related to non-payment and late payment, or unfair contract terms.

The lack of prompt payment legislation is putting significant stress in the system, acknowledged Tim Sportschuetz, lawyer and principal of Sportschuetz & Company.

“Prompt payment is an absolute necessity in B.C.,” he said. “Trade contractors and GCs are calling me out of pure desperation just to get paid for the services that they’ve rendered.”

Payment disputes have increased significantly with interest rate increases wrecking havoc on many project pro formas.

“We’ve seen a material uptick in payment disputes. The amount of claims and liens we’ve registered in the last two years have shot up by 50 per cent easily and have grown in magnitude,” said Sportschuetz. “Enforcing liens is not a cheap endeavour.”

Not being paid for work done and having to chase money owed to you is wrong, stressed Will Pauga, president of Southwest Contracting.

“The toughest part about being a contractor is that you have upfront costs that you have to spend before you can start a project,” he said. “I carry these costs to complete a project. If I don’t get paid, I carry the costs to pay my people and materials – and the longer I wait, the more painful it becomes. And the smallest contractors are impacted the most. They don’t have the banking abilities that I have.”

Don Wightman, president of PML Professional Mechanical, shared similar frustrations. “We need to get paid. The money is just as important if you have three employees or 400. You can’t survive without cash flow.”

He cited as an example how a project his company worked on owed him $5 million and then the GC wanted to change the language in the bond. “It’s financial terrorism. It’s illegal and immoral. The law has to be changed.”

Wightman advised that to enforce a lien claim, it’s not worth taking legal action unless the amount dispute is $1 million or more. “A lien does not get you paid. The Lien Act must be changed,” he said, adding one solution is to be selective of who you work for to avoid payment delays.

Sportschuetz agreed that enforcing liens are very difficult. “Prompt payment is not a panacea. But without it, your options are to register a lien and then spend $1 million in legal fees to enforce your lien. The smaller guys can’t sustain that.”

He explained the adjudication process to resolve payment-related disputes under prompt payment is working well in other provinces. “Within 30 days, a decision is supposed to be rendered,” he said. “Compared to what is currently happening… you might not see a trial for two to three years. And most settle outside court. The cost of going to trial is prohibitive.”

The panel included Tyler Nyvall, legal counsel in the policy and legislation division of the B.C. Office of the Attorney General. He said the industry has been doing a good job of getting the prompt payment message to key government officials but unfortunately there is still no commitment to draft legislation.

Nyvall stressed he is prepared to draft the legislation when directed and will continue working with the construction community to bring attention to the issue. “The government needs reassurance that the legislation is working elsewhere. My job is to give them information and recommendations on the legislation. We’re coming into a provincial election so it’s about getting the government’s attention after the election.”

 

Cheryl Mah is managing editor of Construction Business.