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Alberta to tackle land titles registry backlogs

The Alberta government plans to automate and digitize the provincial land titles registry in an effort to reduce the transaction backlogs that have been plaguing the paper-based system. The newly released 2023-24 provincial budget allocates $100 million over three years to modernize both the land titles and motor vehicles registries.

“The volume at Land Titles has been unprecedented,” Alberta Minister of Finance Travis Toews observed during yesterday’s budget speech. “To all the realtors, developers and lawyers out there, we’ve heard you.”

Meanwhile, the budget document reports the motor vehicles registry is “near the end of its life” and planned upgrades are expected to reducing wait times for processing.

Polygon Gallery shortlisted for Americas Prize

The Polygon Gallery in North Vancouver is one of six finalists for the 2023 Mies Crown Hall Americas Prize (MCHAP).

The 2023 Americas Prize recognizes the best built work in the Americas completed between December 2018 and June 2021. The selection and announcement of the six finalists concludes the jury’s tour of the project sites. The visits included interviews with the architects, their teams, and the project clients.

“We knew going into this trip that we would be visiting projects that demonstrate the relevance of a simple idea, but one that is so crucial right now: doing more with less,” said Dirk Denison, MCHAP director. “The finalist projects all exhibit a radical generosity, giving their communities so much with the most targeted of interventions.”

Designed by Patkau Architects, the Polygon Gallery the rebirth of the Presentation House Gallery, a passionately independent photography and media institution in North Vancouver for more than 40 years.

More site-maker than site response, the new 22,600 square foot building stands at the edge of urban waterfront renewal where infrastructure is reimagined and culture outgrows from an industrial past.

The main mass of the building is lifted from the ground plane to provide open access to both a new public plaza and a wide view of the Vancouver skyline across Burrard Inlet to the south. Its iconic saw-toothed profile is clad in layers of mirrored stainless steel beneath expanded aluminum decking. The interplay between the two materials gives the singular mass an ephemeral depth that shifts with seasonal sunlight and evening atmosphere. Looking north offers a view of North Vancouver’s expanding downtown core and past this, the towering mountains of the Pacific Coastal Range.

The winning project will be announced March 24, at IIT, recognized with the MCHAP Award, the MCHAP Chair in IIT’s College of Architecture, and $50,000 to fund research and a publication.

The Polygon Gallery has won multiple awards since its completion including a RIBA International Award for Excellence 2021.

Opinion: Canada’s blind bidding problem —how transparency plays a crucial role

Ask any recent homebuyers to describe their experience of searching for, offering on and purchasing a home, and chances are their responses will not be enthusiastic. While there are several factors at play that affect real estate transactions, many current issues Canadian homebuyers are facing can be boiled down to transparency, or lack thereof.

A clear view on blind bidding

The issue of blind bidding has been top of mind for Canadians for quite some time, but what is it in its most basic form and how does it affect homebuyers?

Blind bidding occurs during the negotiation phase of a real estate transaction when prospective homebuyers make an offer without knowing what the other applicants have offered. This may seem like a minor inconvenience, but the lack of transparency inherent in blind bidding can have tremendous negative consequences.

Although the Canadian real estate market has cooled slightly, affordability remains a major problem – especially when compounded by inflation. Imagine a homebuyer who is scouring the market finds the perfect property – it’s in their ideal price range and location. Now, due to blind bidding, this homebuyer needs to either bid around the asking price and risk losing out on their dream property, or offer above the asking price and risk damaging their current and future financial position.

Further, if they opt to bid above asking price without any transparency of their competition, they risk overbidding for no reason other than uncertainty. If the unknown bidders all make offers at the asking price, the one that overbid is now paying out of their price range despite a lack of any real competition.

Transparency is key

The above situation occurs due to a fundamental lack of transparency. If homebuyers know how many other potential buyers are interested and how much they are offering, realistic assessments can be made. The big and risky question marks would disappear, enabling homebuyers to save time and money by moving quickly away from untenable offer wars and never making an offer out of their price range based on fear of the unknown.

Transparency is also a boon for agents. Visibility on competition allows agents to optimize the entire real estate process for their clients – searching, offering, and buying. This reduces the amount of time spent on risky offers and gets people into homes faster and more comfortably.

Ultimately, transparency throughout the real estate transaction process saves everyone time and money, while reducing stress and costs.

Leveling the playing field

One way to achieve transparency in the industry is through technology, which offers solutions to many problems caused by outmoded processes.

Online platforms are inherently better at collecting and consolidating information from multiple sources in an accessible manner, while providing real-time updates. They present the unignorable opportunity for homebuyers and agents to view myriad crucial information, including the number of other offers, how much they offered and the current rank of offers on a property, all from their devices.

The transparency that technology can enable throughout the entire bidding process also has the potential to combat discriminatory practices.

The unfortunate reality is that bias can still hold sway over real estate transactions. A personal relationship or regressive and discriminatory view of someone’s background can unjustly influence the decision to go with one homebuyer over another, despite the applicants being identical in terms of financial status. This often happens through terms and conditions being set for some homebuyers and not others or private conversations between agents and sellers.

Again, transparency is the best tool to combat this. If everyone’s terms and conditions were visible online and prospective homebuyers’ rankings were updated in real-time, any foul play would become immediately apparent and reportable, rendering the buying process equitable for all.

Blind bidding and unjust practices are pervasive, but not insurmountable. With transparency as a baseline throughout the entire negotiation process, enabled through updated online platforms, Canadians can save time, money and stress while breaking down systemic barriers to entry.

Eric Bryant is EVP of Strategy at Openn North America Inc.

Preparing for the EV onslaught

The days of sitting back and waiting to see how Canadians embrace the electric vehicle (EV) movement are over. In 2022, the federal government announced it is mandating electric car sales as of 2026. This means rental housing owners and operators must act decisively if they want to choose a strategy to ensure their parking facilities are properly equipped at a cost that isn’t prohibitive.

But getting that ball rolling isn’t easy. It can be daunting and confusing, especially given the way EVs have been slow to catch on, with costly upfront considerations creating buyer hesitancy. While developers of new single-family homes and multi-residential buildings can include zero-emissions vehicle (ZEV) infrastructure in their building plans, existing properties aren’t so lucky. Most high-rise apartments today are underequipped to meet the current level of EV need, let alone what is projected. All around the world, governments are targeting for a complete switch to EVs by 2030 or shortly thereafter.

Here in Canada, car manufacturers will be subject to penalties for not producing and selling the right quota of electric cars as it progresses towards its target of reaching 100% ZEV sales by 2035. Annually, that translates to approximately 395,000 new ZEV sales in 2026, 1.2 million new ZEV sales in 2030, and 2.0 million new ZEV sales in 2035.

“As we are seeing in European markets and in some U.S. states, the mandating of electric cars will require a huge investment in charging infrastructure to meet the influx of need,” said John Nassar, Founder at Hwisel EV, a company that specializes in supplying, installing, and managing EV charging Infrastructure. “Right now in Canada, many apartment owners are struggling to figure out the best way to implement this technology in a manner that will benefit current and future residents without breaking the bank.”

With so few EV drivers to accommodate in the past, charging stations in apartment buildings were few and far between. But that’s no longer the case. With EVs on the rise at a rate expected to escalate, potential tenants will be looking for buildings that offer on-site charging, making the investment in infrastructure a necessity rather than an advantage.

The good news is landlords today can avoid the costs and operational headaches associated with EV technology by choosing a solution that removes them from the process. According to Nassar, the approach is similar to how Bell, Rogers, and Telus provide their Internet, cable, and phone services directly to the unitholder, and not the owner of the building.

“Going this route, apartment owners do not own or pay for the infrastructure or the electricity; rather it is provided directly to the tenant as a service, transferring all operational costs and obligations onto the supplier, and providing key savings,” he said.  “Additionally, since all buildings need a service provider to bill and collect electricity charges from EV users (even if they purchase the infrastructure), extending the service to also include the infrastructure makes sense. For a small additional monthly fee, they get a complete solution that is equitable, does not require an investment, and is turnkey.”

Level 2 or Level 3?

In addition to strategy and service considerations, another important distinction is the level of charging equipment to install for the majority of users. While Level 2 chargers are considered to be fast, effective and affordable by current standards, Level 3 is the fastest charging system available, but requires significantly more power. As such, there are limitations to where this charger can be installed.

“At Hwisel, we provide worry-free Level 2 and Level 3 stations for direct purchase, or through affordable monthly plans,” said Nassar. “Additionally, our unique monitoring service allows us to fix EV charging issues remotely and deliver software upgrades, helping our customers save time, energy, and money.”

Find out more about which EV plan is right for you at www.hwisel.com

Sustainability and the cleaning industry

For commercial cleaners, sustainability is the new green cleaning. Many facility managers remember when the professional cleaning industry first stopped using traditional cleaning solutions, products, and cleaning procedures and changed to using more environmentally friendly ones. The goal then, as it is today, was to reduce the industry’s impact on cleaners, building users, tenants, and the environment.

The evolution to green cleaning and using more environmentally friendly and responsible cleaning products was customer-driven. However, today something new is evolving in the professional cleaning industry, a focus on sustainability. This applies to the manufacturers of cleaning solutions and products, the distributors who market them, and the cleaning contractors who use these products daily.

Green vs. sustainability

Before going further, let’s clarify a couple of terms. Many people use the terms ‘green’ and ‘sustainability’ interchangeably but there are important differences to note. The term ‘green’ refers specifically to products. For instance, a green cleaning solution is healthier to use and more protective of the environment.

Sustainability, on the other hand, focuses more on the operation end of a business. This term has been around since the 1980s when it was first introduced, referring to preserving natural resources for future generations.

Today, sustainability is focused on three things:

  • Environmental protection, meaning the responsible use of natural resources, reducing carbon emissions, and protecting land and waterways.
  • Economic stability by encouraging business growth with legal and fair business practices.
  • Social responsibility, meaning that workers are paid fairly with essential benefits, protecting human rights, and investing in local communities to make them more resilient.

RELATED: Evolving from green cleaning to sustainability

The whys behind the movement

Why is the professional cleaning industry as a whole becoming more sustainability-focused? Here is a list of some of the reasons why:

  • It can reduce costs. Distributors and large contract cleaning companies, for example, are saving thousands of dollars by purchasing more fuel-efficient vehicles. Hybrid trucks average just over 10 kilometers per liter while traditional trucks still average eight kilometers per liter, and fully electric vehicles do not use any fuel at all. Investing in more sustainable vehicles is a way for companies to reduce their transportation costs over the long term.
  • It can boost employee retention. Contractors practicing sustainability often pay their staff more and provide more benefits. These practices typically lead to enhanced employee retention, resulting in a dedicated team of cleaners who will get to know your building thoroughly. Turnover in the professional cleaning industry can be as high as 300 per cent, which means that three times per year the contractor may be looking to replace parts of their team. Avoiding the time and money it takes to hire is a big motivator for some companies to revamp their practices.
  • It helps companies stand out. For years, cleaning contractors and many of the cleaning solutions used in professional cleaning have been viewed as a commodity, meaning they are all about the same. Segments of the industry are promoting their sustainability practices because it helps them stand out and make a name for themselves in the industry.
  • It can cut down on your supplies. Many sustainably focused cleaning contractors use fewer cleaning solutions. This results in fewer packaging materials and greenhouse gases to deliver those products, while saving them money. It also makes good common sense to multitask – if one product is used for many cleaning tasks, the job becomes more efficient.
  • Timing is everything. As of May 2021, the World Economic Forum reported that a global “eco-awakening” has been taking place. Consumers are driving sustainability and believe brands, including those in the professional cleaning industry, have a responsibility to protect natural resources, people and communities, and the environment.

“Today, consumers worldwide want to live more sustainably,” the Forum reports. “Many expect businesses to play a positive role in society and feel that when it comes to driving positive change, brands bear as much responsibility as governments.”

Sustainability and the future of the cleaning industry

As the professional industry becomes more sustainability-focused, we can expect to see changes in the types of cleaning solutions used to clean and maintain facilities. Green and environmentally friendly products are here to stay, but there will be much greater emphasis on what ingredients are used to make the products.

One example of this is the increased use of citrus-based cleaning solutions, now available from different manufacturers. Made from limes, lemons, and other citrus fruits, at least one citrus-based disinfectant is now EPA-registered and proven effective at killing a broad spectrum of germs and bacteria. The same is true of citrus-based sanitizers.

Something else we can expect to see is greater transparency from cleaning contractors. Facility managers should know whether the contractor they hire has a high turnover rate, if the workers are adequately trained, paid fairly with benefits, and if the company uses sustainable products and practices.

In the future, sustainability-focused cleaning contractors can serve as a resource for facility managers. As they are often as familiar with your facility as you are, they can suggest ways to make your facility more sustainable, lowering your operating costs, consumption, and waste.

Lee Chen is a professional cleaning industry veteran and President and COO of ProNatural Brands, LLC, manufacturers of natural, sustainable, high-performing citrus-based cleaning solutions.

Alberta commits $125M for School of Business

Alberta is committing $125 million for MacEwan University’s new School of Business in downtown Edmonton, expanding capacity to support 7,500 new students in business and STEM fields.

“This investment would empower growth at our universities, make higher learning more accessible, create jobs and support local businesses. We are excited to see MacEwan’s future School of Business and how it will contribute to Edmonton’s downtown community and strengthen Alberta’s economy,” said Demetrios Nicolaides, minister of Advanced Education.

The funding will be delivered over four years and depends on the province passing its upcoming 2023 budget.

The School of Business is a proposed seven-storey tower in the heart of MacEwan’s campus in downtown Edmonton. The building would give the post-secondary institution 35,000 square metres of additional space, including 30 classrooms, 20 collaboration spaces and 15 study spaces.

The new building will include labs with artificial intelligence and augmented-reality  technology, as well as a simulated-trading floor.

MacEwan International will provide services to international students and help strengthen Alberta as a destination for future learners. A Careers and Experience office will connect students to industry for more work-integrated learning opportunities.

“MacEwan University and its campus are unique, not only because of our bold vision and commitment to delivering unparalleled undergraduate teaching experiences but because of our position in Edmonton’s downtown core. This significant investment allows us to continue providing transformative experiences that build community, business, and economic opportunities fuelled by an exceptional faculty committed to teaching greatness,” said Annette Trimbee, president, MacEwan University.

Funding from the Alberta government would start flowing in 2024. MacEwan’s goal for its MacEwan Means Business fundraising campaign is $25 million.

 

Fitzrovia completes initial closing of DevCore development fund

Fitzrovia Real Estate Inc. announced it has completed the initial closing of its first real estate fund, Fitzrovia DevCore Fund LP, which focuses on the development of purpose-built rental housing across the Greater Toronto Area. The Fund has a target size of $920 million of equity commitments, with over half of the target commitments secured to date.

“Fitzrovia is deeply appreciative of the unwavering support from our investment partners who have placed their trust in our expertise to develop much-needed rental housing across the GTA,” said Adrian Rocca, CEO and Founder of Fitzrovia. “Since its inception six years ago, Fitzrovia has quickly grown to be the largest developer of rental housing in Ontario and the Fund will allow us to continue to expand our portfolio in a significant way.”

DevCore’s investment mandate is to acquire well-located lands across the GTA in close proximity to public transit and major employment hubs for the purposes of developing rental housing. The Fund’s ultimate capitalization represents over $2 billion of purchasing power, which will be used to help alleviate the GTA’s lack of rental supply.

“DevCore represents the next chapter of Fitzrovia’s strategy of building vibrant communities that prioritize best-in-class hospitality and design,” says Fitzrovia’s Senior Vice President of Investments, Corey Pacht. “Fitzrovia’s portfolio of award-winning communities, including The Waverley, The Parker, The Brixton and Liberty House, best exemplify our curated rental experience and discerning eye for design and craftsmanship.”

DevCore says it will continue to target large-scale opportunities suitable for the development of both master-planned, mixed-use communities and high-rise towers, with an investment bias for fully entitled sites.

For more information visit: www.fitzrovia.ca

Dim future for fluorescents and metal halides

Fluorescents and metal halides will be further marginalized in the lighting market with pending amendments to Canada’s regulations governing products containing mercury. Proposed new rules, which were posted on Dec. 24, 2022 for 75 days of public consultation, would block sales of fluorescent and metal halide lamps for general lighting purposes by 2027. As well, high-pressure sodium vapour lighting and horticultural fluorescents would be largely unobtainable by 2032.

These moves align with Canada’s commitment as a signatory to the 2017 Minamata Convention on Mercury, a legally binding international agreement under the United Nations Environment Programme (UNEP), and somewhat lag the schedule for actions in the European Union. Accompanying regulatory analysis estimates the total package of amendments should result in a 775-kilogram reduction in the quantity of mercury released into the environment during the 10 years from 2024 to 2033. That will also entail a ban on mercury-containing catalysts in the manufacture of polyurethanes beginning in 2028.

It’s proposed that the manufacture or import of a range of fluorescent and metal halide lamps would be prohibited as of next January. However, that would come with a three-year transition period in which replacement lamps for existing fixtures could be brought to the market. After that, there would be an additional two years when retailers could  sell inventory they hold in stock.

Although the amendments are termed “proposed”, once posted in the Canada Gazette they are nearing their final form. The current step of the adoption process follows after an earlier public consultation in 2018, which informs the amendments and regulatory analysis.

Mercury is a cumulative and lasting toxin detrimental to human and wildlife reproductive and neurological health. It is a transboundary pollutant that can cause harm in areas beyond its country of origin, and is a particular concern in Arctic regions where measured mercury levels in the environment are three times higher than they were in the 1920s. Concomitantly, the regulatory analysis notes a lack of disposal and waste processing facilities for spent mercury-containing products in remote northern communities, creating increased exposure to risk and more logistical costs and complications for mercury waste handling in those populations.

Enacted in 2014, the regulations initially established maximum thresholds for the mercury content in products such as compact fluorescent lamps, (CFLs), T5, T8 and T12 straight fluorescent lamps and cold cathode tubing for signage, and allowed for their manufacture, importation, distribution and use in Canada in the absence of viable mercury-free alternatives. That has now changed due to subsequent advancements in the performance, price competitiveness and availability of LED lighting.

“The transition from mercury-containing lamps to LED technology has accelerated in the past few years,” the regulatory analysis states. “The Department’s (Environment) analysis of benefits and costs estimates that the benefits to the environment and the economy of the conversion to mercury-free alternatives are greater than the costs.”

Fixture replacement not factored in cost/benefits analysis

Notably, LEDs promise improved energy performance projected to result in a 4.8 per cent reduction in Canada-wide energy usage and $3.87 billion in cost savings to 2033. That would further equate to a 4.7 megatonne (MT) reduction in greenhouse gas (GHG) emissions, saving $237.4 million on carbon costs for the same period.

Linda Conejo, business development manager with the lighting products and services company, LEDVANCE Ltd., estimates that recent annual sales of “traditional” lighting products have been falling by 25 to 30 per cent, while LEDs gain market share. She credits energy efficiency incentive programs for much of that momentum in the commercial real estate sector and suggests that the early waves of LED adopters have been largely focused on energy savings and reducing GHG emissions. At the same time, given previous experience with phase-outs of incandescent and halogen bulbs, customers have been monitoring the possibility that more regulatory dictates could be afoot.

“There hasn’t been an official push on fluorescents, but people have already taken that initiative to start replacing their lights,” Conejo observes. “Although it’s technically still a proposal right now, a 2024 start-date for a phase-out will push everyone to start doing this sooner than later.”

The government’s cost/benefits analysis focuses on the upfront costs, lifespan and energy performance of mercury-containing lamps versus the LED alternatives and does not factor in replacement of fixtures, citing an inability to accurately estimate the number of replacements that would be required or the ensuing cost of that equipment. “Most mercury-containing lamps can be easily substituted for LED lamps; however, some lamp fixtures could need to be replaced to accommodate the switch to LEDs,” the regulatory analysis acknowledges.

Decorative fixtures and other niche lighting applications in commercial buildings will likely pose more complications. For example, the hospitality sector’s widespread use of dimming systems presents a challenge since older systems won’t be compatible with LEDs.

“There will be many fixtures that will have to be replaced,” Conejo says. “Not so much for fluorescents because we do have a lot of the tubes that you can switch out, but a lot of the metal halides will definitely need upgrading. Especially in commercial applications, they’re not a typical bulb — some of them are in very tight spaces so they’re very small. We don’t have direct LED replacements for them.”

Nevertheless, other market trends could be considered in cost assumptions. Separate from energy costs, retailers relying on increasingly antiquated T12 lamps for display case lighting have seen the price of that product nearly triple in the past two years. As well, supply shortages and associated cost increases are foreseen when EU-based manufacturing of fluorescents ceases in 2024.

“So there’ll be some pushback on having to change the fixtures, but there are other factors that are pushing people to look at doing it sooner rather than later,” Conejo muses.

Absence of mercury-free alternatives acknowledged

The proposed amendments would also reduce the allowed mercury content for three types of lighting products, beginning next January, for the remainder of time they’re available. Although, new cold cathode tubing applications for neon is designated for prohibition, there would be continued leeway to repair neon signs installed prior to Dec. 31, 2023 if they are deemed to have historical value.

Specialty fluorescent lamps used for air and water “purification, sterilization, sanitation, treatment or disinfection” will continue to be permitted with no maximum threshold on the quantity of mercury they can contain. Nor have limits been placed on mercury content in fluorescent lamps used in the growing of plants even though phase-out start and end dates of Dec. 31, 2028 and Dec. 31, 2031 have been specified.

The latter aligns with expected improving market competitiveness of mercury-free options, such as the LED greenhouse lighting that the Ontario government is targeting in its new energy efficiency incentive programs promised for this year. Conversely, there is no prohibition date for automobile head lamps containing mercury — Conejo notes that incandescent and halogen bulbs still predominate in this market segment — but there is a regulated maximum limit of 10 milligrams (mg) per lamp.

“The Department has researched and assessed technologically and economically viable alternatives to exempted mercury-containing products and the Government intends to keep removing exemptions where mercury-free alternatives are available on the Canadian market,” the regulatory analysis advises.

The proposed amendments will be open for public comment until March 9.

Construction resilient in face of challenges

The construction industry continues to prove its resiliency, despite contractors facing a myriad of challenges and enormous pressure to maintain profitability.

Independent Contractors and Businesses Association (ICBA) president Chris Gardner said the majority of member companies expect 2023 to be as busy or busier than last year during his annual industry overview during the CEO Breakfast at Buildex Vancouver 2023.

Top issues remain the same: mental health, supply chain disruptions and an acute labour shortage.

“Last year for the first time in B.C., more people died than were born. We have an aging population and we have more people dying in our province than are born. We’re going over a demographic cliff,” he said. “We need people to come to Canada. It’s about smart immigration.”

Gardner emphasized how red tape and regulations continue to delay project approvals and cripple Canada’s competitiveness with the country consistently ranking at the bottom in the world for economic performance.

Locally, he expressed his optimism for changes with the new direction at city hall with Vancouver Mayor Ken Sim’s commitment to tackling housing, affordability and expediting approvals and the permitting process.

Sim said his team at the city is actively looking at road blocks and asking questions to streamline the approvals process. Most recently, as part of the city’s Permitting Improvement Program (PIP), building permits are now available electronically through the Electronic Plan (ePlan).

“We will do everything we can to speed things up,” he said.

Sim cited some examples of policies that need to be changed, notably the view cone and shadowing considerations currently in place. He emphasized his administration is looking at all opportunities to speed up permitting. For example, instant permits for 3D printed homes. “You can build a 3D printed home in less than five days at two thirds the cost,” he said. “That’s a win on multiple fronts.”

While Sim still had no timeline for his ambitious campaign promise for a “3-3-3-1” permit approval system plan, the initiative has raised hope among many for improvements.

The plan would see home renovations approved in three days; single-family homes and townhouses in three weeks; professionally designed multi-family and mid-rise projects with existing zoning in three months; and high-rise or large-scale projects in a year.

“We need to look at all the missed opportunities. Look at things differently. We want Vancouver to be the best city on the planet again,” said Sim.

 

Cheryl Mah is managing editor of Construction Business.

Flattening commodity prices expected in 2023

The year ahead could bring stable commodity pricing as supply disruptions ease and logistics return to a more normalized level, according to global construction consultancy firm, Linesight.

The company’s Q4 2022 Commodity Report warns that continued inflation and a predicted economic downturn, however, will keep prices high for the time being. Recovery in Canada is expected to fluctuate, dropping to 1.5 per cent in 2023 after rising to 3.5 per cent in 2022.

“High inflation pressures, lower consumer spending, and high interest rates are all weakening the Canadian economy in 2023. Thankfully, inflation is expected to ease throughout 2023 due to improvements in the global supply chain and a tightening of fiscal policy. While general unemployment may rise in 2023, the construction industry is still facing a shortage in core skilled construction labor, resulting in stable labor costs through 2023,” said Patrick Ryan, executive vice president for the Americas at Linesight.

Some key commodities findings in the report include:

  • Canadian lumber prices have continued along a slight downward trend over the past quarter as demand has remained subdued. Due to a high dependence on US exports (85 per cent of the US softwood imports are sourced from Canada), prices are linked to the US housing market, which is facing a prolonged downturn.
  • Hauler strikes and a shutdown of major plants due to fires reduced cement supply in mid- to late-2022. Supply has gradually recovered, and stocks have been replenished while intensive demand from the housing sector has subsided.
  • Although demand from the residential sector has subsided, energy prices have contributed to the high price of concrete blocks and bricks, which may continue to rise thanks to elevated oil and gas prices over the next quarter.
  • Canada produces roughly 50 per cent of the North American steel supply, but with supply-side issues easing and inventories stable, demand-side uncertainty has weakened prices.
  • Anticipation of a global recession has hurt copper demand, though prices have picked up partly owing to political and social unrest in significant sources like Chile and Peru.

“Residential construction will likely slow in 2023 due to overall economic sentiment and an increase in interest rates,” says Ryan. “The Canadian government has announced a number of major infrastructure projects including road and light rail work in major metropolitan areas, which should help offset some of the slowdown in other areas of the construction industry. Companies looking to navigate today’s volatile market should seek the best advice available.”

 

BOMA BC offers energy retrofit financing

The Building Owners and Managers Association of British Columbia (BOMA BC) and SOFIAC have announced a new collaboration to provide an innovative financing option to commercial building owners for decarbonization and deep energy retrofit projects in British Columbia.

SOFIAC can provide BOMA BC members whose annual energy costs exceed $500,000 (for a portfolio of buildings) with a turnkey investment solution that removes the financial, technical, and operational barriers to energy efficiency and decarbonization projects.

Through its innovative business model, the SOFIAC solution does not require clients to make any down payment as project costs are reimbursed solely through a portion of the savings generated in addition to offering substantial financial benefits. Building owners can work with their existing contractors to undertake projects or choose from SOFIAC’s list of experienced partners.

“Decarbonization and energy efficiency are key factors in the long-term sustainability of commercial buildings,” says Damian Stathonikos, president of BOMA BC. “By working with organizations such as SOFIAC, we can help commercial building owners reduce their environmental footprint while saving money on energy costs. SOFIAC’s approach removes most obstacles that prevent building owners from undertaking this important work.”

Starting next year, commercial building owners in Vancouver will be subject to a carbon emission limit regulatory framework. Metro Vancouver is also developing an initiative to reduce GHGs from large buildings. BOMA BC has worked with its members to prepare for these changes, including developing a decarbonization planning tool, a utility tracking system, and specific energy training for its members.

Through this collaboration, BOMA BC and SOFIAC will work with building owners to assess their decarbonization needs. The goal is to help building owners access the resources they need to make energy efficient upgrades while minimizing administrative and financial burdens.

“We are excited to collaborate with BOMA BC and its members. Utilizing SOFIAC’s turnkey approach, our shared objective is to significantly reduce the carbon footprint of BOMA members in a fiscally prudent manner while also lowering their exposure to energy costs through demand side reductions and the growth of renewables”, says Stuart Galloway, SOFIAC executive vice president – Ontario and Western Canada.

BOMA BC and SOFIAC will host informational events and workshops throughout the year to educate building owners about the benefits of deep energy retrofits and the financing options available to them.

Esquimalt rental project breaks ground in Victoria

PC Urban Properties, in partnership with the Fiera Real Estate CORE Fund, has broken ground on a mixed-used rental project located at 858 Esquimalt Road in Victoria, BC, formerly the site of the Cask & Keg liquor store. When complete, the new development will offer 8,400 square feet of retail at the ground level of two five-storey residential buildings consisting of 198 apartment units.

“This is a key area of Esquimalt and an opportunity for us to work with Fiera to provide a new community hub and enhance the supply of purpose-built rental homes in the region,” said Brent Sawchyn, CEO, PC Urban Properties. “This development will provide much needed homes for families and individuals who want to be close to the city centre, and brand-new retail for the whole community to enjoy.”

As part of the West Bay Local Area Plan, the Township of Esquimalt envisioned this property for an active, mixed-use residential and retail redevelopment  The Cask & Keg liquor store, which was a much-loved fixture of the neighbourhood, will move into 7,200 square feet of new space fronting Esquimalt Road, with the remaining 1,200 square feet of additional retail space up for lease in the coming months.

Victoria’s  residential vacancy rate currently hovers around one per cent, declining from 2.1 per cent in 2021. When complete in late 2025, this project will help alleviate some of that housing need with its high-quality, pet-friendly and sustainably designed rental homes. Envisioned by WA Architecture, the wood-framed project is described as “climate-conscious” and meets the BC Building Code’s Step Code 3 requirements.

“This development represents a positive move forward for Esquimalt,” said Mayor Barbara Desjardins. “We’ll see the property flourish to not only retail space, but retail alongside much-needed rental housing– housing that offers amenities that reinforce active, green and connected communities.”

Bicycle parking stalls are included for every home and the location is near the E&N Rail Trail with connections to the network of bike trails throughout the region. A car-share program will also be facilitated on site for use by residents and the public alike. The outdoor public realm surrounding the project will be upgraded via street beautification along Esquimalt Road, including widened boulevard, landscaping, street trees, sidewalk improvements, and the addition of public art courtesy of PC Urban Properties.

“The Fiera Real Estate CORE Fund is pleased to undertake its second residential development in Victoria,” said William Secnik, Senior Vice President and Fund Manager, Fiera Real Estate. “This project not only adds to the housing stock in British Columbia, but enables Fiera Real Estate to apply its environmental, social and governance (ESG) strategy directly into its investment management activities. This approach mitigates risk and helps drive stable long-term value creation. The foundation of our ESG strategy is based on the primary belief that the way in which we manage our funds should be responsible, resilient and engaged.”

For more info, visit: PC Urban Properties Corp and Fiera Real Estate Break Ground on New Multi-Use Development in Esquimalt – PC Urban

Vancouver moves forward on social housing projects

Vancouver city council has approved the rezoning of two sites located at 2518-2540 Grandview Highway South and 1925 Southeast Marine Drive, for the purpose of building two six-storey residential buildings that will include a combined 136 social housing units with supports. The government says the creation of this new permanent social housing will provide people experiencing or at risk of homelessness, including  seniors and people living with disabilities, with safe, secure, and affordable homes. Grandview will provide 64 homes and Southeast Marine will provide 72 homes.

social housing “Securing quality housing for Vancouver’s most vulnerable residents is a significant priority for our Council,” said Mayor Ken Sim, City of Vancouver. “We are incredibly excited to support these two permanent supportive housing projects.”

The rezonings are part of five City-owned sites designated for the delivery of 350 permanent supportive homes under a Memorandum of Understanding signed in August 2020 by the City of Vancouver, Canada Mortgage and Housing Corporation (CMHC), and BC Housing.

BC Housing issued Requests for Proposals for both buildings to secure experienced non-profit operators. Community Builders Group was selected to operate the Grandview location and The Kettle Society was selected for the SE Marine location. The City will continue to work with partners to identify more opportunities for social and supportive housing.

“There’s an urgent need to bring those experiencing homelessness in Vancouver indoors and provide them with the supports they need to rebuild their lives,” said  Vincent Tong, Chief Executive Officer, BC Housing. “Rezoning approval of these two projects is the next step toward providing safe, indoor housing for nearly 140 people, and we’re excited to be working with the Province, the City of Vancouver and our non-profit partners to make this goal a reality.”

The next steps will be rezoning enactment and the submission of a development permit application. Construction is expected to start after all permits are secured.

For more info, see the Victoria-Fraserview area plan and the Renfrew-Collingwood community vision at the links provided.