CONSTRUCTION EASES FOR MULTI-FAMILY HOMES
November down compared to 2011
New construction of multi-family housing in Calgary dipped in November compared to activity from a year ago, says a federal agency.
Construction of multi-family homes in the Calgary census metropolitan area declined to 479 units, down 27 per cent compared to 660 units during the same month in 2011, says Canada Mortgage and Housing Corp.
Besides Calgary, the census metropolitan area includes totals from neighbouring communities such as Airdrie and Cochrane.
Within the city’s limits, the decline was even sharper, with 40 per cent fewer starts last month compared to November 2011.
Last month, there were 364 construction starts of multifamily homes within city, down from 611 starts during the same time last year.
“There could be a hesitation by builders to launch production until conservative sales tests are proven, or it could be attributed to permitting delays,” says Charron Ungar, president of the Canadian Home Builders’ Association-Calgary Region.
Ungar is also president of Avi Urban, the multi-family division of Homes by Avi.
While multi-family construction starts in the Calgary census metropolitan area were down last month, when counted from the beginning of the year, totals are stronger in 2012 than during the same period in 2011.
From Jan. 1 to the end of November, there were 11,975 construction starts of multi-family homes, up 44 per cent from 8,322 during the same span in 2011.
Multi-family totals include construction starts of apartments, townhomes and duplexes.
Only two of those housing types brought down overall numbers in the Calgary census metropolitan area in November, says economic analyst Richard Cho of CMHC.
“New construction of multifamily units in November were down from the same month in the previous year, due to fewer (townhome) and apartment units starting,” he says.
Construction starts of townhomes in November in the Calgary area eased to 82 units, down from 250 starts during the same month last year.
Apartment starts also declined to 271 starts this November, easing from 318 during the same month in 2011.
The only upswing in multifamily development came from duplexes.
Last month, 126 duplexes broke ground in the Calgary census metropolitan area, up from 92 starts a year ago.