Highrises make sense in Markham
Lowrise homes are limited because there is not much development land available
The city of Markham is the largest of the nine municipalities in York Region. Markham now has more than 342,000 residents and close to 10,000 businesses — and it’s continuing to grow.
And with a new official plan, the city has a guide for how it will grow over the next 20 years. According to York Region, the local municipality is forecast to have more than 421,000 people and 240,000 jobs by 2031.
Meanwhile, residents are watching their neighbourhoods change and evolve to accommodate the growth. New communities are being planned and constructed, new parks are emerging and new businesses are setting up shop.
At a recent discussion hosted by the Markham Public Library, it was clear that local residents are interested and engaged in how the city is planning to grow and they want to know more about investing in real estate in their community.
Many of the 100,000 people and 50,000 jobs that come to the GTA every year zone in on Markham. Numerous new communities now being built will allow residents to choose among lowrise homes, such as detached, semi-detached and townhomes, as well as highrise homes.
At the library meeting, BILD member Shadi Aghaei, vice-president of Times Group Corp., spoke about the benefits of living in a highrise community.
She told the group of 40 residents at the meeting that there is a “sense of community,” much like in a lowrise community. Times Group won BILD’s Green Builder of the Year award in 2013. While it emphasizes environmental sustainability in its communities, it also manages its properties after occupancy.
The company responds to what residents want, and need, when planning and designing the on-site amenities.
Existing residents nearby also benefit from new development, Aghaei said, explaining that new parks, improved streetscapes and new businesses are built for all to enjoy.
Aghaei provided the perspective of the new home industry as part of the first of three public events at the library.
This session was titled Real Estate Investing: Hot Trends in the Markham Market.
In addition to explaining the benefits of living in a highrise community, she told the group of residents that development charges, a government tax, amount to 16 per cent of the cost of a new highrise home in Markham.
As the cost of land, construction materials and labour continue to increase, it is difficult to balance the cost of building new homes with the prices the market will bear, she added.
The price gap between a new highrise home and a new lowrise home is growing, and it’s a direct result of public policy.
Lowrise prices are increasing because demand is far outpacing supply.
Meanwhile, the supply of new lowrise homes cannot increase because development-ready land that is serviced with sewers and roads has been limited by provincial legislation, and local plans and policies. Bryan Tuckey is president and CEO of the Building Industry and Land Development Association and a land-use planner who has worked for municipal, regional and provincial governments. Follow him at twitter.com/bildgta, facebook.com/bildgta, and bildblogs.ca.