Let’s make GTA’s tight housing supply an election issue
Over the last few months, I have outlined some of the complex issues that are creating a tight housing supply — and its effects on housing affordability — in the GTA.
During the October 22 municipal elections campaign, you have an opportunity to add your voice to this discussion. I invite you to visit our special website buildforgrowth.ca, and contact your local municipal candidate’s office through our web platform, to let them know that you care about housing.
The GTA is facing a generational challenge. Over the next 20 years al- most 2.5 million new residents, or approximately 115,000 a year, will arrive in the GTA.
Just to house them requires 55,000 new homes to be built every year. Not to mention the roads to transport them, the rapid transit to help with commuting, schools for education and the offices, stores and factories for all these new residents to work in.
It is no secret that we have a very tight housing supply market in the GTA. It now takes on average 10 years to complete an average highrise project, and 11 years to complete an average lowrise project.
As a consequence, the building industry was able to construct only 44,000 new homes in 2017, falling behind demand. This is not a new problem, and it is one that is compounding.
Compared with all other levels of government, municipal governments have the most direct influence over where new housing will go, what type it will be and the number of homes built. BILD has put forward the following four-point plan on how local governments can increase housing affordability and supply.
BILD is asking GTA municipalities to make sure government fees, taxes and charges applied to new homes are fair and equitable. Currently these levies (taxes on tax) account for almost 25 per cent of the cost of an average new home in the GTA.
It is also important to fund and build critical infrastructure to support new and existing communities. Infrastructure is literally the foundation of city building.
Governments should cut bureaucratic red tape that slows development and limits supply of new homes. The quag- mire of provincial and municipal requirements limits supply and adds costs and they should adopt a Service Standard of Excellence for building permits and inspections to speed up building and renovations. This will make it quicker and easier to update existing housing stock.
With solutions common to other markets — like laneway housing and secondary suites — we can unlock the potential of current neighbourhoods.
It is time for us to find solutions to the challenges of housing supply and affordability. Our Build For Growth campaign is about raising the issues that are barriers to housing supply and affordability in the GTA and partnering for solutions.
I encourage you to find out more about this important issue and let your candidate know that housing needs to be a priority.
Together let us make this election the housing election.