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ANALYZING BC’s PROVINCIAL ELECTION HOUSING PLATFORMS: THE STAKES FOR OUR INDUSTRY.

As we approach the provincial election, housing remains a critical issue for voters across BC. The ongoing housing crisis, characterized by limited supply, increased building costs, market uncertainty, and regulatory challenges, demands urgent and well-considered solutions. While each political party presents its vision for addressing these problems, it is essential to take a measured approach when evaluating their proposals.

Housing policies introduced today will have long-lasting impacts, not only on the industry but also on communities and homebuyers. In particular, there are certain guiding principles that our association at all three levels of government support, which are highlighted here.

Repealing the BC Energy Step Code: Progress vs. Uncertainty

One significant debate revolves around the Conservative Party of BC’s proposal to repeal the BC Energy Step Code. While it is true that regulatory requirements can add complexity, undoing the Step Code would erase years of advancement in building science. This code has provided a consistent framework that builders and developers have come to rely on for designing energy-efficient homes. Eliminating it could create uncertainty and slow the transition towards greener, more sustainable construction practices.

Our association backs advancements in energy efficiency, as they not only reduce the environmental footprint but also enhance the long-term quality and safety of our homes. Any move to reverse these advancements must carefully weigh the consequences, including the impact on homeowner investment protection.

Housing Targets: Accountability and Demand

Another area of divergence in party platforms is around housing targets. Clear, enforceable targets are essential to address the growing housing demand across the province. While some argue that such mandates create undue pressure on municipalities, the absence of firm goals risks encouraging NIMBYism, slowing down progress in key areas that need increased density and affordability.

Without targets, there is little accountability, and the risk of failing to meet both current and future housing needs becomes higher. The BC NDP and BC Green Party have policies tied to housing starts and targets, while the Conservative Party has been less focused on this approach. Targets ensure that all stakeholders are aligned and working toward measurable outcomes, which are critical for addressing the housing crisis efficiently.

Zoning and Gentle Densification: A Balanced Approach

In terms of zoning and gentle densification, all parties offer different solutions. Proven urban design strategies, particularly in transit-oriented areas, demonstrate that gentle densification—such as allowing fourplexes or sixplexes on what were once single-family lots—can help distribute land costs and mitigate speculation. This approach is supported by the BC NDP’s previous introduction of the Six-Storey, Multi-Unit Housing (SSMUH) initiative and amendments like Bill 47, both of which promote housing density without overwhelming existing neighborhoods.

The key is to maintain and expand these strategies, ensuring they are implemented in ways that enhance community resilience while increasing affordability. By building more homes within existing urban areas, municipalities can efficiently use their land, reduce commuting times, and promote more sustainable living.

Permitting Efficiency: Streamlining for Impact

One point of consensus across the political spectrum is the need for permitting reform. Delays in the permitting process have contributed significantly to project slowdowns. By streamlining these processes, the risks to developers are reduced, making it easier to bring projects to market.

However, it’s important to recognize that while several projects may have already been approved, many remain stalled due to financial viability issues. For example, we are hearing from our developer and builder members over 73,000 approved projects are currently on hold in the Lower Mainland, unable to proceed due to projects not penciling out. Of course, the solution lies not just in faster approvals but also in addressing the larger economic conditions that influence project affordability.

Pre-Manufactured Homes and Building Science: A Multi-Faceted Approach

In the pursuit of affordability and efficiency, pre-manufactured homes are often cited as a potential game-changer. The BC Green Party has made notable commitments to advancing pre-fabricated home construction, positioning BC as a leader in this field. These homes offer a promising avenue for speeding up delivery and cutting costs.

Yet, it’s essential to remember that building homes is a team effort, involving architects, designers, tradespeople, and other professionals. Moreover, a focus on building science—whether through traditional or off-site construction—requires trained labor, which the industry currently faces a shortage of. Addressing this shortage is just as critical as innovating with new materials and methods. There is no single solution to the housing crisis; every facet of the homebuilding process, from labor to materials, must be considered.

Comprehensive Solutions: A Holistic Approach to the Crisis

The housing crisis is multifaceted, and solutions must reflect that complexity. Development Cost Charges (DCCs), for instance, make up roughly 30% of the cost of a new home. Any effective housing policy must address the range of factors that drive up costs, including permitting delays, zoning regulations, and the costs imposed by these fees.

Comprehensive solutions should focus on reducing the financial barriers to development while ensuring that essential services and infrastructure are adequately funded. By balancing these interests, we can deliver more homes to market while maintaining the quality and livability of our communities.

Non-Partisan Collaboration: The Path Forward

Perhaps the most important point is that housing shouldn’t be politicized. The challenges we face are too great to be addressed through a single-party lens. Solutions require non-partisan collaboration that brings together all stakeholders—developers, local governments, builders, and industry professionals—to remove barriers across the homebuilding process.

By working together and finding common ground, we can streamline the steps required to bring more homes to market and address the urgent need of affordability. It is only through collaboration that we can develop policies that meet the needs of current and future residents, no matter which political party is in office.

The provincial election provides an important opportunity for voters to shape the future of housing policy in BC. By understanding the platforms, considering the broader context, and ensuring that we remain focused on comprehensive, non-partisan solutions, we can all play a role in addressing the housing crisis.

DETAILED PARTY BREAKDOWN

For a detailed breakdown of each party’s housing platform, please see the linked comparison table prepared by HAVAN’s Government Relations team.

WHERE TO VOTE

We encourage all our members to get out and vote. Whether you vote on Election Day, October 19th, or you vote in advance, details on how and where to vote can be found here. For information on the BC Provincial Election rules and regulations www.elections.bc.ca

HAVAN continues to work with CHBA BC and CHBA to advocate for all levels of government to work together to address the challenges of the housing industry including zoning restrictions, density limits, and NIMBYism.

Looking to stay up-to-date on Metro Vancouver’s residential housing industry? Sign up for Wendy’s weekly Monday Morning Briefing and other HAVAN emails here.

QUICK BITES … 

  • The Tyee unpacks Rustad and Eby’s housing pledges.
  • The Vancouver Sun takes a look at the key housing issues and where the leading parties stand.
  • Storeys reports high interest rates decreased housing starts by about 30,000 units, a decline of 10 to 15% in 2023.
  • The Financial Post takes a look at government taxes on our homes in this op-ed by Lawrence Solomon. It appears there is not safe haven.
  • Metro Vancouver home sales declined by 3.8 per cent in September 2024 compared to September 2023, suggesting that recent interest rate reductions are having a limited effect on demand so far.
·       Greater Vancouver Real Estate Board Stats Sept 2024 and Fraser Valley Real Estate Board Stats Sept 2024 for your review.

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