Metro Vancouver seems to have taken inspiration from the Netflix hit K-Pop Demon Hunters. Everything is going “up, up, up” but unlike the movie, there is no catchy soundtrack or happy ending.
This move lands at a moment when the new-construction sector is already under pressure from rising costs, uncertainty about private land ownership, and still waiting for Bill C-4’s royal assent, the legislation that contains the GST Rebate for First-Time Home Buyers first introduced in June 2025, all while project viability continues to shrink.
Regional oversight of services such as waste management, water infrastructure, and core utilities is important, but the concern lies with timing, execution, and management. The mismanagement of the North Shore Waste Treatment Plant continues to be a multi-billion-dollar financial disaster, and although some learnings have been brought forward through the planning of the Iona Wastewater Treatment Plant, the $6 billion price tag remains a serious concern. Where will the money come from when development is not proceeding?
By the end of the three-year increase period from 2025 to 2027, Metro Vancouver’s DCCs rise by more than 200% in some cases, with significant year-over-year increases and the addition of parkland acquisition costs. Townhomes offer a clear example, though all housing forms are affected. These increases translate directly into higher unit pricing, delayed starts, or stalled projects:
- Vancouver townhouse dwelling unit: From $8,679 to $30,861 (increase of $22,182 or 225.5%)
- Lulu Island townhouse dwelling unit: From $8,452 to $25,404 (increase of $16,952 or 200.5%)
- Fraser south of Fraser townhouse dwelling unit: From $6,303 to $17,663 (increase of $11,360 or 180.3%)
- North Shore townhouse dwelling unit: From $8,482 to $30,113 (increase of $21,631 or 255.1%)
*Source: https://metrovancouver.org/about-us/development-cost-charges
Industry continues its pushback. Multiple developers have written to Metro Vancouver calling for a rollback to 2024 rates. HAVAN also sent a letter to the Metro Vancouver Board, calling for a reversal of the current increase and a pause on the planned 2027 step:
“As this industry has experienced time and again, decisions made in silos — at any level of government — can create cumulative, unintended consequences that directly affect the viability of housing projects and the stability of local businesses, both large and small. For far too long, governments have increasingly relied on the homebuilding industry to fund a growing list of amenities and services that benefit residents across the region. This approach was never sustainable.
As municipal mayors who also serve on the Metro Vancouver Board, you are well aware of the impacts of the housing crisis on your own communities, including declining revenues and delayed projects. This is not a short-term challenge. It is a housing delivery and affordability crisis that will persist unless barriers to building are reduced. Metro Vancouver’s increased fees add pressure at a time when the region can least afford it.”
To further support these important face-to-face conversations, HAVAN is also in the process of setting up liaison meetings with Metro Vancouver.
These rates ignore present market conditions and add pressure to an industry still working to regain stability. A likely counterargument is that the increases were approved in 2024 and that project funding has already been deployed, making changes difficult. This should not be the case. The housing industry has been defined by constant adaptation and pivoting. Shifting direction is possible, as demonstrated by local municipalities such as the City of Vancouver, the City of Surrey, and the Township of Langley, each of which has taken steps to freeze, roll back, or introduce targeted measures to support new housing.
The industry has been operating in survival mode for the past few years and without relief, that reality extends into 2026 and beyond.
There is also a broader question the region must confront. Infrastructure funding at this scale requires provincial leadership and capital solutions that do not rely so heavily on new housing alone. Essential infrastructure serves the entire region. Its cost should not fall disproportionately on the homes needed to be built for its residents. It is a complex system that will not be resolved through a single change but through coordinated action across multiple fronts.
HAVAN will continue to advocate for a rollback to 2024 rates, a pause on future increases, and a reset grounded in economic reality. Our members are ready to build. Regional policy – frankly all levels of policy – must support that goal, not stand in its way.
On Thursday, January 29, 2026, HAVAN’s annual Legends of Housing returns to the Delta Hotels Burnaby Conference Centre. Event details will be shared this week.
Share your thoughts at wendy@havan.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 Briefing and other HAVAN emails here.
