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Construction labour shortage a massive barrier to 小蓝视频鈥檚 new housing: experts

Even with good intentions, appropriate funding and expedited permitting processes, there simply aren鈥檛 enough construction tradespeople to build all the homes required to meet 小蓝视频's housing targets, according to a group of industry experts.
VREF panel 2018
Speaking at the Vancouver Real Estate Forum, April 25, 2018 (l-r): Brian McCauley of Concert Properties; Mark Achtemichuk of CMLS Financial; Luke Harrison of Vancouver Affordable Housing Agency; Anne McMullin of Urban Development Institute; Greg Moore, Mayor of Port Coquitlam

Even with good intentions, appropriate funding and expedited permitting processes, there simply aren鈥檛 enough construction tradespeople to build all the homes required to meet 小蓝视频's housing targets, according to a group of industry experts.

Speaking to a huge audience at the Vancouver Real Estate Forum April 25 at the Vancouver Convention Centre, at a panel event on housing affordability, Concert Properties CEO and panel moderator Brian McCauley raised the issue of labour shortages as a key barrier to meeting the NDP government鈥檚 target of 114,000 affordable homes in 10 years.

McCauley said, 鈥淵ou hear on a daily basis about labour shortages, escalating construction costs鈥 Just the provincial government program alone, wanting to build 114,000 affordable homes in the next 10 years, would require double the output of the current infrastructure in the building industry鈥 We can鈥檛 ignore the fact that we just don鈥檛 have the capacity to build housing as fast as we need to.鈥

Greg Moore, Mayor of Port Coquitlam and chair of Metro Vancouver Board of Directors, replied, 鈥淵ou nailed it, and I think it鈥檚 going to get worse going forward [when you factor in other major infrastructure projects]鈥 There鈥檚 a huge issue there for all of us. Whether we鈥檙e building infrastructure for our communities or housing in our communities, [the labour shortage] is one of the major issues we should be discussing.鈥

Anne McMullin, president and CEO of the Urban Development Institute, added, 鈥淚n our discussions with the 小蓝视频 government since the provincial budget came out, I don鈥檛 think there鈥檚 really that recognition. Exactly how are we going to build this? We keep saying鈥 let alone getting approvals, how are we going to get this done? The development industry needs to address this, but also the provincial government needs to address this, whether it鈥檚 with training or recruitment.鈥

Luke Harrison, CEO of the Vancouver Affordable Housing Agency, said, 鈥淚鈥檒l get my plug in for prefabrication鈥 We鈥檙e seeing some interesting results. When you look at what we鈥檙e doing with modular housing [for Vancouver], our labour costs are in Kamloops, our supply costs are independent of the weather and other potential cost issues in a local market. It also helps on the design side 鈥 you don鈥檛 have to customize a wall assembly through engineers and architects every time, that common wall is being replicated over and over again. I think that this is one of the opportunities that we鈥檙e going to have to spend more time on if we鈥檙e going to get close to the housing supply.鈥

McCauley replied, 鈥淵ou鈥檙e absolutely right. Our industry are dinosaurs in terms of advancement in technology and new building techniques. I鈥檝e learned something: that if I come to the City of Vancouver with a 鈥榯emporary鈥 housing application, I can get it approved a lot faster.鈥

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