the rennie landscape - Q3 2019

housing

MORE SHOVELS IN THE GROUND AS STARTS COME AROUND

On the whole, Metro Vancouver needs more housing and according to the latest data we’re getting it: on a year-over-year basis (through Q2 2019), total apartment starts in the region rose 7% to 19,409 annually. As mentioned earlier in this section, increased construction activity is helping to boost the per capita supply of new homes to healthier levels in this region. This rate of increase exceeds that of Toronto (+3%) and Calgary (which experienced a 28% contraction in new apartment building activity). The outlier among Vancouver’s Metro peers is Edmonton, which saw a 50%

increase in new apartment starts over the past year (part of which is due to a relatively small sample size). Of course, the apartment segment of the sister Alberta metro markets plays a lesser role in accommodating growth in their resident populations than it does here, where land constraints are greater. As such, the pace of new apartment growth in Metro Vancouver is a key indicator to watch, as it strongly influences the ability of our local population, and our regional economy, to grow.

MORE STARTS ARE GOOD IN THE END

30,000

25,850

25,089

25,000

20,000

19,409

18,186

15,000

10,000

5,000

4,789

2,906

3,430

1,938

0

TORONTO

CALGARY

EDMONTON

VANCOUVER

3%

28%

7%

50%

APARTMENT STARTS INCLUSIVE:

Q Q 

Q Q 

SOURCE: CANADA MORTGAGE & HOUSING CORPORATION

DATA: APARTMENT STARTS

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