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The Canada Mortgage and Housing Corporation (CMHC) just published its latest housing supply report for Canada’s 6 largest city regions (downloadable over here).
One figure that stands out is the increase in housing starts in the Calgary CMA — it was up almost 63% last year compared to 2020. This is a positive indicator for that market.
It’s also worth mentioning that Calgary’s supply is more evenly split between low-rise and apartment housing. This is in contrast to markets like Toronto, where 3/4 of all new housing is now “apartment”, and in Montreal, where the percentage is even higher.
My view is that it’s time to get more granular with our reporting of higher density housing. In the above example, we are showing 3 categories for grade-related housing and only 1 for anything outside of that.
This is our national bias toward low-rise housing coming through.
The Canada Mortgage and Housing Corporation (CMHC) recently published its latest data on housing starts, housing under construction, and housing completions. Here are a few of the highlights:
Canada saw 271k housing starts last year (2021). This includes single-detached housing and multiples, which captures semi-detached housing, row housing, and apartments (and other unit types). This is the highest number of annual housing starts that we have seen over the last five years. The range for the prior years has been between roughly 209-220k.
Ontario saw 100k (~37% of the country), Quebec saw 68k (~25% of the country), and British Columbia saw 48k (~18% of the country).
What I was curious about when I first saw these numbers was the split across the various housing types. Single-family homes, for instance, came in at 82k for all of Canada. So that's about 30% of total housing starts. If you add in semi-detached and row, which I believe would also be all grade-related, you get to 124k or 46% of all housing starts.
Apartments and other unit types make up the balance at about 147k or 54% of all housing starts. This is kind of interesting because they now represent a majority.
Looking at Ontario, the percentage of apartments actually drops to 50%. But the numbers are much higher in both Quebec and BC at 69% and 63%, respectively. Again, this is kind of interesting.
Despite all of our deference to single-family housing, the numbers suggest that we are actually in the midst of building a different kind of country -- one that entails people living in "apartments and other unit types." Maybe it's time we got more granular with this line item.
Note: CMHC defines "apartment and other unit types" to include not just apartments, but also stacked towns, duplexes, triplexes, double duplexes (whatever this is), and row duplexes. A number of these will, of course, be grade-related. But they still represent more intense forms of land use.
Here is an interesting housing chart from Ryerson University's Centre for Urban Research (CUR) using data from CMHC:
What it shows is (1) the number of new housing using created through the addition of secondary suites, such as basement apartments and laneway suites; (2) the number of housing units lost to demolition or "deconversions", such as when a duplex or triplex gets converted (back) to a single-family home; and then (3) the net new units added over the last three years.
The Canada Mortgage and Housing Corporation (CMHC) just published its latest housing supply report for Canada’s 6 largest city regions (downloadable over here).
One figure that stands out is the increase in housing starts in the Calgary CMA — it was up almost 63% last year compared to 2020. This is a positive indicator for that market.
It’s also worth mentioning that Calgary’s supply is more evenly split between low-rise and apartment housing. This is in contrast to markets like Toronto, where 3/4 of all new housing is now “apartment”, and in Montreal, where the percentage is even higher.
My view is that it’s time to get more granular with our reporting of higher density housing. In the above example, we are showing 3 categories for grade-related housing and only 1 for anything outside of that.
This is our national bias toward low-rise housing coming through.
The Canada Mortgage and Housing Corporation (CMHC) recently published its latest data on housing starts, housing under construction, and housing completions. Here are a few of the highlights:
Canada saw 271k housing starts last year (2021). This includes single-detached housing and multiples, which captures semi-detached housing, row housing, and apartments (and other unit types). This is the highest number of annual housing starts that we have seen over the last five years. The range for the prior years has been between roughly 209-220k.
Ontario saw 100k (~37% of the country), Quebec saw 68k (~25% of the country), and British Columbia saw 48k (~18% of the country).
What I was curious about when I first saw these numbers was the split across the various housing types. Single-family homes, for instance, came in at 82k for all of Canada. So that's about 30% of total housing starts. If you add in semi-detached and row, which I believe would also be all grade-related, you get to 124k or 46% of all housing starts.
Apartments and other unit types make up the balance at about 147k or 54% of all housing starts. This is kind of interesting because they now represent a majority.
Looking at Ontario, the percentage of apartments actually drops to 50%. But the numbers are much higher in both Quebec and BC at 69% and 63%, respectively. Again, this is kind of interesting.
Despite all of our deference to single-family housing, the numbers suggest that we are actually in the midst of building a different kind of country -- one that entails people living in "apartments and other unit types." Maybe it's time we got more granular with this line item.
Note: CMHC defines "apartment and other unit types" to include not just apartments, but also stacked towns, duplexes, triplexes, double duplexes (whatever this is), and row duplexes. A number of these will, of course, be grade-related. But they still represent more intense forms of land use.
Here is an interesting housing chart from Ryerson University's Centre for Urban Research (CUR) using data from CMHC:
What it shows is (1) the number of new housing using created through the addition of secondary suites, such as basement apartments and laneway suites; (2) the number of housing units lost to demolition or "deconversions", such as when a duplex or triplex gets converted (back) to a single-family home; and then (3) the net new units added over the last three years.
In looking at the chart, you'll see that the City of Toronto actually lost about 2,000 units from its existing housing stock between 2019 and 2021. Again, these numbers only consider what's happening in the city's existing low-rise residential housing stock. They don't factor any of the housing supply being delivered through new condominiums and multi-family apartments.
Still, it's evidence for something that is perhaps already well known: many of Toronto's low-rise neighborhoods are losing people. They are losing people because the existing structures are housing fewer residents and they are losing people because we make it difficult to build new housing. We want them to be "stable." But stable built form doesn't necessarily mean that things aren't changing on the inside.
Now compare this to what's happening in Brampton (a suburb of Toronto). CUR is calling Brampton the land of secondary suites. Over the last three years, it added nearly 11,000 housing units and was on pace (at the time the data was published) to create nearly 6,000 last year alone (most of which are basement apartments). This is all within its existing housing stock.
With all of this, I think there's an interesting question about about how much of this is being driven by market demand and how much of this is being driven by land use policies. There's obviously demand for expensive single-family homes in Toronto, which is why "deconversions" are happening. But to what extent does this change if/when we become more permissive around multi-unit dwellings?
I think it depends on how we craft the policies.
In looking at the chart, you'll see that the City of Toronto actually lost about 2,000 units from its existing housing stock between 2019 and 2021. Again, these numbers only consider what's happening in the city's existing low-rise residential housing stock. They don't factor any of the housing supply being delivered through new condominiums and multi-family apartments.
Still, it's evidence for something that is perhaps already well known: many of Toronto's low-rise neighborhoods are losing people. They are losing people because the existing structures are housing fewer residents and they are losing people because we make it difficult to build new housing. We want them to be "stable." But stable built form doesn't necessarily mean that things aren't changing on the inside.
Now compare this to what's happening in Brampton (a suburb of Toronto). CUR is calling Brampton the land of secondary suites. Over the last three years, it added nearly 11,000 housing units and was on pace (at the time the data was published) to create nearly 6,000 last year alone (most of which are basement apartments). This is all within its existing housing stock.
With all of this, I think there's an interesting question about about how much of this is being driven by market demand and how much of this is being driven by land use policies. There's obviously demand for expensive single-family homes in Toronto, which is why "deconversions" are happening. But to what extent does this change if/when we become more permissive around multi-unit dwellings?
I think it depends on how we craft the policies.
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