City of Spruce Grove’s Post

Construction pricing increases = increased project costs Interest rate increases = increased project costs We're living both scenarios right now in a massive way. There are two outcomes: Rents increase or new development comes to a halt. If rents increase, there's an additional factor: Historically low vacancy rates. That could help elevate rents even more. The only way rents don't increase at a rate corresponding to construction cost increases and interest rates is a decrease in land values or massive city incentives. Which scenario do you see unfolding? Also, are you already seeing rental rate increases? If so, what are the highest asking rates in your market?

With construction costs increasing and project delays impacting Florida projects, many clients are now asking landlords to undertake the work. Material shortages and municipal challenges have caused substantial backlogs, making construction timelines a critical issue. If landlords decline, they are resisting any limits on construction timing related to rent commencement. #Construction #FloridaProjects #RealEstateImpact

Construction spending up slightly in October Construction picked up this fall in the single- and multifamily residential building sector, outweighing declines in spending on public projects, and mixed results for spending in private nonresidential categories. Overall, construction spending was up 0.4% from September to October, according to the Associated General Contractors of America's analysis of new government data released this week. https://lnkd.in/gh_uxSif

Companies that block public right-of-ways for construction should face extra daily fees to push them to get their work done faster, according to the city’s newest proposal to help improve congestion in a city that has some of the worst traffic in the world, reported the Toronto Star. "Whether it’s for utility work or developments, the plan would see companies charged a varying levy for taking up space on roads, sidewalks or boulevards for any type of construction work, subject to council approval in October. The charges would apply daily, with the possibility of increasing the fees the longer construction persists." https://lnkd.in/gbAGdJUA #toronto #congestion #development #construction

A little late to the game, but I think it's important to highlight the upcoming changes to the Ontario Building Code effective January 2025. Many changes relate to energy efficiency. These are being phased in through a tier system. The goal is to achieve Tier 5 (net zero) for new construction in 2030. My take is some upfront building costs may increase, but homeowners will benefit in the long run through lower operating costs (i.e. energy and insurance). Next time you blame a greedy developer or contractor, try reading the building code! https://lnkd.in/gd7dc2Pg https://lnkd.in/gMvcj2Bn

Annual Growth In Permits And Residential Units Highlights Increased Construction Activity #properproperty #realestate

https://lnkd.in/gGKYApqf Most new construction or significant renovations should have permits. These permits come from the local city or municipality. In order to get a permit for a significant change or new build it is common to have to supply drawings or engineering to the city. Once a project is approved the city has the right to inspect jobs to ensure compliance. Permits are a form of building owner protection from bad work. The permits should generally be displayed somewhere at the jobsite or company office.

September 2024 New Residential Construction: Building permits at 1.428M (-2.9% MoM), housing starts at 1.354M (-0.5% MoM), and completions at 1.680M (-5.7% MoM). Year-over-year: permits -5.7%, starts -0.7%, completions +14.6%.

Planning vs. Permits: What's the Difference? 🏗️ We hear this question all the time! Planning entitlements and permits are both key to getting your project approved, but they serve different purposes – and understanding them can make or break your timeline. 🔹 Planning Entitlements – This is the "green light" for your project vision and plan, ensuring your project aligns with the city's zoning and land-use rules. Depending on what is being proposed, you may need to request 'variances' to get your project the green light ✅ 🔹 Permits – These confirm that your project is safe and up to code, allowing you to proceed with construction. While it may seem like you should wait for your planning entitlement before applying, starting the permit process early is often better. Learn why knowing the difference matters and how it impacts project success! Luckily you can access data from both on ATC: https://lnkd.in/gyTgW-V4