Toronto Builder - Spring 2014 - (Page 12)
BILD - YOUR VOICE
By Andrei Zaretski
N LATE 2013, Minister of Municipal Affairs and Housing Linda Jeffrey announced that she would
be launching a broad consultation to review Ontario's land-use planning system, decision-making
process and the financial components of the development process. BILD and the Ontario Home
Builders' Association (OHBA) were at the table representing the industry and new-home buyers
for the full 80-day consultation.
Earlier this year, BILD and OHBA made two submissions related to the Development Charges Act
and land-use planning and appeals system consultations.
The review of the land-use planning and appeals system, as well as the development charges system,
provided an opportunity to consider streamlining improvements and ensure that municipalities are
implementing provincial policy while enhancing accountability, transparency and better outcomes for
new-home buyers and business owners in communities across the GTA.
"These are hard decisions for the government to make," said OHBA president Eric DenOuden, "but
we appreciate the open door to allow us to make concrete, fact-based submissions on both consultations to
tone down the rhetoric and assess the real problem and try to find real solutions that work for everyone."
Building quality, complete communities that people in the GTA can afford to live in continues to pose
significant challenges to the industry, new-home buyers and every resident of this region.
"A comprehensive and fact-based look at Ontario's land-use planning and complementary financial
systems has the potential to improve our ability to build homes people can afford to purchase," said
BILD president and CEO Bryan Tuckey. "Over the past decade, the cost of new homes has increased
tremendously due to a number of factors related
to public policy."
This is particularly evident in the low-rise
sector, which is hindered by constrained land
supply. Prices of new ground-related housing
reached record highs in 2013, with the price
gap between low-rise and high-rise eclipsing
$220,000 - also a record high.
Another notable cause for escalating prices
is the government fees and charges paid by newhome buyers as part of the final purchase price.
These includes development charges, planning
and building permit fees, parkland dedication,
property and land transfer taxes, mortgage
insurance, HST and more - averaging about
20 per cent of the cost of a new condominium or
23 per cent of the cost of a ground-related home.
Development charges currently make up
the largest portion of government-imposed fees
on new homes, and since 2004 have increased
between 143 per cent and 357 per cent across
12 * Toronto Builder * Spring 2014
Table of Contents for the Digital Edition of Toronto Builder - Spring 2014
BILD – Your Voice in Government
BILD Reveals Winners of 2013 Associate Awards
Condo Builders Salute Water-Filtration Firm
Board and Executive Committee
RealNet GTA Market Update
2014 Calendar of Events
Marketing Partners and Corporate Sponsors
Index to Advertisers
Toronto Builder - Spring 2014