Posted Sep 6, 2014, 9:44 PM
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Join Date: Apr 2008
Location: Lower Mount Royal, Calgary
Posts: 5,147
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17,000+ housing starts forecasted this year and these guys are talking about layoffs? How about giving your head a shake and pick up what everybody else is doing - infills!
Quote:
ENTERTAINMENT
Ideological dogma leads to layoffs
Myke Thomas
Today at 4:05 AM
It has been an interesting summer for the home-building and land-development industries, with some highs and lows.
On the high side, the 2014 City of Calgary census showed the city had record-breaking net migration of more than 28,000 people over the past year, the main driver of housing demand.
Builders are working hard to meet that demand, being on pace to break the record for new home starts in one year — 17,046 set in 2006.
Also on the high side was, ah, lemme see, er, nope, it looks like the starts story is pretty much it.
The lows?
There were several, but without a doubt the lowest is the fact people in the industry got laid off from work over the summer and more layoffs are pending.
It is ridiculous that, in an industry that is as busy as it possibly can be with no reduction in demand in sight, people are losing their jobs.
Why is it happening?
From where I sit, you can blame ImagineCalgary and PlanIt Calgary, two documents that reek of ideological elitism that influenced, and effectively became, the Calgary Municipal Development Plan (MDP), which essentially is the manual for growth in the city.
The MDP stipulates there will be less suburban development and more development in established neighbourhoods in Calgary and higher densities everywhere.
However, the MDP is such a complicated, ill-thought out, bureaucratic document, it appears no one at city hall could, or can, figure out how to interpret it.
As a planner in the city told me last spring, “The MDP was written improperly. The MDP is a catch-all document that has as many policies and objectives within it to support growth and densification and as many policies that actually give arguments to not support growth and densification, based on the context of the neighbourhood and context is not just architectural style, it’s also existing densities.
It’s a real challenge.”
So, whether it was on purpose or it was because city planners and administrative staff weren’t given clear instructions by city managers and members of council on how to implement the MDP (assuming the latter knew how — big assumption) the city has essentially been in a suburban development freeze for three or four years.
The result is a lack of available land ready for new development and the consequence is people have lost their jobs because of the decisions made five years ago at city hall.
Sadly, it is not a temporary situation.
By the end of this year, the available serviced lot supply will be at its lowest level in recent history and it’s not something that can be rectified quickly.
It takes anywhere from three to five years to get new land development approvals, so if builders don’t have land on which to build homes, more builder staff members, trades and suppliers will be laid off from their jobs.
Those who decided in favour of the MDP, some of whom are unfortunately still on council and some still in administration, should be hanging their heads in shame.
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http://m.calgarysun.com/2014/09/05/i...ads-to-layoffs
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