Homes, homes and more homes.
London’s construction boom shows no signs of slowing, with the value of new projects approved in the city running at more than double the pace set last year.
City hall approved $128 million in projects in May, boosting the five-month total for this year to $715 million. That’s up from $282 million for the same period last year.
Residential construction represents about 83 per cent of construction value approved in the first five months of the year.
This year “is certainly a bit of a standout year,” said Jared Zaifman, chief executive of the London Home Builders’ Association, adding builders are having trouble keeping up with the demand.
“One of the biggest pieces that we’ll be working with the city on is ensuring that there is that solid supply of units so that we can ensure that that demand can be met.”
In July, there were 3,966 housing starts in the London area, according to the Canada Mortgage and Housing Corporation. That equals 93 per cent of all housing starts in 2020 across an area that also includes Strathroy, St. Thomas and parts of Elgin and Middlesex counties.
“We still have a few months to go (before the end of the year) so I fully expect this to be a record year,” Zaifman said. “I think there’ll be some stabilization in the market to some extent, but we’re still going to be seeing very strong demand for new homes over the next couple of years.”