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HomeMy WebLinkAboutEGD-019-17Engineering Services Report If this information is required in an alternate accessible format, please contact the Accessibility Coordinator at 905-623-3379 ext. 2131. Report To: General Government Committee Date of Meeting: September 5, 2017 Report Number: EGD-019-17 Resolution: File Number: By-law Number: Report Subject: Building Activity Update January 1 to June 30, 2017 Recommendations: 1.That Report EGD-019-17 be received for information. Municipality of Clarington Report EGD-019-17 Page 2 Report Overview This report provides an update on the building permit activity for the first six months of 2017, January 1 to June 30th, a comparison of Clarington’s total value of construction and the total residential value to the other municipalities in Durham Region and reports on the Building Divisions compliance with the Ontario Building Code mandated timeframes for issuance of building permits. 1. Building Permit Activity 1.1 Introduction The building permit activity report presents market activity statistics that are intended to provide a clear picture of development activity within Clarington during the period analyzed. The period of analysis for this current report is January 1st to June 30th 2017 and will be analyzed against the same period one year ago. We will then compare the current statistics against a five-year average to give an indication of the status of the current market and will look also at how Clarington compares to other municipalities within the Durham Region over the same time period. 2. Concepts & Definitions “Complete Building Permit Application” – is a building permit application that meets the requirements of the Ontario Building Code which include, plans, specifications, documentation and fees, which are in compliance with all applicable law. “Permit” – is formal permission to begin the construction, demolition, addition, or renovation. As part of the building permit process, Municipality of Clarington staff must review the plans and documents submitted to ensure they comply with the Ontario Building Code, local Zoning By-laws, and all other Applicable Law. “Residential” – refers to construction and permit activity resulting from the creation of all new residential dwelling units as well as accessory structures (detached garages, sheds, etc.), and additions (decks, new additions to a home, etc.). “Non-residential” – refers to construction and permit activity that is related to non- residential development such as site servicing, industrial, commercial, and agricultural. “Total Construction Value” – refers to the total dollar value of construction activity within a defined period because it is a measure of economic activity as a whole. Municipality of Clarington Report EGD-019-17 Page 3 “Total Construction Value Residential” – provides a specific measure of the dollar value of construction within the residential sector and is important because it indicates such things as population growth and more. “Total Construction Value Non-residential” – provides a specific measure of the dollar value of construction within the non-residential sector and is an indicator of business development within Clarington. 3. Total Construction Value & Activity The following is a table showing the number of permits issued and the value of construction in each of the building categories for the period, January 1st to June 30th in 2017 and 2016. 2017 2016 Building Category Number Of Permits Value Of Construction Number Of Permits Value Of Construction % Change Of Value 2017-2016 Residential 455 $146,960,667 617 $212,162,617 -30.7% Industrial 12 $7,374,151 12 $6,337,600 16.4% Government 4 $885,000 1 $250,000 254.0% Commercial 33 $5,052,500 27 $2,121,604 138.1% Institutional 4 $2,200,000 9 $1,214,000 81.2% Agricultural 9 $484,000 10 $603,330 -19.8% Demolition 30 $0 19 $0 N/A Total 547 $162,956,318 695 $222,689,151 -26.8% The following graph illustrates the January 1st to June 30th building permit comparison for the last five years. Note that commercial building permits include a broad range of uses permitted such as offices, restaurants, places of worship, and public buildings. Buildings in the industrial category include buildings associated with assembling, fabricating, manufacturing, processing, and repair or storage of goods and materials. Municipality of Clarington Report EGD-019-17 Page 4 0 50 100 150 200 250 2013 2014 2015 2016 2017MillionsFive Year Construction Value Comparison January 1 to June 30, 2017 2013 -2017 Government Agricultural Institutional Industrial Commercial Residential Single Detached 237 61%Semi- Detached 12 3% Townhouse 5 1% Apartment 136 35% Dwelling Unit Type Single Detached 237 Semi-Detached 12 Townhouse 5 Apartment 136 Municipality of Clarington Report EGD-019-17 Page 5 4. Total Construction Value & Activity Residential The following table shows the types of dwelling units issued between January 1st and June 30th 2017 as well as the types of dwelling units issued in the year to date 2016. The following is a table showing the number of new residential units issued in each area of Clarington for January 1st to June 30th, 2017. We have compared those six month totals to the full year end totals for each of the past eight years. Year: Area Jan 1 to June 30 2017 2016 2015 2014 2013 2012 2011 2010 2009 Bowmanville 285 521 461 420 216 291 360 282 98 Courtice 18 294 290 153 97 179 312 236 113 Newcastle 62 149 154 51 92 34 165 37 24 Wilmot Creek 0 0 0 4 2 2 5 8 9 Orono 0 0 0 0 1 1 1 1 0 Darlington 14 7 8 9 12 6 5 8 6 Clarke 7 15 11 12 6 10 8 6 11 Burketon 0 0 0 1 1 0 0 1 0 Enfield 0 0 0 0 0 0 0 0 0 Enniskillen 0 2 0 1 2 3 0 3 2 Hampton 1 1 2 2 0 1 1 0 0 Haydon 0 0 0 1 0 0 0 0 0 Kendal 0 0 1 0 0 0 0 1 1 Kirby 0 0 1 0 1 0 0 1 0 Leskard 0 0 0 0 0 0 0 0 0 Maple Grove 0 0 0 0 0 0 0 0 0 Mitchell Corners 2 0 0 0 1 1 1 0 0 Newtonville 0 3 3 3 7 6 3 7 5 Solina 1 3 0 0 1 3 1 1 5 Tyrone 0 0 0 0 0 0 1 1 0 Total 390 995 931 657 439 537 863 593 274 Municipality of Clarington Report EGD-019-17 Page 6 5. Total Construction Value & Activity A measure of economic activity within Clarington may be found in part by looking at the non-residential space, such as industrial, commercial and institutional as well as large multi-unit residential developments such as apartment buildings or condominiums. In this regard we find it helpful to provide information about permits that fit this criteria and exceed a construction value of $1,000,000. The details about such activity in the first six months of 2017 are provided as follows: Owner Location Description Value ($) Type Westmore Poleline & Electric Inc. 48 Britton Court, Bowmanville Industrial Building and Two Storey Office Building $1,028,463 Industrial Bowmanville Apartments Inc. 290 Liberty Street North, Bowmanville Apartment Building (4 storey – 103 units) $21,008,000 Residential Newcastle Southport Ltd. 315 Lakebreeze Drive, Newcastle Condominium Building "F" (6 Units) $2,435,185 Residential Newcastle Southport Ltd. 305 Lakebreeze Drive, Newcastle Condominium Building "G" (6 Units) $2,435,185 Residential Newcastle Holdings Inc. 91 King Avenue West, Newcastle LCBO $2,000,000 Commercial St. Mary’s Cement Inc. 400 Waverley Road, Bowmanville Alternate Fuel Building $1,200,000 Industrial Hydro One Networks Inc. 2151 Energy Drive, Darlington Replace Chiller, Air Handling Units & Exhaust Fans $2,000,000 Industrial Municipality of Clarington Report EGD-019-17 Page 7 6. Durham Region Comparisons The Durham Region report on Building Activity for January to March 2017 indicates that total building activity values within the Region as a whole, increased by 49.3% from $273 million in 2016 to $407 million in 2017. Included within that total were Clarington’s permit values which are $75.9 million. A major component within total building activity is residential building permit activity. Residential building permit values for the Region increased by 47.7% from $220 million in 2016 to $312 million in 2017. Clarington, which is again, included in that total, had the second greatest residential increase within the Region at 22.9%. 7. Inspection Activity The following is a table showing how many inspections were attended from January 1st to June 30th 2017 as well the same time period in 2016. We need to note that the inspection activity numbers are based on permits issued within the last 1 – 2 years and so the number of inspections may be higher than the previous year even though permit issuance is lower and vice versa. Once a building permit is issued, depending upon the type of construction, it can take anywhere from 4 months to over 2 years of complete all of the required inspections. Type of Inspection Completed January 1st to June 30th 2017 January 1st to June 30th 2016 Building Inspections 4,580 3,784 Plumbing and Heating Inspections 4,158 4,303 Pool Enclosure Inspections 38 46 Total 8,776 8,133 Municipality of Clarington Report EGD-019-17 Page 8 8. Mandated Response Timeframes The Ontario Building Code mandates that complete building permit applications shall be issued or the applicant shall be notified that the permit is being refused and provided with the reasons why it is refused within a prescribed time period based on the type of building. From January 1st to June 30th 491 applications were received and 238, or 48%, of them were complete applications. The following table reports on the median number of days it took for the Building Division to either issue the permit or notify the applicant why the application was being refused. Permit Type Mandated Timeframe Median Number of Days Residential 10 9 Small Buildings 15 13 Large Buildings 20 22 Complex Buildings 30 0 9. Insights and Outlook Building permit activity in the Municipality of Clarington has slowed over the first six months of 2017 compared to 2016; however, the Municipality continues to be a leader in permit activity within the Durham Region. It is anticipated that 2017 will continue to be a strong year for construction activity in the Municipality of Clarington. 10. Proposal Not Applicable 11. Concurrence Not Applicable Municipality of Clarington Report EGD-019-17 Page 9 12. Conclusion Building permit activity over the first six months of 2017 has slowed in comparison to 2016; however, it is anticipated that 2017 will continue to be a strong year for construction activity in the Municipality of Clarington. 13. Strategic Plan Application The recommendations contained in this report conform to the Strategic Plan. Submitted by: Reviewed by: Anthony S. Cannella, Andrew C. Allison, B. Comm, LL.B Director of Engineering Services CAO Staff Contact: Brent Rice, Chief Building Official, 905-623-3379, Ext. 2303 or brice@clarington.net ASC/br/jo/jb Attachments: N/A There are no interested parties to be notified of Council's decision.