HomeMy WebLinkAboutPD-89-85 4
CORPORATION OF THE TOWN OF NEWCASTLE
PLANNING AND DEVELOPMENT DEPARTMENT T.T.EDWARDS,M.C.I.P.,Director
HAMPTON,ONTARIO LOB 1JO TEL.(416)263.2231
REPORT TO THE GENERAL PURPOSE AND ADMINISTRATION COMMITTEE MEETING
OF JUNE 3, 1985
REPORT NO. : PD-89-85
SUBJECT: METHOD OF ESTABLISHING THE DOLLAR VALUE OF RESIDENTIAL
CONSTRUCTION AND THE VALUE ASSOCIATED WITH BUILDING
PERMITS 39 to 49 INCLUSIVE
RECOMMENDATION:
It is respectfully recommended that the General Purpose and
Administration Committee recommend to Council the following:
1 . That Report PD-89-85 be received for information.
BACKGROUND AND COMMENT:
On April 1, 1985, the General Purpose and Administration Committee
requested a report in respect of the building values of certain
permits specified by the February Building Report. This report is
in response to that request.
I
The dollar value of construction is established on a cost per
square foot basis. Custom or non-production houses are taken at
$40.00 to $55.00 per square foot, while production homes are any
i
where from $30.00 to $40.00 per square foot. These figures are
based upon information obtained from the building industry and are
comparable with those used in other municipalities. As long as the f '�
}� I
REPORT NO. : PD-89-85
value placed on the house by the builder or applicant is within
these ranges the application is accepted without question. If the
value seems low, it is discussed with the builder or applicant and
generally adjusted. However, there are some production houses
being built in the Town where the value per square foot is
considerably lower than the above ranges. These homes are very
basic and for the type of construction proposed, the figure is not
out of line. On the other hand, there are those in excess of the
$40.00 to $55.00 per square foot custom home range.
In the case of housing, none of the construction values is for
union labour, thus a contributing factor to the seemingly low
dollar ranges.
Building Permits #39 to #49, on the February Monthly Report , have
values in the $30.00 'to $39.00 per square foot range which is in
keeping with the above. Dimensions indicated on the Monthly Report
are frequently an overall dimension and do not show any
irregularities in a wall .
The dollar value placed on residential construction is the cost of
general construction, plumbing and heating etc. The cost of land,
financing and landscaping is not included. Therefore, the dollar
value bears no relationship to what a purchaser might be prepared
to pay for a house.
;Respect tted,
T.T. Edwards, M.C.I.P.
s Director of Planning
HGW*TTE*jip
May 24, 1985