The City of Kelowna won含羞草研究社檛 break a record for building permit values in 2024.
The final dollar figure is expected to be about half of 2023含羞草研究社檚 record-breaking $1.75 billion.
含羞草研究社淧robably between $600 and $800 million,含羞草研究社� Ryan Smith, divisional director of planning and development services, told council at its Sept. 23 meeting.
Smith also said that development application volumes for 2024 are between the five and 10-year average.
含羞草研究社淚 wouldn含羞草研究社檛 say this is a crisis time. The real estate market is cyclic, we expected this cycle to happen and it will probably continue含羞草研究社nto next spring.含羞草研究社�
He said that many large-scale projects, permitted between 2020 and 2023, are currently under construction. Approximately 80 per cent of new residential growth is going to urban areas of the city, and about 19 per cent to suburban areas.
含羞草研究社淭his is entirely consistent with the objectives of the Official Community Plan (OCP).含羞草研究社�
Smith told council there is plenty of rental housing coming into the market and there are signs Kelowna含羞草研究社檚 historically low vacancy rate may be easing.
含羞草研究社淵ou can drive around certain areas and start to see for rent signs, the home made ones, which I don含羞草研究社檛 remember seeing the last five years at all.含羞草研究社�
Smith added there has only been one occasion in the last 20 years when Kelowna含羞草研究社檚 vacancy rate was above three per cent.
含羞草研究社淲ith the volume of rental housing nearing completion if there was going to be a time where we might tip over that it would be in the next 24 months.含羞草研究社�
However, he added there are fewer large-sized developments pulling building permits, and while rental housing targets may be met this year and next, years beyond that could be challenging in terms of housing supply coming into the market.
含羞草研究社淏ecause we含羞草研究社檙e not seeing those developments go into the building permit and construction process now. While building permitting value related to new housing has slowed substantially, we think by this time in 2025 that will be on the uptick again.含羞草研究社�
