The public push to build houses to fill the need across Canada must also consider the necessary infrastructure that must be built before the walls go up, a recent report by the Federation of Canadian Municipalities says.
The report notes that “on average across Canada, the cost of municipal infrastructure required to support new housing construction is $107,000 per home.
“According to the CMHC estimated need for 5.8 million new homes, this would represent approximately $600 billion in local infrastructure investment.”
The report says the calculation took into account foundational infrastructure, such as roads, water and wastewater facilities, to community amenities, public transit, but did not consider the additional infrastructure that new developments also expect such as emergency services, civic buildings, health and education assets, information technology, and electrical utilities.
“If included, these assets would further raise the average cost of required municipal infrastructure per new home built.”
Provinces, municipalities and the federal government – as highlighted in the Trudeau government’s recent economic statement – have prioritized housing to meet the demand for affordable living spaces and to tackle the pressing needs of the homeless population.
To read the report click here.