New BC construction soared in value last year

The assessed value of new construction and development in B.C. hit a record $19.5 billion last year, up 55 per cent from 2005, Minister of Small Business and Revenue Rick Thorpe said yesterday.

"We've just finished a year in which the assessed value of new construction reached nearly four times what it was in 2001," he said.

The new record smashes the $12.4 billion in new construction on the 2006 assessment roll and represents more than 3.6 times the $5.3 billion in new construction on the 2001 roll.

New construction in the Fraser Valley hit $2.37 billion, up 40.5 per cent from the year before, according to the 2007 assessment roll.

In Greater Victoria and the Southern Gulf Islands, new construction was worth $1.77 billion, up 93 per cent.

Vancouver's new construction grew 49 per cent to $2.69 billion, Burnaby and Coquitlam projects in 2006 were worth $2.13 billion, up 48.6 per cent, while Surrey, White Rock, Richmond and Delta combined were up 95 per cent to $3.48 billion.

The Okanagan saw $2.66 billion in new development, up 56.2 per cent, the Peace region experienced $317 million in new projects, up 6.4 per cent while Prince George had a 58-per-cent increase to $146 million.

"It's been another phenomenal year for builders and tradespeople in every facet of construction and in every region of the province," said Philip Hochstein of the Independent Contractors and Businesses of B.C.

The total value of B.C. property hit a record high of $808 billion, up 23 per cent from 2006.

Canada Mortgage and Housing Corp. reported yesterday, however, that housing starts in Canada fell to a seasonally adjusted annual pace last month of 211,500 units, as the volatile starts of apartments and condominiums slipped and the pace of growth in Alberta slowed. The consensus estimate had been for 225,000, while the rate in November was 229,300.

"This decline likely represents some unwinding of the uncharacteristic strength observed in the previous two months where multiple-unit starts leapt by 34 per cent," TD Bank economist David Tulk told clients.

(Source: Vancouver Province)