WEHBA welcomes Hamilton's decision to continue to support housing investment in downtown

The West End Home Builders’ Association (WEHBA) welcomes the recent vote of the City of Hamilton’s Audit, Finance and Administration Committee to continue supporting investment in housing in downtown Hamilton. Last December, council considered fully removing investment incentives for new housing from Hamilton’s downtown. However, in early May, council members, following their expert staff advice and consultation with the community, changed course and voted to continue supporting much needed investment in new housing supply in Hamilton.

Growing recognition

This decision builds on a growing recognition at all levels of government that new housing supply will significantly help to alleviate housing crisis. The vote is a decision to blunt the impact of taxes on new development in downtown Hamilton in alignment with council’s priorities. While Hamilton is still increasing development charges (a charge that is passed on by developers and paid by new-home buyers), WEHBA says it appreciates council’s recognition that there needs to be a balance on how growth is funded – noting development charges can represent nearly 10 per cent of the cost of a new home.

WEHBA says it welcomes the vote in favour of the continuation of a 40-per-cent development charge exemption for one year. “The cost of development charges has a significant impact on housing affordability,” says CEO Mike Collins-Williams. “The committee’s endorsement of continuing the exemption program signifies Hamilton is taking the housing crisis seriously. Recent reports from Urbanation identify that the market for new condo construction is the worst it’s been since the 2009 financial crisis. Digging ourselves out of the housing crisis is a monumental task that requires collaboration and investment from all three levels of government and the private sector. (This) decision indicates a willingness on behalf of the City to do (its) part.”