🏗️ Fees

Good morning! 🐀 A rat storm has blown into Toronto and officials are looking to builders to help clean it up. Officials say non-stop construction work has forced rodents up from underground and into homes. They are proposing projects should create rat management plans to curb the pesky pests.  

⏰ Today’s read: 5 minutes

MARKETS

Economy: Prime Minister Mark Carney told reporters this week that a new oil pipeline to B.C. is “highly likely” to be included among projects deemed of national importance, though he emphasized it must be proposed by the private sector rather than mandated by government. He also voiced support for a $16.5 billion carbon capture project in Alberta’s oil sands.

NEED TO KNOW

The week's headlines

🤝 New deal: Ontario and Alberta have signed two non-binding memorandums of understanding to develop trade-enabling infrastructure—such as pipelines, energy corridors, and potentially a rail link to Ontario’s Ring of Fire. These initiatives aim to connect Alberta’s oil, gas and critical minerals to global markets via enhanced rail, port, and pipeline networks, supporting a domestic EV battery supply chain and reducing dependence on the U.S.

✍🏼 Larger platform: Starting July 14, Toronto will roll out an expanded digital building permit platform covering laneway and garden suites, new homes, multiplex conversions, mechanical systems, and fire upgrades. The city will publish pre-approved standard plans and extend reliance on professional engineer seals, building on a pilot that trimmed approval timelines by around 28 days. 

🏗️ One stop: Thunder Bay has launched a centralized 'One‑Stop Development Shop' designed to streamline the planning and permitting process for major projects. This consolidated office provides developers with a single point of contact for zoning, environmental, engineering, and municipal approvals, aiming to reduce delays and administrative burdens. The initiative is expected to encourage investment and expedite local development.

🦞 Eastern migration: New Brunswick’s largest cities—Moncton, Fredericton, and Saint John—are rapidly shifting toward high-density housing developments to meet soaring demand driven by unprecedented population growth. Moncton, now one of Canada’s fastest-growing cities, expects to build up to 900 new housing units annually, while Fredericton is on pace for 1,000 units this year, far exceeding previous projections.

THE BIG STORY

Developer debt: Who should pay for growth?

In a bid to speed up housing construction, the B.C. government is making it easier for developers to postpone paying development cost charges (DCCs). But some argue these fees are far too high and hint at a larger issue: how cities pay for growth.  

Past retirement: Canada’s infrastructure deficit is estimated at a minimum of $150 billion, and up to a trillion dollars. Some cities have pipes more than 100 years old, systems are failing and bridges are being replaced as they have already become unsafe and obsolete. As cities grow, they have to find ways to pay for upgrades. 

Paying the bill: Many regions have opted to push these costs on to developers through DCCs. They are then passed on to new homebuyers. DCCs have risen at an annualized rate of 13% over the past 15 years, far outpacing inflation. These charges now account for up to 36% of new home costs in Ontario. Developers argue that high DCCs erode profit margins and make affordable housing projects financially unviable, pushing them to advance luxury units. 

Fair share: Anthem Properties’ Rob Blackwell stated to SiteNews that he appreciates the DCC changes in B.C. but the larger issue is that cities need to share the burden of infrastructure spending among existing homeowners and new buyers. And higher levels of government need to unlock more financing tools, including higher loans and municipal bonding. 

Finding alternatives: Montreal is also an example of how to do things differently. They do not levy DCCs on new residential or commercial developments. Instead, the city primarily finances infrastructure expansion through municipal borrowing, repaid over time by all property taxpayers, rather than by imposing one-time fees on developers or new homebuyers. They also negotiate provisions with developers on a case-by-case basis. 

Final thoughts: High housing costs aren’t only due to DCCs. But it is one piece of the puzzle. Blackwell summed things up this way: “There’s a major infrastructure deficit all through Canada. But all the things that support growth have to be paid for by more than people buying condos, that’s part of the reason why housing prices are out of control.”

PROJECT SPOTLIGHT

Green business

Summerside, PEI is pioneering Greenwood Zero, the country’s first Passive House-certified industrial business park. Designed to attract innovative clean tech, aerospace, and IT firms, the facility emphasizes ultra-efficient design, energy reduction, and local skills development. The project has exceeded air-tightness standards and signals a broader commitment to sustainable economic growth.

PROJECT UPDATES

Polygon planning 31-storey condo tower near Oakridge Park

Norway’s Marinvest Energy pitches LNG project in Quebec

Colchester selects design for pedestrian bridge

JMJ Holdings wins Labrador school contract

WHAT WE’RE TALKING ABOUT

VIDEO: 🪵 Canada’s top 7 mass timber firms

READ: ⚖️ How the new Building Canada Act works

VIDEO: 👷‍♀️ The hidden engineering behind the colosseum

READ: 🧑‍🌾 Can garden suites unlock more Toronto housing? 

VIDEO: 🥶 Tour Europe’s most remote construction site

TOP CONSTRUCTION JOBS

🔥 Check out all roles up for grabs right now at SiteNews Jobs or put your job post in front of tens of thousands of construction professionals here. Hurry up before our free trial ends!

Struggling to fill a role? Send us an email at [email protected] to connect with one of our specialized recruitment experts.

ADVERTISE WITH SITENEWS

Get your message and brand in front of Canada’s construction leaders and decision-makers by advertising in our newsletter. Learn how to partner with us here.

Here’s to a great rest of the week!

Disclaimer: SiteNews is an independently-operated news website. Views expressed are that of the editorial team and are based on publicly available information unless otherwise noted through sponsored content.