Urban Development Institute Annual Report 2023-2024
The Urban Development Institute's 2023-2024 Annual Report reflects a year of dynamic change and dedicated advocacy. This report showcases UDI's proactive engagement with government actions at both provincial and federal levels, focusing on shaping a supportive development landscape. Key achievements include intensive work on five new pieces of Provincial housing legislation, effective collaboration with municipal partners, and the expansion of Federal advocacy efforts to address the housing crisis. Furthermore, the report highlights continued membership growth and details the extensive programming tailored to members for ongoing connection and education within the industry.
Title Slide
ANNUAL
REPORT
2023-2024
UDI Annual Report 2023-2024
Title Slide
Year in Review
As we reflect on
the past year, one
word comes to
mind: change.
Much of this change has been driven
by external forces – particularly
government actions – that have
significantly altered the development
landscape. Both senior levels of
government have received the
message loud and clear – it’s all about
supply. That said, change also brings
uncertainty, which is reflected in the
current market dynamics.
In the last 18 months alone, five
pieces of Provincial housing legislation
have required intense and ongoing
engagement from the UDI Board,
committees, and staff. This commitment
has involved collaborating with
members, municipal partners, and the
Provincial Government to ensure these
changes create a supportive policy
environment for members working to
deliver new housing supply across
B.C. However, much work remains to
be done to ensure these measures
enable the delivery of new homes to
be realized.
Housing has also become a recent
focus for the Federal Government.
We have seen some positive first
steps taken, and UDI has seized this
window of opportunity to engage more
closely with the Offices of the Minister
of Finance, Minister of Housing,
Infrastructure and Communities, and
the Official Opposition. We intend to
grow our Federal advocacy efforts
over the coming year to support
positive policy change at this level of
government, and hope to replicate the
success we have had at the Provincial
level in B.C. through factual, data-
driven advocacy.
In Budget 2024, UDI successfully
advocated for an acceleration of the
capital cost allowance for purpose
built rental from 4 to 10 percent,
additional funding for the Apartment
Construction Loan Program (formerly
RCFI), and changes to the application
of the excessive interest and financing
expenses limitation (EIFEL) rules on
rental projects. But these changes are a
far cry from what is required to address
the magnitude of the housing crisis.
UDI members have faced continued
cost pressures ranging from high
interest rates to increases in
development charges, which have
made it increasingly difficult to bring
projects to market. While many of
these cost escalations are beyond our
control, a central advocacy focus that
has emerged for UDI is challenging
the orthodoxy that “growth should pay
for growth”, rather that “development
should pay for its fair share of growth”.
We are in a housing supply crisis,
and all levels of government must
understand that a reduction in fees
and charges is necessary if we are to
build the housing we need across the
province.
This is especially true of Metro
Vancouver’s 255% DCC fee increases.
Metro Vancouver’s own consultant
hired for economic testing compared
the cost hike to the elevated financing
costs that have already made several
rental projects unviable, and the
justification from Metro Vancouver that
they are not the only ones increasing
costs tells us that the Regional District
has decided they are comfortable
being part of the problem.
To tackle the challenges outlined
above, UDI expanded our member
support programs and government
relations initiatives over the past
year. This growth has been especially
evident at the municipal and provincial
levels, where our engagement has
been essential to shaping housing
policy during a time of unprecedented
change.
To continue expanding and enhancing
our services to better serve you,
our valued members, the Board of
Directors has decided to adjust our
membership fees. This decision was
made after careful consideration of
UDI’s operational needs to support
both current and future member
services and government relations
efforts, while maintaining the high
quality of our existing programs.
In closing, it is important to recognize
that our strength as an organization
comes from the expertise and
dedication of our members, who take
a leadership role in helping to shape
UDI’s policy advocacy. UDI is unique
in Canada. No other organization can
marshal the breadth of development
expertise that UDI members provide.
Thank you for your continued support.
Sincerely,
Rick Ilich
Chair, UDI Board of Directors
Anne McMullin
President and CEO
UDI Annual Report 2023-2024
UDI’s federal engagement continued to grow in 2023 and
2024 with the formation of a new committee focused on
federal advocacy, and a new willingness to listen from the
current Government.
Since the appointment of the Hon. Sean Fraser, as Minister
of Housing, Infrastructure and Communities, we’ve seen
a renewed focus on supply-side measures to accelerate
housing delivery across the country. These included a pivot
in the Federal government’s position on the application
of the GST – effectively removing the tax from new rental
housing – and an exemption for new rental housing from
the excessive interest and financing expenses limitation
(EIFEL) rules in the 2024 Budget. There was also a change
to the Capital Cost Allowance (CCA) rate from 4% to 10%
for new eligible rental projects, which will contribute to
project viability.
All of these changes were longstanding advocacy points
for UDI. Although we still believe that the EIFEL exemption
should apply to the real estate development sector more
broadly, as it does in the United States, we believe that it
represents an incremental gain, and like the removal of the
GST and change to the CCA, will support the development
of new rental housing. Despite these positive changes,
the 2024 Budget also included measures that we will be
watching closely, including the changes to the capital gains
tax, and the potential of a new vacancy tax.
The new direction released by the Federal Government
in April cemented the change in narrative that we had
observed over the past several months. Solving the
Housing Crisis: Canada’s Housing Plan borrows many
of its policies and programs from the B.C. Government’s
own efforts to increase housing development, shining a
spotlight on the generational changes taking place in this
province. While it’s too early to determine the success of
B.C.’s efforts, it’s clear that British Columbians won’t be
the only ones watching with anticipation now.
This Plan includes many positive directions, like tying Federal
funding to commitments by other levels of government to
reduce processing times and improve housing delivery,
particularly around transit. There was an acknowledgment
through the creation of the Canada Housing Infrastructure
Fund, that the Federal Government has a role to play in
supporting growth by making sure that there is funding
available to deliver the necessary infrastructure. While
the actual funding allocation will not be enough to affect
meaningful change, this is a step in the right direction.
UDI is also working collaboratively with other development
organizations across Canada, including other UDI chapters,
the Canadian Home Builders’ Association and BILD GTA.
We believe these collective efforts will continue to deliver
results on behalf of our members.
Federal Policy
FEDERAL
POLICY
UDI Annual Report 2023-2024
In April 2024, the Ministry introduced a fourth bill, Bill 16,
to complement the previous changes. UDI has always
supported the expansion of pre-zoning and better clarity
in municipal processes to create certainty for builders, and
move away from lengthy negotiated processes and policies
that frequently move the goalposts.
Despite our support for this direction, how the combined
legislative amendments are ultimately implemented will
be critical to their ability to deliver positive change. UDI
is working closely with both the Ministry of Housing and
Local Governments during this transition period to raise
concerns and provide solutions to reduce the burden on
new housing construction.
2024 BC Building Code
UDI has also been working closely with the Building and
Safety Standards Branch (BSSB) under the Ministry of
Housing on the 2024 BC Building Code changes. Over the
last year, we have held regular meetings with our members,
ministry staff, and Minister Kahlon to voice concerns over the
implementation of new earthquake design and adaptability
requirements. We made consistent recommendations to the
Province that it delay implementation of these requirements
to allow time to address the impacts and recommended
measures that would reduce the impact on housing delivery.
Our advocacy was successful in securing more time to
work with Ministry on these solutions, through a 12-month
implementation delay. UDI is actively working alongside
other industry associations to develop solutions with the
Ministry ahead of the March 10, 2025 effective date for the
earthquake design and adaptability changes.
BC Hydro
Another long-term advocacy initiative will reach a positive
milestone in 2024, as BC Hydro submits to the BC Utilities
Commission (BCUC) to improve its approach to local
distribution upgrades. UDI, the Canadian Home Builders’
Association and a small group of members have been
working with BC Hydro for nearly one year on process
improvements that would reduce the unexpected costs
levied on new development when upgrades or new
electrical infrastructure is needed to support growth. We’re
encouraged by the collaborative approach BC Hydro has
taken, and we continue to push for broader improvements
in the timeliness of connections and better integration with
municipal planning processes to enable more proactive
infrastructure planning.
PROVINCIAL
POLICY
Over the last year, there has been an unprecedented
amount of change initiated at the provincial level. These
changes have created uncertainty as the development
industry and local governments both seek clarity on these
new directions, and address gaps in the new provisions.
The changes began with the adoption of the Housing Supply
Act in 2022, giving the Province the ability to mandate
municipal housing targets. In September 2023, the targets
for the first ten municipalities were announced, with 20
more municipalities just announced in April 2024.
In November 2023, the Ministry of Housing introduced
three new pieces of legislation aimed at housing supply
and planning processes:
Bill 44
Housing Statutes
(Residential Development)
Amendment Act, 2023
Bill 46
Housing Statues
(Development Financing)
Amendment Act, 2023
Bill 47
Housing Statutes
(Transit-Oriented Areas)
Amendment Act, 2023
Together with the corresponding regulations and guidelines,
these legislative amendments aim to fundmentally change
the way housing is planned, approved and built. Once
implemented, they could effectively remove steps from the
development review process and provide builders with critical
information on what they can build, accompanied by more
certainty regarding expectations and development fees.
Bill 16
Housing Statutes
Amendment Act, 2024
Provincial Policy
Bill 44 encourages housing density to meet the long-range needs of B.C.
communities by:
• Requiring municipalities to allow two to four housing units per single-family
lot where the population is over 5,000, or as many as six housing units on
selected lots near highly used bus stops;
• Prohibiting public hearings on residential rezonings that are consistent with
the municipality’s Official Community Plan (OCP); and
• Requiring cities to plan for and zone 20 years’ worth of projected housing
needs – this includes existing and future housing needs as communities
grow.
Ultimately, this will provide developers with better certainty. Proactive long-range
zoning combined with the elimination of public hearings on residential projects
that already meet the OCP diminishes the risk of changing goal posts late in
the development process.
By shifting the focus of public engagement into the early stages of planning,
public guidance on a project can be integrated before too many components
have been set into motion.
Because a proactively zoned community reduces spot rezoning processes,
which would normally allow for amenity fees and voluntary contributions, Bill
46 creates the Amenity Cost Charge (ACC) to address the long-term needs of
the community.
This new tool will likely work in a similar way to the existing Development Cost
Charges (DCCs). In this case, the ACC is based on the 20-year plans that
municipalities create to determine the charge for new development in a way
that accounts for the benefit to new and existing residents separately.
Bill 46 also expands the ability of DCCs to fund fire protection, police, solid
waste and recycling facilities, and portions of certain highway facilities.
Enables municipalities to use their bylaw authority to mandate certain
requirements that were previously only available through the rezoning
process, specifically:
• Inclusionary Zoning (Zoning Bylaws for affordable and special needs
housing);
• Density Bonuses (Conditional Density/Density Benefits Zoning);
• Tenant Relocation and Protections (Tenant Protection Bylaw);
• Offsites (Works and services requirements); and
• Transportation Demand Management (TDM).
These changes could facilitate pre-zoning on a wider scale and provide more
transparency around municipal requirements.
Bill 44
Bill 16
Bill 46
Housing Statutes
(Residential
Development)
Amendment Act, 2023
Housing Statutes
(Development
Financing)
Amendment Act, 2023
UDI Annual Report 2023-2024
Provincial Policy
This Bill identifies 104 Transit-Oriented Areas (TOA) within 400 to 800 metres
from major transit exchanges across the province. Within the TOAs, local
governments are expected to:
• Consider the provincial guidance on heights and densities when
updating or amending zoning bylaws;
• Not reject applications brought to Council based on height and density
alone; and
• Remove minimum parking requirements to allow developers to decide
parking needs based on each project.
This framework takes place in two phases, with 52 areas where planning
has already begun taking effect immediately, and the remaining 52 areas
requiring designation by their municipalities by the end of June 2024
Housing Statutes
(Transit-Oriented Areas)
Amendment Act, 2023
Housing Statutes
Amendment Act, 2024
Bill 47
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UDI Annual Report 2023-2024
Title Slide
LOWER
MAINLAND
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UDI Annual Report 2023-2024
FEDERAL
GREATER
VANCOUVER
AND FRASER
VALLEY
In Fall 2023, in the Lower Mainland UDI
members were faced with a proposal
from the Metro Vancouver Regional
District (MVRD) to more than triple its
Development Cost Charges (DCCs)
over the next few years. In the context
of an already costly development
process - driven by government taxes
and fees, construction materials, land
and financing costs – this addition
would push proformas over the edge.
We were outraged. UDI and our
members wrote to the Regional District,
along with the Federal, Provincial, and
Municipal Governments, advocating for
a course-correction.
The Metro Vancouver Board of
Directors did eventually approve
the increases after much debate.
However, this process has brought
the issue of how infrastructure is
funded and managed to the forefront
of the discussion on housing delivery.
UDI expects this to remain an area
of debate as the Province seeks to
accelerate housing delivery, and has
called on the Province to undertake
a wholesale governance review of
the MVRD and the way regional
infrastructure is delivered. UDI will be
continuing to advocate against the
broken narrative that “growth should
pay for growth”, and instead advocate
for a more balanced approach.
In contrast to the MVRD adding costs
to development, the City of Vancouver
took a step in the right direction by
removing the Empty Homes Tax (EHT)
on development lands, and applying
the change retroactively to unsold
inventory as of the 2022 tax year.
The exemption on unsold inventory
brought the City’s EHT approach into
alignment with the Province’s own
Speculation and Vacancy Tax, which
is something UDI has long advocated
for. This change represents a positive
step taken to support delivery of
new housing supply, by addressing
some of the risks associated with
government taxation on new housing
developments. Several municipalities
have also started to make moves, as
they look to align their housing policies
with the new provincial direction under
Bills 44, 46, 47. UDI continues to work
with our municipal partners through
various Municipal Liaison Committees
to understand the implications, and
discuss the implementation, of present
and future changes resulting from
the Provincial housing legislation.
This year, UDI established new
Municipal Liaison Committees with
the City of Abbotsford, City of New
Westminster, and City of Port Moody.
To support our advocacy and policy
work, UDI meets regularly with more
than 20 municipalities across the Lower
Mainland, Okanagan, and Capital
Region to discuss key policies and
planning processes, as well as provide
feedback on behalf of the development
industry. UDI also meets regularly with
experts within the sector to discuss
a wide variety of issues that impact
development across B.C. through over
10 technical Issues Committees.
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UDI Lower Mainland Overview
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UDI Annual Report 2023-2024
MEMBERS
UDI currently
serves over
900 members,
including more
than 345
Developer
members,
540 Associate
members, and
25 Municipalities
throughout B.C.
The Lower Mainland, including Fraser Valley,
comprises over 50% of our membership
while the Capital Region and Okanagan make
up the balance. We continue to grow our
membership base as more organizations within
the development community see the value in
engaging with us to build a better development
community in B.C.
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UDI Lower Mainland Members
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UDI Annual Report 2023-2024
UDI Lower Mainland Events
OVERVIEW
In the past year, the Urban Development Institute has hosted a diverse range of events and
engagement opportunities aimed at professional development, networking, and industry
insights. This year has provided valuable opportunities for our members to connect, learn,
and engage with industry experts and peers, contributing significantly to their professional
growth. Our January Forecast continues to be a highlight, kicking off the calendar year
with a sold-out event that attracted over 1,200 attendees. Professional Development and
Education remain key areas of focus in our Programming, with the introduction of a new
Construction Module added to our School of Development Series and new Seminars
focused on High Performance Building in our annual educational programming.
We are dedicated to consistently providing opportunities for expanding our members’
knowledge and strengthening our community bonds, thus positioning us for ongoing
growth and success in the development industry.
LUNCHES
• April 25, 2023 – Mayor Brenda Locke, City of Surrey
• May 18, 2023 – Honourable Ravi Kahlon, Minister of Housing
• June 6, 2023 – Luncheon with the Legends, Featuring The Lieutenant Governor of
British Columbia, the Honourable Janet Austin, Joy MacPhail, Carole Taylor, and
moderated by Bob Rennie
• September 13, 2023 – Mayor Eric Woodward, Township of Langley
• September 26, 2023 – The Economic Update with Benjamin Tal, CIBC
• October 19, 2023 – The rennie Outlook with Andrew Ramlo
• November 15, 2023 – Fraser Valley Forecast with Gagan Sivia, Shawn Bouchard,
Rick Johal, Don Luymes, and moderated by Scott Brown
• January 24, 2024 – 2024 January Forecast with Colin Bosa, Lillian Tummonds, Jon
Stovell, and Mike MacKay, moderated by Anne McMullin
• February 15, 2024 – Honourable Ravi Kahlon, Minister of Housing
PROFESSIONAL DEVELOPMENT & EDUCATION
• April 12, 2023 – UDI Webinar: Federal Budgets & Legal Updates
• April 18, 2023 – U40 Virtual Lunch & Learn: Mass Timber Update
• April 28 & 29, 2023 – School of Development:
The Numbers Behind Housing in Development
• May 2, 2023 – UDI Webinar: Zero Carbon Step Code & BC Energy Step Code
• May 10, 2023 – Open for Business: Mayor Linda Buchannan,
City of North Vancouver
• May 16, 2023 – U40 Leadership Breakfast: Craig Watters, Concert Properties
• May 26, 2023 – UDI Seminar: Step 2 and Beyond – A Best Practices Guide
on how to Successfully Navigate Building Code Changes
• May 30, 2023 – WUDI Virtual Lunchroom: Maturn
EVENTS
• June 9, 2023 – School of Development: The Art of Approvals
• June 13, 2023 – UDI Webinar: Working with Metro Vancouver to Deliver Affordable Housing
• June 20, 2023 – U40 Leadership Breakfast: Gary Pooni, Pooni Group
• September 27, 2023 – UDI Webinar: Office Landscape in Metro Vancouver: Adapting to New Realities
• October 11, 2023 – U40 Virtual Lunch & Learn: Balancing Act - Addressing Policy Priorities
in a Challenged Economic Environment
• October 20, 2023 – UDI Seminar: P9 A Best Practices Guide on how to Successfully
Navigate Building Code Changes
• October 26, 2023 – UDI Webinar: Fall Tax & Legal Update
• November 14, 2023 – UDI Webinar: Permit Connect
• November 29, 2023 – U40 Leadership Breakfast: Sarah Bingham, Adera
• January 31, 2024 – U40 Leadership Breakfast: Kevin Johnston, Strand
• February 8 & 9, 2024 – School of Development: Digging into the Dirt Behind Construction
• February 28, 2024 – U40 Leadership Breakfast: Beau Jarvis, Wesgroup
• May 7 & 8, 2024 – School of Development: Fundamentals of Real Estate Development
SPECIAL EVENTS & OTHER ENGAGEMENT OPPORTUNITIES
• April 4, 2023 – WUDI Project Tour: Burrard Place by Reliance # 1
• May 11, 2023 – Golf Tournament # 1 at University Golf Club
• May 16, 2023 – WUDI Project Tour: Burrard Place by Reliance # 2
• May 24, 2023 – UDI Project Tour: Timber House by Aragon
• June 1, 2023 – WUDI: Community Clean-Up Event at False Creek
• June 7, 2023 – Golf Tournament in Fraser Valley at Hazelmere Golf Course
• June 22, 2023 – UDI Golf Tournament # 2 at University Golf Club
• June 28, 2023 – UDI Summer Social hosted by WUDI & U40
• July 6, 2023 – Grouse Grind for Mental Health
• July 25, 2023 – WUDI Project Tour: Hollybridge by ASPAC
• August 17, 2023 – Summer Social at Backyard Vineyards in the Fraser Valley
• August 22, 2023 – U40 Project Tour & Networking: The Outpost by Marcon
• August 24, 2023 – U40 Networking: Technological Advancement in International Presale
• September 14, 2023 – UDI Project Tour: 50 Electronic Avenue by Panatch Group
• September 26, 2023 – WUDI: The “Confidence Code” with Armin Amrolia
• October 12, 2023 – All Star Jam
• November 22, 2023 – U40: Structure 101 & Networking
• November 27, 2023 – WUDI Project Tour: The Stack by Oxford Properties
• December 6, 2023 – UDI December Reception
• December 13, 2023 – U40 Winter Social
• February 6, 2024 – WUDI: Exploring “Atomic Habits” by James Clear
• March 13, 2024 – U40 Project Tour: Riverworks by Conwest
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UDI Annual Report 2023-2024
Title Slide
CAPITAL
REGION
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