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M A R K E T O V E R V I E W
‘Livable’ details draw buyersFinalists see demand for more space and new ideas
A L B E R T AA S P E C I A L R E P O R T O N T H E
H O M E B U I L D I N G I N D U S T R Ya C a l g a r Y h e r a l D / e D M o n T o n J o u r n a l s p e C i a l F e aT u r e
Fairmont Jasper Park LodgeSept. 20 to 23
eConoMiC ouTlookPage 4
FinalisTs reVealeDPage 6
neW preZ To Be sWorn inPage 5
W e D n e s D aY, s e p T e M B e r 1 9 , 2 0 1 2
– Stuart Gradon, Calgary Herald
kim and steve Cunningham with their daughters ashleigh, left, and Maiya at their home in auburn Bay in Calgary. The family purchased the esteem floor plan fromJayman MasterBuilT. The plan is a finalist in the alberta awards of excellence in housing’s single-family home from $325,000 to $375,000 category.
Claire YoungCALGARY HERALD
Calgary couple Kim and SteveCunningham chose their newhome in the southeast com-munity of Auburn Bay notonly because it was in a lake
community, but because of the model’s clean,modern lines.“Our taste is extremely contemporary mod-
ern,” says Kim Cunningham about the Esteemfloor plan by Jayman MasterBUILT.The two-storey home is 2,600 square feet,
with three bedrooms and a bonus room upstairsand a two-car front-attached garage.It has a large master bedroom with an
ensuite “that is absolutely out of this world,”Cunningham says.“That’s why my husband bought this house.
He walked in there and (gasped).” The ensuitefeatures a divided his and hers area.They decided to buy new for the second time
from Jayman MasterBUILT, a home builder inCalgary and Edmonton.They had just renovated the main floor of
their other home in near-by Cranston. The costof further renovating thesecond floor put them onpar with buying the newEsteem home in AuburnBay for about $620,000with upgrades.The Esteem floor
plan is a finalist in thisyear’s Alberta Awardsof Excellence in Housing in the category ofsingle-family home from $325,000 to $375,000(home only, without lot or GST). Winners areto be announced at this weekend’s BUILD(Being a United Industry in Leadership andDevelopment) Alberta conference in Jasper.The Cunninghams appreciate livable details
such as a pocket door separating the toilet andbathtub from the double sink vanity in the mainbathroom, which is shared by their two teenagedaughters, Ashleigh and Maiya.The Cunninghams’ modern taste is a trend
capturing the Calgary market, says StephenBarnecut, director of product development atJayman MasterBUILT as well as principal of
Stephen Barnecut Architecture Corp.“We’re avoiding historical styles and having
a lot of success with it, and more success thanwe thought,” he says.“People have always had more contempo-
rary interiors than exteriors, and certainly openplans have been around for decades. But exteri-ors have conventionally been really traditional.We’re seeing a move away from that.”Barnecut says the trend is likely an influence
of the contemporary design of new archi-tecture, both residential and commercial, inCalgary’s downtown and inner city.Part of what is pushing design in Calgary
is being led by the political— by the City ofCalgary’s plan to increase density.Barnecut predicts Jayman will continue
to develop more multi-family product in thefuture, while keeping practical needs in theforefront of design.“People are really demanding more square
footage,” Barnecut says. Jayman is findingbuyers are more interested in closing off anopen-to-second-floor great room to add anotherbedroom or upstairs laundry, for instance.Kitchens are really becoming not only the
family, but the entertainment, focus of homes,Barnecut says. They are open to the greatroom, peninsulas arebecoming islands forbetter flow, and eatingbars are more oftenflush rather than raisedcounters on the islandsfor better sightlines.In contrast to the
thirst for the modern,more traditional ele-ments are sought byWhite Eagle Homes’clients in Edmonton.White Eagle Homes isa five-time finalist inthis year’s single-fam-ily categories for theAlberta Awards of Excellence in Housing.The company’s buyers tend to be a little
older, more established and know what theylike, says Bozena Odyjewski, co-owner ofWhite Eagle Homes.
stephen Barnecut
See TRENDS, page 2
People aredemandingmore squarefootage.
ALBERTA HOME BUILDERS2 Wednesday, September 19, 2012 Breaking news at calgaryherald.com
“They have (developed) their owntaste already. We try modern designs,but they didn’t work out (with her buy-ers’ demographic). A lot of my custom-ers prefer to have crown moulding, lotsof woodwork, lots of stone and moretraditional design,” says Odyjewski.Still very popular are open-concept
plans, with great rooms open to the sec-ond floor. Grand staircases, also open tothe second floor, are in great demand,
as are fireplaces.Odyjewski hopes to nudge interest in
some different designs with the com-pany’s new show home to open this fallin Allard, in south Edmonton. She isintroducing a wall separating the frontroom from the great room with a two-way fireplace, for instance.The company has also purchased
some smaller lots to build some starterproduct.
“We’re hoping to design some newstyles,” she says.Broadview Homes, a Calgary area
homebuilder, is a finalist with threehomes in the Alberta Awards ofExcellence in Housing.Peter-John Woolf, vice-president
of Broadview Homes, says styles anddesigns seem to recycle, with improve-ments.“We have had some great success
doing just that,” he says. “We re-produced a five-level split. I have talkedto families that have purchased this
model, and they have all expressed thathad they not seen the show home, theywould have never imagined that theywould purchase a five-level split. Oncewe got them in the show home, theyfell in love with the home and we solda lot of them.”Next year, the company is celebrat-
ing its 25th anniversary by launching avariety of new designs.Posing challenges to the housing
industry is a shortage of qualified work-force at all levels, Woolf says, while theeffects of the rule-tightening for federal
government-backed mortgages broughtin this summer is being seen.“The recent changes have affected
our first-time buyers the most,”Woolfsays. “The opportunity to have a30-year mortgage was crucial for themto be able to afford and qualify for aCMHC-backed mortgage. We are hop-ing that (the federal government) willre-examine that decision and put it backon the table for further considerationand discussion on what the effects havebeen for the public, banks and realestate industry.”
A division of Postmedia Network
A SPECIAL REPORT ON THE
ACalgary Herald Special Projects publication
Fairmont Jasper ParkLodge Sept. 20-23
CalgaryHerald Special ProjectsManager; Editor, NewHomes, NewCondos,
Recreation& Investment Properties:Barb Livingstone
[email protected] | 403-235-7339
ALBERTAHOME BU I LD ING INDUS TRY
Josh skapinCALGARY HERALD
For the Canadian HomeBuilders’ Association-Alberta, its BUILD
2012 conference is reason tocelebrate.The association will pay
tribute to its 50-year anniver-sary at the Fairmont JasperPark Lodge in Jasper, Sept.20 to 23.“We’re cranking it up a
notch to recognize the spe-cial year,” says Jim Rivait,CHBA-Alberta CEO, of thisyear’s event.As a nod to its major mile-
stone, the association willrun a video in which severalformer presidents are inter-viewed, including some whoserved in the ’60s.“That will be a highlight for
a lot of people,” says Rivait.BUILD 2012 includes theassociation’s annual generalmeeting, seminars includingindustry leaders as keynotespeakers, the Alberta Awardsof Excellence in Housing, theSafety Leadership Awardsand the President’s Gala, witha tribute to outgoing associa-tion president Sandra Young.The conference is valu-
able to those who attend fora number of reasons, saysRivait.This year’s conference is
expected to draw 525 attend-
ees, which is no surprise toRivait who says there’s a lotto take away from the event.“A lot of people find value
in it and I think this is justa reminder of the importantrole our industry plays in theeconomy in Alberta,” he says,adding it also provides build-ers the opportunity to connectwith peers from across theprovince.“One thing I have learned
is that these folks in the homebuilding industry are fiercecompetitors— but they’realso great friends and Jaspersure provides an opportunityfor them to get together andshare some ideas and talkabout things that have hap-pened in the past, as well asshare ideas on where thingscan go in the future.”This year’s Alberta
Builders: The NextGeneration seminar isdesigned to foster this type ofconference networking, givingthe next generation of indus-try leaders the opportunity toconnect with and learn fromveteran builders.Another seminar features
Donna Diamant, a MountRoyal University instruc-tor who will present interiordesign trends for 2013.Diamant’s session will
include an inside look attrends in kitchen and bath-room finishes, wall treatments
and flooring. Other work-shops include speaker andauthor Michael Vickers’ ses-sion Persuasion: The Art andScience of Influence, whichwill focus on psychologicaltriggers and making a compa-ny an emotional favourite in acompetitive marketplace.Another keynote session
will feature a panel of govern-ment representatives, who willpresent on government deci-sions related to the housingindustry in the province; andDr. Joseph Michelli, who willhost the workshop LeadingSignificance: Leaving aLegacy that Lasts. Michelliis a speaker and author whofocuses on business practicesin ways that develop joyfuland productive workplaces.This year’s Alberta Awards
of Excellence in Housingdrew a record-breaking 383entries from builders and ren-ovators across the province.White Eagle Homes of
Edmonton paces all compa-nies with five finalist entries.Jayman MasterBUILT,Douglas Homes, andBroadview Homes of Calgaryand Habitat Studio andWorkshop of Edmonton hadthree finalist entries each.The Calgary region led
this year’s competition with25 finalist entries. For moreinformation on the confer-ence, visit chbaalberta.ca.
TRENDS, FROM PAGE 1
Calgary Herald Archive
BroadviewHomesvice-president Peter-JohnWoolf sayshomestyles anddesigns seemto recycle eachyear—butwith improvements tobettermeet theneedsofAlberta families.
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ALBERTA HOME BUILDERS4 Wednesday, September 19, 2012 Breaking news at calgaryherald.com
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E C O N O M I C O U T L O O K F O R A L B E R T A ’ S H O U S I N G I N D U S T R Y
All indicators point to a more ‘balanced’ market
Josh skapinCALGARY HERALD
Inspired by his framer andspec-home builder brother,Dave Hooge knew from anearly age the housing industrywas right for him.In 1985, Hooge followed
his brother into the business,working as a cribber andframer in the lower mainlandarea of British Columbia.This experience led Hooge
to form his own custom homebuilding business before join-ing Stepper Custom Homesin Calgary in 1997, where henow serves as president andgeneral manager.Now Hooge will take
the helm of the CanadianHome Builders’ Association-
Alberta, whenhe’s officiallysworn in aspresident at thegroup’s annualgeneral meetingat the FairmontJasper ParkLodge in Jasper,Alta. Sept. 21.For Hooge,
this is the secondtime in threeyears that he’sheld a lead posi-tion within theCHBA, serving as presidentof the Calgary Region in2011. We asked Hooge abouthis new role.Q:With today’s economic
conditions, how does Albertafit in and how will it affect
the industry?A:With a
positive eco-nomic outlookfor the province,we begin to facechallenges find-ing qualifiedworkers. We arealready startingto see it. Thefederal govern-ment has madesome changes tomake it easier tobring qualified
workers to Alberta. From themarket standpoint, all analystssee very positive market con-ditions with the demand fornew homes continuing to rise.
I N C O M I N G C H B A - A L B E R T A P R E S I D E N T
Family builds frameworkfor industry leader
See LEADER, page 5
We beginto face
challengesfindingqualifiedworkers.
Claire YoungCALGARY HERALD
Alberta’s housingmarket is moving toan overall balanced
market with modest pricegains predicted for 2013, saysthe Canada Mortgage andHousing Corp.“We’re seeing markets real-
ly transition here in Alberta,”says Lai Sing Louie, CMHCregional economist for theprairies and territories. “Atthe beginning of the year, wesaw Calgary transition froma buyers’ market to balancedmarket conditions. It took acouple more quarters for thatto happen in Edmonton, andwe’ve (since) moved thatmarket into balanced condi-tions.”Fort McMurray’s hous-
ing market has the highestaverage MLS price growthin the province, with CMHCpredicting 2012’s average toreach 6.5 per cent growth.By contrast, one of Alberta’sslowest markets, MedicineHat, will clock in closer totwo per cent growth by year’send.“Our expectations are for
markets to firm as we gothrough this year. By nextyear, we expect all the mar-kets in Alberta to be in bal-anced conditions,” Louie says.Balanced conditions indi-
cate steady sales matchingsupply coming onto the mar-
ketplace,with pric-es movingslightlyhigherthan infla-tion.CMHC
predictsmodestgains inhousing prices as volume ofsales picks up again after thefinancial crisis five years ago.People who bought at thepeak may still be holding ontoproperty until values come upagain, which slows sales.During the peak in 2006,
there were 33,024 MLS salesin Calgary.“In 2012, we’re project-
ing 25,200 MLS sales forCalgary, so we’re still sub-stantially lower than 2007,which had 32,000 sales,”Louie says. “The low in 2010was just under 21,000 sales.”In Edmonton, the high
reached 21,984 MLS sales in2006, and the low in 2010 at16,403 MLS sales.“We’re projecting about
17,900 sales for Edmonton,”he says.While activity is slower
than the high, prices are sta-bilizing and have even beenrising.“Last year in Calgary prices
were up on average by oneper cent. In Edmonton, priceswere down one per cent,”Louie says. “A lot of that is
compositional, no real pricemovement as both marketswere in a buyers’ market.”On a provincial level, the
average housing price lastyear was $353,390, up 0.3 percent from the previous year.“This year, we’re looking
at the 2.5 per cent level pricegrowth at the provincial level,and Calgary and Edmontonwill reflect that,” Louie says.“Next year at the provinciallevel, average growth rate forannual prices is expected torise around 2.8 per cent, justunder three per cent, a littlestronger because of the mar-kets being in balanced condi-tion. With part of this year inbuyers’ market conditions, weexpect that to transition andexpect to see a little strongerprice growth next year.”Helping prices will be
a five per cent decline inlistings in Calgary and alittle more than four per centdecline in Edmonton, CMHCpredicts, which will push pric-es up slightly. In Calgary, theeconomy has been improv-ing, which is helping nudgeup home prices, says RichardCho, CMHC senior marketanalyst for the Calgary region.“With that we’re seeing
more jobs being created, espe-cially in full-time employmentand in higher paying sectorslike energy, manufacturingand construction. Demandfor housing has increased,and we’ve seen supply move
lower,” Cho says. “Recentlywe’ve seen more new homesbeing started, due in part tohigher demand. But also,with supply on the resale sidemoving lower, some buyersare looking to the new homemarket.”It’s a similar story in
Edmonton, with a healthygrowth in full-time employ-ment supporting demand forhousing, says David Lan,CMHC senior market analystfor the Edmonton region.“Overall starts have been
on the rise due to the fact thatemployment is improving andbecause of the low mortgagerate,” Lan says.In Edmonton, a tight rental
market is providing an oppor-tunity for builders to buildrental apartments, Lan says.The rental vacancy rate in
Edmonton was 3.3 per centin 2011, and is predicted totighten to 2.5 per cent by theend of 2012, and further tight-en to 2.1 per cent in 2013.“We’ve seen a strong
increase in multi-familystarts,” says Lan, addingthat single family starts areexpected to continue to climbas the market tightens withfewer new resale listings inthe market.New housing starts in
Alberta are projected to bemuch stronger by the end of2012 and into 2013.“At the provincial level,
we’re projecting housing
starts will be up over 20 percent, just under 24 per cent,with 31,800 (new starts).That’s quite an uptick fromlast year when housing startswere at 25,704,” Louie says.Strong
migrationto the prov-ince and jobgrowth hereare behindAlbertabeing thefastestgrowingprovince inthe country.“We’re
project-ing around57,800people com-ing to theprovince.That’s up 28per cent,”Louie says.“About 60,000 jobs will becreated here in the province— employment growth of 3.8per cent. We’re projecting forCalgary by year end, 3.8 percent growth, while it’s softerin Edmonton at 2.1 per cent.”Construction costs for
materials such as concrete andlumber, before the downturn,were high, and so were labourcosts because the unemploy-ment rate was low.The unemployment rate is
higher now, projected to aver-age about 4.8 per cent across
the province this year, withCalgary at the same level andEdmonton a little higher atfive per cent.Next year, CMHC predicts
the provincial unemploymentrate will beslightly lowerat 4.7 percent. This putssome pressureon wages,which mayincrease as therate drops.CMHC
expects hous-ing prices torise slightly bythe end of theyear— con-sidering thecosts that gointo building ahome— to 1.4per cent, but torise next yearby another 2.1
per cent in Calgary and twoper cent in Edmonton.The new single-detached
home absorb price (the aver-age of new home sale prices,rather than resale homes) ison the rise. CMHC predictsthe price to be $564,000 inCalgary and surroundingtowns by the end of the year,and $514,000 in Edmontonand surrounding towns.“Next year, we’re project-
ing that will rise to $578,000in Calgary and $522,000 inEdmonton,” Louie says.
By next year,
we expect all
the markets
in Alberta to
be in balanced
conditions.
richard Cho
– Calgary Herald Archive
While Calgary is already seeing the housing market transition to a balanced one, edmonton is not too far behind, says lai sing louie, Canada Mortgage and housing Corp.’s senioreconomist for the prairies and territories.
ALBERTA HOME BUILDERSBreaking news at calgaryherald.com Wednesday, September 19, 2012 5
Q:What are some of theongoing issues that will bepriorities for you as president?A: Namely:■ Mandatory New Home
Warranty—We strongly sup-port this initiative of govern-ment, but we want to makesure that any program appliesto all new home construction.There is some talk of provid-ing an exemption for owner-builders that we believe willsignificantly compromise theconsumer protection goals of
this otherwise very positivemove.
■ Affordability— Codechanges that add cost anditems like off-site levies thatadd to the cost of the home.In Alberta, home ownership isa reality and we want to keepit that way. It underpins thequality of life we have cometo enjoy.
■ Safety— we want tomake sure our workers returnhome to their families safelyat the end of the work day.
We have to play particularattention with many new andyoung workers coming intoour industry.
■ Labour shortages—Weare seeing some challengesnow, and those challengeswill increase as demand fornew houses grows.Hooge replaces Sandra
Young, who will move intothe position of past-presidenton the CHBA-Alberta boardof directors and is vice-pres-ident and general manager ofHomes by Avi in Edmonton.Young says she gleaned a
lot during her term as presi-
dent, including getting to seeresidential development inparts of Alberta she ordinarilywouldn’t have seen.“That was a lot of fun for
me to go and see what peopleare doing in other parts of ourprovince,” says Young.Over the past year, CHBA-
Alberta focused on buildingrelationships and strategicalliances, she says.This initiative included
working with the AlbertaCoalition For Action onLabour Shortages, to “try andbring more of a voice to theissues around labour shortages
in ourindus-try,” saysYoung.One ofher pri-orities aspresidentwasrelated toaddress-ing the feasibility and eco-nomic viability of changes tobuilding codes.While the process is ongo-
ing, Young says the asso-ciation made strides with firecode regulations in an effort
to get more consistency acrossthe province.“There are so many stake-
holders and so many situa-tions from small towns withvolunteer fire departments tolarge cities, and all have dif-ferent needs but all need to beaddressed,” she says.Young calls her term as
president “a very specialyear,” and adds “every year asan association, we’re gettingstronger and doing our best toserve our members and I thinkyou’ll see a lot more comingfrom the association in theyears to come.”
LEADER, FROM PAGE 4
Gavin Young, Calgary Herald
DaveHooge, president andgeneralmanagerof StepperCustomHomes,will be sworn in as thenewpresidentof theCanadianHomeBuilders’Association-Alberta at the Jasper conference.
sandra Young
Hwy 20
RR 20
Hwy 12
SylvanLake
RainyCreekRoad
Hwy 2
TownshipRoad 394
N
ALBERTA HOME BUILDERS6 Wednesday, September 19, 2012 Breaking news at calgaryherald.com
The finalists for the 2012Alberta Awards of Excellencein Housing are as follows(prices do not include GSTand lot). See this Saturday’sCalgary Herald for a list ofthe winners.
Single-family homes• Under $250,000:Broadview Homes —Windsor, CalgaryDouglas Homes —Montana, CalgaryJayman MasterBUILT —Outlook, Calgary
• $250,000-$285,000Douglas Homes — KohSamui 6, CalgaryDouglas Homes — Miami2, CalgaryWhite Eagle Homes —Ruby IV, Edmonton
• $285,000-$325,000:Ashcroft Master Builder— Zimmerman Residence,LethbridgeJayman MasterBUILT —Evoque, CalgaryMattamy Homes —Windrush, Calgary
• $325,000-$375,000:Broadview Homes —Kingston, CalgaryJayman MasterBUILT —Esteem, Calgary
White Eagle Homes —Ruby, Edmonton
• $375,000-$425,000:Stepper Custom Homes —Cromwell, CalgaryWhite Eagle Homes —Blue Pearl II, EdmontonWhite Eagle Homes —Emilia, Edmonton
• $425,000-$575,000:Cedar Ridge Homes —Waterton, LethbridgeMorrison Homes —Bjurstrom Residence,CalgaryWhite Eagle Homes —Stefanie II, Edmonton
• $575,000-$750,000:Morrison Homes —Leighton, CalgaryShane Homes — Delmar,CalgaryWestView Builders —Arlington, Calgary
• $750,000-$1,000,000:Brad-Mar Homes —Private Acreage, CalgaryFox Maple Homes —Maple Robson, EdmontonPerry Signature Homes —Bristol, Edmonton
• Estate Home Over$1,000,000:Crystal Creek Homes —
Woodbine, CalgaryHabitat Studio &Workshop — MacTaggartCottage, EdmontonHabitat Studio &Workshop — WindsorPark Bauhaus, Edmonton
Multi-family• Apartment Under$325,000:Landmark Group ofBuilders — Birch I,EdmontonLandmark Group ofBuilders — Elm, EdmontonRohit Communities —Cornell, Edmonton
• Townhome or Duplex:
Under $325,000Broadview Homes —Sorrento, CalgaryColbray Homes —Chateau, Red DeerShane Homes — Galea,Calgary
• Apartment Over$325,000:Knightsbridge Homes —Villa D’Este Condominium,CalgaryParkwood Master Builder— Waterside Estates Suite306, EdmontonQualico Multi-Family —Brighton, Edmonton
• Townhome or Duplex
Over $325,000:Avi Urban — Yale, CalgaryTapestry Developments —Monterey, EdmontonTapestry Developments —Sedona, Edmonton
• Overall Complex:Avi Urban — VictoriaCross: Phase One, CalgaryQualico Multi-Family —Vanier, EdmontonRohit Communities— Callaghan Ravines,Edmonton
Renovation• Under $200,000:Aquarian Renovations— Glenora Residence,EdmontonAquarian Renovations— Valleyview Residence,Edmonton
Newcastle Homes &Renovations — FraserJanzen Residence, Calgary•Over $200,000:Newcastle Homes &Renovations — HartResidence, CalgaryTrue-Line Contracting —Melynchuk Residence, RedDeerUltimate Renovations —Bonavista SH III, Calgary
Green HomeAvalon Master Builder —Discovery 5, CalgaryEffect Home Builders— Belgravia Green,EdmontonHabitat Studio &Workshop — ParklandNetZero, Edmonton
A L B E R T A A W A R D S O F E X C E L L E N C E I N H O U S I N G
And the award finalists are ...
– Photos, CHBA–Alberta
At left: Multi-family estate home over $1 millionfinalist Habitat Studio & Workshop’s WindsorPark Bauhaus residence in Edmonton.
FOR MORe pHOTOS,See page 7
Jayman MasterBUILT’s Outlook in Calgary is a finalist inthe Single-Family Under $250,000 category.
White Eagle Homes’ Ruby IV in Edmonton is a finalist inthe Single-Family $250,000-$285,000 category.
Mattamy Homes’ Windrush in Calgary is a finalist in theSingle-Family $285,000-$325,000 category.
Above: Avi Urban’s Yale model in Calgary is a finalist inthe Multi-Family Townhome or Duplex Over $325,000category.
Habitat Studio & Workshop’s Parkland NetZero home inEdmonton is a finalist in the Green Home category..
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Above: Multi-FamilyTownhome or DuplexUnder $325,000 finalistBroadview Homes forits Sorrento model inCalgary.
Above: Brad-Mar Homes is a finalist in the Single Family $750,000-$1 million categoryfor its private acreage home in Calgary.
At left:NewcastleHomes &Renovations’Hart residencein Calgary is afinalist in theRenovationOver $200,000category.
At left: Landmark Group ofBuilders is a finalist in theMulti-Family ApartmentUnder $325,000 categoryfor its Elm residence inEdmonton.
At right:RohitCommunities’CallaghanRavines inEdmontonis a final-ist in theMulti-FamilyOverallComplex cat-egory.
Above: Qualico Multi-Family’s Brighton residence in Edmonton is a finalist in theMulti-Family Apartment Over $325,000 category.
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