The first half of 2023 has seen a substantial growth in the number of commercial and industrial permits pulled in Niverville, while new house starts are down.
CAO of the town, Eric King says there have been 55 permits pulled for commercial and industrial permits valued at $13 million this year so far, while last year during the same period there were 11 permits valued at $12 million.
“So, industrial and commercial permits are triple year over year, while new housing starts are down 20 compared year over year, which is the main driver in the $6 million year over year decrease in residential."
King says, from January to June of this year there were only 11 new home permits issued valued at $5.3 million dollars, whereas in 2022 there were 33 new home permits issued for $11.4 million.
He says, “The main reason for the slowdown is due to lack of speculation by builders on spec homes. With higher interest rates now in place, the market is seeing an adjustment for potential purchasers. Once interest rates plateau developers are ready and prepared for the market to restart in earnest.”
King says, in 2022 the 107 permits totaled $25 million, while so far in 2023 there have only been 66 permits pulled worth $18.4 million.