Ontario Home Builder - Spring 2016

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The future is now, as home components learn to talk to each other P.50 c r o m b i e r e p o r t: P l a n n i n g fo r O n ta r i o ’ s g r ow t h P. 8 3

w h at b u y e r s wa n t—a n d d o n ’ t wa n t P. 4 2

Will a little southern exposure pay off for ontario builders? P.58

Life in 50 years Where and how will we live in 2066?

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ohba.ca SPRING 2016 | $5.00


Thank you for helping us build a more energy efficient Ontario. Alliance Homes Andrin Homes Arista Homes Aspen Ridge Homes Ballantry Homes Ballymore Homes Branthaven Homes Brentwood Developments Briarwood Homes Brookfield Residential Campanale Homes Cardel Homes Centro Homes Corvinelli Homes

Coughlan Homes CountryWide Homes Delta-Rae Homes Eldora Homes Empire Communities EQ Homes Fandor Homes Fernbrook (Castlemore) Fieldgate Developments & Construction Flato Developments Fourteen Estates Geranium Homes Great Gulf Homes Greenpark Greystone Homes

Habitat for Humanity Halminen Homes Heathwood Homes Jeffery Homes Ltd. Lakeside Developments Lakeview Homes Lancaster Homes Landmart Homes Laurier Homes Lindvest Lormel Homes Lucchetta Homes Madison Homes Marshall Homes Mason Homes

Mattamy Homes Midhaven Homes Minto Monarch Corporation Mosaik Homes Orchard Ridge Phelps Homes Parkview Homes Reid’s Heritage Homes Remington Homes Rinaldi Homes Royalpark Homes San Diego Homes Sean Mason Homes

Signature Homes Solmar Starlane Tamarack Homes Tartan Homes Thornhill North Thornridge Homes Times Group Townwood Homes Treasure Hill Homes Urbandale Vogue Homes Wycliffe Yorkwood Homes Zancor Homes

We look forward to building the future with you in 2016. From early design to construction, Enbridge is here to support and reward you with performance incentives for constructing energy efficient, healthy and sustainable homes beyond code requirements.

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contents

58 Southern Exposure Building beyond Canadian borders

42 What Buyers Want

50 It’s All Connected

Digging into the 2015 CHBA Homebuyer Preference Survey reveals what’s in...and out

It won’t be long before every element of the modern home is communicating with each other

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ontario home builder spring 2016

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35 13

66 The Loan Arranger Alternative lenders are coming to the rescue of some builders

74 Homes in 2066 Predicting life and living arrangements in 50 years

83 Plans for the Future

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Healthy and prosperous community growth requires constant evolution

11 One Voice Looking to the future inspires much of OHBA’s work 13 Ontario Report EQ Awards honour green builders, improving the apprentice and training system, stepping up the fight against the underground economy, 2016 association calendar, Jane’s Walk turns 10, OHBA members light it up at NAHB Awards and two noted speakers at HBA luncheons 23 Human Capital How safe is your office? It might be time for a compliance check!

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27 Health & Safety Managingyour employees’ stress at work 29 Marketing There’s no better way to tell a company’s story than through online video 31 Technology Manufacturers working with builders on the next generation of home security 35 Top Shelf From contemporary brick and egress windows s to an ultra-silent central vacuum system, the latest in builder and renovator gear

91 Better Building The next generation of incandescent bulbs, the world’s strongest wallboard, Styrofoam turns 75, Weiser is cleaning your door handles for you, Panasonic launches its Home Solutions division, feeling blue is a good thing in 2016, and the Toronto real estate market is red hot 103 Product Focus Increased efficiency blends with new styles in windows and doors 110 Outside the Box Technology will open the door to a multitude of interior design options

the future is noW, as home components Learn to taLk to each other p.50 c r o m b i e r e p o r t: p l a n n i n g fo r o n ta r i o ’ s g r ow t h p. 8 3

w h at b u y e r s wa n t—a n d d o n ’ t wa n t p. 4 2

WiLL a LittLe southern exposure pay off for ontario buiLders? p.58

ohba.ca SPRING 2016 | $5.00

Life in 50 years Where and how will we live in 2066?

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On the cover

Pondering our homes and life 50 years on. Illustration by Dwight Allot.

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The official publication of the Ontario Home Builders’ Association Spring 2016 | Vol. 32 Issue 2

Quality Reliability

editor

Ted McIntyre ted@laureloak.ca

Va lue

associate editor

Norma Kimmins, OHBA

FIND OUT MORE

art director

Erik Mohr graphic designer

Mary Young copy editor

Barbara Chambers contributors

Dwight Allot, Michael Clifton, Avi Friedman, Tracy Hanes, Marc Huminilowycz, Alison King, Stacy Lambert, Dan O’Reilly, Joe Vaccaro, Mark Wessel advertising sales

Tricia Beaudoin ext. 223 tricia@laureloak.ca Cindy Kaye, ext. 232 cindy@laureloak.ca publisher

Sheryl Humphreys, ext. 245 sheryl@laureloak.ca PRESIDENT

Wayne Narciso Published by

Laurel Oak Custom Publishing laureloak.ca

ohba.ca Ontario Home Builder is published six times per year (Winter, Spring, Renovation, Summer, Fall, Awards). All rights reserved. No part of this magazine may be reproduced without the written consent of the publisher © 2016. For address corrections please email info@laureloak.ca or Phone: (905) 333-9432.

WWW.TRISTUCCO.COM | TEL: 905-855-0173 | INFO@TRISTUCCO.COM

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Single copy price is $5.00. Subscription Rates: Canada $12.95 + HST per year, USA $29.95 USD.

Order online at http://ohba.ca/subscribe-or-buy-past-issues CANADIAN PUBLICATION MAIL AGREEMENT NO. 42011539 ISSN No. 1182-1345

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One Voice

The Future Starts Today Preparing OHBA members for tomorrow

By Joe Vaccaro a decade ago, to mark its 60th anniversary, Canada Mortgage and Housing Corporation (CMHC) published a report entitled Sixty Years of Housing Progress in Canada. It offers a fascinating review of how our parents and grandparents lived when the corporation was created in 1946 to house returning war veterans. Chronicling how housing conditions have improved and changed over the decades, the report notes that in the early 1940s, less than half of Canada’s three million homes had an installed bath or shower and that close to 30% of dwellings were in need of major repairs. Remarkably, 44% of homes in the early ’40s had no inside flush toilet and 93% were heated by coal, coke or wood fuel. We’ve certainly come a long way. And our cover story on page 74 in this issue of OHB takes us even further, as we ponder what our homes and communities might look like in 50 years. Will we be flying around in cars like the Jetsons or teleporting to work to avoid traffic gridlock? Some of the predictions may seem far-fetched, but if you recall, so did something called the World Wide Web back in the 1990s, and look where we are today with the internet’s takeover of global communication. Looking to the future—be it 50 years from now, the next decade, next year or next month—inspires much of our work at OHBA. Where Ontario residents will live, work and play tomorrow will be shaped by our efforts today on a variety of fronts. And as such, our focus at OHBA continues to be helping our members prepare for tomorrow today. ohba.ca

That includes taking a positive, proactive role in discussions around Ontario’s Growth Plan. With the population living in the Greater Golden Horseshoe (GGH) projected to grow to almost 13.5 million people and 6.2 million jobs by 2041, what should our vision and strategy be to effectively deal with growth in this area of the province? OHBA and its members have considerable expertise and experience that can be of great assistance to governments, so that we ‘get it right’ as we move toward complete communities, intensification, sustainable development and transit-oriented communities. Our input was evident in the Crombie Report’s recommendations (P. 85). The future of our planet is gathering global attention. When Ontario’s Ministry of the Environment specifically added Climate Change to its title, it signalled a new focus on climate change. We have been proactive on this issue for many years. The growing success of the Energy Star for New Homes program is a testament to OHBA member commitment to energy-efficient, sustainable building. So too are the exciting innovations, member education and research that OHBA supports, as a rising number of visionary builders embrace the future of Net Zero homes and communities. As we look to the future at what kind of communities and homes our children and their children will live in 50 years down the road, I hope I’m still around with my tattered copy of OHB magazine to see how many predictions came true. OHB

“Looking to the future inspires much of our work at OHBA.”

joe vaccaro is the CEO of OHBA. ontario home builder spring 2016

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Ontario Report

Clockwise from bottom left: OHBA President John Meinen presents The Minto Group with the Ontario Green Builder of the Year award; EQ Industry Partners of the Year Jim Dunstan of Union Gas, Shannon Bertuzzi of Enbridge and Ric McFadden of Owens Corning Canada; EQ’s award winners show off their hardware.

Honouring the Green Team

EnerQuality Awards put Net Zero and Energy Star homes in the spotlight

Photos by Rodney Daw

The Minto Group was honoured as Ontario Green Builder of the Year for the second straight year at the 2015 EnerQuality Awards Feb. 25th in Toronto. The Green Builder prize is presented annually to a builder that raises the bar—as well as the overall image—of the rest of the industry through its leadership in preserving the environment and improving energy efficiency. Each year the EnerQuality Awards are presented to builders committed to building energy-efficient and sustainable homes, and this edition witnessed repeat winners in other heavyweight categories. Mattamy Homes, Canada’s largest home builder, picked up the Energy Star for New Homes Builder of the Year (Large Volume) award for the third time. Mattamy was one of the first builders to participate in the Energy Star program, which has become the most successful green building program in Canada. Today, 32% of all new homes built in Ontario are Energy Star-qualified. ohba.ca

Midhaven Homes walked the green carpet as the Energy Star for New Homes (Mid-Volume) winner, while Jeffery Homes took the Energy Star for New Homes (Small/Custom) category. Reid’s Heritage Homes racked up a trio of awards on the evening, claiming the inaugural Net Zero Builder of the Year award, which highlighted homes that are energy self-sufficient and designed to produce at least as much power as they consume, as well as both the Building Innovation (Low-Rise) and Best Green Marketing Campaign of the Year awards for their efforts to educate homebuyers.

Tridel, the largest builder of condominiums in the Toronto area, took the first-ever Building Innovation (Mid- and High-Rise), which recognizes technical excellence in energy-efficient and green building practices. On the individual front, Andy Goyda, Canadian Builder Lead and Market Development Manager for Owens Corning Canada, was inducted into the EnerQuality Hall of Fame. The award is presented to an individual who, over the course of their career, has made a lasting impact on energy efficiency and green building in the housing industry. ontario home builder spring 2016

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Ontario Report

Mr. Goyda has been influential in the residential industry for 40 years, including his pioneering support of Energy Star for New Homes and Net Zero. His leadership has helped Ontario’s home building industry become the most energy efficient in Canada. Sonja Winkelmann, director of Net Zero Energy Housing for the Canadian Home Builders’ Association, was recognized as EQ Leader of the Year. “Ontario’s home building industry has a commendable track record of creativity and innovation,” said Corey McBurney, president of EnerQuality. “Energy Star for New Homes is a success story that all Ontarians should be proud of, proving that voluntary, builder-led initiatives work.” Other EnerQuality Awards winners included 4syte Design Build (Best Green Renovation Project of the Year); John Corvinelli (Energy Star for New Homes Champion of the Year); Stephen Magneron (Evaluator of the Year); RND Construction (R-2000 Builder of the Year); Union Gas, Owens Corning Canada and Enbridge Gas Distribution (EQ Industry Partners of the Year); and Fernbrook Homes (Enbridge Savings by Design Award). The day’s activities also included the return of the Innovation Gauntlet, a Dragons’ Den-style competition where industry manufacturers and organizations pitched their smartest, most innovative products and services to a panel of judges. This year’s winner, chosen live by the audience, was LiteBuilt and its concrete Liteblok building system, an environmentally friendly, interlocking building block that is ideal for taller buildings.

IMPROVING ONTARIO’S APPRENTICE & TRAINING SYSTEM 14

ontario home builder spring 2016

From left to right, Chair of OHBA Renovators’ Council Jamie Adam, MPP Laura Albanese and OHBA CEO Joe Vaccaro.

consultation addresses UNDERGROUND ECONOMY In mid-January, the provincial government launched its consultations on how best to combat the underground economy, with Ontario’s Parliamentary Assistant to the Minister of Finance Laura Albanese hosting a roundtable discussion with renovator and builder members at OHBA/BILD offices, asking for their perspective and suggestions on curbing illegal practices that feed the underground economy. Accounting for over $15 billion in lost economic activity in Ontario annually, tax avoidance and evasion not only costs money, but also puts the competitiveness of legitimate, tax-paying businesses at risk. “Consumers and workers are protected when everyone pays their fair share and complies with regulations,” said Albanese, who added, “It is important to hear from the people who work in the construction sector, as they will be able to provide the most valuable input on how to combat the underground economy.” Addressing the underground economy and maintaining tax fairness are part of the government’s plan to build up Ontario. The four-part plan also includes investing in people’s talents and skills, investing heavily in public infrastructure, creating a positive environment for businesses and building a secure retirement savings plan. “As the voice of the residential construction and professional renovation industry in Ontario, OHBA welcomes these discussions and looks forward to working with the government to stop the underground economy in order to protect consumers and support professional home builders and renovators,” noted Joe Vaccaro, CEO of OHBA.

OHBA and the Ontario College of Trades have launched a joint committee that will research methods to improve employer access to local apprentices and provide more tools for employers looking to navigate the training and apprenticeship system. The committee is led by OHBA President John Meinen, owner of Pinnacle Quality Homes in Stratford, and also includes:

Jamie Adam, Pioneer Craftsman Ltd. in Kitchener and chair of OHBA Renovators’ Council; Jim Caruk, The Caruk Group, BILD renovator member and HGTV host of Real Renos and Builder Boss; Anita DeVries, executive officer of the Durham Region Home Builders’ Association; and Holly Richards-Conley, executive officer of Peterborough & The Kawarthas Home Builders’ Association.

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Ontario Report

25-YEAR MILESTONE FOR WATERLOO INDUSTRY LUNCHEON

Build Brantford Nets Jim Ralph If you are in need of some laughter, this year’s Build Brantford Luncheon promises just that. Brantford HBA welcomes former hockey player and current sportscaster Jim Ralph as the event keynote speaker. Best known for his comical impersonations of famous Canadian sportscasters, Ralph’s insightful observations and entertaining anecdotes will keep the audience in stitches. OHBA members are invited to what promises to be a sellout event, so order your tickets soon! DATE: Friday, April 8 Social: 11:30 a.m., Lunch: 12:15 p.m. VENUE: Best Western Plus Brant Park Inn 19 Holiday Drive, Brantford

Waterloo Region HBA celebrates its 25th Annual Industry Luncheon with Bruce Croxon, one of Canada’s earliest and most successful start-up entrepreneurs, as the event keynote speaker. A former member of CBC’s Dragons’ Den, Croxon made his mark as a digital pioneer as co-founder of Lavalife, which he and his partners sold in 2010 for stunning $180 million. Croxon will speak on leadership, innovation and the importance of staying ahead of the curve. DATE: Tuesday, April 26 TIME: 11:45 a.m. – 3:00 p.m. VENUE: Bingeman’s Marshall Hall, Kitchener TICKETS: WRHBA member rate: $84 + HST; non-member rate $94 + HST; Corporate Table (8 people) $650 + HST Contact Event Coordinator Melissa Jonker for tickets or for further information at (519) 884.7590 or at mellisa-jonker@wrhba.com.

TICKETS: Single: $80 plus HST Table of 10: $750 plus HST Contact Brantford HBA EO Fred DeCator for tickets or further information at (519) 755-9690 or at freddecator@rogers.com.

Bruce Croxon, Canadian entrepreneur and former member of CBC’s Dragons’ Den.

Local Associations’ Events 2016 Date Event Association Contact Phone Number MAR 11-20 National Home Show BILD Tiffany Kohl (416) 391 - 3446 MAR 19 Smoke Alarm Blitz St. Thomas & Elgin John Gundry (519) 476 - 5811 APR 1-3 St. Thomas & Elgin Home, Garden St. Thomas & Elgin John Gundry (519) 476 - 5811 & Outdoor Living Show APR 1-3 Sudbury & District Home Show Sudbury & District Laura Higgs (705) 671 - 6099 APR 8 Build Brantford Luncheon Brantford Fred DeCator (519) 755-9690 APR 14 Awards of Excellence Durham Region Anita DeVries (905) 579 - 8080 APR 15-17 Quinte Home & Lifestyle Show Quinte Ruth Estwick (613) 970 - 2216 APR 21 SOLD Auction Night Peterborough & The Kawarthas Holly Richards-Conley (705) 876 - 7604 APR 22-24 Stratford & Area Home Show Stratford & Area Ross Dale (519) 271 - 4795 APR 23-24 Home and Cottage Expo - Owen Sound Grey-Bruce Tara Hall (519) 934 - 3450 APR 26 25th Annual Industry Luncheon Waterloo Region Melissa Jonker (519) 884 - 7590 APR 28 Hamilton-Halton Awards of Distinction Hamilton-Halton Cindy McIntosh (905) 575 - 3344 ext. 3 APR 28 BILD Awards BILD Tiffany Kohl (416) 391 - 3446 MAY 10 Business Community Luncheon Guelph & District Stacy Cooper (519) 836 - 8560 MAY 13 President’s Industry Dinner London Lois Langdon (519) 686 - 0343 MAY 16-19 OHBA Iceland Housing and Energy Tour OHBA Mike Collins-Williams (416) 443 - 1545 MAY 27 ACE Awards & President’s Gala Simcoe County Jennifer Lynch (705) 431 - 5030 JUN 8 Awards of Distinction Red Carpet Gala Stratford & Area Ross Dale (519) 271 - 4795 JUL 13 BILD Race for Humanity & Charity BBQ BILD Tiffany Kohl (416) 391-3446

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ontario home builder spring 2016

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Ontario Report

Local Associations’ Golf Events 2016 MAY 26 JUN 2 JUN 7 JUN 9 JUN 9 JUN 14 JUN 14 JUN 16 JUN 21 JUN 24 JUN 24 JUL 8 JUL 18 JUL 19 JUL 21 AUG 16 SEP 13 SEP 15 SEP 15 SEP 18-20 (TBD)

BILD Golf Tournament Spring Golf Tournament Annual Golf Tournament Charity Golf Tournament PKHBA Golf Tournament London Golf Tournament Ottawa Spring Golf Tournament Annual Golf Tournament Annual Golf Tournament Grey-Bruce Annual Tournament Lanark-Leeds Golf Tournament Sarnia-Lambton Golf Stratford Golf Tournament Quinte Golf Tournament St. Thomas & Elgin Golf Durham Region Golf Tournament Fall Charity Golf BILD Golf Tournament WEHBA Golf Tournament OHBA Annual Golf Tournament

BILD Waterloo Region Brantford Greater Dufferin Peterborough & The Kawarthas London Greater Ottawa Sudbury & District Hamilton-Halton Grey-Bruce HBA Lanark-Leeds Sarnia-Lambton HBA Stratford & Area Quinte St. Thomas & Elgin Durham Region Waterloo Region BILD Windsor Essex OHBA

Celebrating 25 Years of Excellence From its humble beginnings in 1991, this year marks the 25th anniversary of OHBA’s prestigious awards program and we are planning a spectacular gala to celebrate the milestone. OHBA’s 39-category awards program honours the vision, innovation and expertise of some of Ontario’s most creative and talented builders, renovators, designers and marketers. Winners represent the apex of achievement within the residential building industry. Online submissions open on Monday, May 9 and close Wednesday, June 22. Finalists will be announced in mid-August and the program will culminate in the Awards of Distinction Gala on September 20 in conjunction with OHBA’s Annual Conference at Blue Mountain Resort in Collingwood. Visit the website on April 11 for a full list of categories and entry details at ohbaoad.ca. 18

ontario home builder spring 2016

Tiffany Kohl Melissa Jonker Fred DeCator Margaret Janssen Holly Richards-Conley Lois Langdon Nicole McCallion Laura Higgs Cindy McIntosh Tara Hall Darlene Fendley Kelly McCoy Ross Dale Ruth Estwick John Gundry Anita DeVries Melissa Jonker Tiffany Kohl Dennis Gerrard Sajida Jiwani

(416) 391-3446 (519) 884-7590 (519) 755-9690 (519) 940-6900 (705) 876-7604 (519) 686-0343 (613) 723-2926 ext. 222 (705) 671-6099 (905) 575-3344 ext. 3 (519) 934-3450 (613) 523-5656 (519) 344-7422 (519) 271-4795 (613) 970-2216 (519) 476-5811 (905) 579-8080 (519) 884-7590 (416) 391-3446 (519) 948-3247 (416) 443-1545

Jane’s Walk

Turns 10! Inspired by Jane Jacobs, a Toronto-based urbanist and activist whose writings championed a fresh, communitybased approach to city building, Jane’s Walk celebrates its 10th anniversary this year, May 6-8. The goal of the unique, threeday festival is to develop urban literacy and a community-based approach to city building by encouraging free, citizen-led walking tours that make space for every person to observe, reflect, share, question and collectively reimagine the places in which they live, work and play. Jacobs was not a city planner by training; she was just a concerned

citizen who spent a lot of time observing city life around her— first in New York City, then in Toronto. From her observations, she developed theories about what makes a city a great place to live. After Jacobs passed away in 2006, Jane’s Walk was founded in Toronto by a group of friends and colleagues who wanted to honour her ideas and legacy. More than 40,000 participated in walks last year in 189 cities in 39 countries, including 24 Ontario communities. To learn more about walks planned in your area and how you can organize a walk, get involved or to donate, visit janeswalk.org.

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Ontario Report

Some of the happy NAHB winners from Ontario: Marco Marino of Blackjet Inc., Leslie Marlowe of Berkshire Axis Development, Enrico Lisi of Andiel Homes Inc., Anthony DiBattista of SigNature Communities, and Robert Galleta and Mo Solomon of Blackjet Inc. (photo courtesy The Nationals)

Ontario Companies Win Big in Vegas

Congratulations to the many companies from Ontario that took home major awards at the 2016 National Association of Home Builders (NAHB) Sales and Marketing Awards held in January in Las Vegas. Gold

Silver

Best Graphic Continuity East United, SigNature Developments Ad agency: Blackjet Inc.

Best Graphic Continuity Brockton Commons, Great Gulf Homes Ad agency: Community

Best Overall Advertising East United, SigNature Developments Ad agency: Blackjet Inc.

Best Direct Mail Program East United, SigNature Developments Ad agency: Blackjet Inc.

Best Graphic Continuity Rosedale, The Gupta Group Ad agency: Montana Steele Strategic Marketing

Best Social Media Campaign Art Shoppe, Freed Developments and Capital Developments Ad agency: Montana Steele Strategic Marketing

Best Brochure for High-Rise Community Art Shoppe, Freed Developments and Capital Developments Ad agency: Montana Steele Strategic Marketing

Best Microsite/Website for a Community eastunitedcondos.com, SigNature Communities Design Blackjet Inc.

Best Print Ad (Colour or Black and White) East United, SigNature Developments Ad agency: Blackjet Inc. Best Presentation Centre East United, SigNature Developments Ad agency: Blackjet Inc. Best Signage for an Urban Community East United, SigNature Developments Ad agency: Blackjet Inc.

*

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Best Brochure for High-Rise Community East United, SigNature Communities Ad agency: Blackjet Inc. Best Social Media Campaign East United, SigNature Developments Ad agency: Blackjet Inc. Best Email Marketing Campaign Greystone, EQ Homes and the Regional Group Ad agency: Montana Steele Strategic Marketing

Best Microsite/Website for a Community artshoppecondos.com, Freed Developments and Capital Developments Design Montana Steele Strategic Marketing Best Computer-Generated Sales Tools Daniels Waterfront, The Daniels Corporation Ad agency: Montana Steele Strategic Marketing Best Presentation Centre Art Shoppe, Freed Developments and Capital Developments Ad agency: Montana Steele Strategic Marketing

Best Signage for an Urban Community Art Shoppe, Freed Developments and Capital Developments Ad agency: Montana Steele Strategic Marketing Best Signage for an Urban Community Daniels Waterfront, The Daniels Corporation Ad agency: Montana Steele Strategic Marketing Best Architectural Design on a Single-Family Detached Home Price over $1.5 million Crafthouse at St. Andrews, Sorbara Group of Companies Architect Peter Vishnovsky Attached Community of the Year Daniels Waterfront, The Daniels Corporation Ad agency: Montana Steele Strategic Marketing Attached Community of the Year Art Shoppe, Freed Developments and Capital Developments Ad agency: Montana Steele Strategic Marketing

For a complete list of winners visit www.thenationals.com.

ontario home builder spring 2016

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The Evolution of Insulation



Human Capital

How Safe is Your Office? A compliance check-up for a harm-free workplace By Michael H. Clifton It’s been just over six years since

amendments were made in December 2009 to Ontario’s Occupational Health and Safety Act (OHSA), which introduced a new range of duties for employers to help address issues of workplace violence and harassment. For a while, it was the talk of the town in many legal seminars and publications, as everyone sought to understand their obligations (which became effective in June 2010). Hopefully, by now, everyone has done— and is continuing to do—exactly what they are supposed to, including: 1 . Conduct risk assessments (and reassessments) to determine the degree of vulnerability of the workplace to incidents of violence; [These assessments must take into account not just the actual circumstances of the specific workplace, but risks that might be common in any similar workplace.] 2 . Develop policies pertaining to workplace violence and harassment which, among other things, should (i) take into account the results of the risk assessments, (ii) set out protocols to be followed in the face of violent behaviour and (iii) establish guidelines a nd procedu res for repor t i ng a nd investigating harassment complaints; [A workplace where more than five workers (broadly defined in the OHSA to include almost anyone from a paid employee or contractor to a high school volunteer) are regularly employed must not only have such policies, but must have them in writing and posted at a conspicuous place in the workplace. Each workplace’s policies are to be reviewed annually.] 3. Develop a program to implement the workplace violence policy, including ohba.ca

measures and procedures for controlling risks, obtaining assistance when violence occurs or is likely to occur, and for the reporting and investigation of violent incidents. 4. Instruct or train workers with respect to the workplace policies and programs. 5. Inform a worker if a person likely to be encountered in the workplace is a known violent offender, or if the worker is at risk of physical injury as a result of such potential encounter. [Note, this is to be done somewhat regardless of usual privacy considerations, but employers should only disclose as much personal information about the known violent offender as is reasonably necessary to protect the worker from injury. Employers should ensure their privacy policies don’t contradict this obligation.] An employer who is uncertain whether these things are being done is advised to consult with legal counsel. For each

workplace (meaning, anywhere at, near or upon which a worker works) some requirements might differ in some ways due to its particular characteristics. But when it comes to effectively addressing issues of violence and harassment, it’s important to consider not only whether the policies and protocols of your workplace meet the technical requirements of the law, but whether the conduct and character of its constituents meet the law’s purposes and intent. These considerations apply to all workplaces without exception. In last year’s Ontario Labour Relations Board (OLRB) case Thompson v 580062 Ontario Inc. (Slainte Irish Gastropub), 2015 CanLII 76907, a restaurant employee was subjected to psychological and verbal abuse and violence by the restaurant’s owner. The mere presence of polices, protocols or procedures could not help. Likewise, the OLRB has noted in other cases that the OHSA does not provide a ontario home builder spring 2016

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remedy for every act of harassment or violence that might occur. This isn’t a flaw in the law. The fact is that what is really needed to prevent workplace violence and harassment cannot be legislated or programmed; it can only be learned and implemented willingly by individuals in the workplace. For the most part, this begins with the conduct and character of the workplace leaders. In his book, Resilience: Hard-won Wisdom for Living a Better Life (Houghton Mifflin Harcourt, 2015), former Navy SEAL Eric Greitens points out that the principles that most often improve the substance of our lives cannot be learned effectively solely from books (or, in this case, from posted policies), but are best obtained by the observation of exemplars. He says, simply, “You know what a good thing is by seeing what the good person does.” Over and above making policies and programs, establishing a violence- and harassment-free workplace requires that its lead players—its supervisors and other senior staff and executives— exemplify relevant characteristics, such as respect for self and others, patience, understanding, empathy and kindness. Comply ing w it h t he technica lities can help—the process of assessing risks and inventing policies can turn supervisors’ minds to these issues more deliberately and may serve to refine their understanding, awareness and concern about them—but it is only through their personal adoption of those traits and other principles that promote a nonviolent and non-harassing environment that they really serve the best interests of the workplace and its workers. It sometimes seems trite to contrast the “spirit” of the law and its “letter” in this way, but the fact is that for areas of law like this one, which deal directly with personal safety and security, as well as genuine job satisfaction and performance, whenever practices are inconsistent with the law’s spirit, its letter can never be properly observed. OHB Michael Clifton is a founding partner of

Clifton Kok LLP, a boutique solicitor law firm located in Ayr, Ontario, that serves clients throughout the province in the areas of real property, land and condominium development law, condominium management law, corporate/ commercial law and estates law. ohba.ca


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health & safety

Stressed to the Max A how-to guide for employers Did you know that stress-related

absences have increased more than threefold since 1995 or that it costs our economy more than $4.5 billion each year (Statistics Canada), or that such absences are on average 20 days long? Further, Health Canada reports that every dollar invested in stress prevention is worth $3.40 in future savings. Stress is now the leading cause of worker disability in Canada. It is usually the result of a combination of high demands and pressures and having little control over those demands. According to the Canadian Mental Health Association, learning to recognize stress is essential because it has been linked to infectious diseases and cardiovascular problems, higher incidence of back pain, repetitive strain injuries and cancer. The long list of other symptoms include: changes in eating habits (weight gain or loss); increased use of alcohol, drugs or tobacco; unusual impatience or irritation; poor performance; withdrawal from social contact; headaches, indigestion, fatigue, insomnia, frequent absences, miscommunication; and increased conflict between employees. An employer has a duty to investigate when there are obvious signs of stress. The “don’t ask, don’t tell” policy may not be sufficient in the view of labour boards or the Human Rights Commission, the latter of which has become quite assertive in its expectations regarding the prevention and alleviation of stress-related absences. Employers are expected to be vigilant and proactive and to accommodate employees experiencing stress (this includes personal stressors if it affects work performance). Employers, however, will often not get full disclosure from a doctor’s note when it comes to stress or other mental disabilities. ohba.ca

Employees usually feel these types of illnesses are personal and have a stigma attached. As an employer, though, you have the right to get reasonable medical details from the employee as it relates to your ability to accommodate their illness. If, as an employer, you believe this infor mation is unsatisfactor y, you have a right to ask for clarification or further infor mation. However, it’s your responsibility to explain why it is unsatisfactory. Any request for additional medical information by an employer should be paid for by the employer, if required. But you can only use medical information to manage the absence and accommodate the employee. And you must keep privacy in mind. Remember that you need employee consent, that you must limit the collection to only necessary information, keep medical information separate from personnel files, and limit their use, disclosure and retention so that

it only applies to accommodation. As an employer you can accommodate stress with the same approaches used for visible disabilities, including sick leave, reassignment, re-bundling of tasks to provide meaningful work, special equipment or revised expectations, flexible hours and the offering of EAP (Employment Assistance Program), etc. Employers are required to provide reasonable—not ideal—accommodation. This does not include make-work projects, the creation of new or unnecessar y positions, tolerance of disciplinable behaviour or of excessive absenteeism or keeping a position open indefinitely when there is no hope of the employee’s return. Other helpful resources include the Ontario Workplace Safety and Insurance Board or your Canadian Federation of Independent Business (CFIB) counsellor at (888) 234-2232. OHB —Reprint courtesy the CFIB. ontario home builder spring 2016

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You’ve Got a Story to Tell … and online video is an ideal way to do it By Stacy Lambert In order to engage an audience, you’ve got to tell them an interesting story. Historically, this has meant brands were required to buy space in print, radio and TV advertising. It’s meant hiring full-time PR personnel and adopting multi-tiered media strategies in order to ensure that the ‘story’ of the brand makes its way to the public. For the most part, all of this might soon be obsolete. Instead, the future of media lies in custom-branded content created not by TV editors or newspaper layout designers, but by the brand itself. Forwardthinking home builders can tell their own story in their own way, in real time. As the lines between journalism and marketing continue to blur, it becomes easier to find and share the things about your brand that make you unique or newsworthy. From there, it’s simply a matter of producing a story and releasing it—not through traditional means, but online through custom-owned channels: Facebook, YouTube, Twitter, Snapchat and the like. Increasingly, the public no longer relies on newspaper or TV broadcasts for their news, entertainment or advertising. They seek out their own engaging and innovative content, and they look for it online, using websites and social media. Online, then, becomes the perfect venue for brands to start telling their own stories. Visual storytelling through the use of video speaks to the audience on multiple levels, giving your company a human face and a voice of its own. It uses dynamic visuals to sell not just whatever product a company offers, but also the company itself. Online, your audience has the ability and the desire to engage and interact with the content. They can be quick to dismiss blatant product promos, but are generally ohba.ca

willing to listen and engage when they recognize something more beneath the surface. Custom video content gives the audience this ‘something more.’ It enables brands to find and share real, authentic stories about their employees, customers and community. Anything can be a story. Are you opening the doors to a new community, sponsoring an event, building a new office, designing the interior of a model home or experimenting with new cabinetry? They’re all stories if you present them as such. If your brand can produce engaging, relevant content, then people will invariably watch it. Even as recently as 10 years ago, setting out to produce one video, let alone 10, seemed a daunting task that couldn’t possibly be accomplished without a specialized (read: expensive) production team and equipment. Now, with the introduction of mobile technology and easy-to-use software (much of which can

be obtained for free), it has never been easier to produce high-quality, engaging video content. Online video has paved the way for companies to highlight the best and most exciting things about themselves without waiting around for other media outlets to come and do it for them. Brands now have an unprecedented opportunity to create lasting brand loyalty by engaging their audience in the story of their company, told dynamically and strategically through entertaining, authentic videos. As most major media outlets continue to restructure and seek efficiencies, an opportunity has emerged for companies to enhance their branded content strategy inside new digital media channels. It’s become possible to tell your own story, creating valuable customer dialogue via new media. —Stacy Lambert is a reporter with Brand Reporting, a division of Greening Marketing. OHB ontario home builder spring 2016

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technology

Safe and Sound Implementing the next generation of home security By Ted McIntyre It’s just after midnight and you’ve settled down to bed when your TV screen turns on and the nighttime music on your stereo phases out. The latter is programmed to go silent while the former is programmed to tune in to the closedcircuit TV screen nearest to where your home security system has just identified a perimeter breach. External security lighting has been illuminated and, in this case, an alarm has sounded to provide you and your family sufficient time to contact the authorities and move to a safe area. If you weren’t home, that same alarm system would have alerted you of intruders—on the grounds or inside your house—via text and email. While a motivated criminal will usually find a way to break and enter, today’s level of smart-home security is enough to frustrate a James Bond villain. And the fact that an integrated system can do everything from turning on different room lights at different times of the evening while you’re away to alerting you of a heat signature in your backyard means that an increasing number of new-home buyers are becoming interested in such technology. In fact, 90% of the 1,600 consumers surveyed for Icontrol Network ’s 2015 State of the Smart Home Report (1,000 from the U.S. and 600 from Canada) identified security as one of the top reasons to purchase a smart-home system. As a consequence, “home builders are well advised to consider future-proofing their customers’ investments by pre-wiring their new builds with a security system,” advises Gabriel Roy, Communications Manager at ADT Canada. But it’s vital that all elements of these systems are always communicating with each other, says Roy. ohba.ca

Panasonic has addressed that concern with its new Home Monitoring System, featuring a central hub through which homeowners can control a suite of Panasonic products that w ill grow exponentially. “It starts with everything from simple sensors to detect an open window to alerts from your security cameras, and we’re continuously adding to the lineup,” says Panasonic Product Manager Andrei Nicoara. “And the nice thing is that everything will be operated from one app. That’s good for the consumer. We’ve partnered with different builders to provide a starter package for home security. It includes the central smart hub—the brains behind the operation— which you need regardless of how many smart devices you have. There are also a few options—maybe a front door sensor and a motion sensor for the second floor— for maybe $200 or $300 total cost to the

builder. The builder absorbs that and includes in the new home, which helps differentiate you from other builders. But the builder can also showcase the many devices we offer, and instead of the consumer installing them, the builder can, which will more than recoup their costs. Maybe the homeowner wants a sensor on 10 ground-floor windows. There’s a lot you can add to it.” Alarmtech president Bob Hoevenaars highlights a new system coming on line from one of the industry giants. “Around April, Honeywell is bringing to market a new security/automation platform called Lyric, the focus of which is to integrate security, the Lyric wifi thermostat, Z-Wave locks and lights, etc.,” says Hoevenaars. “The design features crisp clean lines like the existing Lyric thermostat, as well as a similar look to Apple-designed products. The panel will incorporate a new encrypted wireless communication ontario home builder spring 2016

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with connected security devices, a video camera to send pictures of who is entering the home and disarming—or attempting to disarm—the system. It also features ‘smart scenes.’ For example, ‘GoToBed’ arms the alarm in ‘Stay’ mode, turns down the thermostat, turns the upper bedroom hall light on for 10 minutes, ensures the front door is locked and, if not, locks it, and ensures the garage doors are closed and, if not, closes them.” Another hot new item is ADT’s Pulse, which, apart from “best-in-class ADT security,” offers a full suite of automation offerings that can be controlled directly from the free Pulse app. “It’s designed to work in any size home,” says ADT’s Roy. “The homeowner can customize their system by creating unique automations, schedules and alerts, as well as by adding Z-Wave-compatible devices that can control energy, lighting and video cameras, in addition to many other elements in the home and on the property.” “For the basic suite of services, such as remotely arming or disarming your system, or having supplementary notifications and alerts sent to you remotely, you don’t need anything special in your home,” adds Roy. “ADT can install the complete system into your new builds, enabling the future homeowner to access 4:22 PM their security and home automation system from almost any web-enabled PC or cellular phone. As for the advanced suite of services, such as remote control of l ights or t her most ats or v ideo applications, ADT will need access to their high-speed internet connection.” “One of the great features of ADT Pulse is that it can evolve over time with the homeowners’ needs,” says Patrice De Luca, V.P. of Business Development for ADT Canada. “The builder can include the basic foundation of the Pulse security and home automation systems as part of his initial offer, and the new homeowner can choose additional options that will complement their lifestyle and expectations. This makes for an affordable and distinctive initial offer with all the potential to be expanded to the more demanding customers.” There’s also a voice option that allows users to arm and disarm their security panel, control lighting, adjust thermostats, lock and unlock doors, etc. using an iOS or Android smartphone. It leverages a ohba.ca


“[It] can evolve over time with the homeowners’ needs.” multi-layered identification process, only allowing access to registered members by verifying three personal checkpoints: a secret phrase, voice recognition and confirmed identification of a mobile device. Voice control also lends access to visually impaired consumers. The Pulse system seamlessly works with a variety of popular smart-home products like Nest’s third-generation learning thermostat, the August Smart Lock and the Ring Video Doorbell. Honeywell’s Tuxedo Touch, for one, lets you use both touchscreen and voice commands to arm your indoor and outdoor security systems when you leave your home or go to bed. The system controls locks and lights and lets you view up to four on-premise cameras per view on any screen, including Internet TVs and mobile devices. You can also record security clips up to two minutes long to remotely verify alarm or security events. One of the coolest new security devices, however, arrives thanks to the marriage of the Ring Video Doorbell with the Weiser Kevo smart lock, the industry’s first smart lock powered by UniKey technology. The unified device enables homeowners to secure and control their entire entryway. Homeowners can now see and speak with whoever is at the door via the Ring app, then quickly lock or unlock their Kevo smart lock, all from their smartphones. This integration is the latest in a series Ring is announcing as part if its new Ring Plus program, which enables customers to connect several of their smart-home devices to Ring. For builders, installing such a system into show homes not only allows them to offer customers a safe and secure smart home, but the capability of securing, monitoring and remotely controlling access to their property. It all helps lower the anxiety of homeowners, and to make that night’s sleep a little more restful. OHB ohba.ca

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Top shelf Ideas for Builders & Renovators

Getting In On the Ground Floor The newly released Herringbone Collection from Toronto-based Vintage Hardwood Flooring includes a trio of attractive textures (Smooth, Wire Brushed and Hand Scraped) in the company’s standard Red Oak and White Oak colours. Two sizes will be offered in the pre-finished product: 3¼” x 14” and 5” x 30”. Vintageflooring.com

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Top shelf

Twice as Nice! Want to wash two separate loads at once, or handle small loads or delicates? The LG Twin Wash combines the easily accessed mini SideKick pedestal washer with a large washer up top. With LG TurboWash technology, high-powered nozzles spray detergent for a more thorough wash, while Smart ThinQ technology allows custom cycles to be uploaded to the washer and alerts to be sent to a smartphone app when the cycle is complete. LG.com

This Will Blow You Away Milwaukee says its new cordless M18 Jobsite Fan delivers the most powerful airflow on the market to circulate air over 40 ft., and provides unmatched run-time. Featuring best-in-class power, it has three settings and a 120° adjustable head, allowing the user to easily control airflow, whether cooling hot or poorly ventilated areas, or drying leaking pipes, drywall mud or paint. It can also be hung in a variety of positions. Milwaukeetool.com

A Modern Look to Classic Stone Metro Stone and Metro Brick, the latest offerings from Shouldice Designer Stone, reflect the tradition of stone and brick, but in a contemporary form thanks to Metro Brick’s 7:1 aspect ratio providing a modern, elongated, uniform look, and Metro Stone’s subtly textured blend of single and double heights and variety of lengths. Available in two colours: Galaxy and Pearl White. shouldice.ca

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Burnin’ Love Meeting demand for larger, clean-faced fireplaces, but with the romance of crackling burning logs, Napoleon’s High Country 8000 includes heatradiating ceramic glass and a counterbalanced Zero Gravity door system that slides up into the wall. Its huge firebox is lined with a choice of up to three styles of custom brick and can hold up to 50 lbs of wood. An air-wash system keeps the glass clean while the air sweeps across the ember bed to aid in fast start-ups. Napoleon.ca

Smarter Lock Just a Touch Away Weiser’s SmartCode 10 Touchscreen—a sleek, keyless deadbolt— feature’s Weiser’s SecureScreen technology, which prompts users to touch two random numbers prior to entering their unique access code, thus preventing passcodes from being identified by criminals who detect frequently used code numbers by noting the oily residues left by fingers on touchscreen surfaces. weiserlock.com 38

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FLEXing Their Muscles The award-winning and industry-praised iFlexFoam is a unique patent-pending insulation panel design for under-slab insulation. Whereas traditional insulation panels may move during installation, or break, leaving un-insulated spaces, or require significant installation work to adjust before pouring the concrete slab, the flexible, easily installed via its isoclick system, iFlexFoam ensures continuity of insulation, thus avoiding any loss of energy efficiency through a combination of unique features. isolofoam.com/english/iflexfoam

Bringing the light down under A manufacturer of basement egress-compliant window systems for over 40 years, Boman Kemp’s proven system also adds natural light and ventilation to the lower level of the home, bringing the feel of the upstairs down to the basement and increasing the living area of a home. boman-kemp.com

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For more than thirty years, DuPont™ Tyvek® has set the performance standard and today it protects millions of homes in North America. Our weather barriers are made using a unique process that fuses polyethylene fibers into a strong uniform web structure that provides superior air and water hold-out while letting moisture escape. Whether you’re building a new home, or residing or remodeling an existing one, insist on DuPont™ Tyvek® for superior weather protection.

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Top shelf

Dust-free Zone Broan introduces a central vacuum platform, the features of which include UltraSilent technology that is up to 17 dB quieter, as well as a new Thru-Flow motor (available in three models: 500, 600 and 650 air watts) that’s up to 18% more powerful than the previous generation—ideal for homes up to 9,000 sq. ft. The Canadian-made product also has a HEPA air filtration system that captures up to 99.97% of all dust and particles. broan.ca

Top Marks for Top Gun Already a bestseller in the U.S., Top Gun sealants and caulks—backed by a satisfaction guarantee—are now available in Ontario at all Dulux Paints stores. Stateof-the-art, fine-grind technology and the highest-quality acrylic and latex polymers results in sealants and caulks with no air pockets in the tubes or dripping when the trigger is let go. dulux.ca/pro/ products/Caulks-and-Sealants

an Evolutionary Step Up Manufactured by Richmond Hill’s Werner Access Products Canada, Weather Guard’s next generation EZGlide2 Drop-Down Ladder Racks for contractors and remodellers is rugged, yet also the most lightweight and versatile model on the market, promises the company. Ideal for handling heavy ladder loads, designed to safely hold the most equipment possible and 50% easier to operate than competitor drop-down racks, it’s also more affordable than the firstgeneration EZGlide. weatherguard.ca 40

ontario home builder spring 2016

Lightning Bolt Bolt cutting is made quick and easy with H.K. Porter’s new Powerlink. Available in 18” and 24” handle lengths, the Powerlink has a double compound action system that requires 30% less effort to cut than traditional bolt cutters, says the manufacturer. High-performance steel handles provide extra strength and power for each cut on a variety of materials. apexhandtools.com/brands/hkporter

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Behind Every Successful Contractor There is a Great Partner.

Goodman is mine. When it came time to find a strategic partner to help take his company to the next level, Mike Martino knew there was only one choice: Goodman. With Goodman on one side and “the best employees in the business” on the other, Martino HVAC became Ontario’s premier HVAC contractor. Service calls were significantly reduced and, along the way, Martino picked up many industry honours including the prestige of being named BILD’s “Trade Contractor of Year” an unprecedented three times. Martino won’t give you all the secrets to his success, but one he’s happy to share is the importance of a great product partner. As Mike puts it, “Goodman is mine.”

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CHBA National Homebuyer Preference Survey reveals what features buyers want— and don’t want—in their new homes By Alison King

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ohba.ca


Access to greenspace, walking paths and biking trails, such as this pedestrian trail system in Aurora, ranks near the top of the list for new-home buyers.

It’s 2016 and today’s new-home buyers are savvy, educated and have higher expectations than ever. So when someone comes asking about their preferences, the answers are well worth listening to. The Canadian Home Builders’ Association launched its inaugural National Homebuyer Preference Survey in 2015, gathering critical information that provides customer insights to builders and renovators across Canada. And while knowing the local market and identifying which trends are driving buyer demand is essential to the success of any new development project, perhaps equally important is understanding what buyers don’t want. Busy prints, brass fixtures and wall-to-wall carpet? No way. Whirlpool tubs with large tile surrounds and popcorn ceilings? Kiss them goodbye! Today’s buyer is looking to maximize living space with luxury features and a modern design aesthetic. More than 12,000 homebuyers were surveyed in the nationwide market research study conducted by Avid Ratings Canada. And while there were specific tendencies in certain regions and among particular demographics, Avid division president Tim Bailey also noticed consistent trends across the country and in all ohba.ca

types of developments, from single-family dwellings to high-rise condominium complexes. “Today’s consumers want as much home for their money as possible, and want to make the most out of the space they have,” says Bailey. “They won’t, however, accept lower quality and are willing to either pay more for that quality or sacrifice square footage or location to get it.” According to Bailey, space was a recurring theme in the survey results. Particularly in the low-rise market, buyers do not want homes without sufficient storage space, walk-in closets, kitchen pantries and large garages. A single-car garage is no longer enough and a master bedroom without a walk-in closet is unthinkable. Buyers are still searching for significant outdoor space as well, with 50% of respondents indicating they preferred a lot size of 30 to 50 feet wide, and 21% wanting lots larger than 50 feet. “At a time when ‘intensification’ is all the rage, this consumer desire for large single lots may come as a surprise to some,” says ontario home builder spring 2016

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Sleek European-style kitchen cabinetry and islands are in, as are spa showers. Courtesy Gordon Car Interior Design.

Bailey. “That’s why having Canadian-based research like this is so important—not only to ensure the home building industry is meeting consumer demands and expectations, but to inform government policy and guide industry advocacy to ensure policies align with what’s actually happening in the marketplace.” It’s interesting to note, however, that while buyers seem to want bigger lots, they aren’t necessarily focused on buying finished outdoor space. Pools, hot tubs and outdoor fireplaces did not rank high on the list of buyer preferences. Bailey believes homebuyers are willing to sacrifice these features initially in order to afford more house, knowing they can finish the outdoor space to their taste at a later date. What other features may turn off prospective purchasers? According to Bailey, the list includes laminate or tile countertops in kitchens and baths, whirlpool tubs with large surrounds, dedicated hobby rooms or workshops, and homes that don’t boast energy-efficient appliances and features. While more tolerant of space and storage restrictions within their units, condo buyers are placing more importance on communal amenities such as on-site fitness centres, 24-hour security and wifi throughout the complex. Sebastian Mizzi, Vice-President of Concord, Ontario-based SigNature Communities, welcomes the insights revealed by the survey and is not surprised by its results. “Buyers are very educated and very aware of marketplace trends and values,” says Mizzi. “Houses are as much an investment now as they are a place to live. Eight out of ten of our clients are already considering resale value when they first buy, so they pay very close attention to design, layout and finishes, with an emphasis on a clean, modern style that will increase their ROI.”

Bathrooms

Master bathrooms, once considered a luxury, are now a “musthave” item on everyone’s list. High-end fixtures and finishes such as rain-head showers and full-body sprayers create a spa-like experience that is highly prized by consumers. “A key factor for homeowners is making the most of the space they have,” says Mizzi. “Buyers found that the large whirlpool tubs that were so popular a few years ago take up too much space and were rarely, if ever, used. They have been replaced by sleek, freestanding tubs and larger glass-enclosed showers that get used every day.” Brass fixtures, 12”x12” tiles and busy mosaics are out; sleek glass, shiny chrome, and larger 12”x24” floor tiles are in. Granite and quartz countertops have moved beyond the kitchen and have now replaced traditional laminate or tile counters in the bathroom as well.

At a time when ‘intensification’ is all the rage, this consumer desire for large single lots may come as a Kitchens surprise to some

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The kitchen is still the centre of the home, both literally and figuratively. The lines between kitchen and living space have blurred, resulting in a room that needs to accommodate cooking, dining, entertaining, working and relaxing in style. Here more than anywhere else, maximizing the available space is key. “For a while there was a big trend of having desk space in the kitchen as a place to pay bills, work from home or have kids do their schoolwork,” says Mizzi. “Many of today’s homes have dens or home offices, but even those are becoming less common as buyers turn away from rooms that have only one use. With mobile technology and wifi we can really work from anywhere now; ohba.ca


For condominium residents, a well-appointed fitness facility is a must-have, as are efficiently sized room furnishings.

having a dedicated desk in the kitchen is just not an efficient use of space. Buyers would rather see a large island that can function in a number of different ways.” Over-the-range microwaves have given way to elegant range hoods that add designer flair and a focal point to the kitchen. White and black appliances have all but vanished from new homes, as buyers prefer stainless steel and larger commercial-sized ovens, stovetops and refrigerators. Clean lines are key, from sleek cabinetry to solid-surface countertops and backsplashes. Tile countertops are a huge no-no, both aesthetically and because of the difficulty cleaning grout lines. Low-maintenance alternatives such as granite and quartz are more appealing to the busy lifestyles of today’s buyer and have become more affordable in recent years.

MUST-HAVES FOR 2016 What are the most desirable features for today’s newhome buyer? Think sleek, modern and luxurious:

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Courtesy Gordon Car Interior Design.

Foyers

While buyers still want to make a statement with the entrance to their homes, the huge foyers once so popular have become less desirable in some market segments, particularly those considering homes on smaller lots. “Builders are trying to squeeze in all the features that buyers want, and something has to give,” says Mizzi. “The huge foyer is a lower priority in smaller homes, as buyers want functional space they can actually use. They still want that grand impression when you first walk in, so we have to be creative and use the vertical space, for example, to create that statement with soaring 20-foot ceilings in the entry. The homebuyer gets the impact they want, without giving up the square footage on the main floor.

• Minimum nine or 10-foot ceiling heights

• Rain heads and full body sprayers in the shower

• Quartz or granite countertops in both kitchens and baths

• Walk-in closets in bedrooms

• Large-format tile flooring in kitchen and bathrooms – minimum 12x24

• Commercial grade kitchen appliances in stainless steel

• Hardwood flooring on both the main and second floors • Freestanding soaker tubs • Oversized glassenclosed showers

• Sleek Europeanstyle kitchen cabinetry • Large kitchen islands

• Spacious kitchen pantries • Cool, neutral colour palette in whites and greys

• Energy-efficient appliances • Access to green space, walking paths and biking trails • 24-hour security (condos) • Wi-fi (condos) • Fitness facilities (condos)

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While large whirlpool tubs are no longer a fan-favourite, freestanding tubs are hot. On the kitchen front, stainless steel and energy-efficient appliances are sought-after commodities.

Mizzi cautions that taste varies greatly with location and demographics, which is why having detailed market research such as the National Homebuyers Preference Survey is so important. Gordana Car, President of Gordana Car designs, agrees. Car’s Newmarket-based firm specializes in designing presentation centres, model homes and suites, as well as decor centres for leading builders and developers. “The age and lifestyle of the buyer has a lot to do with their design taste and preferences,” she says. “The modern look has been very strong in the condo market for a long time now. Furniture has been specifically designed to fit the scale of smaller rooms, where sleek, clean lines add to the impression of more space. Increasingly we are seeing this trend move into low-rise, both in home interiors and the exterior design of subdivisions.” In the decor centres her company manages for developers, Car advises buyers to maximize their budgets on the kitchen, bathrooms and hardwood flooring. “Those three key elements are the ones buyers can’t afford to change every few years,” she says. “It’s important to look at longevity and what will still appeal to a re-sale buyer a few years down the road.” She says cool grey and white colour schemes have replaced the

TOP TURNOFFS FOR BUYERS Our experts agree; these features are guaranteed to turn off most newhome buyers:

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browns and beiges popular in recent years, while buyers have turned away from elaborate mouldings and trim in favour of clean, square lines, simple trim and flat-panel cabinetry. Wall-to-wall carpet has become obsolete—even on the second floor for many buyers. Hardwood still reigns supreme, but today’s buyers dislike a natural oak finish, the survey suggests, whether on floors, cabinets or railings. Increasingly builders are replacing traditional wood or wrought-iron railings and pickets with the clean, modern look of glass. “Things have changed dramatically in the past few years,” Car says. “Today’s buyers have very high expectations. With a custom build, of course, the sky is the limit and everything is designed to the client’s taste. However, even in condos and new subdivisions buyers are seeking high-end finishes and a certain level of customization. Model homes used to be over the top, featuring every upgrade under the sun. Now we see builders embracing a very minimal look with attention paid to the most important features: kitchens, bathrooms, flooring and ceiling heights. Clients are very clear about what they want—and what they don’t want—in their new homes, and the home building industry is listening.” OHB

• Busy patterns and prints

• Brass hardware and fixtures

• Formal living rooms

• Tiled or laminate countertops

• Single car garages (single family homes) or uncovered parking (high rise condominium)

• Popcorn ceilings

• Lack of storage space

• Faux finishes

• Wall-to-wall carpets on the main floor • Large whirlpool tubs

ontario home builder spring 2016

• Over-the-range microwaves

• Dedicated hobby rooms

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ONTARIO HOME BUILDER SPRING 2016

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From the kitchen to home security and your washing machine, modern homes are quickly getting a lot smarter

It’s All Connected By Ted McIntyre

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“Siri, I’m home.”

The lights are raised to a predetermined level, your favourite background music begins to play, the security system adjusts to ‘Home’ mode, the kettle starts to boil and your smart thermostat, expecting your usual arrival, has warmed your surroundings accordingly. It sounds like science fiction to many, but it’s all current technology, and it’s about to become as ubiquitous in our daily existence as cell phones and big-screen TVs. Recent data from England-based Juniper Research reveal that the consumer spending on smart-home services, including entertainment, health, energy and home automation, will reach $100 billion worldwide by 2020, well over twice the $43 billion spent in 2015. Others feel that future estimate is conservative, particularly with annual growth in the U.S. alone expected to be about 28.2%, reaching $20.9 billion by 2020. Driven by falling hardware costs and increased consumer awareness, Gartner, arguably the world’s leading information technology research and advisory company, estimates that the average home will contain more than 500 smart home devices by 2022. Ramsin Khachi has seen that future. Actually, he saw it some time ago. “Stuff I showed some builders five to seven years ago is just catching on, such as ZigBee (wireless language) and Z-Wave technology,” says Khachi, an Oakville-based interior design, construction and decorating expert who founded Khachi Design Group nearly 30 years ago. “Even a couple years back, builders were still offering ‘smart’ wiring in the house, which is hardly ever needed anymore,” says Khachi. “It’s all about being wireless now. Smart-home technology is unavoidable. We have gone from doing $100,000 whole-home sound systems that provide constant headaches for people who press the wrong button on their remote, to installing the simplest systems possible—the majority of which are Sonos, a really easy-toohba.ca

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“Almost everybody wants a camera at some point, whether it’s on the inside or outside of the front door.”

integrate-and-operate wireless system. “There’s a mountain of technology now,” Khachi adds. “The trick is wading through it all and deciding what we should offer, and then building based upon that.” Las Vegas played witness to a host of that new gear, as well as prototypes of near-future hardware, during the 2016 Consumer Electronics Show in January. Nowhere was the relentless technological advancement more apparent than the hub of the home: the kitchen. Among the manufacturers leading the way is Whirlpool, with its three-piece Smart Kitchen Suite with the CareSync system. All three components—Smart Front Control Range, Smart Dishwasher and Smart French Door Refrigerator— were CES Innovation Award honourees. The suite, which can be remotely operated online, is anticipated to launch in late 2016. Its integration with Nest means that when the thermostat is in “Away” mode, the oven automatically notifies you if it has been left on. If the power goes out, the fridge advises you to check the food. The pairing with Amazon Dash means the dishwasher or washing 52

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Panasonic’s Home Monitoring System ranges from external cameras to interior water leak sensors.

machine can order more detergent if you’re running low, or schedule maintenance visits if something goes wrong. The list goes on. LG has a fridge that opens automatically when a person steps on the projection of an image on the floor. The Whirlpool Smart French Door model (estimated at $3,800 US) has wifi connectivity and a Party Mode that promises to fill the ice bin faster when you’re entertaining guests. Built-in cameras are also becoming fashionable, allowing users to view what’s inside the fridge on their smartphones while they’re shopping. And should you feel the need to stream music or video on your fridge, Samsung’s four-door Hub, a $5,000 US prototype, which includes three built-in cameras that take a photo of the contents every time the door is closed, features a 21.5” Gorilla Glass touchscreen panel that covers the near-entirety of the upper right door and brightens up automatically whenever built-in proximity sensors detect you drawing near. While the Hub may be a little over the top, Samsung expects 100% of its portfolio to be connectable by 2020. ohba.ca


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A Clean Slate Kitchens are also getting tidier, with fewer wires strung from cell phones and tablets to outlets, notes Toronto interior designer Jane Lockhart. “Look for areas with hidden charging stations to store devices like phones and tablets so that they are always operable, at hand and charged,” she told Houzz in January. Apart from the increasing popularity of state-of-the-art appliances, from steam ovens to built-in coffee machines and wine coolers, another advancement in the kitchen involves the first sanitizing faucet for household use in North America, Lenova’s AquaLogic. A potentially big draw for safety-minded consumers, the elegant design includes a small, thin ozone generator that naturally produces ozone water, a safe yet extremely effective way to clean hands, surfaces and food without chemicals or harmful residues. From sanitizing cooking utensils and cutting boards to disinfecting baby toys, ozone is ohba.ca

1. Nanoleaf ’s high-efficiency LED bulb is pricey, but might never need replacing. 2. Skydrop’s irrigation system monitors the weather before turning the sprinkler on. 3. LIV Communities has partnered with Panasonic at its Brampton project. 4. Samsung’s Family Hub fridge features a huge Gorilla Glass touchscreen. 5. Lenova’s AquaLogic is North America’s first sanitizing ozone water faucet.

a powerful antibacterial agent that oxidizes harmful microorganisms on contact. It’s 100 times stronger than chlorine and kills bacteria 3,100 times faster. Beyond the kitchen, home security is at the forefront of homebuyer concerns. And it too is taking leaps forward, from showing video of those at your front door on your smartphone app to infrared sensors in your yard triggering your closedcircuit TV monitors (see “Safe and Sound,” p. 29). “Almost everybody wants a camera at some point, whether it’s on the inside or outside of the front door, because the face recognition allows them to see who has come through the front door and email you—especially families with kids, where parents want to know who’s walked in the door, or an unrecognized individual,” says Khachi. There’s also innovation in the backyard. Forget programmable irrigation systems—the Skydrop smart sprinkler takes information from a local weather station and will adjust your lawn watering based on that information. ontario home builder spring 2016

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And the winning platform is… Consider it the new-age VHS vs Beta. Google has its Brillo platform, Apple has HomeKit and others like ZigBee and Z-Wave already have a foothold in a world competing to be the brains of your smart home. Another strong contender for the home wifi platform is HaLow, which promises to double the reach of current wifi signal while also using even less power. The international Wi-Fi Alliance intends to begin certifying HaLow products sometime in 2018, but the first of them may begin shipping shortly before then. While the integration of appliances will increase every year, no one wants 20 apps to run their home. So who will integrate all of this so they’ll talk to each other? Who’s going to have the best network? Many think Apple will gain momentum, with companies like alarm systems, security cameras and lighting climbing on board. And unlike traditional Apple technology, which almost prides itself on its lack of compatibility with all competitors in the electronics and software world, HomeKit can be licensed to other companies. That means having the entire home accessible from your iPhone, iPad or even your Apple Watch. Until one or two competitors are left standing, there could be hiccups in the process, cautions GLS Technology’s Jordan Tovell. “So many automation platforms are being introduced and competing against each other. It’s great to see the market options exploding, but this also means that the potential for consumer frustration is very high when they all fit together. It’s going to be a popular trend in both new and existing homes, but for the next little while it’s also going to require the need for home technology professionals and others in the industry to help both builders and consumers wade through the confusing background technology and present solutions that work with as little setup and ongoing maintenance as possible.” Some of potential pitfalls of the new technology became evident with the swarm of complaints after internet-connected Nest thermostat users complained of plunging home temperatures in early January. The company cited low batteries and a bugfilled software update as the culprits. But it demonstrated the potential vulnerability of having control taken out of the hands of homeowners. And then there is the potential for hacking. “Imagine 50 billion devices connected to the cloud, 20 to 30 per home,” noted Eric Free, V.P. of Intel’s Internet of Things Group, during the CNET Smart Home Panel at the 2016 Consumer Electronics Show in Las Vegas. “The good news is that many companies are working very hard to make these devices secure. But it’s an ongoing issue, and it’s one that we as an industry have to work together on.”

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A Light Bulb Goes On As bright ideas go, though, LEDs (light emitting diodes) are at the forefront. Today’s highest-performing lights consume 85% less energy than incandescent bulbs, and the Washington, DC-based Building Technologies Office expects their efficiency to double from the current 125-135 lumens per watt to 230 lumens per watt in the next few years as result of continued R&D. According to ABI Research, the residential smart light bulb is set to approach a quarter-billion shipments by 2020 due to falling LED prices and simpler connectivity among systems. “I’m leery of pre-wiring for lighting systems—that’s more for upscale purchasers,” advises Khachi. “We’re now getting into systems where light bulbs are wifi-enabled. A company called Nanoleaf is producing incredibly efficient LED bulbs that operate on the Apple HomeKit, where you can say, ‘Siri, put me into Dinner Mode and Siri will dim the lights at the source; there’s no need for dimmer switches. These are the bulbs of the next two decades.” Featuring the same sockets as incandescent bulbs, but with an extremely efficient dodecahedron configuration—sort of like a traditional bulb that’s been cut like a gemstone—they are admittedly expensive at $30-$40 a bulb. But Nanoleaf says you’ll save $300 over its life in energy costs alone (and with a 27.5-year lifespan, you’ll never have to buy another light bulb.) There’s also a remote control for Lutron’s Connected Bulb that’s available for builders and integrators to market greater convenience and ease-of-use to clients. The remote uses ZigBee wireless technology to control up to 30 smart lights without the need of a hub, bridge or smartphone.

Working together It’s not merely a case of captivating the imaginations of new-home buyers. There’s also added profit to be had for builders when it comes to ‘educating’ smart homes and their owners, Khachi explains. “While there’s not much money to be made in selling a homebuyer a Sonos sound system, for example, there is when it comes to setting up for it—installing the speakers; things that make life simpler for homeowners. People want the flexibility of a wireless system, where they can walk in and run their entire house, be it audio, outdoor and indoor lighting, locks or cameras. I see elements like Siri running the house more and more.” Siri now has a rival sibling. Alexa, the cloud-based voice service of Amazon Echo, can also integrate with the smart-home environment. And as the societal trend of aging in place continues, such technology will be highly sought after, as it allows disabled individuals far more independence. LIV Communities is among those recognizing the merits of upping the ante, tech-wise. The home builder has paired with Panasonic and its Home Monitoring System in an estimated 500 homes as part of its Casablanca and The Classics subdivisions in Brampton. “What we’ve done is deal with the biggest challenge of all in this smart-connected world,” says Panasonic Product Manager Andrei Nicoara. “Our perspective was not to do one-offs—locks, door sensors, lights—we wanted to give the consumer many different devices in the portfolio, operating off one hub. One of the newest we have that is interesting for builders is our water leak sensor. We all know what a pain and expense water damage can be for ohba.ca


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What We Have Here is a Failure to Communicate Although the various platforms vying for top billing to control current and future smart devices—from Apple to Z-Wave—means inevitable hiccups moving forward, just getting all of a home’s devices to communicate at the best of times is already problematic for many homeowners. “The biggest challenge with all this wireless technology is having connectivity throughout the house so that everything is integrated,” advises Ramsin Khachi, founder of Oakville-based Khachi Design Group. “Right now, most homeowners have to figure out where the best place is to put their router, and where they might need repeaters throughout the house so they don’t lose signals. That’s why it’s important for builders to offer access points on every level to extend wifi throughout the house. “We run a Cat-5 or Cat-6 (ethernet cable) to the first floor someplace that is inconspicuous, then a Cat-6 to the second floor,” says Khachi, “And they all get tied in as access points, so your wifi system has arms that reach through the entire house.”

consumers. This app will alert the homeowner of a leak so they can stop it early. Builders are gravitating toward that one.” Although Panasonic has no major ‘smart’ appliance as of yet, everything will be interconnected in the near future, says Nicoara. “There will be no such thing as ‘dumb devices’—ones that don’t talk to each other. Everything electronic will have a chip in it.” Even car manufacturers Ford and BMW are already working on in-car apps (Ford with Amazon’s Alexa) that allow drivers to control smart-home devices from their car. So you’ll soon be able to turn on the lights, heat up the oven and open the garage door without taking your hands off the wheel. “Builders also need to start upselling elements like smart thermostats,” suggests Khachi. “If you’re building 300 houses, negotiate a deal with Nest and make your money up front. We include a smart thermostat that you can integrate into your ‘home’ app. We’re including an HVAC system that integrates with this and zones your house into three zones. You’re paying a few thousand more, but this is what you’re getting as a result—these special LED bulbs, this HVAC system, this thermostat—and you have your automated system right off the bat! Little things like that make a big difference to homebuyers. And you can easily extend this system if you like, and buy more bulbs, etc. It distinguishes a builder from the competition. And it’s a good investment for the homeowners. Give them something that solves a problem for them and saves them time, and that is easily accepted. Package the upgrades or include them up front. That way you’re getting the 56

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buying power up front and negotiating numbers and making your money there.” It’s all good news for production builders, who will invariably begin to foster new relationships with tech providers and manufacturers in constructing fully integrated smart homes. At the same time, new-home buyers will need to rely on experts to guide them, since this new technological landscape will be uncomfortable ground for the DIY crowd. But while the latest technology is cool, it also needs to be practical, reminds Khachi. “There’s a lot of wishful or useless technology out there. It’s about finding an application for it. Do people really want to turn on their oven on their way home? Probably not. But everyone would want to know that the door is locked, their garage door is closed and that the oven is off.” Simplifying its use is the primary hurdle. In reviewing its 2015 State of the Smart Home report, Icontrol Networks observed, “One thing is clear: We need to ground the smart home in reality. The (report) showed that simplicity and ease-of-use trump technological innovation, and today’s consumers want devices that solve real, everyday problems. In just 12 months, we’ve seen a rise in the level of excitement about the smart home, with millennials (79%) and parents (76%) leading the pack, and 50% of the overall population excited about the technology. Intent to purchase smart-home technology is quickly following suit, with 50% of (Canadians) saying they plan to buy at least one smarthome product in the next year.” OHB ohba.ca


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Southern Exposure On ta r io bu ilder s a r e m a k i ng a n i mpac t i n t he U. S . a nd be yond By Tr acy Hanes

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Mattamy’s Bartram Park model home in ohba.ca Jacksonville.

all them builders without borders. Facing challenges s uc h a s a s hor t a ge of developable sites, steep land prices, high development fees and lengthy approval processes, some Ontario developers are looking beyond Canada for new opportunities. Companies such as Mattamy, Minto, Brookfield, Great Gulf and FR AM are among the developers staking a claim in the United States. What’s drawn them south of the border is greater availability of sites, markets with good growth potential and easier approvals processes. “Mattamy was fabulously successful in the GTA, but for the business to grow, we had to get out of the sheltered existence in the Greater Toronto Area, with provincial directives such as intensification and the Greenbelt,” says Brian Johnston, Mattamy COO. Mattamy Homes founder and CEO Peter Gilgan bought several home building companies in Minnesota, Florida and South Carolina in the early 2000s, but pulled back while trying to keep a small presence in the U.S. market after the crash of 2008. Three and a half years ago, the company started expanding more aggressively in the U.S., striving to build projects of scale in Florida, Arizona and North Carolina. It still operates in Minnesota but on a lesser scale than the other states, although that’s where its homes sell for the highest prices. Mattamy started by buying serviced lots in other developers’ American sites, then moved on to acquire larger tracts where it could build master-planned communities with its own brand. In 1993, as the Ontario housing market was struggling to recover from recession, FRAM Building Group started building on a limited scale in Buffalo so that it wouldn’t have to lay off some of its employees. ontario home builder spring 2016

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TripAdvisor rates the Giannones’ Hotel Torre Fiore in the Basilicata region of Southern Italy a perfect five stars.

The Italian Connection

Afterward, it looked to a city where it could do larger projects and settled on Dallas. FRAM sent a few key staff there with flexible mindsets who could adapt to the Texas market rather than imposing a ‘this is how we do it in Toronto’ mindset. “ We’ve done a few condos, some lot developments and a little home building there, but we started building affordable and market rental housing, and that’s our primary business in Dallas,” says Frank Giannone, president of FRAM. “We get people moving into a building, stabilize and then sell it.” Hav ing operations in three major cities—Calgary, Toronto and Dallas—where the timing of economic cycles differs—has proven to be a sound business strategy for FRAM. Great Gulf, for its part, gained 60

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As children, Frank Giannone and his siblings spent their summers in southern Italy and wanted the same for their own kids. The family looked at getting its own ‘summer cottage’ in Italy and bought a 16th century masseria, a fortified rural compound built as a military outpost to guard against Turkish invasions, near the town of Pisticci. What began as a vision for a family vacation house evolved into plans for a boutique luxury hotel that would also accommodate tourists. The result, Hotel Torre Fiore, has been operating for six years and is operated by Giannone’s sister, Mariana, with 13 unique suites with upscale luxuries. Transitioning the property from decaying ancient structure to modern hotel was no easy feat, as Giannone’s father, Giovanni, who was in charge of the project, soon discovered. “The renovation was tough and my dad was so frustrated, as the pace of work is much different than in the GTA,” says Frank. “Here, the trades are fast and do great work. I said, ‘Dad, all the good construction workers came to Canada.’ It took about twice as long as here—more than three years to renovate 10,000 square feet—and the costs were much higher, but they did a wonderful job.” As in Toronto, the approvals process was lengthy and arduous. As the property was historical, it was an uphill battle to obtain permission to build amenities such as a pool and fountain. But since it opened its doors, Hotel Torre Fiore, rated a perfect five stars on Trip Advisor, has garnered rave reviews for its accommodations and restaurants, and has attracted visitors from around the globe, among them Canadian Prime Minister Justin Trudeau.

a U.S. foothold two decades ago, when it started Ashton Woods Homes, now a stand-alone American company that builds throughout the Sunbelt. The company’s Canadian condominium division recently began developing projects in the U.S. and currently has two condo projects in Dallas, including a downtown 21-storey luxury building that is in the sales phase, and another site launching shortly. It also has sites in the West Palm Beach, Florida area and in Washington, D.C. Why did Great Gulf venture south? “The number one reason was taking the platform of experience and expertise we’ve built here and expanding that to new markets,” explains the company’s president, Christopher Wein. “Number two was that it’s getting harder and harder to find opportunities in Toronto and we ohba.ca


need to look at other markets in Canada and south of the border. If you have a great platform in one of the most aggressive markets in North America, why not export it to areas of the U.S. undergoing a good recovery?”

Great Gulf’s Turtle Creek project in Dallas is in the sales phase.

CHOOSING U.S. SITES “Unlike the GTA or even Ottawa, it’s not hard to find sites at all,” says Mattamy’s Johnston. “There is lots of land available. A reasonable price is more of a challenge, but there is a lot of good-value opportunities. Canadians are very quiet about it, but they are major players in the U.S. in terms of real estate.” Similar to what it does in Canada, Mattamy wants large sites where it can build master-planned, low-rise communities. But it goes to school, so to speak, when it comes to site selection. “Americans judge everything on a school district and it’s a key part of our approval process,” says Johnston. Great Gulf researched American cities undergoing similar urbanization as Toronto, with populations of 1 million-plus, strong employment, good net immigration and stability within local and state governments with respect to tax structures and approval processes. It identified Dallas, Houston, Austin, Boston, Miami and Washington as cities with strong growth that would present good condo development opportunities. The company looks at “truly urban sites,” says Wein, within or close to central business districts. “From a site perspective, the fundamentals we look at are not that much different from here,” Wein notes. “It must be very transit oriented, as that’s part of the reason cities go vertical. For new immigrants or young millennials entering the workforce, the access to transit is far more important than for previous generations.” Giannone says FRAM looks for Dallas sites that are mainly urban, and while it has done some suburban rentals, FRAM prefers to stay within the Dallas metropolis, particularly with plenty of opportunity to be had and a ready availability of land in that market, though competition for prime sites is getting tougher. A

fairly straightforward and quick approvals process has also helped to keep the price of housing at affordable levels. It’s not surprising then that FRAM, Mattamy and Great Gulf are looking to develop long term in the U.S. locales they’ve chosen and to reap the benefits of relationships they’ve cultivated. “We are all about partnerships and supporting local economies. We want to be in a city for 25 years,” says Wein. “We try to find a city where we believe there is an opportunity to have infrastructure for a whole generation.” “We feel these markets (that Mattamy has a presence in) are

A Stormy Experience in the Sunshine State You’d think a Canadian builder with more than 30 years’ experience would have no issues having his own custom home built in Florida. But that’s not what happened when OHBA president John Meinen had a 2,400 sq. ft. home built on an infill lot in Bonita Springs, Florida in 2014. Since labour laws prohibited him or any of his employees from working in the U.S., Meinen hired a site supervisor recommended by a real estate agent. “Here, I’ve got my own trades, my own processes, but there, I was dealing with a whole new set of individuals,” recalls Meinen. In Stratford, Ontario, where Pinnacle Quality Homes builds, a building permit can usually be had within 10 days, as long as there’s no problem with the plan. In Florida, it took more than two months. Once work could commence, Meinen wanted the pool and hot tub installed before the house construction started, as it was easier than after the fact. After the seven-inch-thick concrete pool walls were poured, Meinen discovered the pool had been installed where the house’s dining room was supposed to be, so the whole thing had to be removed. That involved jack hammers, dump trucks and $25,000 to remedy.

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Next, he found his $10,000 window order was wrong. When the house was constructed, framers had not placed trusses correctly and the roof at the rear of the house was sagging—a deficiency Meinen fixed himself. And the pebble finish the site supervisor had recommended was so sharp, it scraped and cut anyone using the pool, thus had to be replaced. Meinen insisted that the house be built to energy efficiency standards comparable to Ontario’s but discovered trades in Florida were not well versed in those techniques. Though he was told many times that the level of insulation and sealing of the house he insisted on wasn’t necessary, he had the last laugh as his energy bills were 75% less than his neighbour’s, whose house was half the size and didn’t have a pool. Though the house did get finished and the errors corrected, Meinen sold it, as “the whole thing left a bad taste in my mouth. “If you are going to buy a one-off house and having it built, be very cautious,” he advises. “Do your research and make sure you are getting a reputable builder. It’s not as easy as you think it will be. I’m not saying I’d never buy a house again in Florida, but I’d buy one that’s already built.”

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relatively large and growing and there plenty of opportunities to expand,” says Johnston. “You want to take advantage of the people you have and expand your trade base, rather than going off to another market where you are going have to relearn everything.”

The approvals and building process “It’s a lot easier to get approvals (in the U.S. markets),” says Johnston. “We have a lot of red tape in this province and I personally believe it’s a source of house price inflation.” Johnston says some areas of the U.S. actively encourage development and a builder can get through the planning process in short order. “In some areas, you can go from raw land to your first house in two years. But that means competition can pop up very quickly. It’s a more elastic market.” Lower development charges are an added bonus. “Development fees for a single-family home are $100,000 in Milton. In the United States, $10,000 would be high—and people would be horrified. We are not building in California, though, where they charge outrageous amounts.” Wein says the key is to understand the local needs and political dynamics. “We take our experience from Toronto, but don’t head into a U.S. city saying, ‘This is how we do it in Toronto.’ We use lots of local consultants, meet with local officials and politicians to determine their needs and pressure points and craft a development that works best for them.”

Wein says if a developer pushes his agenda too quickly, “it can be extremely difficult,” but “if you’ve taken the time to understand the administration, politicians and general public, it’s a relatively smooth process. Many cities don’t have the level of activity we have here, so you get more time and attention. Many cities are still in recovery mode, open for business and excited to have new development.” Finding skilled trades hasn’t been difficult either. “Labour is one of the things that ebbs and flows, but there is a very large labour pool to draw from and people are drawn to where there is employment,” says Wein. “Because we focus on residential condo towers, there is a lot of crossover labour, mainly with commercial trades that are building hospitals, office buildings and universities.” “In Dallas, if you pay bills and show that you know what doing, they (trades) will work for you,” says Giannone. “It’s tougher doing business in Ontario outside the GTA than in Dallas in terms of finding trades. If you move 90 minutes outside the GTA, you are into a whole different market and it’s tough finding workers.” “We’ve been in Florida for seven years and the industry is getting busier,” says Johnston. “A lot of trades who left after 2007 and 2008 are coming back. Trades always respond to what you are paying and it’s always good to hire someone local and knowledgeable. They carry with them their reputation and trust. Local content is key and we try to get senior management that is local. Those relationships are important.”

Labour is one of the things that ebbs and flows, but there is a very large labour pool to draw from and people are drawn to where there is employment

Low Loonie Making an Impact The low Loonie may have northern snowbirds rethinking buying a winter getaway south of the border, but for two large Canadian companies building in the U.S., it’s a more complex thought process. “Our buyers are American, our suppliers are American and our staff is American, so there is not much effect,” says Christopher Wein, president of Great Gulf Residential. “The Americans don’t notice that the Canadian dollar is down. With the U.S. economy looking so strong, we’re seeing some very good home sales.” Similarly, many of Mattamy Homes’ housing projects in the U.S. cater to American buyers and are built using U.S. suppliers and labour. And while it plans to launch a gated townhouse development in Orlando this year geared to snowbirds, Mattamy COO Brian Johnston says the dollar shouldn’t be too off-putting to a certain sector of buyers from the GTA, such as baby boomers looking to cash in on the local run-up in real estate value and downsize south of the border. That said, moving forward, Wein admits the low dollar is causing his company and other Canadian builders developing south of the border to rethink land investment strategies in the immediate future. “If you’re buying land in the U.S. with Canadian dollars, you are paying a significant premium,” Wein says. “We are looking more at Canadian-based investments because of

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the low dollar, including new opportunities in the GTA and in western Canada, because there are good deals to be had there.” The low Canadian dollar also invites more interest from foreign investors looking to purchase in the GTA, as well as local buyers who, buoyed by lower inflation, a strengthening job market and greater confidence, are looking to buy homes, Wein notes. From a supply perspective, the decline in the Canuck buck could make the cost of importing goods from Canada to the U.S. cheaper, including lumber, Johnston says. However, a nine-year-old lumber pact that managed the flow of Canadian wood to the U.S. by imposing export fees if prices fell below a pre-determined level has expired. Canada’s lumber industry favours extending the expired arrangement, but the U.S. lumber industry wants an even more restrictive deal. The latter has charged that Canada unfairly subsidizes such exports (mainly by not charging lumber companies enough to log on Crown land, while most U.S. lumber production is on private land) and is likely to mount a trade challenge. But it can’t do that until October, a year after the pact has expired, although any duties imposed can be retroactive. “Personally, I am more concerned about U.S. and other suppliers jacking up the price of their goods imported to Canada as a result of the decline in the dollar,” says Johnston.

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In 2012, Mattamy began expanding in the U.S., including Phoenix, Arizona.

Cross border shoppers •

Florida building codes require hurricane proofing, dating back to the devastation caused by Hurricane Andrew. “If you are a builder and have to deal with condo corporations, it can be a recipe for a lawsuit,” advises Johnston. “You have to be super careful about how it’s built and don’t mess it up and document the construction process. There are lawyers who will convince boards of directors of condos that if they don’t sue the builder, they themselves could be sued. It’s not wise to go into Florida without being very, very careful, (including) how you are building and who is building it.”

Canadians shop for less expensive homes than other foreigner buyers. The NAR report found that half of Canadian purchasers surveyed paid less than $200,000 (US) in 2014, with the overall mean price being $260,800.

Among those Canadian buyers, 53% of their home purchases were for vacation homes, and the majority of buyers (61%) planned to use the properties for three to six months out of the year.

Arizona is the second-most popular state for Canadian buyers, making up 16% of home purchases in the state.

Financing and pre-sales Another more complicated factor south of the border is mortgage financing. “Canadians understand how financing rules work and how to get a mortgage,” says Wein. “We have only a few banks in Canada. But there are thousands in the U.S. and the rules can be different at each bank or in each county. It’s not a simple or consistent system. On the flip side, a lot of customers on the condo side don’t require ohba.ca

Canadians comprised 31.6% of all foreign buyers in Florida in 2014, more than from any other country, according to the National Association of Realtors (NAR). But the influx was somewhat more subdued in South Florida, where Canucks accounted for just 7% of foreign purchasers, the Miami Association of Realtors reported. That’s down from 10% in 2011, but still strong given the waves of South American buyers that have been feeding the market.

financing. We are seeing a lot of emptynesters taking their home equity and using it to fund a purchase.” There is a much higher risk of cancellation of sales in the U.S., and in some areas laws don’t allow builders to take deposits, says Johnston. “You have to build a lot more inventory and you have to have inventory that’s move-in ready. And in many cases, you will not sell well unless you first have an amenity centre built by the developer.” While it’s rare that Canadians don’t think about money and how much they can afford and what their carrying costs will be, Americans often don’t,” says Johnston. And financing and down payment rules can be varied: military veterans need not make any down payment and those living in a designated rural area require a 2.5% down or 0% down payment, says Johnston. “Some of our sites are in rural areas, and the boundaries of rural areas are arbitrary.” Mattamy has addressed some of the financial monitoring issue by establishing Mattamy Home Funding to help buyers find a mortgage and get them qualified, as ontario home builder spring 2016

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most purchasers have a difficult time pre-qualifying. It has also introduced credit repair programs that offer buyers advice on how to improve their credit so they can qualify for a mortgage. On the condo side, while it’s something Toronto condos are very comfortable with, the practice of presales is still something buyers are adapting to in the U.S. Wein notes that a developer can still conduct presales, but closer to the construction start—perhaps six months. However, in markets that are heating up, such as south Florida, buyers are more willing to buy prior to construction starts. Giannone says the Dallas rental market has plenty of demand, although the vacancy is 4%-5%, so not as tight as Toronto’s 1.7%. “In Dallas, you have a constant rental market that’s being addressed by the building community, with 15,000 to 18,000 new units a year,” he cites. “Purpose-built rentals work there and have a return of about 7% for a developer, while in Toronto it’s only about 4%. In Toronto, many of the condos built are bought by individual investors to rent out and they are happy with returns that are lower.”

Design differences As with every community it builds in Canada, Mattamy gives each of its U.S. sites an individuality to provide it with a unique style that will appeal to the local market, while building everything from townhouses to large singles to accommodate three or four market segments. Florida is very backyard-oriented and there must be substantial outdoor living spaces, says Johnston. And buyers in masterplanned communities expect an amenity centre with a pool, patio, fitness centre and party room. And whether it’s a starter project or high-end condominium, everything revolves around the closet, says Wein. “The suite size is also different. Toronto is a leading North American city in terms of ultra-efficient design, but in a lot of U.S. cities, condos are still relatively large with not as much emphasis on efficiency.” Wein

says a 900 sq. ft. unit in Toronto is considered large, but in Dallas, that would be a small one-bedroom suite. “Parking ratios are higher too,” says Wein. “They rely more on automobiles and we have to build two parking stalls for every unit, which is double to quadruple what we provide in Toronto.” Great Gulf ’s Toronto architects have partnered with local architects and designers in each American market to get a feel for what designs will be well received locally, “then we take what they want, add a twist of innovation and hope it proves to be a success.” Condo amenities, meanwhile, differ slightly. In Dallas, valet parking is common, concierge is more service than security based, and there are pet-based features including pet washing and grooming stations, as well as areas for dogs to walk on site. And pools are also a must-have feature.

The snowbird market Although Mattamy has been building in the U.S. chiefly for American buyers who want a primary residence, it is also looking to the snowbird and retiree market and sites further south than its current projects, including an Orlando project geared to this market in 2016. In many counties, however, zoning doesn’t allow for seasonal residents or for people to rent out their homes, but it will be permitted at this development. Johnston says most buyers are people who will occupy their unit for two to three months and rent it out for the rest of the year. “There still is significant interest in Florida by Canadians despite the high dollar,” says Johnston. As with all ventures in new markets, due diligence is paramount, says Johnston. “Get people you trust and can rely on,” he advises. “There are lots of great Americans who are qualified and experienced who will work with you. It’s not the guy who is cheapest—that would be a mistake. Do your homework. It’s as simple as that.” OHB

Island Hopping For years, the Turks and Caicos was a family vacation destination for Kaitlin Group vice-president Bill Daniell. And that’s where his company built its first international project, Villa del Mar, a boutique condo-hotel on Providenciales, the most developed island in the Turks. “It’s similar to other developers going to Florida or another destination,” says Daniell. “They are entrepreneurs, fall in love with a place and see the opportunity.” As much as he loved the tropical location, Daniell didn’t rush into developing there. “I like to study things and took many, many years. I have been travelling there for 20 years and this took more than a dozen years to come about. It looked like a good place and a good opportunity.” Villa del Mar, with 42 units in three buildings, has been open for six years. It overlooks Grace Bay Beach and is within walking distance to restaurants, shops and entertainment—important considerations for investors who want to attract rental tenants to their units. As well as a tropical climate and stunning beaches, Daniell says other advantages include a large number of Canadian ex-pats living there and the fact that all major Canadian banks have branches there. And because property

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ownership rules follow the British law system, it’s a safe and stable place for real estate investment. Daniell says Kaitlin’s 30 years of development experience in dealing with timeconsuming and expensive processes was an asset. The entire project was built in just 14 months. “The problem with some developers going to the Caribbean is that they are not developers first. They made money in other places such as the stock market, then have a passion to build and have to learn everything for the first time. Fortunately, I was a developer first, so it was easy. We came in on budget and on time and that’s where our knowledge and experience came through.” The building code in Turks and Caicos is similar to Florida standards and the quality of construction is “at least as good as ours here,” says Daniell. The country draws an affluent clientele who have built homes there, so there is a quality trade base used to constructing multi-million-dollar homes. “I was surprised at the calibre of certain trades, such as the tile guy and trim guy, and you have people who are very good with concrete,” says Daniell. “And believe it or not, the mechanical contractors are Canadian.”

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The

Loan Arranger The viable financial alternative of nontraditional lending is coming to the rescue of many builders By Mark Wessel

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non-traditional lending

“It used to be that builders might go to an alternative lender because they couldn’t get a loan from a bank and they almost felt ashamed. But hey, we’re not the devil; we’re really not that bad at all. In fact, a lot of times, in our experience, the builder comes out ahead,” observes Paul Rayment, executive vice-president of Foremost Financial. “Even if you can qualify for a loan with an ‘A’ bank, you could wait three to four months or longer for approval. You may then have to meet pre-sale requirements of 75%80% before funding comes through. But we can provide funds in a couple of weeks and without pre-sale requirements so that you can build the project, sell it and move on to the next project more quickly.” It’s true—alternative lending in the past may have gotten a bad rap for any number of reasons, some justified. But when you talk to established players within the building industry—not just alternative lenders but builders who have worked with those lenders for many years—the general perceptions are quite positive. The consensus is that while alternative lenders do charge higher rates than banks, they also provide a viable lending alternative for builders by being more risk-tolerant (hence the primary reason for the higher rate), while at the same time providing a variety of benefits ranging from faster approval times to industry knowledge and expertise. “I would say today there is absolutely no stigma at all with alternative lending,” says Andrew Guizetti, executive vice-president, co-founder and CFO of Vaughan-based Empire Communities, a long-standing builder client of Atrium Mortgage and Investments Corporation. “I think what I’ve seen in my 25 years of experience is a growing prominence with alternative lending. As the real estate market has grown, it has opened up the need for alternative lenders who are able to provide a valuable service. In fact, I don’t see them as competition to the banks, but rather they all exist to work together.” A lternative lenders such as Michael Carragher, V.P. of mortgage investments at Firm Capital, would agree. “Whatever the ohba.ca

project profiles

Atrium Mortgage and Investment Corporation 1

Location: Etobicoke Type of project: A 39-storey glass tower and a 10-storey boutique residence comprised of 516 residential suites and 5,231 sq. ft. of retail space. Loan details: Once the project was 85+% pre-sold, Atrium provided an $8 million 3rd mortgage, subordinate to a $120 million 1st mortgage (construction loan) and $20 million 2nd mortgage (for deposit insurance). The interest rate was set at 12% per annum. LTV is 73% and repayment was projected for December 2015. Why they went with Atrium: The Construction lenders required more equity than the borrower had available. Atrium’s $8 million loan was accepted in lieu of $8 million of additional equity. Reduction in the required equity amount avoided the need for a JV partner in order to proceed through development. How Atrium made a difference: Its MIC financial strength with $460 million in assets, and reputation as a publicly traded company on the TSX, allowed the 3rd mortgage to be accepted by the construction lenders in lieu of additional developer equity. Outcome of project: Construction is complete and purchasers are now occupying the units. Sales are now closed.

Atrium’s $8 million third mortgage cleared the way for the final stages of its 39-storey Etobicoke project.

perceptions some builders might have, our experience is that a number of active builders have strategic relationships with their bank and also an alternative lender like ourselves. They realize they need financing for projects that are outside of the bank ’s standard underwriting guidelines on a timely basis, so they turn to experienced lenders.”

BATTLESHIPS VS. SPEEDBOATS Further to the comment from Rayment of Foremost regarding turnaround times, builders often look to alternative lending because they require a faster approval process than they’ll get with an institutional lender. “A lot of builder clients want to get the shovel into the ground to take advantage of the weather and to keep their trades going,” Rayment says. “Institutional lenders typically take longer to come back with an answer on whether they will fund a project. With us, you’re talking directly to the decision-makers, so a loan request can be processed quickly.” Compared to the ‘battleship’ banks then, which could take two to three months or longer to approve a loan due to their multi-tiered approval process, alternative lenders position themselves as the proverbial speedboats. “Our directors will usually approve a loan within 12-24 hours ontario home builder SPRING 2016

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non-traditional lending of our credit application being sent to them,” observes Rob Goodall, president of Atrium. “The bottleneck is never our approval but rather waiting for professional reports (i.e. appraisals, environmental) to come in.” While many lenders will indicate that they can do quick approvals, the reality is that sometimes everyone has to wait, whether it’s for a soil test or for an environmental report to check for hazardous materials if the building you’re knocking down was built before 1987.

RISKS AND REALITIES

consultants who enable them to assess the odds of the land acquiring proper zoning. According to Rayment, “If our planners tell us there’s a better than 50% chance of the builder getting proper zoning, then we’ll provide the necessary financing. Just don’t expect to get 80% of LTV before the land is rezoned—up to 65% is more reasonable.” Zoning hurdles are precisely the reason why Heathwood Homes procured financing from Firm Capital for a 30-acre parcel of land that had official plan approval, but still required a neighbourhood plan and a draft plan that all parties agreed would take two to three years. The land is now draft-plan-approved and zoned, the site is serviced and the houses are sold. Grant Simpson, V.P. of Heathwood, says the company typically deals with banks for construction loans, but that alternative lenders such as Firm “fill that niche on longerterm land financing, where the lands are designed for development, but still have a way to go before the land use is well defined. It’s usually only at that stage that the banks are willing to come in.”

The other reality when it comes to alternative lending is that while these financial partners are generally more predisposed to risk than banks, they obviously still have a vested interest in funding projects that are financially viable. As Foremost’s Rayment notes, “If something is not sitting right with us—if it’s not making sense, then we’ll go back to the builder to get a handle on whether the project will work. So essentially we’re acting as a sounding board, because it’s in the best interests for all of us to ensure that the project is successful. I think that sort A higher loan-to-value ratio both on land and construction loans of approach makes us much more of a team player.” is another key differentiator that alternative lenders like to The obvious takeaway is that whether dealing with a bank or an emphasize, which can have a direct impact on builder cashflow. alternative lender, builders still need to do the Many alternative lenders have a track record of project profiles proper due diligence in terms of knowing the offering of 65% LTV for construction financing market where they’re building, understanding and up to 80% for projects and sites where what product to build for that market and market demand is extremely high. “For us, 2 having a good grasp of how long it will take for the leverage is much higher with someone like each stage of the project in order to procure Atrium, who lend in the 65%-80% LTV range, Location: Aurora adequate financing. whereas a bank might offer 25%-40%, and then One of the other ‘risks’ alternative lenders the builder has to rely on their own resources Type of project: Residential development are willing to take on more often than an ‘A’ to make up the difference,” says Empire’s site of 6.21 acres, which the borrower plans lender is financing for land purchases. For Guizzetti. to rezone into 35 single-family lots instance, Firm Capital recently provided a Not unlike banks, the LTV percentage for Loan details: Provided $4,125,000 1st $4,125,000 30-month loan at 7% and 65% construction loans will vary from one lender mortgage acquisition loan at 7% per annum. loan-to-value ratio (LTV) to enable a builder to to the next, based in part on the nature and The LTV was equal to 65% of purchase price, purchase a 6.21-acre residential development scope of the project. For instance, Atrium with the balance funded by a combination site that they plan to rezone into 35 single offers loans ranging in size from $1 million to of a vendor take-back mortgage and cash family lots. In this instance, the sticking point $20 million for projects that get up to well over equity. The loan term was 30 months and for ‘A’ lenders would have been the fact the land 100 homes, with a typical LTV range of 60%fully open for prepayment. still needs to be rezoned. 75%. Meanwhile, Financial Capital Centre’s Similarly, Atrium recently financed an LTV range is 65%-85% for loans ranging from Why they went with Firm Capital: The unzoned residential development site of 6.33 $350,000 to $4 million, but the company tends borrower approached Firm Capital three acres on which the builder plans to develop 300 to provide a lot of financing for smaller infill weeks prior to closing; the vendor would not stacked townhouses and a mid-rise apartment projects ranging from one to five custom-built provide an extension, so the transaction was building comprised of 115 units, providing a homes. Foremost Financial offers loans up to very time-sensitive. $4.275 million first mortgage acquisition loan $10 million, but their sweet spot is loans in at 7.75% per annum and at a LTV of 75% over a the $2-4 million range for townhouse infill How Firm Capital made a difference: 24-month term. projects with an LTV of up to 75%. Firm provided a high level of service by A lter native lenders are often more As Guizzetti points out, across the board the pushing its underwriting process and the predisposed to land-purchase loans, even if it LTV is often higher with alternative lenders legal counsel to meet the closing date. isn’t currently properly zoned, due not just to than what banks are prepared to offer. So the fact they have a higher risk tolerance, but they’re taking on more risk, not just due to Outcome of project: The end result was a because they typically have a strong grasp of the nature of the project, but in terms of the successful closing with the developer now land values and also work closely with planning percentage of funds they kick in. The tradeoff moving forward with its approval process.

PROJECT COSTS: READING BETWEEN THE LINES

Firm Capital

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non-traditional lending for builders is although they could be paying an interest rate of 7%-9% for a first mortgage, they also have a better cashflow thanks to the higher LTV. Another trademark of alternative lenders, as mentioned, is they often don’t require presales, or if they do, the presales requirement is lower than institutional lenders. “We don’t have any pre-sales requirements for smaller projects,” observes Rayment of Foremost. “If a builder of a 10- to 12-unit infill project is in the right location and the project makes sense, we tell them to go ahead. In fact, we’ve done up to 18-unit projects without presales because of the location and the relationship we have with the builder.” Atrium’s Goodall says that with his firm no presales are required for smaller low-rise developments where it isn’t economically viable to build a sales centre. But he’s quick to point out that “the project must be well located in a major urban centre and must have the strong likelihood of being absorbed quickly. And the loan-tovalue and loan-to-cost ratio has to be more conservative to reflect the higher risk of having no presales.” So location is yet another factor that, from the alternative lender’s perspective, will impact on loan-to-value, loan-toconstruction and presales requirements. And the location that alternative lenders are prepared to provide financial assistance for can vary considerably. Foremost Financial’s business is heavily weighted in the GTA and some projects in outlying areas such as Kitchener-Waterloo, Guelph and Barrie, but all within southern Ontario. Financial Capital Centre takes a similar approach, targeting the GTA, Barrie, the Niagara region and Peterborough. In contrast, while Atrium is heavily weighted in Ontario (70% of their business), they also finance projects in Saskatchewan, Alberta and British Columbia. And Firm Capital provides financing (with loan sizes ranging from $500k to $50 million) in major urban markets across Canada.

EXPERIENCE: A TWO-WAY STREET If there is one overarching pre-requisite even alternative lenders have, it’s that even though they have a higher risk tolerance, for the most part they want to work with builders that are experienced, with a solid track record of getting the job done as close to on-time and on-budget as projected. Builders are similarly more predisposed to working with knowledgeable lenders, so that in ideal world the builder/lender partnership spans numerous projects over several years. Guizzetti says Empire has been dealing with Atrium for more than a decade because “they’re very professional and extremely knowledgeable when it comes to the home building industry. And because of that, they’re very flexible in accommodating our needs, because they know no two situations are alike.” Paul Gambino of Avvio Homes has similar observations of Foremost Financial. “The people we’re dealing with there provide great service and response. They know the local housing market and they took a lot of time to answer the questions we had.” Avvio is, in many respects, an exception to the norm, in that the $2 million in financing the company received to build two singlefamily detached homes was technically its first project ever. 70

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Using Alternative Financing to Maximize Project Returns With current land shortages, GTA builders are getting more creative with their projects, whether building higher density on existing lots or transforming former schools into new residential. They’re also finding creative ways to finance projects in order to move from one to the next sooner. With traditional big banks focused on financing loans starting at $5 million or higher, most small to medium-sized builders have to fund their own projects or find alternative means—literally. Alternative financing is an option for builders looking for as little as 300k-500k and as much as several million dollars. But, you may ask, isn’t an alternative lender going to cost you more? Not necessarily. In fact, dealing with an alternative lender could actually yield the best possible return for your project. Here’s why. “If you even qualify for a loan with a traditional big bank, you could wait three to four months or longer for approval,” explains Paul Rayment, executive vice-president of Foremost Financial. “You’ll then have to meet 75-80% pre-sales before funding comes through. An alternative lender could provide funds in a couple of weeks, and sometimes as little as 24-48 hours.” Because alternative lenders are more risk tolerant, 7-10% for a first mortgage isn’t uncommon. So on the surface, alternative lenders may seem to cost more. “But if you factor in the carrying costs between a project that you turn around quickly versus one that takes several months longer, you could actually generate a better project return with the faster, alternative finance route,” says Rayment. So is alternative financing right for you? Rayment suggests you keep in mind the following before deciding: Approval Times: Two weeks or less. Pre-Sales Requirements: With the right homes in a location where demand is high, pre-sales may be waived. Foremost recently financed a 23-townhouse project without pre-sales because of the high demand for this project and anticipated sell-out within one to two months. Is Financing for Land Available? Rarely with chartered banks, but often with alternative lenders. But without

proper zoning and site plan approval, don’t expect to get 80% of LTV; up to 65% is more reasonable. How Feasible is Construction Financing Before the Site is Properly Zoned? It depends on the lender. Foremost defers to its planning consultants, and if they feel the property has a better than 50% chance of getting rezoned, construction financing is offered. But if it’s a site where there could be as many as 18 townhomes but as few as 10, financing will likely be pegged to the lower number of units. When is the Optimum Time to Apply for Construction Financing? Ideally, after the site is properly zoned, and you have site plan approval and a well-thoughtout plan tied to building and selling the project out in two to three years. By significantly adding to the value of the project through these steps, it will translate into more funds for your project and likely a better LTV ratio. Do Lenders Work with Builders Who Have Financial Partners? As a builder, you might have a financial partner that’s providing an injection of funds in return for a share of the profit, which is a non-starter with many traditional banks. With some alternative lenders, it’s not a problem; with others, it is. What Criteria Do Alternative Lenders Look for in a Builder? Although more risktolerant, we’re still looking to work with builders with an established track record and a strong grasp of the market in terms of where to build, what to build, and the ability to make reasonable projections for everything from the cost and anticipated profit per unit to how long it will take from the time the shovel hits the ground to selling the last home. What Criteria Should Builders Look for in an Alternative Lender? Many of the same things, such as an established track record and strong market knowledge. But beyond that, seek out lenders that attract repeat business with builders because of the way they stand behind a project, even when problems arise. So is alternative financing right for you? At the very least, it’s an option worth exploring—one that might help you realize a greater return on your next project. ohba.ca


1-866-413-3099 | www.go.panasonic.ca/OHBA 1-866-413-3099 www.go.panasonic.ca/OHBA ©2016 Panasonic Corporation of |North America. All rights reserved. ©2016 Panasonic Corporation of North America. All rights reserved.


non-traditional lending

The borrower for this 18-unit Toronto townhome project viewed Foremost Financial as ‘more of a partner than a lender.’

So dealing with an ‘A’ bank and even some alternative lenders wasn’t an option. Gambino feels what won Foremost over was the fact that his brother and partner, Vincent, has an architectural technology diploma and had already taken on the role of general contractor in successfully building his own house. Meanwhile, Paul is a CA and CPA with an obvious strength in the area of number-crunching. Simpson of Heathwood says that while the 30-acre land purchase loan that Firm Capital provided was the first deal they did together, and his long-standing acquaintance with Michael Carragher of Firm is the reason they approached the lender, what clinched the deal was Firm’s market savvy. “They were knowledgeable in their assessment and management of the loan. So in our case they understood the land approval process as well as the financing.” While the business models all vary, the respective home builders agree that alternative lenders fill a need that, more often than not, complements rather than competes with traditional banks. The onus is still on builders to do their homework in terms of sourcing the right alternative lender, and to enter the process armed with the right project, plan and location. If you’re seeking a long-term rate guarantee, traditional big banks might hold an edge, suggests Lance Sosnowich, National Manager, Home Equity Financing with RBC Royal Bank. “RBC understands the challenges builders face and works closely with clients to provide the peace of mind and the right mortgage solutions for their needs,” says Sosnowich. “We offer builder clients upfront approvals and a competitive, long-term rate guarantee to protect them from interest rate volatility.” But for many, non-traditional lenders provide a previously unexplored alternative—a loan arranger that might very well rescue a major project. OHB 72

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project profiles 3

Foremost Financial

Location: Toronto Type of project: Land acquisition, multi-unit residential construction Loan: $12,500,000 1st mortgage Loan details: In 2010, Foremost financed the purchase of a church building and a legal fourplex. The borrower purchased both properties as part of a land assembly for a total price of $4,456,000, of which Foremost financed 66%. Foremost’s borrower was successful in obtaining re-zoning and approval for an 18-unit three-storey townhome project. In 2013, Foremost provided a construction facility of $12.5 million to discharge the original land loan, pay development charges, provide an interest reserve and cover the hard construction costs of the development. Why they went with Foremost: Prior to the loan, the borrower had financed several projects with Foremost in the past. The borrower chose Foremost because the company has a fast and easy construction-advance process. The borrower also views Foremost as more of a partner that will work with him, “instead of a cold and calculating lender.” How Foremost made a difference: Foremost understood the marketability of the project and did not require presales. The flexibility to build without presales gave the developer the ability to sell units later on in the process for a premium. Units were sold in 2015 for a substantial premium compared to similar units sold in 2012. Outcome of project: The development is now complete, the condo corporation has been registered and the majority of the units have been sold. The loan has been repaid in full. The developer has now started two new projects that Foremost is financing. ohba.ca


See what’s next for masonry Spring 2016.

www.masonryworx.com


Homes in

2066

What will our world look like 50 years on? By Marc Huminlowycz Illustrations by Dwight Allott


their fingerprints, body temperatures and even their heartbeats. As people age in place, our homes will give reminders and help in the classic 1968 Peter Sellers movie, The Party, a bumbling with tasks like cooking or cleaning. Personal-service humanoid Indian actor gets into mischief with electronic technology at robots, guided by sensors, cloud computing, radio-frequency ID the extravagant home of a Hollywood movie producer. During stickers and infrared bulbs will help with chores but also socialize the course of the evening, he playfully vocalizes gibberish over with occupants. On the personal front, home technology will conduct early diagthe whole-house intercom, triggers fountains to spew water at inappropriate times and activates moving walls and furniture, nosis and constant monitoring of our physical and mental health. Smart homes will enable us to shift walls so that we can change our creating chaos and making for great comedy. This high-tech home was likely inspired by a Walter Cronkite living space as required. We won’t buy products online; we’ll buy TV show from a year earlier, titled The 21st Century, in which the designs that we download and make at home with our 3D printers. venerable journalist explored the wired home of the future. Amaz- Digital content and services, distributed on dedicated terminals ingly, much of the emerging technology predicted in 1967—such like tablets, will become ideal companions for all activities in the as multi-room audio, 3D TV and home automation—is main- home, such as gardening, cooking, DIY and entertainment. Futuristic home-tech sites like BoredFactory.com give numerstream today, albeit more sophisticated. For one, the desk-sized central command console has been replaced by a simply designed ous examples of future technology—some practical, some bordering on the absurd. Robotic fridges without doors touch-screen control panel about the size of a tablet. or drawers cool non-sticky, odourless biopolymer gel Welcome to the second decade of the second milfuture tip to envelope food and store it as individual pods. A “Bio lennium. The “smart home” industry in North AmerTank” cleans your dishes, turns food and grime into bio ica has skyrocketed from an estimated $1.3 billion in fuel and filters the water for re-use. One thing is for sure: 2007 to well over $10 billion today. Virtually every In a world that will likely have far greater strains on feedautomated device and system you can imagine is out ing its population, we will be exponentially more effithere or being developed as we speak. cient than we currently are now, a time when as much as Although it is unlikely that we will be living The 30% of food, worth about $48 billion, is thrown away in Jetsons lifestyle in sky-high space pods and zooming the U.S. each year, according to the David Suzuki Foundaaround town in flying cars, the growing popularity Robotic tion. “In Toronto, single-family households discard about of quadcopter drones and the emergence of self-drivvacuum cleaner 275 kilos of food waste each year. That means one in four ing cars makes anything possible. Even Star Trek’s that food purchases still ends up in the garbage. (Toronto taxHolodeck, a holographic environment simulator visualizes payers spend nearly $10 million a year getting rid of food where users could interact with computer-generated rooms in waste that’s not composted.)” beings, seems like a possibility for every home enter3D, then BoredFactory also cites a robotic vacuum cleaner that tainment room in the not-too-distant future. charts its cleaning visualizes rooms in 3D, then charts its cleaning patterns, Peering 50 years on, though, poses multiple chalpatterns a hand-held washing machine that scans clothes for baclenges. Assuming we don’t blow ourselves up first or teria, washes them and irons them with one touch and lay waste to the land via some infectious disease, the an in-home clothing printer that allows you to design a world will evolve far beyond our current “internetof-things” electronic connectivity. Wired magazine, the online new wardrobe. authority on the latest in high-tech gizmos and systems, interviewed academics and business people around the world to get Smaller homes, higher density their views of what we can expect on the homefront. Here is a In addition to technologies, what will other features of a family sampling of what they had to say. home look like in 2066? To answer this question, Ontario Home Homes will become intelligent enough to distinguish between Builder magazine spoke with three thought leaders to get their family members and guests, adapting to their individual needs views on the subject from their varying perspectives of architecand comfort preferences (lighting, room temperature, music) by ture, urban planning and residential building.

Almost 50 years ago,

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in the future We will be growing food in the kitchen. Fridges will have climate-controlled compartments that cultivate live food such as herbs and mushrooms. future tip

2

as bathrooms that will be more like spas, transformMcGill University School of Architecture Proing themselves into relaxing natural environments. fessor Avi Friedman, an internationally renowned From an economic perspective, Dr. Friedman housing innovation expert and futurist, is an archibelieves that how we will be living will be directly tect who regularly contributes housing insights to influenced by how well we are doing financially. OHB. Looking into his crystal ball, Dr. Friedman “Our overall wealth as a nation will determine the believes that homes and communities in 50 years Virtual level of people’s income and their ability to afford will be guided by four major influences: technology, appointments certain types of housing,” he explains. “Canada has demographics, the economy and the environment. will be the traditionally sold natural resources to the world. On the technology side, Dr. Friedman sees big norm, as we Decline in the need for such resources in counchanges on the horizon in our day-to-day lives. communicate from home tries like China means that, as a nation, we might “Healthcare will be different. Virtual appointments via Skype-type become poorer. As a result, smaller homes will be will be the norm, as we communicate from home technology in demand.” via Skype-type technology with nurses and docwith nurses Expect higher-density communities as well. tors, who will check our vitals and provide online and doctors, “Today’s density of four to seven units per acre will diagnoses and prescriptions,” Friedman predicts, who will check our vitals and be prohibitive,” he explains. “A minimum of 25 units adding that the Japanese are already doing someprovide online per acre will be the norm, with only the rich being able thing similar. (Other futurists have predicted that diagnoses and to afford single-family homes. Our urban landscapes we’ll simply run scanners over our bodies—à la Star prescriptions will more closely resemble the cities of Europe.” Trek’s Dr. McCoy—and the results will be uploaded What will Ontario’s population look like in to a health network). “At home, toilets will analyze 2066? “Baby boomers will be gone, and people will our urine, and other everyday devices will monitor be living much longer thanks to medical advances such as artifiour hearts.” Our kitchens and bathrooms will also be doing a lot more, Fried- cial organs, tissue and bone,” says Dr. Friedman. “In the past 20 man contends. “We will be growing food in the kitchen. Fridges years, Ontario’s demographics have become much more diverse. I will have climate-controlled compartments that cultivate live believe that we will continue to see more cultural diversity, more food such as herbs and mushrooms,” he says. “The large exterior single people and more couples without kids in Ontario—many surfaces of the fridge will be used for other tech applications, and working from home. Therefore, homes will be built to accomkitchens will be better adapted to recycle materials.” Elsewhere in modate people of various ethnic backgrounds, occupations and the home, he foresees functions designed to relieve stress, such stages in life—from infancy to old age.” 76

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The Sky’s the Limit What might the future look like in one of the world’s major cities? Part of “Next Tokyo 2045,” a joint-proposal by Kohn Pedersen Fox Associates (KPF) and Leslie E. Roberson Associates (LERA) for research and developmental purposes, Sky Mile Tower would climb one full mile in height. Part of a mega-city melding with resilient infrastructure, the residential skyscraper would be located on reclaimed land in Tokyo Bay and house 55,000 residents. Combatting rising sea levels and increasing risk to typhoons, differently-sized hexagonal rings 500 to 5,000 feet in width would be positioned to dissipate strong waves, while still allowing for ships to pass. Some would additionally function as freshwater reservoirs, while others would contain urban farming plots. Apart from solar panels, wind turbines and algae grown on-site, the proposed community would power itself using kinetic energy from public transportation running in and out of the bay. ohba.ca

future tip

3 People will be living longer, so homes designed for aging-in-place will be prevalent

Jennifer Keesmaat, Chief Planner for the City of Toronto, agrees with Dr. Friedman on the subject of changing urban landscapes. “Almost every generation in Canadian history has moved from rural spaces to urban areas,” she notes. “Traditionally, the residential transition has been from rural to suburban, to urban single-family, to condo.” Keesmaat strongly believes that today’s model of suburban development and its required infrastructure will be a thing of the past in 50 years’ time. “As we become more environmentally conscious and as municipalities realize that the fiscal reality of going into deficit to subsidize this type of housing is no longer sustainable, a more urban, user-based model will take its place.” She adds that the sub-prime mortgage crisis of 2008 was largely due to highly subsidized residential development. As to how people will be living and working in 2066, Keesmaat predicts that communities will be planned as mixed-use, with ontario home builder spring 2016

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Sleep Tight Need a good night’s rest? According to The Sleep Council in the UK, there will be apps for that: Mattresses, made with bacteria-resistant, heat/humidity-adaptive materials, will be selfcleaning and self-sterilizing.

bed will fold itself away into the subfloor with the push of a button, offering more space in the daytime.

Smart Beds will monitor our vital statistics as we sleep, warning us if we have an infection, an oncoming cold or a heart attack.

With urban populations growing, noise and light pollution will continue to invade our sleep spaces. A soundproofed sleeping pod will feature internal temperature control and programmable curtain over a small window that blocks light at night and gradually lets in natural light when it’s time to wake up.

Bedroom lighting will be seasonally adaptive, turning on in the dark winter months to help wake us up in the morning. Beds that float using clever magnetic forces will become our daily ‘cloud of comfort.’ The

housing types to accommodate a variety of people of all ages and neighbourhoods designed for walking. “People will be living longer, so homes designed for aging-in-place will be prevalent,” she says. “And there will be a large number of people living on their own, so right-sizing will be the norm.” On the work front, Keesmaat believes that cars will be too expensive to own, operate and house in cities. “It won’t be practical. Alternatives such as the TTC, Uber and Rideshare—or at least the computerized versions thereof— will do fine. If people require a personal vehicle, it will be autonomous. Ontario is the first province in Canada to be testing self-driving vehicles,” she says. “I foresee a significant trend away from people commuting to and from offices, which will be designed as collaborative spaces. Technology will allow for a tremendous amount of freedom. Nine-to-five will become obsolete, as people have the flexibility to work day or night.” What about the structure, size and environmental sustainability of homes in 2066? Friedman proposes that many of the features and advancements now in place will be common, with the exception of traditional wooden two-by-fours, which will be composed of “wood and something else, like a recycled material.” As homes become smaller, he says, accessory spaces such as basements and attics will become used more as extended living spaces with windows and proper lighting.

Our dependency on fossil fuels will have also gone the way of the dinosaur. “The oil industry is on its last legs,” Friedman proclaims. “Oil is finite. Homes of the future, powered by solar, wind and other renewables, will respond much better to their environments.” Wells Baker, Director of Conservation and Sustainable Design with Ontario developer Minto Communities agrees. “Houses will feature super-insulated walls and windows, requiring minimal energy for heating and cooling,” he says. “We are already building NetZero-energy homes. In 2066, many homes will be completely self-sufficient, producing their own energy, collecting their own water and treating their own waste.” Baker goes on with other predictions. “Houses will be more flexible in their design, with spaces that can be easily reconfigured to meet the changing needs of residents,” says Baker, who forecasts the extinction of single-use rooms such as formal dining rooms. “And people will be growing at least some of their food at home.” What will communities themselves look like in five decades? Baker agrees with both Friedman and Keesmaat that they will contain a variety of building types, although he believes that more modestly sized single-family homes will still be around. “Public transit will continue to expand its reach and will be more commonly used. Suburban communities will have many more multi-

“Many homes will be self-sufficient, collecting their own water and treating their own waste.”

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BUILD WHAT

BUYERS

WANT

“Energy efficiency is a win-win – our buyers save money on electricity and their living spaces are more comfortable.” – The Minto Group

Minto adds more value with incentives for energy efficiency A home built to conserve energy helps owners save year after year. Minto Orchard Park received incentives for every ENERGY STAR® certified home and even more for electricity saving measures.

Build smarter and save more HydroOne.com/NewHomeConstruction

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Predicting the Future Futurists foresee dramatic shifts in our daily lives in 50 years’ time, much of it driven by the required adaptation to our changing environment, where the polar ice caps will be just 60% of what they are now, the Dead Sea is, well, dead and dried up, and nearly half of the Amazon rainforest has been deforested. Feeding everyone will likely be a problem, with an estimated global population of at least nine billion—a number that could well be higher, given University of Michigan Professor Richard Miller’s prediction that “within 50 years, living to 100 while still enjoying active, healthy lives will be the norm.” Adds Professor Ellen Heber-Katz of the Lankenau Institute for Medical Research in Wynnewood, PA: “People will take for granted that injured or diseased organs can be repaired in much the same way as we fix a car.” Still, sites such as Bustle. com look to a long history of disease and believe it will be rampant in 50 years, “as everybody will be physically closer to everyone else, and chronic food shortages

may be the norm.” There will also be the challenge of reconciling the enhanced mental and physical abilities of some, while millions elsewhere in the world have no access to drinking water.” By necessity, energy consumption will almost be built into our DNA, Bustle.com foresees. “If humankind continues to use energy at the rate it does now, and population growth follows expected trends,

“within 50 years, living to 100 while still enjoying active, healthy lives will be the norm.” we will need the equivalent of three earths to support ourselves by 2050, which is obviously impossible.” Demographically, “the majority of people will live in cities, which will be increasingly more integrated with nature and plants. It’ll be standard procedure for skyscrapers to have parks and sky gardens, and buildings will be covered in vegetation designed to filter out

unit residences of all kinds, including town homes and condos.” And if the future predicts automated electric vehicles, where required, and fewer cars for the urban population, what is the future of the common garages? Citing Minto’s upcoming BSide at Westside Toronto condo project, where infrastructure will be built to charge electric vehicles, Baker believes that garages in their current form will disappear. “Because zero-emission vehicles don’t burn fossil fuels, they can be safely stored inside a home,” he explains. The year 2066 is a long time away. Just as we have seen significant changes in the construction of homes, the design of com 80

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pollutants and retain CO2.” Smart homes will be able to repair themselves and order supplies and food (when not growing it). They’ll also be fun to come home to, predicts Professor Susan Greenfield, a neuroscientist at the University of Oxford. “As you enter the living room, sensors will detect your presence and the walls will start to glow. Talk to the walls and, activated by your

voice, they will change to a colour of your choice, pink to green to blue—whatever suits your mood,” Greenfield says. “Sink into your glowing cyber-armchair and relax in the knowledge that the house computer will perform all your everyday household tasks. The voice system in the chair will address you by name and advise a change in position that will be better for your spine. The kitchen will automati-

cally send orders to supermarket. But here is where ‘new’ meets ‘old.’ Food remains in its old-fashioned form. Pills, so confidently predicted in the 20th century to replace food, exist, but nobody wants them. There is too much pleasure in cooking, chewing and tasting all kinds of food. What else can we expect in 2066? Various sources predict helium-3 mining on the moon, longevity treatments that can halt aging, self-assembling buildings made 100% from nanotech, the parity of male and female salaries, that one-third of the world’s energy could be solar, there will be an undersea city (according to futurist David Passig), the world will become middle-aged with the median age rising from 28 years today to around 40, and that one in five will be at least 60 years old. Another prediction— one held by a number of scientists—is that the biggest breakthrough in the next 50 years will be the discovery of extra-terrestrial beings. And everything else we’ve predicted will pale by comparison at that point.

munities and our very way of life over the past 50 years, it’s safe to say that how we live, work and play will be very different 50 years from now. Factoring the economy, demographic changes, the shifting environment, the lightning pace of technological innovation and the doubtless political conflicts the world over, it is difficult to predict the world five years from now, much less 50. At the very least, homes of the future will need to provide a safe sanctuary for personal and family time, away from the hustle and bustle of a fast-paced world. It may not be the pie-in-the-sky future of The Jetsons, but we could certainly handle a Star Trek Holodeck in every room. OHB ohba.ca


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Hanson Brick is now Forterra Brick We’ve changed our name but our commitment to producing quality brick products has never been stronger. Our new name, Forterra Brick, is an evolution that means we give form — FOR, to the earth — TERRA. But it’s also a promise. One that says every brick we make is made to meet the highest standards — yours.

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Plans for the Future

Health, prosperity and growth are the benefits of constant change By Joe Vaccaro

ohba.ca

“T

here is nothing permanent except change,” Greek philosopher Heraclitus once observed. So too is it with Ontario. Every 10 years, the planning world changes in this province. That’s an observation that a veteran development member once told me in my early days at OHBA, and I was reminded again during my short time at BILD. His point was that change is the great constant, and that with that change we end up building better communities, improving ontario home builder spring 2016

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Canada’s first planned community, Don Mills began taking shape in the early 1950s. By 1968 (right), the community was separated into four neigbourhoods, each with a school, church and park, and centred around the regional shopping centre.

As industry grew, it attracted people looking for work, and with that employment came the need to house those new workers.

the quality of life for residents. I’m not a planner, and I don’t play one in my role as CEO at OHBA, but it’s not without some irony to note that our association offices are located in Canada’s first planned community, Don Mills. And the history of Don Mills illustrates to the non-planners of the world how constantly changing planning practices can play out in real life. Don Mills was originally settled by Europeans in the early 18th century, and it was the Don River that provided the best means of transportation for the farm community to get their products to the town of York. York eventually became Toronto, and the establishment of a major port of distribution for Upper Canada began drawing more and more industry to the city. The growth of the meat packing business created “Hogtown,” and with that industrial growth came increasing population growth—to the extent that Toronto began annexing outlying villages in the early 19th century. Toronto’s growth was linked to the economic opportunities 8 4

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the St. Lawrence River provided. The accessibility to the city through this shipping and transportation corridor supported the economic enterprise of the day and gave the creative classes of the 19th century a safe passage from other burgeoning cities. As industry grew, it attracted people looking for work, and with that employment came the need to house those new workers, as well as the need for infrastructure, including water treatment systems, roads, schools and hospitals. After both World Wars, Toronto benefited from an influx of immigrants. They all came to Toronto—and I mean Toronto in the big T sense—looking to make a better life for themselves and their families. Toronto, and Canada, offered them security, opportunity and the chance for prosperity. Those annexed villages swelled with new residents, and the need for infrastructure continued to increase. Toronto was dealing with both water shortages and unclean drinking water, leading public health advocates such as George Nasmith and Toronto’s Charles Hastings to campaign for a modern water purification ohba.ca


Looking north up Don Mills Rd. splits the town centre, revealing, among other things, the former domed curling rink. Today’s amenities include the Shops of Don Mills (bottom right).

system. The R.C. Harris Water Treatment Plant—a.k.a the Palace of Purification—started construction in 1932 and became operational in 1941. To this day it is still fully functional and provides over 30% of the water supply for Toronto and into York Region—almost 150 million litres of clean drinking water a year. If you include Union Station and the Prince Edward Viaduct that extends Bloor Street over the Don River, Toronto was, very early on, building modern infrastructure to protect the health, prosperity and growth of Torontonians. And where does Don Mills fit into Toronto’s growth? In 1950, the Don Mills area consisted of about 20 farms, cut off from Toronto by ravines to the south, east and west, and was serviced only by York Mills Road and Don Mills Road. Industrialist E.P. Taylor announced that he would build the community of Yorktown in 1953, centred on the intersection of Don Mills Road and Lawrence Avenue East, based on five modern planning principles never before implemented in Canada: The Neighbourhood The community was separated into four

neigbourhoods, each with a school, church and park, and centred around the regional shopping centre at Don Mills and Lawrence. ohba.ca

Separation of Pedestrian and Vehicle Traffic

Through a series of pedestrian paths, residents were provided direct access to community amenities like parks and schools. Architectural control The strict application of archi-

tectural design, colours and building materials on all homes, including requiring builders to use approved architects. Park System Creating a connected park system linked neigh-

bourhoods through public open spaces while protecting ravines. Integrating Industry within the Community Residents of Don Mills had an opportunity to work in the community where they lived thanks to the inclusion of industry and commercial space along with rental townhouses and rental apartment buildings, allowing for a mixed-income population to support the employment opportunities. Again, I’m not a planner, but as you drive through the neighbourhood and are greeted by the historic signs that declare Don Mills as Canada’s first master-planned community, it does provide a real-life example you can see, touch and experience that ontario home builder spring 2016

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illustrates how thoughtful planning can enhance and improve the quality of life for its residents. The community, however, isn’t stuck in its original 1950s planning. Instead, it has seen new development and redevelopment through the years. The Don Mills Centre has become the Shops of Don Mills, changing to an outdoor mall format that matches today’s active outdoor shopping experience, including restaurants, retail and recreational space. The introduction of new highrise condos around the Shops—two occupied, two under construction, with more to come—are consistent with the principles of mixed-use land uses. The Don Valley Parkway created a new transportation line into the community, stimulating economic development and population growth. The Eglinton Crosstown, expected to be operational in 2021, will bring a new transit line into Don Mills and result in new mixed-use housing and employment opportunities along the corridor. The changing population in the area, meanwhile, has resulted in new cultural centres, like the Aga Khan Museum, as new residents become part of the community, putting down roots but also celebrating and sharing their diversity with all of us. This ongoing evolution is an example of how the constant force of change alters and enriches our communities to reflect the changing needs of its residents and businesses. So what does the Don Mills community have to do with what is happening in Ontario in 2016? In 2006, the Places to Grow Act and the Greenbelt Act were implemented in Ontario, changing the way we plan for communities, roads, infrastructure and, most important, for the growing population coming to the Greater Toronto and Hamilton Area (GTHA). The Greenbelt tells us where future urban development will not happen, while the Growth Plan tells us where people and jobs should happen. What has happened in the 10 years since this legislation was introduced is remarkable and is changing the face of the GTHA and all of Ontario. The population of the region has grown by 100,000 every year, adding over a million people. Even with the increasing 86

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To Be Brief In December 2015, an Advisory Panel chaired by former Toronto Mayor David Crombie presented its recommendations to the provincial government in a report entitled, Planning for Health, Prosperity and Growth. The following are some of the key recommendations that will affect Ontario’s building and development industry. Recommendation #1 (excerpt) Specify that all new developments in existing built-up areas and in designated greenfield areas should support the development of complete communities. Recommendation #10 (excerpt) Assess and apply potential increases in intensification targets in conjunction with related recommendations in this report regarding higher density targets in designated greenfield areas, better support for transit-related intensification and stronger criteria for settlement boundary expansions. Recommendation #12 Address barriers to intensification and the development of affordable housing by encouraging the use of tools such as up-to-date zoning, the development permit system, community improvement plans and reduced residential parking requirements where transit and active transportation options exist. Recommendation #53 (excerpt) Consider improved approaches to designate and protect provincial and municipal infrastructure corridors through the use of planning instruments and a revised schedule in the Growth Plan showing the specific extent of existing and planned corridors. Recommendation #71 (excerpt) Establish a Provincially led process to grow the Greenbelt beyond its current boundary using a systems approach based on areas of ecological and hydrological significance where urbanization should not occur. Recommendation #73 (excerpt) Within the time period of this review, address designation and boundary concerns associated with the existing Greenbelt Plan, Oak Ridges Moraine Conservation Plan and Niagara Escarpment Plan through policy changes based on recommendations in this report related to such matters as settlement area expansion, complete communities, strategic employment lands, infrastructure and servicing, agricultural viability, protection of farmland, natural heritage systems, water resources, climate change and enhancing plan implementation.

population, the unemployment rate today sits at 7%, statistically similar to the 2006 Stats Canada rate of 6.7%. According to a May 2015 report by fDi Intelligence, a division of The Financial Times Ltd., Ontario, with a specific focus on the GTHA, is the North American leader in attracting foreign investment for the second straight year. In 2014, Ontario attracted $7.1 billion US in foreign capital investment and created 13,055 jobs through foreign direct investment; up 6,102 jobs from 2013. Over the same time period the provincial government has invested in massive transit projects through the creation of Metrolinx and supporting “ T he Big Move” w it h an init ia l investment of $11.5 billion. Many of these projects are under construction and expected to be operational in 2021, and the “Next Wave” projects will require an additional $35 billion in funding. According to CMHC, the region has added over 400,000 new housing units, and Toronto was named the high-rise capital of North America in 2015 by international building data provider Emporis, with more than 130 towers under construction—more than New York City and Montreal combined. Like all things in the planning world, and 10 years after the Growth Plan and Greenbelt Act, the review of how we build communities and employment has come forward for review. In typical gover nment fashion, the rev iew included an Advisory Panel chaired by the Honourable David Crombie, with extensive public engagement that included 17 town hall meetings attended by more than 3,000 people. In total, the province received over 19,300 submissions, including 60 from municipalities. In December 2015, the Advisory Panel presented its recommendations to the government in the report entitled, Planning for Health, Prosperity and Growth. With 87 recommendations, cover ing ever y thing from urban growth, agriculture, the environment, human health, natural and cultural heritage features, infrastructure and transit, as well as a spotlight on mainstreaming climate change, the report is a very big-picture view of how ohba.ca


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The focus on building complete communities is critical to understanding the interconnectedness of the recommendations. Above, the Port Credit Mews, a development by FRAM Building Group, focuses on creating complete communities within walking distance of the Port Credit Train Station.

to shape the growth of the Greater Golden Horseshoe over the next over 30 years. Growth is the key to all of this. As the report reinforces, the GGH is forecast to grow from the current population of nine million people to about 13.5 million in 2041, with the number of jobs forecast to rise from 4.5 million to 6.3 million. Based on these forecasts, the population will increase by almost 50% and the number of jobs by 40%. That is comparable to a city the size of Montreal moving to the GGH in the next 30 years! Just as we did in the first round of growth planning, we need to now refine and update the policies of the plans to prepare for the next round. The focus on building complete communities is critical to understanding the interconnectedness of the recommendations. Of course, the concept and principles that define what a complete community looks like in 2016 are much different today than they were in 1950s, and they will be different again in 2026. One of the frustrations over the consultation period was the approach by some to point to every community and decry the 1970s subdivision planning as a plague on everything wrong in Ontario. Blaming those communities for everything from obesity to voter apathy, from climate change to the lack of social housing, from biodiversity loss to agricultural poverty, is really a rather simplistic approach to a very complex discussion about where will people live, how we’ll protect jobs and the environment, how we’ll preserve important natural heritage features, keep our water clean, move goods across the region and, ultimately, how we all live together. While how and where we live certainly impacts aspects of those issues, it’s not the source of the problem. But it does need to be part of the solution moving forward. Building a complete community is already a cornerstone of the 88

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2016 planning process. New land-use planning decisions—for future residential, commercial or mixed-use—already require that the “new” be integrated with the “existing.” Whether it is a new condominium project in an existing community with improved transit, or a new community centre that will improve the presentday park and recreational system for the existing community or, in some cases, new infill housing in mid-density neighbourhoods that will add new housing options, all will be connected back into our current communities. Don Mills is a shining example of that reality. Canada’s first master-planned community is still being presented to urbanplanning students across Canada as a model of progressive community development. Over the past 60 years the community has changed with new residents, new housing options, new recreational opportunities, new employment centres and new cultural institutions. Change is the constant and the driving force to continue to refine and build a complete community that meets the needs of its residents and businesses today and into the future. It’s about connecting those dots towards perfection. Don Mills, 60 years after its initial planning, isn’t done—it is continually working towards becoming a complete community. Building a community is an ever-evolving exercise that needs to be receptive to change, while striving to provide the best quality of life for its current residents and welcoming new residents. As the work continues to make GGH and Ontario the best place to live, work and play for the almost 14 million who already call it home, we all need to work together to continue to make it a destination that future residents and employers will want to call home. Planning for our health, prosperity and growth doesn’t end with a plan; it starts with it. OHB ohba.ca


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Better building

A new light bulb from MIT may help triple the efficiency of traditional incandescent bulbs.

A Very Bright Idea How many MIT researchers does it take to screw in a better light bulb? Have you ever thought about why it burns your fingers when you try to unscrew an incandescent light bulb after it’s been left on for a short time? It’s because most of the energy powering is wasted generating heat. But a team of MIT researchers may have developed an incandescent bulb capable of recycling that heat back to the filament to that light shining bright, but with a lot less energy consumption. That’s good news for residents yearning for the warm glow of traditional bulbs in a time when energy-efficiency standards are phasing them out in place of cool fluorescents and LED lighting. Currently in the “proof-of-concept” phase, the MIT researchers claim that a special filter around the incandescent bulb’s filament traps wavelengths at the infrared part of the spectrum (heat) while allowing visible light waves to pass through. By putting that wasted heat to work, MIT’s prototype is said to triple the traditional incandescent bulb’s efficiency. And they believe there is room for improvement with some additional tweaks.

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Commercially developed by Thomas Edison, incandescent bulbs work by heating a thin tungsten wire via an electrical current to temperatures of around 2,700 degrees Celsius. That hot wire emits a broad spectrum of light that not only provides a warm look but an accurate rendering of all colours in the area as well. “Whereas the luminous efficiency of conventional incandescent lights is between 2% and 3%, between 7% and 15% for fluorescents (including CFLs), and anywhere from 5% to 20% for most commercial LEDs, the new two-stage incandescents could reach efficiencies as high as 40%, the team says,” according to the MIT News Office. “The team refers to their approach as ‘light recycling,’” MIT reports. The work was supported by the Army Research Office through the MIT Institute for Soldier Nanotechnologies, and the S3TEC Energy Frontier Research Center funded by the U.S. Department of Energy.

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Better building

CertainTeed’s new Habito drywall can support fixtures up to 30 pounds.

Anchors Away! Introducing the world’s strongest 1/2-inch wallboard Drywall is drywall. Right? There are certain rules that must be followed. For

example, don’t hang anything too heavy without the proper anchors and hardware. Use doorstops to prevent doors and knobs from making unsightly holes in the wall. Not so fast, says CertainTeed. The building products manufacturer’s new Habito is a revolutionary new drywall product touted by the company as “the strongest and hardest ½-inch wallboard material available today and featuring technical benefits previously unseen in the drywall category.” Features include fastening capabilities that eliminate the need for threaded drywall anchors or nailing to wall studs for fixtures under 30 pounds; an upmarket option for building professionals, replacing standard drywall in high-traffic and high-impact areas of the home; better sound insulation than traditional drywall; and a greater durability that not only means fewer repairs but provides a great alternative for hightraffic-area interiors that tend to see use and abuse. With a continued increase in popularity of media rooms, home offices and transitional spaces, Habito also allows builders to create and renovate spaces that will provide easy mounting (and remounting) of fixtures for years to come. The product debuted in January at the International Builders’ Show in Las Vegas Convention Center with a rock-like climbing wall. Hellohabito.com 92

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Styrofoam Turns 75 In 1941, the Dow Chemical Company i nvented a process for e x t r ud i ng polystyrene to achieve a closed-cell foam that resists moisture. Recognizing its superior insulating properties, as well as its buoyancy and “unsinkability,” this “Styrofoam” product was originally adopted in 1942 by the U.S. Coast Guard for use in a six-man life raft. Dow Styrofoam, which has recently received a Cradle to Cradle (C2C) Silver certification for its eco-friendly approach to the design of products and systems, is also finding new applications, such as behind manufactured stones, in vaulted ceilings and in garage common walls. Dow has now unveiled Thermax Xarmor exterior insulation for commercial and condo/apartment projects, the only insulation for its innovative Thermax Wall System. “The most efficient way to achieve air, water, vapour and thermal control layers,” according to Dow, the product boasts a 4mm foil facer, providing builders with more durability for long-term performance. building.dow.com/en-us ohba.ca


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A Hands-On Approach to Cleaner Door Hardware Weiser, one of Canada’s top selling lock brands, and Microban, the global leader in built-in antimicrobial protection, have teamed up to improve the standard for door hardware. Beginning this spring, Weiser will now offer antimicrobial protection on select products, inhibiting the growth of bacteria on frequently touched door surfaces in the home. Weiser door hardware specifically engineered with the antimicrobial finish will provide a lifetime of safe and effective product protection, the company assures. Microban works continuously to keep the door handle cleaner, fighting against bacteria that can double in number every 20 minutes. The new finish will also feature enhanced hardware durability to help reduce homeowners’ worries over the useful life of the product. “We’re constantly evaluating how to deliver the best quality experience with our locks,” says Steve Kolobaric, Marketing Manager of Weiser. “At no extra cost, Weiser hardware with Microban Technology provides homeowners with a lifetime of peace of mind and security.” Microban “silver-glass” technology is incorporated during the manufacturing process and permanently binds the silver ohba.ca


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ions to the coating. Treated hardware reduces bacterial growth quickly, creating a cleaner product. Weiser products that feature Microban Technology meet BHMA standards and extend the lifetime of the product. For further information, visit Weiserlock.com.

Panasonic Launches Home + Building Division Panasonic Canada Inc. has launched its Home + Building Solutions division, which will offer a wide range of quality products designed to meet the needs of the Canadian home building and renovation industry. Representing 17% of Panasonic’s global business, or approximately $16 billion CDN, housing is a core component of the company’s DNA. With the launch of this division, Panasonic Canada will offer extensive partnerships and product offerings from premium appliances to storage and organization solutions. “Our research shows that home builders need reliable partners to help them educate and inform new-home buyers about quality products, as well as provide continued support once those products are installed,” said Michael Moskowitz, President of Panasonic Canada. “We see an opportunity to work collaboratively with businesses in the home building industry and share our expertise as the housing market evolves around areas such as sustainability and building efficiencies.” Panasonic Canada’s Home + Building Solutions division, which will work with industry professionals such as builders, designers, architects and developers, will complement the company’s global history in the building market. The global organization is actively involved with building Smart Cities in Fujisawa, Japan, and more recently with Denver’s CityNOW, where the ultimate goal is to create smarter, more livable and sustainable spaces globally. 96

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New Connected Thermostat for the Smart Home Stelpro, a Quebec manufacturer of integrated heating solutions, has launched a new line of connected products for the smart home. The line’s first product, marketed under the name KI, the Japanese word for universal energy, is a 4,000W line voltage thermostat manufactured entirely in Quebec. It’s also the first line voltage thermostat distributed in North America to use Z-Wave technology. Unveiled at CES 2016 in Las Vegas, the KI thermostat controls baseboards and convectors and requires a Z-Wave terminal that links the various devices and enables them to communicate with each other. Using your mobile device, you can adjust the temperature of each room. There are also various modes of energy management, thus increasing the energy efficiency of your home. You can also activate ‘scenes,’ setting in motion several actions such as adjusting temperature and lighting, as well as activating safety and entertainment systems. stelpro.com.

Sailing Into the Blue in 2016 It may be called blue, but when it comes to decorating, this year’s hottest colour is upbeat. Think airy skies and misty oceans—cheerful shades of blue that emit a sense of serenity, according to paint brand Dulux Paints. “While blue is known to be the most popular colour in the world, when it comes to home decor, many Canadians shy away from infusing it into their homes, opting for 98

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neutral colour schemes instead,” says Dulux Paints brand manager Martin Tustin-Fuchs. “Yet blue is a wonderful, versatile complement to any decor.” Not surprisingly, Dulux has chosen an ethereal blue called Bear Run as its colour of the year for 2016. Other popular Dulux blues are Teton Sky, Blazer Blue and Blue Blood. “Blue may not be the first paint colour you’d choose for your home, but next to neutrals, there’s no easier hue to work with,” TustinFuchs says. “Anyone who has the given blue a try on even one wall appreciates the peaceful, calming effect the colour emits.” dulux.ca

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According to statistics released Feb. 16 by the Canadian Real Estate Association (CREA), the red-hot markets of Toronto and Vancouver propelled the average price of a Canadian home by 17% on a year-over-year basis in January. However, while the new average price across the country jumped to $470,297, there would actually have been a decrease of 0.3% to $286,911 if Toronto and Vancouver were excluded from the mix. The number of homes trading hands via MLS Systems of Canadian real estate boards and associations edged up by 0.5% in January compared to December 2015. The monthly increase lifted national sales activity to the highest level since late 2009. “Single-family homebuyers in the GTA and Lower Mainland of B.C. had been expected to bring forward their purchase decisions before tightened mortgage regulations took effect in February,” said CREA President Pauline Aunger. “If listings in these and nearby markets were not in such short supply, January sales activity would likely have reached even greater heights.” Meanwhile, other major urban housing markets had an ample supply of listings, much of that due to increased caution amid an uncertain job market outlook. Actual (not seasonally adjusted) sales activity rose 8% on a year-over-year basis in January and stood 2.6% above the 10-year average for the month of January. The number of newly listed homes, though, however, fell by 4.9% in January compared to December. OHB ohba.ca


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product focus

Jeld-Wen’s Tripane windows feature three panes of glass separated by Argon gas.

Now Entering the Market What’s trending in doors and windows? By dan o’reilly Although they might be considered basic and, of course,

necessary home elements, doors and windows are constantly being improved by manufacturers and building scientists to meet energy guidelines, consumer preferences, current and projected trends and simply to look attractive. As the principal of Ambria Windows & Doors Inc., a Vaughanbased supplier and installer, Tony Radocchia sees those efforts first hand. For example, rather than the standard embossed six-panel ohba.ca

doors, more and varied configurations are now on the market and that allows him to offer a greater variety of designs to customers. On the window side, “manufacturers are always looking for ways to improve window design and performance to make them more efficient, and I expect those advances to continue,” says Radocchia. Certainly, Zola Windows has a focused concentration on such research. Consider, for example, the development of its five-airseal ZNC window. First introduced in early 2014 after months ontario home builder spring 2016

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Atria Development is completing three modern homes backing on a ravine in a cul-de-sac on Senlac Rd. in North York. The contemporary design incorporates oversized commercial windows and sliding glass panels to take full advantage of the treed views.

of market and technical research, a new revamped version was with thicker walls, advises Speier. Another company providing their clients with that ‘seal of released last November after considerable effort was invested into approval’ is Jeld-Wen, whose Tripane windows—the company’s improving the design. “We spent a lot of care building prototypes and conducting most insulating window to date—feature three panes of glass separated by Argon gas. extensive computerized energy modelling For its part, Fibertec Window & to ensure that we are hitting the sweet spot Door Mfg. in Concord is expanding its with this window, which now performs at Homes are being hardware selection as well as its offerings the Passive House A level,” says Florian of colours and styles. That focus is Speier, the company’s head of product designed with more intended to complement the trend toward development. “Airtightness is increasingly and larger windows contemporary design in both custom recognized as a major contributing factor and the trend is homes and renovations, says dealer and to energy-efficient construction and, finance manager Colin Mori. as a result, the window industry is being definitely towards Just one indicator of that trend is a pushed to develop products that are more glass homeowner preference for modern front significantly more airtight than what entrance doors and commercial-type we’ve seen as standard in the past.” windows, especially in black, Mori notes. Reaction has been positive, with architects and builders “quite surprised” that they can obtain a “Fiberglass windows and doors can address this (trend) because window at this level of performance that actually fits their budgets, fiberglass is paintable.” Fibertec’s 300 Series “fixed over awning” windows are among according to Speier. For northern climates such as Ontario, it makes financial sense the company’s products meeting that contemporary demand. to invest in more efficient windows, rather than compensating Distinguished by very narrow sightlines—meaning more glass 104

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product focus

Left to right: Fibertec’s fibreglass awning interior window; Zola’s top-ofthe-line ZNC boasts five air seals; Atria Development employed tall-profile 400 Series windows from Etobicoke’s Inline Fiberglass Ltd. to flood this stairwell with natural light.

area—they feature an incredibly strong closed-back fibreglass noise caused by high winds, he says. At the same time, there is also a trend towards what Papa describes frame, Mori says. Judging by the comments of architect Ali Kafaei, principal with as “less is more in windows.” Grille patterns and configurations A & Associates Architects, another sign of the growing popularity are becoming simpler and less complex than in the past and are of modern design is the use of large commercial windows in upscale primarily being used on front elevations. As part of its service and because of the increased capabilities customized homes. One of the firm’s projects was a three-house infill site in north Toronto overlooking a ravine. The developer wanted to of its products, Martindale will often alter the original window capitalize on the setting—something that was achieved with the use and door design of new houses. That package can include eightfoot-high casement windows. And with of almost full-height commercial windows builders offering houses with higher in the kitchens and combined living/ ceiling heights, Martindale is now also dining rooms, as well as the second-floor It brings in abundant producing more wood- and aluminummaster bedrooms, Kafaei notes. clad doors in eight-, nine-, and even In keeping with the homes’ modern natural light and 10-foot heights. All its door systems are style, sliding doors were installed in fresh air and installs constructed with a compression-based the master bedroom and living room/ as easily as a nonsill, which is reinforced with a composite dining rooms. “In other bedrooms and material that won’t absorb moisture, washrooms we used awning windows, opening skylight, as unlike wood, says Papa. not only because of the look, but because no wiring is required. Partial credit for the advancement of their ease of use.” goes to more informed buyers, he T he use of large w indows isn’t says. “Consumers have access to more restricted to an upscale niche, suggests Nino Papa, sales representative with Windsor-based Martindale information now than ever before so they have an in-depth Windows & Door Inc. “Homes are being designed with more and understanding of product relation to thermal efficiency. This, in larger windows and the trend is definitely towards more glass,” itself, is a trend.” Meeting consumer demand, though, can be a challenge. says Papa. This is partly due to the wider use of materials such as a specially formulated coated glass and the ability of companies like Modern-design homebuilders, such as A & Associates’ client, Atria Martindale to reinforce window frames to prevent movement and Development, are purchasing and installing commercial windows 106

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product focus

As much as 25 feet in width, Motorized Executive Screens by Phantom Screens enable homeowners to expand their homes and create an outdoor living space free from insects and protected from the glare of the sun.

because many small residential home window manufacturers can’t provide large enough windows for reasons that include inadequate fabrication facilities, Kafaei contends. “Other manufacturers are too busy serving the condominium market and it’s not economical for them to take on small projects.” Almost two months lead-time was required to order the windows for the infill project, Kafaei explains. The same situation applies to securing the right kind of doors. “There are good manufacturers in the market, but because of the construction boom most are busy, which means you also have to order doors well in advance to get them on time,” Kafaei advises. In particular demand are living room French doors, although in smaller spaces sliding doors makes more sense, Kafaei suggests.

Bringing the Outside In Homeowners’ love of the outdoors has propelled advances in at least two other products. Although skylights have certainly been around for a long time, architects, builders and homeowners are increasingly opting for solar-powered models, says Nels Moxness, president of Oakville-based Velux Canada Inc. A solar panel on the firm’s VCS skylight captures available daylight and uses it to recharge a batterypowered operating and control system. “It brings in abundant natural light and fresh air and installs as easily as a non-opening skylight, as no wiring is required,” says Moxness. The simple installation process justifies the removal of the oldfashioned “bubble” skylights in renovations, he points out. The model is also equipped with designer blinds that come in a range of approximately 80 colours, allowing you to mix and match with 108

ontario home builder SPRING spring 2016

any decor or fabric, Moxness says. And in keeping with the appreciation of nature without any of its discomforts, the momentum towards taller, wider doorways and eye-catching large openings has Ontario homeowners looking for ways to bridge the gap between the interior of their home and the swimming pools, gardens, outdoor kitchens and views they love during the warmer months, says Stephen Attfield, general manager of Ontario Screen Systems Inc. The Mississauga-based firm is the distributor of Motorized Executive Screens by Phantom Screens, a retractable screen that allows homeowners to bridge that space without being bothered by heat, glare, mosquitoes and other insects. Available in widths as wide as 25 feet, they can span virtually any opening, patio, porch or deck. As well, they can be recessed into pillars, walls, ceilings or archways. They also provide a marketing advantage, Attfield notes. “Oversized openings and smartly designed outdoor areas can give builders that differentiating factor that clients are looking for.” Immigration and demographics will also likely fuel both market and design changes, especially in the GTA, which receives about 65,000 of the approximately 250,000 annual immigrants to Canada, notes Jean-François Morin, marketing advisor with Garaga, a Quebec-based manufacturer of contemporary garage doors. To accommodate that varied market, as well as the trend of new homeowners to match the look of their front-entry doors, Garaga has created a web-based service that allows homeowners to select a design for both their entry door and garage door that harmonizes the two. “We’re starting with two designs,” Morin says, “but will be adding more.” OHB ohba.ca


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Still image from The Sims 4/EA Sports.

outside the box

Buying Homes à la Carte Interior design options will explode in the future By Avi Friedman pa s t v i s i o n a ry desig ners have attempted to house us in odd shapes. The circle was a favourite with many. Buckminster Fuller’s geodesic dome triggered peoples’ imaginations when it was first unveiled. Yet despite these attempts, most if not all western homes are still rectangular. Why then do we resist shapes other than squares? The answer is rooted in traditions and bylaws. It also has to do with risk taking and resale value. Builders and buyers are simply averse to risk when it comes to real estate. Whereas buyers are conservative about their home’s exterior, they are generally more daring when it comes to the interior and are willing to entertain innovative design. They wish to accommodate their personal desires, suppressed design talents and individualism, knowing that relocating a wall is fairly easy, for example. Will future homes’ interiors change? Most likely. Diversity will drive the change. Canadian society is drifting away from the traditional family image. While in 1971 only 10% of all families had single parents as their head, in 2011 they constituted 14%, according to Statistics Canada. The number of singles and childless couples also grew. Contemporary households have new life 110

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styles and as a result they need new types of interior layouts. The four-bedroom home with den, family room and laundry room may not suit a couple who works at home and do not intend to have kids. How then will it change the way we house ourselves? It will begin with a buying process that has already begun to shift. A Sunday afternoon drive to a building site to visit a model unit can be replaced with a digital tour. A Google Maps-type program will allow you to drive through the future neighbourhood and, upon entering a unit, provide a panoramic view of every room, including outof-windows views. Those unhappy with the basic layout can switch to “design your own home” mode. As is the case in lower-cost housing, in the interest of saving time and money, the industry is beginning to reduce custommade work in favour of more pre-finished products. Interior design and construction will more resemble a “fitting” than “constructing” process, similar to putting together an item from a DIY furniture store. The ingenuity of the North American building method, wherein the exterior envelope is structurally separated from the interior, will evolve further. Buyers will be given greater

choice in how they want their home’s interior to look without affecting the exterior. Live alone and want a loft-type unit with enclosed bathroom and kitchen only, for example? Clients will be able to choose from a digital catalogue and place them wherever they want on the floor. Buyers who will work from home can choose where they’d like their office and be offered design options. The installation of interior partitions will be greatly simplified to allow dry joints to replace the taping-and-plastering process. Utility conduits and electrical wires are likely to be separated from the wall to move into a hollow moulding at the base of the wall, as is the case in office partitions. How will the cost be calculated? Buyers will be billed for the basic package and selected items, including labour for installation. The potential to increase builders’ profitability and buyers’ satisfaction is evident. The reconfiguration of home buying stands to help builders attract new buyer groups. It is also assumed that buyers who want comfort and choice in their home will be willing to pay a reasonable premium. OHB Dr. Avi Friedman teaches architecture at McGill University. avi.friedman@mcgill.ca. ohba.ca


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