VOL.22 NO. 5
H
O
M
E
September 2009
THE MAGAZINE OF THE CANADIAN HOME BUILDERS’ ASSOCIATION
Energy Efficiency Special Features: C Constructions Sodero: A Leader in Quebec Green Building C What Can the Canadian Green Building Council Do for You? C New Column: Looking at the Neighbourhoods We Build C Geothermal Business is Heating Up
Visit us on-line at HomeBuilderCanada.com
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C Tool Talk Delivers Cuts and Clips in New Ways
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contents
Columns 9
Economics
10
Customer Satisfaction
12
Community Development
14
Building Science
24
Tool Talk
Departments 6
News
8
Association
26
Information
27
CHBA Report
30
Renovation
31
Industry News
31
Calendar
32
Advertisers Index
34
Products
9
20
There are signs of economic recovery popping up everywhere, but the real key to recovery will lie in how the economy deals with excess capacity and unemployment.
There’s been a boom in the market for geothermal energy over the last few years. The reasons behind it and how the technology has changed are at the source.
Job Growth Will Be Key to Sustaining Recovery
10
Is Your Bank Holding You Hostage? The recovery would seem to be under way, yet builders are still having trouble raising the financing they need to grow their business. What’s behind this? Paul Cardis and Bill Lurz weigh in.
16
12
A Good House is Better in a Good Neighbourhood In his inaugural column, Fannis Grammenos looks at how we build not just homes but neighbourhoods, and how we can improve on our current approach.
Builder Profile There’s green building, and then there’s what Constructions Sodero does. The Quebec builder and its president, Robert Deschamps, tackle projects that push the boundaries of sustainable building.
COVER The Abondance le Soleil home, situated in Verdun, Quebec, represents a shining achievement in green home construction for Robert Deschamps and his team at Constructions Sodero. Home BUILDER Magazine is published by Work-4 Projects Ltd. six times a year. Editorial/Advertising: 4819 St. Charles Boulevard, Pierrefonds, Quebec, Canada, H9H 3C7. Tel.: 514-620-2200, E-mail: homebuilder@work4.ca. Entire contents copyright September 2009 by Work-4 Projects Ltd. Reprints only by written permission. Opinions expressed are those of the authors or persons quoted and not necessarily those of the publisher or any other organization. The occasional appearance of photographs depicting safety violation does not represent an endorsement of the practice by the publisher or any other organization. Subscription rates in Canada: $30* a year, $50* for two years, $65* for three years. U.S. and foreign subscriptions payable in U.S. funds only. ISSN No. 0840-4348. Legal deposit — The National Library of Canada and Bibliothèque et Archives Nationales du Québec, 2007. Canada Post Permit #0295647. *GST included. Registration #R105741383 • Date of mailing: September 2009
Digging Deep to Solve Energy Problems
19
Quebec Market Report The Quebec housing market has held up relatively well through the recession. But unlike other provinces that have begun their recoveries, the worst may still be yet to come for Quebec.
22
LEEDing the Way for Canadian Builders The Canadian Green Building Council is still quite young. The LEED standard is not. Where do builders sign up? What’s in it for them? How long does it take? We have the answers.
Home BUILDER September/October 2009
5
I N T R O D U C I N G
NEWS
Bank of Canada Declares Recession Over OTTAWA – The Bank of Canada has called an end
an annualized rate of 1.3 per cent in the third quarter.
to the recession in its latest quarterly Monetary Policy
That being said, unemployment is expected to con-
Report. After shrinking in the last three quarters, the
tinue to rise for some time to come.
report suggests the Canadian economy will grow by
“We are on track for the recovery both in Canada and globally,” said Bank of Cana-
Real GDP growth is expected to rebound in the second half of 2009
da governor, Mark Carney. The report goes on to predict growth will accelerate through
Sources: Statistics Canada and Bank of Canada
late 2009 and the first half of 2010, eventually reaching a growth pace of four per cent, before slowing down to less than three per cent by the last half of 2011. The report credits a number of factors in the turnaround, most notably consumer confidence, the housing market, stimulative monetary and fiscal policy, firmer commodity prices and improved financial conditions.
C
Housing Starts Decline in July OTTAWA – After two consecutive months of
Overall, urban starts decreased 5.5 per cent
growth in new home starts, there’s been a pull back.
to 113,500 units SAAR in July. Multi-family starts
The seasonally adjusted annual rate (SAAR) of new
weighed heavily on that figure, as they decreased
home construction in Canada dropped in July by
nine per cent to 61,000 units. Single-family starts,
4.1 per cent, to 132,100 units from 137,800 units in
meanwhile, moved down by a more modest 1.1 per
June, according to Canada Mortgage and Housing
cent, to 52,500 units SAAR in July.
Corporation. “The slight decline in July’s housing starts is mostly
C
Housing Sales Rise Sharply
attributable to the volatile multiple starts segment,”
OTTAWA – July housing sales across the country
said Bob Dugan, chief economist at the CMHC’s
were the best on record for the month, spurred by the
Market Analysis Centre. “Although July registered
largest year-over-year increase in two years, accord-
a decline, housing starts are expected to improve
ing to the Canadian Real Estate Association.
throughout 2009.”
A COMPREHENSIVE, C O M P E T I T I V E LY P R I C E D SELECTION OF INSURANCE P R O D U C T S TA I L O R E D TO M E E T T H E N E E D S O F T H E C O N T R AC TO R
50,270 units were sold via the Multiple Listing
The CMHC expects that over the next several
Service (MLS) in July. That marks an 18.2 per cent
years, housing starts will gradually catch up to demo-
increase from a year ago and the first time sales
graphic demand, which they currently estimate at
have topped 50,000 units in July. MLS sales at SAAR
P r o p e r t y, C r i m e
about 175,000 units per year.
have risen in six straight months and are up 61.2
a n d L i a b i l i t y C o v e ra g e
per cent from the decade-low The Magazine of the Canadian Home Builders’ Association
set in January. In fact, sales are
Vol. 22 No. 5 September/October 2009
May, 2007 peak. British Columbia
Publisher Nachmi Artzy pub@work4.ca
Sales Coordinator Polly Ma coordinator@work4.ca
Editor Charlie Blore editor@work4.ca
Contributors: Paul Cardis Jon Eakes Anca Galasiu Fanis Grammenos Aziz Laouadi Bill Lurz Peter Norman
Production Manager Kelvin Chan kelvin@work4.ca
Published by Work-4 Projects Ltd.
A W O R K - 4 P R O J E C T S LT D . P U B L I C AT I O N
Accounting Pat Fleurent accounting@work4.ca Circulation Manager mail@work4.ca
Advertising/Editorial: 4819 St. Charles Blvd. Pierrefonds, Quebec Canada, H9H 3C7 Phone: 514-620-2200 www.homebuildercanada.com
now only 1.4 per cent below their turned in strong sales numbers for the month of July, with MLS sales having increased 53.5 per cent year-over-year. Prices are now up 7.6 per cent
Home BUILDER September/October 2009
B u i l d e r ’s R i s k Automobile Umbrella Liability
($326,832) from last year. A lack of supply is the main driving force behind rising prices – there is now
Fo r a d d i t i o n a l i n f o r m a t i o n c o n t a c t
just 4.4 months of unabsorbed
yo u r P r o g ra m m e d I n s u ra n c e B r o k e r a t :
inventory in the market.
6
Bonding
C
1-800-265-6197
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2009 Toyota Tundra winner
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association
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2009 CARE Award Nominees Announced
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VICTORIA — This year’s finalists for the Construction Achievements and Renovations of Excellence (CARE) awards were recently announced. The awards will be handed out at a ceremony to be held on October 2. Nominees are selected in the categories of residential planning design and construction, interior design, commercial planning and design, customer service, sales and marketing, special achievement and special interest. Finalists are chosen by a panel of industry professionals using such criteria as architectural character, quality workmanship, use of space, energy efficiency and sustainability.
Employee
“These CARE Awards finalists demonstrate there is a home for every
Time Card
lifestyle,” says CARE Awards chair, Gordon English. “Students, families,
Bill Kemp
Mountain Vie w CONSTRUCT ION
Monday, Oc
tober 12, 200
Jobsite Na
Brentwood
me
Job
Crestview Job
9 - Friday, Oc
Cost Code
Framing
Drywall
Mon 7:38 – 7:38
Bill Kemp
9
Tues 7:35 – 7:35
empty-nesters and seniors — all are represented in this wide array of housing, which consumers can enjoy during the People’s Choice Award
tober 16, 200
Wed
Thu
7:53
–
–
7:58
7:53
7:58
Regular Ho
urs
Overtime Ho
Double Tim
urs
e Hours
contest.”
Fri
Total
–
23:06
7:49
15:47
7:49
38:53 38:53
The People’s Choice Award contest will ask the public to vote on nominated projects and give them the chance to win a stay at the Long Beach Lodge Resort: the 2002 CARE Awards Project of the Year. The CARE Awards were created by the Vancouver Island HBA in 1991
-0-
to recognize the West Coast’s creative design and craftsmanship, and
-0-
celebrate excellence in the industry. To view the full list of CARE Award
Forget trying to decipher handwritten timecards. JobClock accurately tracks time at every jobsite! You can even track travel time! Ask about our “Tough Economy Easy Payment Plan!”
nominees and to see the projects in the running for the People’s Choice Award, visit www.careawards.com.
C
Finalists for 2009 OHBA Awards Announced ®
ONTARIO — Finalists for the 2009 Ontario Home Builders’ Association Awards of Distinction were announced recently. Aspen Ridge Homes led the way, hauling an amazing seven nominations overall, including five for its Scenic on Eglinton project. The Amexon Development Corporation was close behind with an impressive six nominations, including five for its South Beach Condos + Lofts, Phase One project. Among the other notables are Phelps Homes, which garnered three
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nominations for its Smithville on the Twenty North development, Reid’s Heritage Homes, which is up for four prizes and Oke Woodsmith
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Building Systems, which nabbed a trio of nominations.
Home Builder Magazine’s July profile story subject, Durham Custom Homes, was nominated in the 2009 Green Builder of the Year category.
Home Builder Sept09.indd 1 8 Home BUILDER September/October 2009
8/6/09 11:02:50 AM
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economics
Job Growth Will Be Key to Sustaining Recovery With seven months of housing starts data now available, a clearer picture of the shape and longevity of the housing downturn in Canada is emerging. The anticipated return of economic growth in the third quarter of
By Peter Norman
We don’t expect to see any impressive sustained job growth numbers until the latter half of 2010.
brings the economy back to its size (in inflation adjusted terms) of February 2006.
Jobs Recovery May Not Be Imminent
2009 is expected to lead to a gradual improvement in the
Turning back the clock 40 months on economic prog-
quarterly pace of housing starts as well, but the key word
ress can have a lot of implications, but primarily it sug-
is gradual and thus the key response from those of us in
gests caution with regards to expectations for a jobs
the industry should be patience.
recovery. The number of jobs in Canada declined by some
Total Canada-wide housing starts came in at 128,100
13,300 over the course of the second quarter — some-
units seasonally adjusted at annual rates (SAAR) in the
what slower than the 272,900-person decline over the
second quarter of 2009, according to the Canada Mort-
previous three-month period. All told, Canada’s labour
gage and Housing Corporation, which is down about
market continues to be of concern. The unemployment
eight per cent from the first quarter and at the lowest
rate in June reached 8.6 per cent — an 11-year high and
level since the third quarter of 1996. Housing starts rose
up 2.8 percentage points (and 538,000 persons) from the
modestly to 132,100 in July, suggesting modest upward
beginning of 2008.
momentum. The upturn is expected to be focused in
Typically, solid recovery in the job market lags
single-family starts, as apartment starts continue to
improvements in output following a recession by sev-
struggle.
eral quarters, and this time will be no exception. Despite
There are growing signs that Canada’s economy may
all the job losses in Canada since October 2008 (some
be emerging from its long recession. The economy con-
370,000 job losses), Canada’s workforce remains almost
tracted by some 5.5 per cent in the first quarter (quarterly
500,000 persons stronger than it was in February 2006.
on an annualized basis), but these declines are likely
While we don’t expect further large job losses, these
decelerating, and the estimate for the second quarter
numbers do suggest that there is considerable room
is a more modest 2.5 per cent decline. Furthermore the
for the economy to grow and expand without requiring
odds are strong that the third quarter will see slight posi-
substantially more workers. Therefore we don’t expect to
tive growth.
see any impressive sustained job growth numbers until
A factor encouraging for economic growth is the modest recovery in commodity prices, especially oil. This is tempered by a corresponding rise in value of the dollar, which will continue to weigh heavily on Canada’s manufacturing sector.
the latter half of 2010.
Some Positive Signs of Life Ultimately, job growth is critical for a solid recovery in housing demand. Recently, “green shoots” in housing
The greatest challenge an economy faces following
demand have been encouraging. Existing home sales
a recession is how to cope with excess capacity. Gener-
through the Multiple Listing Service have surged in the
ally we concentrate on citing the marginal percentage
past four months, erasing most of the recession’s losses,
changes from month to month, or quarter to quarter, in
while new home sales are rising in markets such as
economic growth, but it is also telling to focus on the
Toronto.
actual size of the economy. In May, Statistics Canada
Clearly, lower mortgage and modest wage gains
reported that the total size of the economy (as reported
(among those with jobs) have been positive for housing
in constant 2002 based dollars) was $1.184 trillion. This
affordability, and this, along with a certain amount of
is down almost $52 billion from a peak in July 2008 and
pent-up demand from depths of the recession, is making the housing market a bit bubbly. But without a sustained
Turning Back the Clock 40 Months
recovery in job growth these gains may be temporary. Recent research we undertook on behalf of the Canadian Home Builders’ Association suggests that underlying levels of housing demand in Canada are currently close to 175,000 units per year. This suggests that there is considerable room for the new housing construction sector to recover from its second quarter performance
Peter Norman is member of the CHBA Economic Research Committee and is Senior Director of Economic Consulting at Altus Group (formerly Clayton Research), a firm of urban and real estate economists.
of 128,100 units (annualized), but anticipated sluggish recovery in jobs will mean that the recovery in housing will also be slow. We expect some 131,000 total housing starts for 2009 as a whole with a modest recovery to 144,000 in 2010. Clearly we have a long way to go, and patience, as always, will be a virtue.
Home BUILDER September/October 2009
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9
Customer satisfaction
Is Your Bank Holding You Hostage?
By Paul Cardis and Bill Lurz (above)
When Bank of Canada governor Mark Carney told an
In the Greater Toronto Area, new housing has joined
Ottawa press conference in late July that the recession is
the resale market with a resiliency economist Frank A.
over in this country, it was a clear signal to all Canadians
Clayton of the Altus Group says this is remarkable in
to stop wallowing in the gloom still emanating from
a world experiencing the nastiest recession since the
south of the border. Canada will no longer be held a cap-
1930s. New home sales for this June are up year-over-
tive by the US-led, worldwide economic Armageddon.
year by 16 percent, to 3,782 homes.
Home builders from Halifax to Victoria should e-mail
“It took about six months for our people to figure out
a copy of Carney’s remarks to every local banker with
how different the situation is in Canada, so our markets
whom they do business, because builders tell us their
came roaring back this spring,” says Stephen Dupuis,
lenders aren’t getting the message. And the housing
president and CEO of the Toronto-based Building Indus-
industry needs financing, right now, to meet surging
try and Land Development (BILD) association. “We just
demand for new homes.
got caught in the global financial crisis, so we took a big
“Money is very tight,” says Eric Andreasen, vice presi-
While home sales are up in most Canadian markets, housing starts are still down, and many builders point to tight money as the root cause.
Canada’s resource-based economy is separating
“What will hurt most going forward, is that lenders are
from the US in many other industries beyond housing.
not financing new projects, and we’re running out of
The recession is still visible in portions of Southern
product. There’s an inventory vacuum building, and that
and Southwestern Ontario, where the borderless North
will put pressure on prices.”
American auto manufacturing industry, and its troubles,
The Canadian housing industry has always been
still dominate. Out west, however, oil and gas exports
separate and distinct from that of the US, and a big
keep Alberta in the pink, while agriculture is solid across
reason is the inherent conservatism of the Canadian
the region.
mortgage industry and financial institutions, which are
“All of the markets in Alberta are pretty strong, but not
much more closely regulated than their American coun-
as strong as three years ago,” says Bruce Galts, president
terparts. Unfortunately, in this case the timidity of lenders
of the Alberta Home Builders Association. “Margins are
may restrain the housing industry from its traditional
not what they were then.”
role of leading a robust recovery. While home sales are
That’s another troubling aspect of this budding recov-
up in most Canadian markets, housing starts are still
ery. Because it’s concentrated at the affordable end of
down, and many builders point to tight money as the
the pricing spectrum in virtually every market across the
root cause.
country, it’s fragile.
“There was really no need for our housing markets to
Builders hunkered down to fight their way to profit-
collapse as they did last fall,” says Ron Bird of Lifestyle
ability without knowing how deeply they would need
Homes. “The psychology of fear perpetrated by the media
to cut. They slashed prices on standing inventory, they
led to a knee-jerk reaction in our financial institutions,
renegotiated with trades to reach lower pricing levels and
and credit dried up overnight. It’s still hard to get money
consumers responded to the improved affordability. We
today. They don’t want to lend for building spec inventory
spoke to builders all across Canada, and virtually every
at all, even when we show them there’s a huge demand
one said the recovery is concentrated in smaller, smarter,
for spec homes to meet the needs of buyers moving to
more affordable homes, often townhouses or condo flats.
Calgary from out of town.”
A number of builders even told us the move-up market
Canadian and US Markets Headed in Different Directions Bill Lurz has worked for over 30 years for such names as Professional Builder, Housing Giants and Canadian Building magazine. He is now senior editor of AVIDBuilder.ca. Paul Cardis is the founder of AVID, Canada’s leading provider of customer loyalty management and sales generation services for the home building industry. He can be reached at paul. cardis@avidratings.ca and you can visit AVID on-line at www. avidratings.ca.
pause, but that’s all it was.”
dent of marketing and sales for Adera Development Corp.
is still stagnant. “As the market came back, we saw a couple of things driving it,” recalls Andreasen. “First, it had to be afford-
There’s now mounting evidence that the gulf between
able, and second, it had to be ready for occupancy. The
the Canadian and US housing industries is widening.
biggest obstacle we face is financing. I’ve got a project
Canadian builders are on the cusp of a boom, while US
planned, but the lenders are telling me, unless it’s 70 per
builders are fighting just to keep their doors open. But
cent pre-sold, I won’t get the money to build it.”
a lack of financing could nip the Canadian bud before it blooms.
To meet the demand for affordable homes and spec product, builders need financing that doesn’t bust their
“The market never evaporated,” says Bruce Nicol, vice
budgets. They’re lobbing that ball into the lenders’ court.
president of Tartan Homes. “But sales were off consider-
Will the lenders be able to return it? We’re all waiting with
ably, and we had to let some people go. That all ended in
bated breath to find out.
the spring. The resale market in Ottawa is now red hot, and as the overall market came back, our own new home sales picked up. We now have steady traffic and our sales people are happy.”
10 Home BUILDER September/October 2009
C
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1
Community Development
A Good House Is Better in a Good Neighbourhood Developers and builders generally display a handful
“I am not embarrassed to say, ‘if I could afford this [cul-
of house models for prospective customers to choose
de-sac neighbourhood] I would happily raise a family in
from. They are flipped right and left, and adjusted slightly
this environment’,” says Jeff Speck, a prominent planner
to evolve into a street of various building facades and
and critic of the cul-de-sac.
shapes; variety with rules – like Jazz. Generally the house models are created by drawing upon a set of previous designs and customer feedback. Customers, who use the house daily, know its strengths, By Fanis Grammenos
Some planners argue that these street types are
know what they like and what they don’t like. The suc-
unfriendly to pedestrians because they are disconnected.
cessful builder listens and creates an improved model,
Also, they can slow traffic to a crawl. This need not be
often repeating a best-seller in several projects – the good
the case, though. At the neighbourhood scale, Village
house almost everyone wants.
Homes, of Davis, California, and at the city scale, Milton
a good lot and be in a good neighbourhood. Fortunately, there are models for a good neighbourhood as there are for houses.
What Makes a Neighbourhood? House elements are easy to list: living room, dining room, kitchen, bedrooms, bathrooms, storage, decks,
Keynes, UK, show how pedestrian paths and regular traffic can coexist. Research by Dr. Larry Frank and Chris Hawkins at UBC (2007) showed that people will walk more when pedestrians are favoured by the layout of streets and paths. Meanwhile, an IBI group study in 2007 showed that traffic can move faster if cars are given a grid that suits them.
balconies, etc. Every house must have these in order to be a comfortable place to live. The key to making life enjoyable, not just comfortable, is getting the balance and relationships between these elements just right. You know the better place not by its looks, but by living in it. Initially, it seems easy to list the elements of a neighbourhood: streets, lots, blocks, parks, and in bigger ones, schools and shops. Here too, the elements that make up a neighbourhood are not created equal, and how they relate to each other is critical in determining how well the neighbourhood works. You can only tell how neighbourhoods function by living in them, and well-functioning ones command higher prices. Lot size does matter, but it’s the surroundings that
A computer rendering of a Fused Grid neighbourhood.
really drive prices. When lots face water, ravines, parks,
But how do you combine the two? A newcomer in
large easements or a golf course, their prices rise.
the evolution of neighbourhood layouts, the Fused Grid
Research and surveys repeatedly show that people will
model produces a system that embodies delight, walk-
pay premiums for views of nature or open space and for
ability and traffic flow management.
the experience of tranquility and delight that come from
It was shaped by home buyers’ expressed preferences
that view. Michael Bond’s 2002 study analyzed lake-
in neighbourhood form, quality and amenities, what they
facing lots and found an almost 100 per cent increase
pay for and what pleases them. In addition, it considers
in property value. Andrew Miller’s 2007 examination of
what has not worked in recent and older neighbour-
small neighbourhood parks found a 14 per cent increase
hoods, and what measures were taken to fix it — street
in values within 800 feet of parks.
closures and traffic calming for example. In other words,
The street type matters as well. No family likes to live on through streets; most people are annoyed by the Fanis Grammenos is a principal of Urban Pattern Associates and was a senior researcher at CMHC for 20 years. He can be reached at fanis. grammenos@gmail.com, and you can see his planning work at www.fusedgrid.ca
Fused Grid Offers New Approach
quirks and limitations, and let the attentive developer
But to fetch its best price, the good house must sit on
When lots face water, ravines, parks, large easements or a golf course, their prices rise.
Residents of some through streets have erected bollards to achieve a similar no-through-traffic effect.
it blends and fuses familiar and proven elements into a new model, just as a new house model does.
noise, the unpleasant exhausts and risks to children. The
It’s evident that we need to put as much thought into
street types that avoid these stressors are the loop (or
the neighbourhoods we build as the homes we build.
crescent), the mews and the cul-de-sac. Research and
Today’s customers expect models that are practical, meet
surveys have shown that lower-risk streets mean more
their aspirations, reduce costs, help the environment and
child’s play and more socializing occurs. As a result, price
deliver a well-functioning neighbourhood.
C
listings there show higher values. Home buyer line-ups in advance of sale confirm this preference, as do statements by prominent urban thinkers.
12 Home BUILDER September/October 2009
Fanis wishes to thank Doug Pollard for his valuable edits.
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Canadian Home Builders’ Association
BUILDING SCIENCE
Solar Shading Devices Save Energy in Houses
By Dr. Aziz Laouadi and Anca Galasiu
Window shading devices have been used for many
period, and thus the savings reported below would be
years to prevent overheating of houses. Few studies
reduced. Indeed, a follow-up NRC survey on household
have been done, however, to quantify the benefits in a
indoor climate controls found that about 50 per cent of
meaningful way.
households would open or close their shading devices
The twin houses of the Canadian Centre for Hous-
during daytime. Effects of such realistic shading controls
ing Technology (CCHT) afforded the National Research
on house energy use are included in a whole-house ener-
Council’s Institute for Research in Construction (NRC-
gy simulation model to predict the energy performance of
IRC) an excellent opportunity to conduct tightly con-
other shading types in other Canadian building sites.
trolled studies to assess the benefits of using two types
The rollshutters reduced the daily energy use of the
of window shading devices: exterior insulating rollshut-
air conditioning unit of the test house by about 45 per
ters and highly reflective interior screens. These devices
cent compared to the reference house. When the energy
were installed in the CCHT test house in two different
use of the furnace fan was factored out, the net reduc-
experiments and their performance was compared to
tion in daily cooling energy use was roughly 26 per cent
that of typical interior (Venetian) blinds installed in the
±10 per cent. The fan thus accounted for more than 30
otherwise identical reference house
per cent of the energy use of the air conditioning unit. The fan ran continuously on a full nominal speed with
Exterior Rollshutters
the air conditioning unit, and on half the nominal speed
The exterior rollshutters were studied in the winter and summer of 2008. They were made of fixed and articulated aluminum slats (beige color) with sandwiched polyurethane insulation. The slats could be arranged so
was not required.
Interior Reflective Screens
that they were tightly abutting (winter), or with a small
The experiments with the interior reflective screens
gap between them to admit some light and provide a
were conducted in the summer only. The shades were
view from the inside (summer). They were not
mounted outside (against) the window frames leaving
designed to allow the slats to be angled,
an open air space between the shades and the wall to
and could only be adjusted up
reduce the risk of excessive window glass temperatures
and down in the vertical
and glass breakage caused by heat build-up. The shades
plane of the window using
were made of a PVC-coated glass fibre material with an
side railings installed on
openness factor of four per cent, which allowed a view-
the brick walls. A rubber
through to the outside.
gasket installed between
The results with the interior reflective screens showed
the side railings and
that the daily air conditioner energy use of the test house
the walls sealed the air
was about 13 per cent lower than that of the reference
space between the shut-
house. The maximum difference in the daily energy use
ters and windows. The
was about 18 per cent, and the lowest about 10 per cent.
bottom of the shutters
When the energy use of the furnace fan was factored
was unsealed to allow
out, the daily cooling energy use of the test house was
for water drainage.
on average roughly eight per cent ± two per cent lower
In the winter, the shading devices in both houses were kept open (shutters fully retracted and slats of interior blinds horizontal) from 9:00 a.m. to 5:00 p.m.
Dr. Aziz Laouadi is a research officer in the Indoor Environment program of NRCIRC. Anca Galasiu is a technical officer in the same program.
with the heat recovery ventilator when space cooling
than that of the reference house.
Window Moisture also Reduced
to admit daylight and solar heat gains indoors, and kept
In addition to saving energy and reducing peak elec-
closed (shutters drawn down and slats of interior blinds
tricity demand, the exterior rollshutters reduced the risk
tightly squeezed) at other times. At night, the rollshutters
of moisture condensation on the interior window sur-
reduced the heat loss through the windows of the test
faces during the night in winter by keeping interior glass
house by about 20 per cent compared to the reference
surfaces 4oC warmer than those of the reference house.
house. They reduced the heating energy use by four per
The colder window surfaces of the reference house were,
cent ± two per cent. These energy savings were propor-
however, shielded by the closed interior blinds. Conse-
tional to the ratio of the total window surface area to the
quently, the rollshutters and interior blinds resulted in
total envelope surface area of the house (windows make
similar thermal conditions near the windows.
C
up 11 per cent of the liveable surface area). In the summer, the shading devices in both houses
Additional information about the energy performance
were kept closed throughout the testing period to explore
of the tested shading devices is available at: http://irc.
the maximum effects; it is important to note that most
nrc-cnrc.gc.ca/pubs/ci/v12no4/v12no4_13_e.html and
residents would open shading devices for some of this
http://www.ccht-cctr.gc.ca/projects/solar_e.html
14 Home BUILDER September/October 2009
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builder profile
Building a Greener Future By Charlie Blore
the need for energy in the house,” recalls Deschamps. “We used only energy efficient appliances, including the furnace, but it was still too much of a draw on the photovoltaics. Then we Cindy Diane Rheault
realized that all the electrical charges that we
Robert Deschamps
don’t see, like computers and the television, were using about 30 per cent of our energy. We had to find a way to cut that consumption.” The solution they came up with was to put each household’s non-essential appliances (i.e. not the refrigerator) on a master kill switch,
Across all sectors, the word “green” is mutating from the focal point of a movement into a marketing tool. Slapped on all types of products and installations, often with little or no standardized value attached to it, few builders can say they build green homes with anything close to the kind of vigour and performance being delivered by Constructions Sodero of Mont St-Hilaire, Quebec. President Robert Deschamps and his team
Experience EQuilibrium
The home is powered by a combination
Corporation launched its EQuilibrium Hous-
of geothermal heat, photovoltaic (PV) panels
ing Initiative, Constructions Sodero jumped
for electricity and solar thermal panels for hot
418
at the opportunity to participate. Together with EcoCité Developments, Studio MMA, Pageau Morel and Associates and Professor Michel Bernier from École Polytechnique de Montréal, the Abondance le Soleil home was brought to life. The group’s entry is a triplex in the Verdun suburb of Montreal. The project houses three families (nine people in all) and uses 80 per cent less energy than average. Achieving this kind of energy efficiency was
can be done in green construction. It is work
a herculean task that required the company to
that is not only valued by its customers, but
come up with innovative solutions to complex
serves as an example for other builders across
issues.
16 Home BUILDER September/October 2009
when leaving the house.
When Canada Mortgage and Housing
tackle projects that push the envelope of what
the country as well.
which could easily be flipped by the front door
“The most important thing was to reduce
The Abondance project required the collaboration of several organizations to pull off.
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Builder profile
164 water. Altogether it’s designed to produce more
imagine ourselves in the year 2030, but one of
energy than it consumes in a given year.
the things we learned is that to get there from
Then there’s the R-45 wall insulation, the
now, we don’t have to go that far,” notes Des-
R-68 ceilings, the elimination of thermal bridg-
champs. “For now it’s too expensive to use PV
es…the list of measures taken for the sake of
and geothermal on all projects, but we can start
efficiency simply goes on and on.
with better insulation and airtightness. We learned lessons there that we can apply now.”
Valuable Lessons Learned
Lessons such as the importance of prop-
Abondance le Soleil wasn’t just about
er airflow to minimize health dangers when
energy efficiency, mind you; it also boasts a
building for said airtightness. Sodero and its
rainwater retrieval system, which reduces the
partners managed to deliver a rate of 0.4 air
property’s use of city sewers by 75 per cent, and
exchanges per hour.
a state-of-the-art air exchange system. That
As homes become increasingly airtight,
last feature was necessary given how tightly
green builders will have to show continued
the home was built. “It was a big job to make sure we were air-
The Abondance team paid added attention to air exchangers and heat recovery systems.
awareness and caution in dealing with this issue.
tight,” says Deschamps. “The first thing we do
designed to exhibit the state of the shelf in
now is work on the insulation. We make sure
green building. In other words, the initiative
there’s no thermal bridge, that we’re airtight,
was meant to answer the question. How green
and we put more insulation in than we used to.
can builders be right now? This wasn’t an exer-
Despite the company’s success in the indus-
We’re starting a project in two weeks and we’re
cise purely of value to those involved; it was
try, it remains a specialized operation. Based
going with a really special outside wall.” Efficiency is something all builders strive for, especially when it comes to producing a tight, well insulated building envelope thatmaximizes energy efficiency. But with a tight envelope and excellent insulation comes the danger of volatile organic compounds potentially polluting indoor air quality. “If you’re going to be airtight, you need to have something to maintain air quality,” Deschamps says. “We’re so airtight these days; we need to put less into machines for heating and
“It seemed stupid not to! We have the knowledge, material; everything to do it. Why make cheap houses?” — Robert Deschamps
Veterans of the Green Construction Game out of tiny Mont-St-Hilaire, Quebec, and with a staff of just a handful, Constructions Sodero take on very few projects. This has allowed them to focus their attention on the rapidly growing niche market for sustainable housing. “We’re ahead of the competition in terms of sustainable building,” says Deschamps. “We’re on the cutting edge. There are maybe one or two other companies in Quebec who’ve gone as far as we have. We worked for two years with the Université de Montreal and our partners to develop the concept and design of the Abondance le Soleil project. We searched
cooling, and more into the heat exchangers to make sure we’re not losing hot air to the
meant to enlighten the builders of Canada as
all around the world to find the most efficient
outside.”
a whole. Which begs the question: What has
products for every detail.”
These lessons really go to the heart of the EQuilibrium Housing Initiative’s goal. It was
been learned from this exercise? “To be honest, that project asked us to
In a sense, the EQuilibrium Housing Initiative was what Sodero has been working toward for over a decade. Deschamps had his
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first brush with green building when the Candian Home Builders’ Association’s R-2000 program came along. Since then, the company has specialized in highly energy efficient construction — both new homes and renovations. “I started to be green in 1992-93, when I first saw the R-2000 house. We had a course there and I thought it would be logical to go towards that,” says Deschamps. “It seemed stupid not to! We have the knowledge, material, everything to do it. Why make cheap houses?” With the success of Abondance le Soleil filling their sails, Sodero is booked through spring 2010, with more projects in the works. No recession blues around here. Everything keeps coming up green.
C
Market report By Charlie Blore
Will Quebec Bounce Back Further? The Quebec housing market has been experiencing something of a slow burn over the last year or
and governmental affairs for the Association
in 2008. Unemployment, meanwhile, now sits
Provinciale des Constructeurs D’habitations du
at nine per cent, the highest level Quebec has
Quebec (APCHQ).
seen since 2004. Sales are also expected to
The Canada Mortgage and Housing Cor-
drop to 2004 levels, with roughly 70,000 units
poration reported that July starts came in at
expected to change hands. These factors along
38,000 on a seasonally adjusted annualized
with a number of others, including a backlog
basis. That’s well up from 2009 lows reached
of inventory, are expected to continue to weigh
parts of the country have seen
in February, and actual starts for the month
down starts through 2010: the APCHQ is pro-
sharp declines in activity over the
were down just eight per cent year-over-year.
jecting 39,928 starts next year.
so — which may not be so bad given the alternatives. While other
last year, stemming from the global
The rebound may be
“The difference in Quebec is that in the long run the demographics suggest we should see a continual decline in new home starts for a long period of time – about 15 to 20 years,” – Daniel Laplante
losing steam though;
economic downturn, Quebec’s housing mar-
the APCHQ is projecting
ket has seen a slower, more gradual decline.
annual starts of 40,100
But the news isn’t all good in la Belle Province,
units for 2009, which is
because, while the rest of the country embarks
more or less the current
on their respective roads to recovery, the out-
pace of construction and
look isn’t as bright in Quebec.
would be 16 per cent fewer than the province
“The difference in Quebec is that in the long
“Despite the fact that interest rates are relatively low at the moment, there’s one thing we
produced in 2008.
run the demographics suggest we should see
The market is being weighed down by the
can’t forget, which is that there’s been a decline
a continual decline in new home starts for a
city of Montreal and growing labour market
in wealth from this economic downturn that in
long period of time — about 15 to 20 years,”
woes. Montreal starts between January and
the near term will slow the new home market,”
says Daniel Laplante, director of economic
June of this year were 26 per cent lower than
says Laplante.
5507 Home Builder Mag-halfpg:Layout 1
8/21/09
1:19 PM
Page 1
429
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Home BUILDER September/October 2009
19
report
Digging Deep to Solve Energy Problems
By Charlie Blore
Is it price? The desire to be green? Is it a question of availability? Or government subsidies? Maybe it’s all of the above? The market for geothermal energy in Can-
If you pump that air into a home, you’ve effec-
or retrofit their homes with geothermal sys-
ada has skyrocketed in recent years. Provinces
tively given it heating for the winter and air
tems. In some cases, homeowners can expect
across the country have reported geothermal
conditioning for the summer. Systems may
subsidies to cover as much as half the cost of
sales growth in excess of 100 per cent. In
differ based on materials and design, but they
installation.
2007-08 alone, the industry grew 50 per cent
all essentially do this same job: delivering to
In addition to direct subsidies, the feder-
in Canada. It’s a meteoric rise that has come
the consumer energy savings that by most
al government scored a home run with the
about so suddenly that it has many impartial
estimates range from 30 to 70 per cent.
development of the Canadian GeoExchange
observers scratching their heads and wonder-
Certainly, the growing energy efficiency
Coalition, an under recognized driving force
movement and ever-rising energy prices have
behind the surging market. The CGC has been
How could one not be puzzled by the trend?
also played a major role in the industry’s growth.
in existence since 2003, and has been a leader
Geothermal heating isn’t exactly new; geother-
Oil prices more than tripled between 2002 and
in promoting geothermal energy in Canada.
mal pumps have been a viable temperature
2008 and, not surprisingly, this coincided with
control system for decades.
the beginning of the geothermal boom.
Price Landscape Has Changed
“The current economic state as it regards
dent, Denis Tanguay. “First, they helped us
new alternative energy sources has been key,”
develop our program. Second, they came on
ing where this is all coming from.
“The governments have played two very important roles along the way,” says CGC presi-
Sure, they still aren’t cheap — today, geo-
says Duck. “Homeowners are getting all kinds
board with important subsidies at the right
thermal systems generally come with a price
of incentives from the government — local,
time.”
tag in the $25,000 range — but costs have
federal and provincial — to have geothermal
The CGC has been a strong promoter for the
dropped dramatically in the last decade. Gov-
installed in their homes. So this has really
industry and has taken the lead in fighting the
ernment subsidies are one part of the story, and
kicked the industry up.”
unaccredited installers who’ve seized on the
more affordable equipment is the other. “With the boom in geothermal, there’s a huge market for contractors, builders and
Government Subsidies Act as Game Changers
opportunity presented by this rapidly growing industry. The speed at which the industry has grown left regulators scrambling to catch
HVAC installers to get into it, but spending
Government support has been strong at
up. The CGC has promptly stepped in to fill
$200,000 to $300,000 on equipment to get into
both the federal and provincial levels, and it
that void with its own certification program.
the industry hardly seems worth it,” says Elliot
continues to grow by the month. From loans,
They’ve also launched a campaign to educate
Duck, sales manager for RigKits, a manufac-
to grants and tax breaks, subsidies abound in
the public on the dangers of using uncertified
turer of geothermal drilling equipment. “So
Canada for home owners looking to install
contractors to install geothermal systems.
we’ve developed our technology into kits to
“We developed our training program and
make it affordable for the smaller guys who
marketing campaign, and then we started
aren’t into the big drilling stuff.”
making some noise,” says Tanguay. “Now
More affordable equipment from compa-
we’re seeing people who had foregone our
nies like RigKits has lead to lower costs passed
certification program come back to it because
on to the client and increased competition
customers are starting to ask for it.”
among installers.
As the certification program grows, it
What does that money buy? Geothermal
should bolster the legitimacy of the industry as
systems hinge on one very simple principle:
a whole; only serving to solidify geothermal’s
the temperature below the surface of the earth
position as a mainstream alternative to more
remains at a stable temperature all year round.
traditional heating and cooling systems.
20 Home BUILDER September/October 2009
C
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report
LEEDing
the Way for Canadian Builders By Charlie Blore
For builders, the value of participating in the program and gaining certification is evident. As consumers become increasingly saturated with claims from supposedly green builders, LEED certification provides an established and clear standard against which to measure energy efficiency claims — a standard that is increasingly recognizable and sought after by customers. “The value is in true third party certification,” notes Higgins. “From the pre-drywall phase to the blower door test, they’ll have the home and the approach they’ve taken to building it evaluated for energy performance, water performance and indoor air-quality. It’s a third party assurance that can form a substantial
In its short lifespan, the Canada Green
part of a builder’s marketing piece toward
Building Council (CaGBC) has already
home buyers.”
had a tremendous impact on the Canadian construction industry. Since its
Certification Can Be Key Marketing Cog
How Do Builders Get Involved?
inception in 2003, the council has suc-
The CaGBC has launched several projects
Though it is unlikely that builders are read-
to promote the LEED program in this country.
ing about the LEED standard here for the first
cessfully enlisted partnerships with
That being said, in terms of selling builders
time, the CaGBC and its certification program
on certification, success is the best breeder
are relatively new to Canada. Fortunately,
of success.
builders have a number of avenues by which
seven providers in Canada, including four in Ontario and one each in Quebec, British
“There are hundreds of homes that are cur-
to enroll themselves. Thanks to partnerships
Columbia and Saskatchewan, with Manitoba
rently going through the program,” says Chris-
that have been formed between local HBAs
and the Atlantic Provinces expected to come
topher
Higgins, program coordinator for LEED
and the CaGBC, most builders in Canada can
on board shortly.
Canada Homes. “The program was initiated by
simply contact their locals to be put in touch
The council’s stated mission is to “lead
a number of builders who became sponsors
with the nearest service provider. Alterna-
and accelerate the transformation to high-
of the program. It was formed through a case
tively, and this is the approach favoured by
performing, healthy green buildings, homes
study of about 50 builders who were building
the CaGBC, builders can contact the CaGBC
and communities throughout Canada.” This
about 500 homes across the country. Those
directly, or visit the council’s website, to find
goal is pursued through a four-pronged attack
builders really gave input, which ended up
their local provider.
of changing industry standards, developing
shaping the program.”
Not only is certification easily accessible, it’s
best design practices and guide-
easy on builders’ budgets and time
lines, advocating for green build-
as well. The CaGBC recommends
ings and developing educational
enrolling for certification during
tools to support its members in
the design phase, thereby mini-
implementing sustainable design
mizing the cost should changes to
and construction practices.
the project be necessary.
At present, the CaGBC’s pri-
A recent study from Seattle
mary focus is on growing the
Build Green found that third
Leadership in Energy and Envi-
party certified green homes in
ronmental Design (LEED) cer-
the American Pacific North West
tification program in Canada.
sold for an average 10.5 per cent
Already a world-wide success,
premium on a square foot basis
the LEED program, which was
versus non-certified homes. The
originally established by the
homes also stayed on the market
USGBC over a decade ago, seeks
for 24 per cent less time. Green
to establish a set of standards
certified homes (those that do not
for environmentally sustainable
have the third party process), on
construction.
the other hand, sell for 5.9 per
22 Home BUILDER September/October 2009
429
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TOOLTalk
Evolutions in Cutting
and Clipping
Energy efficiency can often be enhanced by simple changes in construction techniques, and products change with time to help us do that. These products illustrate that evolution and show that, as the materials we work
into the sloped slot, up square against the first panel, and it is held there while you work on even on ceilings, is now easy and accurate without support poles. Check out the product
Drywall Framing Clips There are two companies competing to give us clips for attaching the edge of board to
the best of both worlds. And if the legs don’t line
tab on the Nailer Web site to see the video.
up with your structure, just snip them off.
The Nailer: www.TheNailer.ca
Prest-on has fought back
structural nailing, thereby avoiding that extra
with its own version of
stick of wood just for a nailing edge. In corners,
attaching-to-the-wood-
this eliminates the double stud and leaves
first clips: the Framer-
more room for insulation where heat loss
framing to deal with truss up-lift.
The Cutting Edge come out that you will want to know about:
The large holes on
can uncouple the drywall from the
Prest-On: www.Prest-On.com
Over the last year, three new blades have
back.
can cause problems. On ceilings, this
Have you tried cutting cast iron drain pipes
the stud side in the Nailer are
recently? Lennox has made your life easier
actually easier to work with than
with its Diamond 2122 Recip blade for cast iron.
Prest-on’s Corner-Back clip
the mesh style, which is designed to receive
At $15, it tested out cutting through 4” cast iron
has been around for a long
a drywall screw blindly from through the dry-
pipe three times faster than carbide, making
time. It clips onto the edge of
wall, in the Prest-on model.
over 15 cuts per blade. Finally, a clean quick cut
the drywall and then offers a tab for
I’ll vote for the Nailer.
through cast iron with your existing tools.
attaching to the facing stud. It does, however,
Unfortunately, you will probably have to
require the right size to match the drywall thick-
go on-line to buy any of these advanced fram-
ness and can give you problems on a rough
ing clips because the stores haven’t figured it
edge. It has done us good service years,
over the edge of that panel. Slide the next panel
the other end of the panel. One-man paneling,
on change, the blades we use to cut them change as well.
for
of drywall, then nail or screw this holding tool
“BOARDMATE” Board Support Tool
but
Joist or Furring Strip
moving a board around with clips Previous Board
on the edge can
Current Board
be a problem.
Set Nail or Screw in Pre-Drilled Holes
Shim or Spacer Plate
Enter
the
Nailer,
Stop Blade
Angled for Easy Access
out yet.
which allows you to fasten
On a related note, the Boardmate, invented
the clip to the wood first. If
in England, is a very interesting tool for hold-
you like, it can also be screwed
ing drywall panels in place while getting those
to the drywall first, so you have
first fasteners in. You put up your first panel
24 Home BUILDER September/October 2009
Stainless steel has become an increasingly
TOOLTalk
from the shank to the middle of the blade provide the cut for the top surface. The 4-1/2” blade increases productivity by allowing users to cut a greater number of materials such as hard and soft woods, MDF, melamine, plywood and laminated particle board. And last but not least, my tool accessory lessteels. They are available in 18-TPI for 8- to
son for this month: If you can’t find that special
16-gauge steel and 36-TPI for thinner steel,
blade where you usually shop, don’t waste your
from 16- to 26-gauge. For optimal performance
time; go right to Amazon.com. It will be much
and durability, it is recommended you add oil to the cutting surface to reduce heat build-up. Also, the tool should not operate above 1,500 strokes per minute in a non-orbital stroke common design element, so Bosch has
mode.
brought out special jig saw blades just for this
The Bosch T308B 12-TPI blade has preci-
material: the Bosch T118GFS 36 tooth and
sion ground scalpel and pointed teeth. The
T118EFS 18 tooth. The Stainless Steel blades
scalpel teeth produce the cleaner cut on the
are suited for cutting thin and medium gauge
bottom of the surface while the pointed teeth
Askthe
expert
Home BUILDER Magazine’s interactive feature on professional tools welcomes readers to air beefs, share praise and talk tools with Jon Eakes. Send your question on-line. Visit www.homebuildercanada.com and click on “Ask the Expert”.
L O O faster than a retail store special T order. LK A T OL O T LK TA Montreal-based TV broadcaster, author, home renovation and tool expert Jon Eakes provides a tool feature in each edition of Home BUILDER. www.JonEakes.com
While all stainless-steel decking screws might provide corrosion resistance, many can be tricky to install or don’t provide the desired results for your job. Each of our stainless-steel decking screws is easy to install and delivers consistent, superior results in a variety of decking materials:
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information
Spectacular Homes of Western Canada Panache Partners
laid log ends to construct walls, making for an easy, economical, esthetically striking, energy-efficient and environmentally-sound barrier. Cordwood Building collects the wisdom of over 25 of the world’s most successful practitioners, while also detailing the long history of the method and demonstrating how to build a cordwood home using the latest and most up-to-date techniques.
This is the 22nd book of a popular hardcover coffee-table book series. This edition documents the work of more than 40 of the finest professional interior designers and decorators in
CHBA National SAM Awards
MakING Your
Mark
The CHBA National SAM Awards honour Deadline for Entries the performance of November 6, 2009 new home builders, renovators, residential developers and new home sales and marketing professionals who are building dreams across Canada. The Call for Entries for the 2009 awards has been issued. Visit our
British Columbia, Alberta and Manitoba.
Order information: $16.98 (reg. $26.95) from amazon.ca
Construction Process Planning and Management
A Butterworth-Heinemann Title
Containing more than 200 full-colour photographs and images, the book features the work and commentary of some of the most well respected designers in the industry, such as Robert Ledingham, Monica Stevens, J.C. Scott, James McIntyre, Ronald Bills, Thu Watson, Geele Soroka, Damion Farrell, Lucille Fares and Douglas Cridland. Order information: $24.54 (reg. $38.95) from amazon.ca
Cordwood Building: The State of the Art New Society Publishers
website www.chba.ca/SAMS for complete information.
Author Sidney M. Levy, who is a best selling author with over 40 years of experience in the construction and general contracting business, provides tools for managing projects, maximizing profits, minimizing costs and keeping orders and project documents under control. Levy examines the common
The 2009 National SAM Awards will be presented at the CHBA
problems that are a result of the
National Conference in Victoria on March 6, 2010. Please join us
long-term nature of construction
for an unforgettable evening.
projects. From project genesis, through design development to
The deadline for entries is November 6, 2009.
contractor and contract selection, on to construction oversight, punch list and successful project close-out, this book will
Presented by: Cordwood masonry is an Canadian Home Builders’ Association
and offer practical advice at
is making a bit of a comeback.
every step along the way.
For those unfamiliar with the technique, it uses transversely
26 Home BUILDER September/October 2009
point out those pitfalls to avoid
ancient building technique which
Order information: $107.95 from amazon.ca
CHBAreport
We’ve Been Hard at Work Over the Summer
Gary Friend President, CHBA
Now is the time to start looking over your projects, getting great photos that show your achievements, and putting together your 2009 SAM entries.
CHBA EXECUTIVE BOARD President: Gary Friend, Surrey, BC Immediate Past-President: John Hrynkow, Edsmonton, AB First Vice-President: Joe Valela, Toronto, ON Second Vice-Presidents: Don Darling, Sussex, NB Victor Fiume, Oshawa, ON Treasurer: Jane Morgan, St. John’s, NL Secretary: Bob Finnigan, Toronto, ON Presidential Appointees: Mike Cochren, Oakville, ON Don Doolan, Cochrane, AB Ron Olson, Saskatoon, SK Urban Council Chair: Michael Moldenhauer, Mississauga, ON Chief Operating Officer: John Kenward, Ottawa, ON CHBA Contact: Michael Gough, CAE, National Office, Ottawa, ON
It’s been a very busy summer for the CHBA. We've
poration (CMHC). The Association is working closely
been “hard at it” in a number of important areas from
with CMHC to overhaul the Get it in Writing! consumer
building codes, to tax issues, to monitoring the economic
website, develop an updated consumer pamphlet and
developments affecting our markets.
step up promotion of the campaign to consumers. We
As we head into the fall season, I want to update
expect the new website and pamphlet to be on-line this
you on some of the projects that have been keeping the
fall, so stay tuned. Get it in Writing! continues to be a
national office busy over the summer.
very effective tool in our efforts to combat underground
Focus on Renovation
“cash” operators. The CHBA welcomes this increased support from CMHC.
The home renovation side of our industry continues
Renovation Incentives and Grants: Reports from
to perform well in this challenging market environment.
renovators continue to indicate that the federal Home
So it is more important than ever to let consumers know
Renovation Tax Credit is doing its job — motivating home
about the benefits of hiring a professional who can do
owners to “get off the fence”, move ahead with their
it right.
projects and choose to work with legitimate companies.
The Association is putting additional efforts into sup-
This is certainly welcome news. In addition, the increase
porting our professional renovator members, providing
in grant amounts available under the federal ecoENERGY
resources and tools they can use to get their message
Retrofit Grants is leading to increased “green” renovation
to prospective customers. Here are some of the high-
activity. The CHBA strongly supports these federal initia-
lights:
tives, and I'm very pleased to hear that they are resulting
Renovation Month 2009: While the CHBA’s Renovation Month campaign has traditionally been launched in the fall, we felt that this year there was much to be gained by starting earlier. As a result, the 2009 Renovation Month toolkit was released in July, providing local associations with media materials, an event organizing guide and other resources they can put to use right away. This year’s theme is Love Your Home: Talk With a Professional Renovator. Seven new media backgrounders focus on topics that are particularly relevant today, including green renovations, the federal Home Renovation Tax Credit, the importance of selecting quality products and, of course, why homeowners should only work with a professional renovator. In addition, a revised and updated guide to organizing Renovation Month activities has also been released to assist local renovation committees in their work. We thank Home Hardware Building Centre, Genworth Financial Canada, RBC Royal Bank and Delta as national sponsors of the campaign. Homeowners’ Guide to Green Renovation: Development of this new 12-page consumer publication was one of the recommendations from the Green Renovation Task Group, made up of CHBA renovators from across Canada. It's now a reality, and a copy was mailed to all Association renovation members in June. This is a “virtual publication” that CHBA renovators can download, customize with their company information, and then print as needed. It is colourful, informative and a great tool for professionals to use when working up renovation plans with their customers. We’ve received very positive reaction to this new publication, and I encourage renovators to use it. Get it in Writing! Gets a Boost: CHBA’s Get it in Writing! campaign is getting a boost from an expanded partnership with Canada Mortgage and Housing Cor-
in more work for Association members.
More Good News on the Environmental Front Over the summer, the CHBA released an update of last year’s report on energy use and greenhouse gas emission performance in the residential sector. This includes results through 2006 — the last year for which data are available. The bottom line is that housing continues to be one of the greenest sectors in Canada. Between 1990 and 2006, the energy efficiency of the average home in Canada improved by 19 per cent. This includes both the existing and new stock, which is very impressive. It means that the expected increase in energy use in homes has been cut by about two-thirds and greenhouse gas emissions from homes actually fell over this period by 8.5 per cent. This compares with a 26 per cent increase in emissions from commercial and institutional buildings, and a whopping 33 per cent increase in transportation-related emissions. These are achievements we should all be proud of!
A Welcome Announcement on the R-2000 Front In July, Natural Resources Canada (NRCan) announced the launch of consultations on the updating of the R-2000 Standard. This represents a key commitment, and an important step, in restoring this important initiative to its leading-edge “best in class” position. NRCan will be forming a broad-based committee with the appropriate expertise to take on this task, and this committee will use CHBA’s proposed changes to the R-2000 Standard as a starting point. We are very pleased that NRCan is taking this action. In addition, NRCan has also announced a commit-
Home BUILDER September/October 2009
27
428
CHBAreport
274 ment to develop the “next generation” EnerGuide Rat-
past, with starts rising to 160,000 units by 2011, and
ing System (ERS). An ERS Advisory Committee will be
then leveling off at between 170,000 and 180,000 units
organized over the summer to undertake this work,
through 2016. The rate of household growth during this
with the goal of having a renewed ERS in place by the
period is expected to accelerate in Manitoba, Saskatch-
spring of 2011. Again, this is an action that has CHBA’s
ewan and British Columbia. The analysis also expects
full support.
the new home market to be increasingly dominated by
New Radon Advisory
the traditional move-up segment.
In July, the CHBA released an update on developments
This report provides essential business intelligence
related to the radon issue that have taken place since last
for all members. New home builders, renovators and
November. The 2010 National Building Code will include
developers will find it particularly useful in developing
new requirements related to radon gas infiltration. Prior
their business plans. If you haven’t already reviewed it,
to the introduction of these requirements, new home
you can download a copy from the Members’ Area of the
builders should begin to adjust their business practices.
CHBA website.
This update advises builders to inform clients about the need for post-occupancy radon testing, and con-
In Ontario and British Columbia combined, the tax burden on homeowners and rental housing investors will increase by close to $1 billion annually.
empty-nesters and first-time buyers, with a drop-off in
2009 SAM Awards - Making Your Mark
firm this in writing. The update includes a link to the
The Call for Entries for the 2009 National SAM Awards
full report, which provides consolidated information
was sent to all new home builder, renovator and devel-
for builders on the radon issue, such as how to access
oper members in early September. All of this material,
accredited expertise. This report can also be found in the
including entry forms and Competition Guidelines, is
Members' Area of the CHBA website.
available online at www.chba.ca/SAMS.
New Study on Tax Pyramiding
getting great photos that show your achievements, and
Now is the time to start looking over your projects,
We all know that the tax burden placed on new home
putting together your 2009 SAM entries. Then get ready
buyers is far too high, and increasingly unfair. The wide
to ”make you mark” at the National SAM Awards, this
range of government imposed costs on new homes
coming March during the CHBA National Conference
contributes to an ever-rising tax bill and is seriously
in Victoria.
undermining housing affordability in many parts of the country. A new CHBA report, Tax Pyramiding in Canada: A Growing Concern, points to one of the most unfair aspects of this tax grab. Tax pyramiding, or ”tax-on-tax”, involves one level of government taxing the tax already charged by another level of government.
HST and the Renovation Sector
Consider the various costs imposed by your munici-
The CHBA has commissioned Altus Group Eco-
pality: permit fees, development charges, lot levies, land
nomic Consulting to prepare a report on the impacts tax
dedications, application and processing fees. These costs
harmonization will have on the renovation sector: The
can easily add up to a significant part of the selling price
Potential Impacts of Sales Tax Harmonization on
of a home — and these taxes are then taxed again when
the Residential Renovation Sector in Canada. The
GST or HST is applied. As shown in the CHBA report, if the
report discloses that the proposed HST will increase the
various government-imposed costs push a new home's
effective tax rate on contractor renovations in Ontario to
price over the GST rebate threshold, the marginal tax rate
8 per cent and in British Columbia to 7 per cent.
can be over 21 per cent.
In Ontario and British Columbia combined, the tax
That is just plain wrong. Tax pyramiding is unfair and
burden on homeowners and rental housing investors
runs contrary to accepted tax principles. Quite simply,
will increase by close to $1 billion annually. The report
taxes should not be taxed. This is the message the CHBA
observes that the most effective and efficient way to
is delivering to governments.
ameliorate this impact and achieve tax neutrality is for
CHBA Completes Housing Demand Study
the provincial governments to reduce the rate of the HST applied to contractor renovations. In Ontario, the tax
The CHBA has recently released an important new
rate for residential renovation contracts should be 2.6
report that examines long-term housing demand in
per cent for the provincial component of the proposed
Canada, at both the national and regional levels. Devel-
HST and 2.3 per cent in B.C. CHBA President Gary Friend
oped by Altus Group, this 30-year forecast highlights the
urges members to share this report with their elected
impact that shifting demographics are likely to have on
representatives in Ontario and BC, as well as with their
both the number of new homes built, and the market
representatives in other provinces that may be consider-
segments that will drive this demand.
ing implementing a Harmonized Sales Tax. To access the
The report forecasts less demand than in the recent
28 Home BUILDER September/October 2009
report, visit the Members’ area of www.chba.ca.
report 224 LEED cent more than the average home on a per
generally provides builders with a substantial
making the extra steps necessary to gain LEED
square foot basis.
net value-added benefit.
certification.
“The ideal point to register a project is
In addition to the certification program,
There’s no denying the value a green certi-
during the design phase, because one of the
the CaGBC also offers training programs to
fication can add to the value of a home. But as
strengths of the program is that it encourages
builders looking to green their methods. The
more and more builders fight for their share of
the use of the integrated design process, where
one-day seminars are targeted toward builders
the growing market, certification with a rec-
you have all the trades and all the people who
who already have some degree of green build-
ognizable and established standard will only
are working on the project around the table
ing experience and are looking to learn about
grow in importance.
initially to decide what the goals of the project are,” Higgins remarks. From that point on, certification tracks construction, meaning it is usually granted within
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194 Quebec market report
Government Incentives Provide Some Help
“I think there will be an opportunity to be seized by our entrepreneurs in terms of renova-
a year, or about the time it takes to build the
As has been the case in much of the rest
tions, and a helping hand from the state could
home. And at a cost of roughly $400-500, it
of the country, the Quebec renovation market
allow the industry to maintain its employment
has fared better than its new start counterpart.
levels,” says Laplante.
Québec City and Montreal both indicated that
Government incentives have already been
the number of households having completed
key in generating work for renovators. The
renovations in 2008 increased by two per cent.
provincial government is currently offering
Several reasons account for this, most notably
credits to cover 20 per cent of homeowners’
an aging existing stock of houses. This, paired
expenses, up to a maximum of $2,500, and this
with an aging population, has Daniel Laplante
is not including the federal Home Renovation
thinking renovators should see a further appre-
Tax Credit. With growth in the new home sector
ciation in their business as homeowners turn
expected to be slow in the next housing cycle,
to professionals to complete the projects they
the province’s renovation market should be in
no longer can do themselves.
a position to blossom.
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CHBA National Awards: Recognizing Commitment & Celebrating Excellence
2008 National Award winners
Across the country, committed industry volunteers are driving our Association forward. The CHBA’s National Awards Program recognizes members who are making things happen through their outstanding service and accomplishments. CHBA National Awards also recognize the accomplishments of provincial and local HBAs that
Join the celebration of excellence at the Awards Ceremony at the 2010 CHBA National Conference in Victoria.
deliver real value through services to members. Contact your local Home Builders’ Association or visit the Members’ area of www.chba.ca for information. The deadline for entries is December 31, 2009.
Canadian Home Builders’ Association
Home BUILDER September/October 2009
29
renovation
Strong Renovation Activity in 2nd Half
Tough Times Ahead for Renovators Recent research by the Altus Group, on behalf of the Canadian Home
The Chief Financial Officer for Rona Inc., the country’s largest
Builders’ Association, suggests that the costs of sales tax harmonization
renovation supplier with about $6.3 billion in annual sales, expects the
could be tremendous for the average renovator.
market for renovations to be strong in the second half of 2009. Claude
As it stands, Ontario and British Columbia are both scheduled to
Guevin sees the desire to take advantage of the federal Home Renovation
harmonize their provincial sales taxes with that of the federal goods and
Tax Credit before it expires, along with other local incentives, as spurring
services tax, effective July 1, 2010.
growth in renovation activity between now and the end of the year.
This means renovators in both these provinces are facing the pros-
Though he acknowledges that the federal tax credit hasn’t had a tre-
pect of substantial tax increases on the final price their consumers pay.
mendous impact yet, he sees it playing a more significant role as it nears
The Altus Group report, entitled The Potential Impacts of Sales Tax Har-
expiration. “It hasn’t helped us much so far, but we’re confident it will,”
monization on the Residential Renovation Sector in Canada, reveals that
Guevin says. “People will also realize there isn’t much time left to take
the proposed changes to the tax system will mean renovations in Ontario
advantage of the tax credit. Consumers remain extremely careful.”
will cost an average of eight per cent more, and seven per cent more in British Columbia. The Canadian Renovation
The federal government has
BC Renos Take Hit after Program Cancellation
said it expects 4.6 million families will take advantage of the tax credit. The success the program
sector accounts for some $53 bil-
Renovation projects in the province of BC took an unexpected hit in
has already enjoyed has the fed-
lion in economic activity every
August when the provincial government abruptly ended its LiveSmart
eral government considering its
year. With over half of that esti-
BC program.
renewal for another year.
mated to come from these two
The initiative offered incentives to replace appliances like aging
“It will stop on January 31,
provinces, the impact on the
furnaces, install efficient windows and perform other environmentally
2010, but I may say we already
industry could be tremendous.
friendly renovations. The program’s sudden withdrawal entrained a
have many requests asking us to
It’s widely expected that if the
number of cancellations from home owners who planned on using the
postpone it for one more year, so
proposals go through in their
program.
I am sure the minister of finance
present forms, they will push a
The program, which was scheduled to last three years, was cancelled
greater share of the business into
after it successfully reached its target of 40,000 home energy assess-
Minister of National Revenue,
the underground economy.
ments in just 15 months.
Jean-Pierre Blackburn.
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D E M R O F N I BE
will look at that carefully,” said
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IndustryNews Give Them What They Really Want …
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Investment in Skills Trading Yields 147 Per Cent Return
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OTTAWA —The Canadian Apprenticeship Forum’s (CAF) recent report titled It Pays to Hire an Apprentice: Calculating the Return on Train-
ing Investment for Skilled Trades Employers in Canada suggests that an
• • • •
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US Housing Starts Decline by One Per Cent
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WASHINGTON, D.C. — The American housing market appears to have stopped to take a breather in the month of July. Coming off an 11 per
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Applications for building perCY mits, which are an indicator of
future activity, also disappointed, CMY falling 1.8 per cent to an annual K
CIPHEX Roadshow Winnipeg, MB www.ciphexroadshow.com
rate of 560,000 units. Expecta-
October 23 – 24
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tions were for this figure to be around an annual rate of 580,000 growing unemployment ranks and the pending expiration of the ten per cent federal tax credit for first-time home buyers look like ominous obstacles on the horizon.
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IndustryNews
New Feature in Hilti’s Tool Fleet Management TULSA, OK – Hilti has announced the launch of a new program
venience to the customer.
that will allow its customers to minimize downtime caused by tool
Hilti’s tool loan program is only one aspect of its Tool Fleet Manage-
breakdowns. While their tool is under repair, Hilti Premium Tool Fleet
ment service, which also includes theft coverage, tool upgrades and
Management customers will be offered a loaner tool of the same model
more.
as the one being repaired at no cost.
For more information or to sign up for the program, visit: www.
A wide range of tools are eligible for the loaner service, including
ca.hilti.com and look for Fleet Management.
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Adv er ti sers i n Thi s I s s u e
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the tool is fixed, customers send the loaner back using the pre-addressed
Altus Group Limited . . . . . . . . . . . . . . . . 5 . . . . 416-699-5645
www.altusgroup.com
and pre-paid shipping labels, which are included with the tool. This
Canadian Industrial Distributors Inc. . . 31 . . . . 877-280-0243
www.cid.ca
means the whole process takes place at no cost and virtually no incon-
CertainTeed Gypsum Canada, Inc. . . . . 15 . . . . 800-233-8990
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CertainTeed Insulation Group . . . . . . . . . 4 . . . . 610-341-7739
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CHBA - Conference . . . . . . . . . . . . . . . 35 . . . . 613-230-3060
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CHBA - National Awards . . . . . . . . . . . 29 . . . . 613-230-3060
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CHBA - SAM . . . . . . . . . . . . . . . . . . . . 26 . . . . 613-230-3060
www.chba.ca
Following in the footsteps of Ontario, British Columbia has
Delta Faucet Canada / Masco Canada . . 3 . . . . 905-712-3030
www.deltafaucet.com
announced that effective July 1, 2010, the province’s sales tax will be
DMX Plastics Limited . . . . . . . . . . . . . . 21 . . . . 416-751-5851
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harmonized with the federal Goods and Services Tax at a rate of 12 per
Dow Chemical Canada Inc. . . . . . . . . . . 36 . . . . 866-583-2583
www.dowbuildingsolutions.com
cent — the lowest rate of any of the provinces that have harmonized
Exaktime, Inc./The Joblock System . . . . . 8 . . . . 888-788-8463
www.exaktime.com
Fantech Limited . . . . . . . . . . . . . . . . . . . 31 . . . . 800-565-3548
www.fantech.ca
GE Appliances - Commercial Sales - . 17 . . . . 905-315-2367
www.gebuilder.ca
Genworth Financial Canada . . . . . . . . . 23 . . . . 800-511-8888
www.genworth.ca
Home BUILDER Buyer's Guide . . . . . . . 13 . . . . 514-620-2200
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Home BUILDER Canada . . . . . . . . . . . . 33 . . . . 514-620-2200
www.homebuildercanada.com
Home BUILDER Subscription . . . . . . . . 30 . . . . 514-620-2200
www.homebuildercanada.com
Home Hardware Stores Limited . . . . 6, 7 . . . . 519-664-2252
www.homehardware.ca
Jubilee Rose Enterprises . . . . . . . . . . . . 34 . . . . 604-535-7339
www.jubileerose.com
Knauf Insulation . . . . . . . . . . . . . . . . . . . 2 . . . . 800-825-4434
www.ecobatt.ca
Meridian Computer Corp. . . . . . . . . . . . 34 . . . . 604-224-1366
www.corecon.com
Owens Corning Canada LP . . . . . . . . . . 11 . . . . 800-533-3354
www.owenscorning.ca
Rhino Linings Corporation . . . . . . . . . . 19 . . . . 800-747-6966
www.rhinolinings.com
The harmonization is projected to reduce taxes paid by business by
Simpson Strong-Tie Canada . . . . . . . . . 25 . . . . 800-999-5099
www.strongtie.com
$1.9 billion and save them $150 million in administrative costs. However
Tip Top Parts . . . . . . . . . . . . . . . . . . . . . 34 . . . . 800-665-2500
www.cyclovac.com
the cost to consumers could be heavy. A number of products that weren’t
Tuff Industries Inc. . . . . . . . . . . . . . . . . . 34 . . . . 877-860-9333
www.tufdek.com
British Columbia to Harmonize Sales Tax
sales tax regimes. The move is intended to cut the cost of doing business in the province, but that may not be the case for those in the province’s construction industry. British Columbia joins the growing list of Canadian provinces that have a harmonized sales tax system. This is expected to ratchet up pressure on those remaining provinces that still use a separated tax regime. The province had previously turned down the idea of a harmonized tax, but BC Premier Gordon Brown acknowledged that the fact that Ontario has announced its own plans to adopt the system would have put the province at a competitive disadvantage had they not followed suit.
Page Phone
Web site
previously subject to provincial taxes will be under the new regime, including sales of new homes and renovation projects. Similar to the original Ontario proposal, new homes sold for under $400,000 will be exempt from the effects of the tax reform. However it’s estimated that a new home with a value of $700,000 could pay an additional $18,000 in new taxes.
C
NOV/DEC 2009
Industry Leaders Speak Computers & Technology, Trade Secrets For more information, call 514-620-2200 or e-mail homebuilder@work4.ca
Magazine Advertising Sales Home Builder Magazine is looking for an advertising salesperson to service existing accounts and prospect new ones for our magazine and Web site. If you possess an in-depth knowledge of the construction industry and have magazine sales experience, we’d love to hear from you. Send your resumé to sales@work4.ca.
32 Home BUILDER September/October 2009
A W O R K - 4 P R O J E C T S LT D . P U B L I C AT I O N
Advertise Where the Action is
Our readers build over 80% of all the new homes in Canada and handle the biggest, most demanding renovation contracts.
Home BUILDER is the advertising avenue of choice among Canada’s largest manufacturers of building products and suppliers to the residential construction industry. Their marketing research has shown Home BUILDER delivers the best value because it is read by more of the customers they need to reach.
More advertising from major manufacturers and suppliers than any Canadian magazine in the business.
Phone: 514-620-2200 Fax: 514-620-6300 E-mail: sales@work4.ca www.homebuildercanada.com
PRODUCTS ///////////////////////////////////////////////////// Calculated Industries® Puts Answers at Your Fingertips!
SCALE MASTER II® makes it easy to do linear, area and volume take-offs with speed, accuracy and confidence. Whether you’re estimating, bidding or planning, it offers the ultimate in take-off capabilities. Optional PC interface for input directly into spreadsheet or estimating programs. CONSTRUCTION MASTER PRO® is the most advanced and complete construction calculator. From designing and engineering to estimating and bidding, this tool can help you solve any construction-math problem quickly, simply and accurately. For more information, contact: Jubilee Rose Enterprises Ltd. Phone: 604-535-7339 Fax: 604-535-7691 www.jubileerose.com
“The World’s Strongest Vinyl Decking”
Builder’s Recommended Power Unit
MVac Central Vacuum Systems offer power and silence, versatility, improved air quality, and reliability supported by a manufacturer’s extended warranty of up to 10 years on selected models. MVac vacuums can be used with or without a convenient bag. HEPA filtration retains finer particles from circulating in your home environment. The Hide-A-Hose Retractable Hose complements your Central Vacuum System. Finally, no cumbersome hose to lug around. It’s easy and simple! Installers Available Nationwide. Phone: 1-800-665-2500 www.mvac.com
CORECON Construction Management Software
Corecon is a suite of software that handles all estimating, job cost control, project management, scheduling, documents and collaboration. Corecon can be integrated to Quickbooks, Simply, SAP-B1 and more. Corecon is inexpensive, flexible and powerful. It integrates all aspects of the construction business process, saving time and eliminating double entry of data. For more information, contact: Ian Broadfoot Phone: 800-630-8813 604-224-1366 E-mail: meridiancomputer@telus.net www.corecon.com
Introducing an exciting new marketing opportunity for Home BUILDER Magazine’s advertisers! New Building Product Announcements now on-line. Get exposure to over 250,000 unique visitors a year!
Tufdek is the industry leader in waterproof vinyl sundecks. Using proven roof technology and drawing on more than 25 years of PVC manufacturing experience, TUFDEK makes the highest quality vinyl decking on the market. Tested to Canadian and US requirements for PVC roofing, Tufdek is building code compliant. TUFDEK third party certifications take the guess work out of code compliance. We are fast becoming the professional’s choice for waterproof excellence in Canada. For dealer inquiries or product information, please call: Tufdek Phone: 1-877-860-9333 Email: info@tufdek.com
34 Home BUILDER September/October 2009
Take advantage of this new and highly effective way to put yourself in the spotlight… and reach home builders, renovators and contractors from coast to coast. More than 250,000 of your potential buyers visit Home BUILDER Magazine’s Web site every year, making it an ideal medium for reaching the residential construction and renovation industry.
Check out the New Product main page: www.homebuildercanada.com/wp_main.htm On-line and print version package available. Advertise on both versions for maximum exposure and save big! Contact us at: sales@work4.ca or 514-620-2200
67TH CHBA NATIONAL CONFERENCE
The Fairmont Empress Victoria, British Columbia
March 5 – 7, 2010
The Future is Home Just as spring follows winter, this is the beginning of a new era for home building in Canada. This new business environment is challenging. You need to understand what’s going on in the marketplace, and how to position your business for the opportunities ahead. You must be agile and at the top of your game to succeed. The 2010 CHBA National Conference in Victoria will deliver the critical business knowledge you need now. • • • •
Emerging new market opportunities. Your customers – who they are and how to reach them. Essential design trends and features. Improving operational effectiveness for increased customer value, and profit. • Leveraging new technologies and practices. • Maximizing your performance and competitiveness. This Conference will be about one thing – opportunity. For more information, and online registration, please visit:
www.chba.ca/conference
At Dow Building Solutions, we’re proud to team with the Vancouver Organizing Committee to help the 2010 Olympic and Paralympic Winter Games achieve their goal of a carbon-neutral event. 2010 Winter Games venues are using high-performance STYROFOAM™ Brand Insulation solutions from Dow extensively to deliver peak indoor comfort for athletes and spectators during the Games – and peak energy efficiency and CO2 emissions reduction for decades to come. That’s peak performance, sustained.
The Whistler Sliding Centre STYROFOAM™ Brand Spray Polyurethane Foam Insulation is used on the exterior side of the concrete sliding track for superior adherence and long-term thermal resistance.
www.dow.com/2010
Energy Efficiency. Win the Game. ™ Trademark of The Dow Chemical Company (“Dow”) or an affiliated company of Dow ™ © 2006, VANOC
®