Nov/Dec 2013 | Home Builder Magazine Canada by Work4 Projects Ltd.

VOL.26 NO. 6

November 2013

THE MAGAZINE OF THE CANADIAN HOME BUILDERS’ ASSOCIATION

Meet CHBA CEO

Kevin Lee

Tool Talk: Designed with Distinction Canada Post Contract #40065212

HBA Leaders Speak Builders Speak: Old vs. New Who Will Buy Baby Boomers’ Homes? Using VIPs to Achieve Highly Insulated Buildings Visit us online at HomeBuilderCanada.com

265 lb-ft torque. 8.9 L/100 km. Our strengths at work.

The All-New 2014 Sprinter. Starting at $39,900.** With a turbocharged BlueTEC diesel 4-cylinder engine that puts out 265 lb-ft of torque and still gets 8.9L/100 km*, the All-New 2014 Sprinter is well equipped to meet the demands of your job. Learn more about the Sprinter’s ultra-efficient powertrain at TheNewSprinter.ca.

©2013 Mercedes-Benz Canada Inc. *Based on Greenhouse Gas Emissions Standard Testing of 2014 model year Sprinter 2500 Cargo Van, 144" wheel base, standard roof, at 50% load capacity, and at highway/city speeds according to the standards of the “CONTROL OF EMISSIONS FROM NEW HEAVY–DUTY MOTOR VEHICLES [Title 40 Code of Federal Regulations – Part 1037]” as conducted by Mercedes-Benz in September 2013. Combined fuel rating based on driving cycle of 55% city/45% highway. Your actual fuel consumption may vary. Not for comparison purposes. Fuel efficiency test results determined using Government of Canada approved test methods are not available. **National MSRP pricing is shown and is intended for information purposes only. Prices do not include taxes, levies, fees, freight and delivery charges, insurance and licence fees, as well as any other products or services not listed that may be available to you through your selected Mercedes-Benz dealership. Vehicle prices subject to change. Dealer may sell for less. These prices do not apply in provinces with total/all-in pricing requirements. Please contact your local dealership directly for exact pricing details and total pricing applicable in those provinces.

Just another case of window envy. With good looks and available state-of-the-art features like our leak-free V-Weld technology, it’s no wonder our windows attract attention. A variety of styles and price points ensures that we have the right fit for any project. Next time you’re building, choose our Canadian-made windows and doors to take full advantage of our commitment to ontime delivery and after-sales support. Just don’t be surprised if the job site attracts some attention.

Visit allweatherwindows.com to learn more.

000424.30.08.13

Ron MacDonald Callbecks Home Hardware Building Centre Summerside, PEI

HOME OWNERS HELP BUILD CREDITS TO THEIR COMMUNITY Before he was a credit to his community, contractor Seymour DesRoches needed credit, period. Over 30 years ago, current Home Owner Ron MacDonald was just a teenager working at Callbecks Home Hardware Building Centre when they offered Seymour credit as he was starting out. Now Seymour DesRoches Construction Ltd. is Callbecks’ largest volume account, Ron owns Callbecks Home Hardware Building Centre, and Seymour recommends them to all his subcontractors. Together, they’ve helped build new homes – including Ron’s – as well as condo developments, potato warehouses and more. In over 500 communities across the country, Home Owners like Ron offer builders like Seymour the massive buying power, job site deliveries, credit services, project packages and home and cottage plans they won’t find anywhere else – whether it’s building farm facilities, a new subdivision or even Ron’s new dream home.

contents

Columns

ECONOMICS: Modest Optimism

Economics 9 10

Common Cents Construction

Building Science

Customer Satisfaction

Tool Talk

The combination of reasonably steady job growth, modest gains in real personal disposable income per capita in Canada, and slightly stronger net international in migration have contributed to a sense of optimism and stability.

Departments 6

News

COMMON CENTS CONSTRUCTION: Construction Company Valuation

Association 8 31

Ask The Expert

CHBA Report

You’ve worked hard to get your business to where it is today, but do you know what it’s worth?

Renovation 36 Products 36 38

Industry News

Calendar 38 38

Boom or Bust?

BUILDING SCIENCE: Achieving Highly Insulated Buildings

Advertisers Index

NRC is partnering with government agencies and industry to explore, develop, test and document the energy performance, moisture response and durability of highly insulated residential wall systems.

COVER

16 Optimized Passive Solar Design—south main entrance of a reconstructed 1950s “Vancouver Special.” Photo Credit: Ema Peter Photography.

BUILDERS SPEAK: Old vs. New A look at a reconstructed 1950s Vancouver special, and Canada’s first Active House.

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 November 2013 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. *Plus applicable taxes. GST/HST registration #R105741383 • Date of mailing: November 2013

HBA Leaders Speak CEOs of Provincial Home Builders’ Associations across the country weigh in on Canada’s residential housing industry.

WHO WILL BUY BABY BOOMERS’ SINGLE-DETACHED HOMES? The changes in the needs of the baby boomers (now aged 46 to 67 and accounting for roughly 29 per cent of the total population) will have a large influence on the housing market in coming years.

MEET KEVIN LEE, Chief Executive Officer, CHBA A professional engineer with a Masters in Architecture, Kevin Lee has worked in the housing industry for 25 years, bringing a wealth of experience and knowledge in housing policy, technology and business to the CEO position at CHBA. We sat down with Kevin to find out a bit more about his plans for the Association.

TOOL TALK: Designed with Distinction Jon Eakes reviews the latest tools and techniques.

NEXT ISSUE: January/ February Economic Outlook & Housing Forecast / Transportation

The News, The Facts The Stories...

Economic outlook for 2014, plus a look at the upcoming year’s residential housing and renovation market, from

OUTLOOK

single-detached to multi-family. Transportation for the residential housing industry.

To book your premium ad space, homeBUILDERcanada.com call 514-620-2200 or e-mail sales@work4.ca

Home BUILDER November/December 2013

NEWS

Are You a “Nevertiree?”

Who’s Saving for a Rainy Day?

LONDON — When Ledbury Research and Barclays Wealth in the U.K. surveyed higher-net-worth individuals around the world— people who could easily afford to retire—they found that 60 per cent expect to be involved in some kind of commercial or professional work well beyond the traditional retirement age of 65. The survey called these people “Nevertirees” and revealed some interesting trends: Under 45: 70% plan to stay in the workforce Age 45 to 54: 65% plan to stay in the workforce Over 65: 50% plan to stay in the workforce No link to source of wealth. Interestingly, the desire to stay in the workforce doesn’t depend on how people earned their money. Entrepreneurs, investors, and corporate executives as well as those who inherited wealth all indicated a desire to keep working. It’s also a global phenomenon, with emerging markets leading the way; the researchers believe it’s a trend that will accelerate in

BMO Pollara online survey

Age 55 to 65: 52% plan to stay in the workforce

TORONTO — According to the 3rd Annual BMO Rainy Day survey,

the years ahead. Even among people planning a more

68 per cent of Canadians have had to rely on their rainy day fund to pay

traditional retirement, the survey found

for an unexpected expense. However, the majority (58 per cent) did not

that 40 per cent of those over age 65

have enough saved to cover the full cost of the emergency.

spend more than five hours each week

The survey, conducted by Pollara, also revealed:

working part-time. They are not primar-

The majority (51%) of Canadians have less than $10,000 in savings

ily motivated by earning money, but by

to cover unexpected expenses, including one in five (17%) who have

an enhanced sense of purpose and daily

less than $1,000

structure. Part-time work rounds out the

Fewer than half of those who have relied on their emergency savings

time they spend with family, pursuing

for a major car or home repair could cover the entire cost (49% and 47% respectively)

hobbies and socializing. A key message from the survey is that even a conventional retirement isn’t predictable. The activities younger people assume they’ll be engaged in when they

Only one-third (35%) of those who were faced with job loss had sufficient savings to sustain them financially Having a lack of extra money available (57%) was cited as the top reason for not putting more away for an emergency

retire don’t always translate into reality. For example, 61 per cent of those

According to BMO Economics, the personal savings rate in Canada

surveyed expected to spend more than five hours a week travelling, yet

has risen from historic lows of 1 per cent in 2005 to 5.5 per cent in the

only 33 per cent of those over 65 reported that they actually did.

first quarter of 2013.

What’s clear is that with medical advances helping us live longer, healthier lives, full retirement at age 65 is no longer the norm. It’s likely

Canadians Getting Further in Debt

that an increasing number of people will remain in the workforce in

TORONTO — According to the 3rd annual RBC Debt Poll, debt levels

some capacity, with “work” becoming “pleasure” when it’s a choice

are on the rise across Canada as the number of Canadians who report

rather than a necessity.

being debt-free has decreased. Less than one-quarter (24%) of Canadians

are now debt free, down from 26 per cent in 2012. The Magazine of the Canadian Home Builders’ Association Vol. 26 No. 6 November/December 2013 Publisher A Nachmi W O R K - 4 P R O JArtzy E C T S LT D . P U B L I C AT I O N pub@work4.ca Contributors: Julie Ades Tim Bailey Jon Eakes Fanis Grammenos Wahid Marif Bo Mocherniak Peter Norman Hamed Saber

Production Manager Kelvin Chan production@ homebuildercanada.com Sales Coordinator Polly Ma coordinator@work4.ca Accounting Patricia Fleurent accounting@work4.ca Circulation Manager mail@work4.ca

Home BUILDER November/December 2013

Editor Judy Penz Sheluk editor@work4.ca Published by Work-4 Projects Ltd. Advertising/Editorial: 4819 St. Charles Blvd. Pierrefonds, Quebec Canada, H9H 3C7 Phone: 514-620-2200 www.homebuildercanada.com

As the number of people carrying debt has increased, the average personal debt (non-mortgage) reached $15,920 in 2013 (up from $13,141 in 2012). According to the poll, in an effort to practice financial fitness and reduce personal debt, Canadians have gone back to basics—reining in spending by putting off big ticket items such as vacations and vehicles. The RBC Debt Poll found that there was a great divide between Western and Eastern Canada, with debt levels increasing a staggering 35 per cent in the West (excluding Alberta) compared to 20 per cent in the East since 2012. Alberta, faced with regional floods earlier this year, showed a significant increase in debt load, rising 63 per cent from 2012. Despite the higher percentage of debt in the West, residents of Eastern Canada (41%) are more anxious than their Western neighbours (34%) about their debt levels.

Build With Confidence. Build with Grip-Rite. Introducing Grip-Rite — the leader in fasteners is now at the forefront of fastening systems.

• Tools, compressors, hoses and accessories for every phase of construction • Collated fasteners designed to fit Grip-Rite tools and most other brands • More collated nails in more styles than anyone else, available coast to coast - Bulk packaging for larger jobs - NEW innovative and convenient 1M Tubs and Belt Clip Packs - Complete selection of stainless steel fasteners for your most demanding projects

To learn more about Grip-Rite or to become a stocking dealer, call 800-676-7777 or visit grip-rite.com. BUILT RIGHT. GRIP-Rite.

association

Paul Pettipas Sleeps-Out for Change HALIFAX — On Saturday, October 5th, Paul Pettipas, CEO, Nova Scotia Home Builders’ Association, joined Mike Savage, Mayor, Halifax Regional Municipality (HRM), Police

Chief

J ean -M ichel

Blais, and other CEOs and community leaders to “sleep rough” on the lawn at the Halifax Police station. Their objective was to raise money for Shelter Nova Scotia, while putting the spotlight on the complex issue of homelessness in their community. This first of its kind event is modelled after successful initiatives around the world. Sleep-Out for Change sees executives and community leaders braving the elements for a one night sleep-out to raise awareness and much needed funds for this important issue. TM

Shelter Nova Scotia is passionate about ending homelessness one person at a time and transitioning people from crisis to community. To this end, they operate five facilities in HRM that provide more than 44,000 bed nights per year to people who otherwise have nowhere to turn.

drain water heat recovery

ThermoDrain™ is the cost effective solution that allows you to meet EnergyStar® or Energuide for New Homes, R2000, LEED®, Built Green® or Passive House energy efficiency requirements while increasing value and comfort for your customers. It is no wonder ThermoDrain™ is the preferred choice among Canadian home builders and plumbing contractors seeking a quality, priced to impress, drain water heat recovery unit with fast and reliable onsite delivery.

residents of Nova Scotia. “We must also provide housing ‘people can afford,’ no matter what their income level is,” said Pettipas. “This is not an easy task but organizations like Shelter Nova Scotia are vital if progress is to be made. I was proud to be part of this great event and was very grateful to have raised $2,200 on behalf of the Central Nova local of the Nova Scotia Home Builders’ Association. The event itself raised $65,000.”

Stratford Home Builders’ Association Makes a Splash Photo: Scott Wishart, Stratford Beacon Herald.

The New STANDARD in

Having been involved in the housing industry for 40 plus years, Pettipas realizes the importance of providing clean and safe housing for all

ThermoDrain™ has been engineered with our exclusive 3/4” single coil providing low pressure drop, ease of installation and outstanding durability. ThermoDrain™ The TD342B is the Energy Star® for New Homes compliance model 3” diameter x 3/4“ coil TD336B 39.2% eff, 1.3psi, 36” TD342B 42.8% eff, 1.6psi, 42” TD348B 46.0% eff, 1.8psi, 48” TD360B 51.5% eff, 2.3psi, 60” 4” diameter x 3/4“ coil TD442B 46.0% eff, 1.4psi, 42” other models sizes are available ThermoDrain™ is CSA 55.1 and 55.2 certified for safety and performance. Numbers shown are CSA certified

PREHEATING THE WATER HEATER’S COLD WATER SUPPLY

STRATFORD, Ont. — The kick-off to the Ontario Home Builders’ Association’s 50 Years with 50 Good Deeds’ campaign took place in Stratford with the official sod turning for the new Splash Pad. The Stratford Home Builders’ Association played a fundamental role in making this a reality. Shown here: OHBA president Eric DenOuden, at left, joins splash-pad committee chair Mike Doupe, Stratford and Area Builders’ Association president Larry Otten and past president John Meinen at

WN 17031

1-888-881-7693 www.THERMODRAIN.ca

a sod turning ceremony for a new splash pad in Anne Hathaway Park in Stratford on Friday, October 4.

economics

Modest Optimism

By Peter Norman

Total Canada-wide housing starts increased by 4

cent and never rising above 2.0 per cent since about July,

per cent to reach 193,600 units seasonally adjusted at

2011. But starting in the spring of this year, speculation

annual rate (SAAR) in the 3rd quarter of 2013, according

on tightening monetary policy in the U.S. has led to a

to CMHC. The elevated activity represented the second

rise in the bond yield, which then rose to a peak of about

consecutive quarterly gain from a low of about 175,500

2.2 per cent in early September (See Chart). While tradi-

at the beginning of the year. Despite the recent rise, total

tional posted mortgage rates at chartered banks have not

housing starts year-to-date (averaging 185,100 units

changed much, the “discounted rates” most often offered

SAAR) remain some 15 per cent below levels posted over

to customers, along with rates at discount institutions

the same period during 2012.

such as ING Direct, rose a full percentage point since the springtime.

While the gains in the third quarter were seen among

Speculation on tightening monetary policy in the U.S. has led to a rise in the bond yield.

both single-family and apartment units, they were not

The rise in effective mortgage rates during this period

broadly based regionally. Declines in housing starts in

prompted considerable interest in the media, with specu-

Atlantic Canada, Quebec and Alberta were offset by gains

lation that this marked the beginning of a long period of

in the remainder of the provinces.

interest rate “normalization.” But since early September,

The existing home sales market is setting the overall

a resetting of expectations in the U.S. and other factors

tone for housing demand. Existing home sales through

have taken considerable wind out of the sales of the

the MLS system rose in the third quarter, which rep-

bond market and falling rates have now retraced about

resented the strongest showing since the beginning

half of their gains.

of 2010—a 15-quarter high. Total activity year-to-date,

The rise in rates through to September might have

about 455,000 sales SAAR, is about on par with 2012.

helped spur on some of the elevated home sales and

Recent gains in the resale market have prompted com-

starts activity registered in the third quarter. Rising rate

mentary in the media speculating on risks associated

environments are often thought to “pull forward” sales

with elevated sales numbers, but with year-to-date sales

that otherwise might not have occurred for several

so closely aligned with 2012—and the past four years

months. The magnitude of this pulled forward phenom-

for that matter—the real risk is in over-interpreting one

enon is hard to measure, and likely isn’t as big an effect

quarter of data.

as many give it credit for.

Lots of Interest in Interest Rates

Steady on Ahead

The key point of interest in terms of the economics

More likely, the recently elevated activity simply

of the housing market over the past quarter has been

reflects modest optimism among buyers supported by

a flurry of activity among interest rates. Interest rates

reasonably steady economic growth. It also reflects a

for homeowner mortgages are generally set relative to

housing market that, despite periodic fears expressed by

the government of Canada 5-year bond rate (or “yield”),

some commentators, remains pretty steady and predict-

which is a market interest rate. The GOC bond yield in

able. The Altus Group buyer intentions index has been

turn is influenced by factors such as monetary policy both

rising steadily since the beginning of the year (especially

here in Canada and in the U.S., expectations for inflation

in migration-fuelled Western Canada). The combination

or economic growth in the future and other factors. The

of pretty steady job growth at around 1.3 per cent, mod-

5-year bond (and thus mortgage rates) is generally low

est gains this year in real personal disposable income per

and until recently remarkably stable, averaging 1.5 per

capita in Canada, and slightly stronger net international in migration has all contributed to this sense of

Interest Rates on the Rise? Perhaps No Longer

optimism and stability. There do remain challenges in Canada. The

Government of Canada 5-Year Bond Yield (%) in 2013

first-time buyer market continues to be mostly

2.5

on the sidelines as youth labour markets remain subdued. In addition, affordability issues in many

2.0

markets, such as the single-family sector in Toronto, may be limiting functionality of the move-up

1.5

Peter Norman is a member of the CHBA Economic Research Committee and is Chief Economist at Altus Group (formerly Clayton Research), the leading provider of independent real estate consulting and advisory services.

market too. Canadian households are accumulat-

1.0

ing debt at slower rates in the past few quarters, but the overall level of indebtedness continues to

0.5 0.0

1-Jan

raise concern among policy makers in Canada. On net expect pretty steady conditions in hous10-Feb

22-Mar

1-May

10-Jun

20-Jul

Source: Altus Group Economic Consulting based on Bank of Canada data

29-Aug

8-Oct

ing markets over the remainder of the year and into 2014.

Home BUILDER November/December 2013

COMMON CENTS CONSTRUCTION

Construction Company Valuation You’ve worked hard to get your business to where it is today, but do you know what it’s worth?

By Bo Mocherniak

Another common valuation approach involves look-

er a family enterprise, entrepreneur-owned businesses

ing at the underlying assets and liabilities of the business.

or a complicated series of joint ventures under a parent

As we all know, construction is capital intensive so you

company—will require an independent business valua-

want to ensure you are making the right infrastructure

tion at some point.

and capital expenditure investments. In the case of con-

One of the most common instances where a valuation

struction companies, we would want to look at the value

is helpful is when the owner is looking to sell, take some

of heavy equipment, for example. Valuation can also be

capital out of the business or pass the company to the

enhanced with assets such as “banked land inventory,”

next generation. Other owners might be considering an

which are recorded at historical costs and may not rep-

estate freeze; that is, locking in the value of the company

resent the fair market value of the land.

today to save on estate tax down the road. Perhaps a large

It’s important to add that knowing what your busi-

part of your retirement fund is tied up in the company, and

ness is worth isn’t the only reason to go through the

fluctuating or uncertain valuation can be a real concern

process. There are also a number of ancillary benefits

since this is, after all, your nest egg.

from undergoing a formal valuation process. These could

in personal circumstances—an unplanned event such as

divorce or a serious medical issue. And for

construction firms that have engaged in joint ventures, business valuation is even more important, especially when projects are ongoing, or are coming to an end and partners leave, or when you want to bring a new partner on. Determining the fair market value of a business is as much an art as a sci-

include things like: The identification of areas of risk: For example, many owner-managed businesses can have a significant amount of “personal” goodwill stemming from a long-standing reputation in the market or key relationships held by the owner. This intangible asset, however, only has value with the current owner and is often not easily transferred upon a sale. Understanding the quantum and taking measures to mitigate this

ence, and it takes both

risk by transferring it to

reason and instinct to

“commercial” goodwill

get it right.

Assessing Valuation Fundamentally, the value of a business lies in its ability to generate future cash flow, so one of the most common places to start is an income-based approach. Historical results are not always an indication of what the business will be worth in the future and it is the future cash flow that a potential buyer is interested in. Seems straightforward enough, but

With over 30 years experience with audit, acquisitions, divestitures and valuations, Bo Mocherniak, CA, CBV, provides services to both public and private companies in Canada and the United States. Bo is National Sector Leader for the Real Estate and Construction Group of Grant Thornton Canada, a member of the Grant Thornton International Real Estate Sector Group and past Chair of Grant Thornton LLP. He can be reached at bo.mocherniak@ca.gt.com.

profitability.

Most privately held construction businesses—wheth-

A valuation might also be needed because of a change

Ensure you are making the right infrastructure and capital expenditure investments.

the “adjustments” that you can get a true picture of

construction company valuation often carries its own challenges. Not only is construction work cyclical and at times uncertain, construction companies are often complex entities made up of various sub-companies and joint ventures, with money moving between the various parts. This can make valuation that much more challenging, and often requires the application of what we call a “normalization concept” to the consolidated group of companies. These normalization adjustments occur between various entities within the commercial group. For example, there might be management fees and cross-company charges to minimize or defer taxes, or there may be family on the payroll. It’s only when you bring all these various elements together and eliminate

10 Home BUILDER November/December 2013

is a crucial step towards increasing value. The identification of value drivers: A valuation process will often highlight the areas of your business (contracts, management, assets, customers, suppliers, etc.) that drive the most value and so can help you focus your attention on areas of your business that will ultimately drive long-term growth and value. Understanding the pulse of the market: As a business owner, you are busy with the day-to-day operations and don’t necessarily have time to understand how other construction businesses are being bought and sold. A valuation professional will bring insight into market multiples and transactions of similar businesses. Don’t wait for a year of super profits or weak performance to think about valuation, and don’t wait until you’re ready to sell or retire. Given current economic realities, privately held businesses in all sectors are looking for ways to strengthen their performance, and a valuation might just be the best starting point for growth. C

ENERGY COSTS GOING THROUGH THE ROOF? TOP IT UP WITH PINK INSULATION. ™

INSULATE AN ATTIC IN AS LITTLE AS

2hrs

Help your customers enjoy energy savings* year round with the Owens Corning™ AttiCat® Expanding Blown-In Insulation System. It's a quick, easy, safe and reliable system for any homeowner. 1-800-GET-PINK® or visit owenscorning.ca

Scan QR code to learn more about AttiCat® Insulation

THE PINK PANTHER™ & © 1964 - 2013 Metro-Goldwyn-Mayer Studios Inc. All Rights Reserved. The colour PINK is a registered trademark of Owens Corning. © 2013 Owens Corning. All Rights Reserved. *Savings vary depending on original amount of insulation in your home, climate, house size, air leaks, and personal energy use and living habits. Savings vary. Find out why in the seller’s fact sheet on R-values. Higher R-values mean greater insulating power. †Based on an attic size 100 m2 /1000 ft2 at RSI 8.8/R-50. 73% recycled content is based on the average recycled glass content in all Owens Corning fiberglass batts, rolls and unbonded loosefill insulation manufactured in Canada. SCS certified. GREENGUARD Certified products are certified to GREENGUARD standards for low chemical emissions into indoor air during product usage. For more information, visit ul.com/gg.

BUILDING SCIENCE

Using VIPs to Achieve Highly Insulated Buildings Canadian construction sector manufacturers, build-

value of retrofitted walls using vacuum insulation panels

ers, and stakeholders are seeking to develop energy effi-

(VIPs) was recently completed by NRC in collaboration

cient, cost effective, durable and buildable solutions that

with industry clients. VIPs provide insulating values up to

are well suited to Canadian construction practices. NRC’s

RSI 10.6 (R-60) per inch. The main obstacle to their use

response to these needs is part of a recently announced

in buildings has been the risk of puncture damage during

initiative to develop and deploy new technologies for the

construction and the subsequent loss of insulating value.

benefit of Canadians and Canadian businesses.

By Dr. Wahid Maref

facility, researchers tested two VIP configurations to

industry to explore, develop, test and document the

study the impact of energy retrofit strategies on energy

energy performance, moisture response and durability of

performance and durability. Both configurations had VIP

highly insulated residential wall systems. Measurement,

panels sandwiched between rigid insulation boards. One

simulation and field trial results will be used to guide the

used tongue-and-groove panels attached to the test wall

development of durable new wall assemblies that exceed

by screws and the other used panels that were clipped

energy requirements in model codes.

to strapping. The tongue-and-groove arrangement was

Innovative Use of Traditional Insulation

By Dr. Hamed Saber

Using NRC’s Field Exposure of Walls (FEWF) test

NRC is partnering with government agencies and

easier and faster to install but had slightly lower thermal performance compared to the clip-on method.

To achieve higher wall insulation levels in wall

For both VIP walls, the additional insulation increased

assemblies, it is commonplace to apply rigid or semi-

the internal temperatures of the assembly’s components,

rigid board insulation over the inside or outside of the

thereby reducing the risk of condensation in the walls.

framing. Alternatively, double-wall or deep-wall con-

The addition of 55 mm of wall thickness added an insulat-

struction assemblies can be used to attain the desired

ing value of about RSI 8.5 (R-48), giving overall insulating

thickness of insulation.

values of about RSI 12 (R-68).

However, there are concerns that using progressively

The hygrothermal tool hygIRC-C was used to deter-

higher levels of insulation in wall assemblies to attain

mine the energy savings due to retrofitting the wood-

greater energy savings could result in moisture prob-

frame wall systems with VIPs. It showed that the clip-on

lems, given the impact that higher insulation levels have

method had additional thermal resistance of R2, due to

on the wetting and drying characteristics of the walls. The

the effect of the air space between the insulation and the

new research will help address the development of such

exterior cladding. The attachment methods and cladding

unintended consequences, and will identify validated,

used did not puncture the VIPs and the sandwich panel

de-risked solutions.

configurations facilitated changing a panel, should one

NRC welcomes partnerships with industrial manufacturers or builders to ensure relevant products and designs have an opportunity for inclusion in the study.

VIP Research Research on significantly increasing the insulating

be found to be faulty at the time of installation. Building on successful initiatives in investigating VIP performance, NRC is currently seeking partnerships with clients and collaborators to participate in the development of cost-effective and robust assemblies that capitalize on the advantages of VIPs.

Reprinted with permission from Construction Innovation, Vol. 18, No. 2.

For more information about these investigations, contact Dr. Wahid Maref, Senior Research Officer, NRC Construction at wahid.maref@nrc-cnrc.gc.ca or 613-993-5709. For more information about the hygIRC-C model, contact Dr. Hamed Saber, Research Officer, NRC Construction at hamed. saber@nrc-cnrc.gc.ca or 613-993-9772.

The layers are put together with the VIP protected by Extruded Polystyrene Foam (XPS) layers. The top (external) XPS layer is 25mm thick, the bottom (internal) XPS layer is 20mm thick; the VIP layer in the middle is 15mm thick and is found inside a masking XPS layer.

12 Home BUILDER November/December 2013

Two VIP modules are installed vertically through friction-fit tongue and groove.

Their products

meet or exceed

ENERGY STAR

standards

We’re saving people money with energy efficiency

Replacing old, inefficient windows with JELD-WEN could mean huge savings on future energy bills. JELD-WEN has been an ENERGY STAR partner since 2004 and has received awards in 2009, 2010 and 2012 for our commitment to the program – save energy and money with JELD-WEN.

In-Store or Online, JELD-WEN has the resources I need. Visit www.jeld-wen.ca or scan our QR code to see the Top 10 Reasons why JELD-WEN is right for your next job and to find the dealer nearest you.

Customer satisfaction

Avoiding Pitfalls Brands could lose up to 20 per cent of revenue due to

By Tim Bailey

Creating a seamless process for home buyers helps to

conducted by Oracle. Today’s “connection economy”

avoid another pitfall. Too often, the home buying process

requires businesses to have processes, product-quality

is an arduous journey that overloads the customer with

and culture optimized to create customers who will buy

information. Home building companies that operate in

again and share their memorable experience with others.

functional silos waste the time of home buyers and also

In home building, there are common pitfalls that can

increase the risk of communication malfunctions. It is

hinder the customer experience. By understanding how

important to have a clearly mapped customer experi-

to navigate these pitfalls, a home builder can create

ence that still recognizes that each customer will be on

homeowners who are advocates.

a unique journey.

Product Quality

Paperwork

Product quality is multidimensional, as it encom-

Buying a home is a significant legal transaction involv-

passes form, fit and function. A beautiful custom-glass

ing contracts, deed transfers, financing agreements, and

door may swing smoothly, but if it is not installed plumb

more. These types of legal transactions rely heavily on

and square, it will appear as inferior quality. The evalua-

paperwork and signatures, but legalese does not breed

tion of product quality by homeowners is driven by their

loyalty. A pitfall to avoid is assuming that initials of home

expectations and perceptions. If a homeowner perceives

buyers on colour selection sheets or their signatures

that the quality of their home is better than expected, it

on working drawings signify understanding. Today’s

will enhance the customer experience. Conversely, the

consumers quick-

customer experience erodes quickly if a homeowner’s

ly sign and initial

perception of product quality diminish-

insurance policies,

es. Product quality is a key driver in

car rental contracts,

homeowner satisfaction and man-

or click “accept” on

aging expectations effectively in

incomprehensible

this area will help sidestep a major

software terms and

pitfall.

Pricing

conditions. It is only when

Critical elements in the customer experience are price fairness and price transparency.

problem

arises that the legalese becomes law and it is vital to

Many companies have proven that

help home buyers understand what is being agreed to

higher prices and customer satisfaction

with each initial or signature. Small-print disclaimers

are not mutually exclusive. Critical elements

and customer “sign-offs” may be a prudent legal part of

in the customer experience are price fairness

the business, but educating home buyers throughout the

and price transparency. Customer judgment on pricing is again often a matter of perception and requires proactive expectation-setting methods. A

process cultivates the loyal part.

People

major pitfall with pricing looms if a customer feels a

Sixty-six per cent of customer loss is through failure in

lack of transparency. After the deal is signed is not the

customer service, according to a study by Forum Market

right time for a home buyer to find out that desired fea-

Research and Gallop Poll. It is ironic that many customer-

tures are actually significant upgrades.

facing employees are the lowest paid and least trained

Policies

Tim Bailey is Division President of Avid Ratings Canada, a leading provider of customer loyalty research and consulting to the home building industry. Through the Avid system, industry-leading clients improve referrals, reduce warranty costs, and strengthen their brand. He can be reached at tim.bailey@ avidratings.ca.

Processes

poor customer experience, according to a recent study

to enhance the customer experience. Hiring for both attitude and aptitude is vital. When a home buyer drives

Detailed policies are a necessary part of organiza-

by their home under construction, it creates a much

tional structure but they are best used as internal tools.

better impact if they see site staff picking up litter rather

Pulling out the “policy card” with a customer to defend a

than seeing them throwing a coffee cup or cigarette butt

company position will never enrich the customer experi-

on the ground. A pitfall to avoid is underestimating the

ence. As a customer, hearing that something is “company

impact that employees—including employees of a build-

policy” is similar to a parent using the phrase “because I

er’s trades—have on the brand image of a home builder.

said so” in a debate with a child. It may provide an end to a disputed matter, however it is not a tactic that fosters

Building Bridges Over Pitfalls

genuine understanding. Leading home builders empow-

Pitfalls are common in home building but knowing

er their customer-facing employees to find creative solu-

where they can occur allows bridges to be built over them

tions that are reasonable to both the customer and the

or different paths to be taken around them. The home

company. Great customer experiences are created by

building journey should always have a great customer

standing for promises, instead of hiding behind policies.

experience as the ultimate destination.

14 Home BUILDER November/December 2013

W E’R E I M PR OV I N G T H E

SCIENCE O F S A F E T Y.

Made from The Lubrizol Corporation’s superior CPVC compounds, BlazeMaster® Fire Sprinkler Systems are keeping people safer all over the world. BlazeMaster systems are Listed and approved for more applications than any other non-metallic system and have the industry’s highest pipe and fitting cell classes. Plus, BlazeMaster systems have delivered MORE INSIDE™ for more than 25 years— giving you access to Lubrizol’s unmatched R&D, technical expertise, global capabilities and a network of customers who are industry-leading manufacturers.

Put the science of safety to work on your next project. Visit blazemaster.com or call a piping systems consultant at 1.855.735.1431.

buildersspeak

Old vs New?

Canada’s First Active House Canada’s first Active House recently opened in Thorold, Ont., a community located in the Niagara Region and roughly 90 minutes west from Toronto.

Either way, it’s inspired innovation.

This demonstration home was achieved through

by Judy Penz Sheluk

consultants, Toronto architecture firm superkül,

a collaborative effort between a team of building and built by Niagara Home Builders’ Association member Great Gulf. A European consortium comprised of researchers, architects, engineers, and building product manufacturers first developed the Active House concept that is defined by the use of natural day lighting, fresh air ventilation, and energy-efficient strategies with an overarching concern for human comfort and wellbeing. Adapting the Active House to Canadian specifications for the very first time required a careful analysis of appropriate design, material and site selection, climate, life-cycle costs, thermal comfort, indoor air quality and efficient energy sources. One of the fundamental qualitative aspects of Great Gulf Active House is the amount of natural daylight available, in addition to windows and the use of 14 electrically powered vented skylights. The design team was able to maximize direct and indirect light reflected off of walls and ceilings to help

Good-bye 1950s Vancouver Special, Hello Green Marken Projects Design Studio and Greater Vancouver Home Builders’ Association member Naikoon Construction have transformed a 1950s bungalow a.k.a. a “Vancouver Special” into a modern, energy efficient and healthy home. The home was planned along Passive Design principles, which include optimizing solar gain, maximizing insulation, ensuring an airtight envelope, installing a high-performance heat recovery ventilation system and making the house as energy efficient as possible. “Retaining the existing structure where possible and improving the envelope at the same time was one the challenges,” said Alexander Maurer, managing director at Marken Projects. The 1,500 sq. ft. plus basement remodel includes an additional

other eco-friendly materials that ensure a healthy indoor environment for the family. Naikoon Construction handled the custom reconstruction and achieved an airtightness of 1 ACH and an EnerGuide rating of 86.

16 Home BUILDER November/December 2013

Torben Neskerod

second story, maximizing the allowable living space under the zoning. The modern design also includes low-VOC products and

home. Areas like stairways, washrooms, and the basement now contain so much natural illumination that little artificial lighting is required during the day. Two intersecting axes that maximize cross-breezes and natural ventilation, minimize a reliance on air conditioning and further guide the home’s design.

Ema Peter Photography

increase light reflectivity in nearly every corner the

Wall-To-Wall Solutions

Our drywall not only makes homes look better, we make them sound, breathe and feel better. CertainTeed Gypsum offers a wide range of drywall and finishing solutions that will help make your homes stand out from the competition. From the most sustainable wall and ceilings systems in the industry to actively improving air quality and reducing noise

levels, you can Be Certain our innovative wall-to-wall solutions will add value to every room in your homes. That’s good for your homebuyers — and good for your business.

Boom or Bust? An insider’s look at Canada’s residential housing industry

Compiled and edited by Judy Penz Sheluk, with commentary by the leaders of our provincial HBA’s

Canada is a diverse country. What might be an encouraging year for one province can easily translate into a discouraging year for another. This month, we bring you a brief look at Canada’s residential housing industry, with thanks to the leaders who made this commentary possible.

British Columbia

by, in some cases eliminating the need for

Neil Moody, CEO, Canadian Home Builders’

cross-town commuting to pick up the rela-

Association of British Columbia

tive. These homes are functional, efficient and blend in well with their surrounding area. The shift away from large homes, as buyers look for affordable housing options, has created more opportunities and builders are adapting to this

The overall value of the residential con-

change. Townhomes provide an alternative

BUILD 2013 held in September at the Fair-

housing solution for younger buyers and for

mont Jasper Park Lodge. More than 500 peo-

those not yet ready to downsize from a large

ple enjoyed the sold-out event featuring an

house into a condominium. Multigenerational

expanded awards program, speakers, celebra-

homes where the younger members of the

tions and golf on one of Canada’s most spec-

family are able to house aging parents will

tacular mountain courses. Ralph Hutchinson,

continue to trend up as housing affordability

founder of Daytona Homes Master Builder,

continues to be of concern.

joined the CHBA – Alberta Hall of Fame.

To further address the housing affordabil-

Here’s what else is happening in Alberta:

struction and renovation industry in B.C. is $15

ity issue, CHBA BC will continue to call on

Housing starts through September rose

billion, generating over $6.6 billion in wages.

the provincial government to restructure the

6.1% to 24,160 units, led by an 8.3% rise

Housing touches the lives of every person in the

Property Transfer Tax (PPT) that is the highest

in single family starts. Starts were down

province, positively impacting our economy

provincial tax in the country, and increase the

11.7% in Calgary because of a 27% fall in

with every home sale. Single detached homes

1% threshold from $200,000 to $525,000, with

multi-family units. Edmonton starts rose

starts, at 1,853 units in the second quarter,

2% applying to the remainder of the fair mar-

20% on a 34% spike in multi-family activ-

were not far behind the 2,266 homes that

ket value. This change will particularly benefit

ity. Population growth is driving activity,

began construction during the second quarter

homebuyers in expensive markets such as

with Alberta adding 42,000 residents in the

of last year.

Vancouver and Victoria.

second quarter of 2013 to top the 4-million

A significant trend in the Lower Mainland is the popularity of laneway homes, coach

Alberta

homes and smaller homes. Laneway homes

Jim Rivait, CEO, CHBA – Alberta

mark for the first time. During the first half of 2013, renovation spending dropped 6% to $2.36 billion but

provide consumers with a choice that could

CHBA – Alberta welcomed new President

damage from floods in June is expected to

allow a relative or aging parent to live close

Stephen Amonson and board Directors at

generate a surge in activity in the next 18 to

18 Home BUILDER November/December 2013

420

The Better Alternative to Steel.

Pre-Finished White Smooth-Star® Door • Resists dents, rust, warping and cracking. • Features a true white finish. • Not hot or cold to the touch like steel. • Limited lifetime system warranty, even if painted a dark colour and placed behind a storm door. • 10-year finish limited warranty.

The design and performance of fiberglass now comes standard in a pre-finished door. The ultimate in convenience. Therma-Tru® Smooth-Star® door systems – the more beautiful and durable alternative to pre-finished steel. The convenience of a pre-finished door system that resists dents and rust while offering crisp and clean contours that reflect the growing trend of homeowners seeking more modern entryways. To learn more about Pre-Finished White Smooth-Star door systems call Therma-Tru today.

Call 1 866-612-3977 or visit www.thermatru.ca

Boom or Bust?

184

An insider’s look at Canada’s residential housing industry

24 months. More than 2,000 Albertans still

invested in the renovation market. In Regina,

that they have a renovation project planned

could not return to their homes by Octo-

renovations completed (between January and

for the coming year and so this remains a busy

ber and more than 8,200 applications for

August 2013) were worth over $15 million. Sas-

industry. The annual RenoMark Renovation

Disaster Recovery Support were submitted.

katoon experienced a slight decrease in resi-

Awards will be presented in November and

A total of 100,000 people were affected in

dential renovations between 2012 and 2013,

we are thrilled that four first-time entrants are

30 communities.

however projects completed this year were of

participating.

Initiatives of note at the provincial level

a higher value.

The Fall Parade of Homes was the largest in

include: implementation on February 1,

The Canadian Home Builders’ Associa-

history with 131 new show homes taking part.

2014, of the New Home Buyer Protection

tion—Saskatchewan continues to work with

Over a three-week period, more than 40,000

Act providing mandatory warranty cover-

all levels of government to address key industry

people visited the various show homes pre-

age; introduction of new safety ticketing

issues in the province, including: regional plan-

sented by 37 different builders in 31 different

and administrative penalties; review of the

ning and development, infrastructure financ-

neighbourhoods. The Awards Gala took place

provincial Condominium Property Act.

ing, career development, immigration and

on October 18th with winners being celebrated

population growth, regulations and red tape,

by more than 750 guests.

Saskatchewan

the underground cash economy, and energy

Alan Thomarat, President & CEO, CHBA-Saskatchewan, Inc. & Saskatoon & Region

efficient building practices and programs.

Home Builders’ Association, Inc.

Manitoba

There are, however, a number of concerns on the horizon impacting the residential construction industry. Provincially, although the introduction of mandatory third party war-

Mike Moore, President,

ranty is good news, there is much work to be

Manitoba Home Builders’ Association

done drafting the regulations. The provincial

The residential construction industry is

government is also introducing inclusionary

experiencing another strong year in Winnipeg

zoning legislation. On a municipal level, the

and throughout Manitoba. Last year was the

threat of increased development cost charges

best in over 25 years with 7,232 starts and, to

looms as Winnipeg seeks additional sources

date, we are tracking almost 10% above those

of revenue.

numbers. Although things always cool a bit

toward the end of the year here, all indications

Ontario

are that 2013 will be commensurate with 2012.

Joe Vaccaro, CEO

New home sales were somewhat slower in the

Ontario Home Builders’ Association

summer months this year; however, September and October have been significantly better than anticipated. The renovation industry remains extremely busy. Over 58% of all Winnipeggers indicated Economic

prosperity

and

population

growth continue to support a strong housing market in Saskatchewan. With the growth rate forecasted to reach 5.2 per cent this year, the Province maintains one of the highest rates in the country. It is expected that Saskatchewan will continue to experience elevated levels of net in-migration, which will increase demand OHBA has kicked our advocacy work into

for homes well into 2014. The Province experienced increases in

high gear this Fall with several portfolios on

housing starts and residential building per-

the go, including: bringing six-storey wood

mits in Saskatoon, Regina and other centers. At the end of the third quarter, there were 2,367 starts in the Saskatoon region and 2,383 in the Regina region. The City of Saskatoon issued a total of 1,095 residential building permits this year for a value of $4.6 million. The City of Regina also experienced growth this year, with 775 permits being issued by the end of August for a total value of $2.7 million. Saskatchewan consumers remain highly

20 Home BUILDER November/December 2013

“Although the introduction of mandatory third party warranty is good news, there is much work to be done drafting the regulations.” — Mike Moore, Manitoba HBA.

frame construction to Ontario, combating WSIB mandatory coverage and a review of the Condominium Act among others. Of these, OHBA has made two specific issues top priorities this year for the Association: the Development Charges Act and the land-use planning and appeals process. The provincial Government has launched two simultaneous, but separate, consultations that will have significant impacts on the new

422

Boom or Bust?

An insider’s look at Canada’s residential housing industry

204 housing and land development industry as well

launched an unprecedented television ad cam-

as new home buyers across Ontario. The two

paign designed to raise public awareness of the

consultations will include:

negative impact of declining accessibility, to

Ontario’s land-use planning system and

counter the effects of excessively weighty reg-

decision making process, including land-

ulations on housing prices and, ultimately, to

use appeals to the Ontario Municipal Board

incite the government to implement a national

(OMB); and

housing policy. To this end, it has published a

The Development Charges Act (DCA) and

support registry on the MissionGenerations.

other municipal development related fees

ca microsite.

and charges (section 37 agreements, cash-

New Brunswick and Prince Edward Island

in-lieu of parkland dedication, etc.). OHBA has formed two ad hoc commit-

Claudia Simmonds, CEO, Canadian Home Builders’ Association New Brunswick

tees to engage and consult with our mem-

du Québec (APCHQ - Quebec Provincial Home

bership and to respond to the consultations.

Builders Association) expects to see 26,425

Municipalities have been advocating for either

construction starts in 2013, which represent a

Like other industries in New Brunswick, the

the abolition of the OMB or significant scope

23% drop from 2012. The situation is not likely

residential construction industry is experienc-

reduction. Furthermore, municipalities have

to improve in 2014, when 24,870 housing starts

ing a decline for a second year in a row with

are projected.

an overall -16% growth from August 2012 to

“OHBA believes that Ontario’s current lengthy and complex planning system is challenging housing affordability and adding costs to new communities.” — Joe Vaccaro, OHBA.

In October 2013, the Government of Que-

August 2013. New Home starts in Moncton

bec responded to this situation with the launch of the Eco-Renov program designed to give the economy a boost. This one-year program allows the owners of primary and secondary residences to obtain a refundable income tax credit of 20% for all eco-responsible renovation expenses exceeding $2,500 (ENERGY STAR doors and windows, green roof, attic insulation, for example). The maximum

been advocating for the scope of the Develop-

credit is $10,000. For additional information,

ment Charges Act to be significantly expanded,

see the following document:

which would further increase charges, harm-

finances.gouv.qc.ca/documents/bulletins/

ing housing affordability.

en/BULEN_2013-10-a-b.pdf.

http://www.

OHBA believes that Ontario’s current

According to the APCHQ’s survey of new

have experienced a -36%, Fredericton a -16%

lengthy and complex planning system is chal-

homebuyers, the first-time buyers’ market lost

and Saint John a -29% growth from 2012 to

lenging housing affordability and adding costs

considerable steam in 2012. The proportion of

2013. We are not anticipating a recovery until

to new communities. Increasing prices for

new homes purchased by first-time homebuy-

sometime in 2015 or 2016 when some major

housing will negatively impacting the ability

ers dropped significantly from 50% in 2011

projects get underway, which will hopefully

of Ontarians to purchase appropriate housing

to 41% in 2012. This lacklustre performance

stimulate economic recovery. It is interesting

to suit their needs and will limit opportunities

can be attributed to more restrictive mortgage

to note, however, that despite this decline in

for economic growth. OHBA is focusing our

insurance policies.

activity housing prices continue to increase

advocacy efforts on these priority issues to make housing affordability and choice a cornerstone of Ontario’s planning and infrastructure framing process.

Quebec François Bernier, Director, Economic Research and Public Affairs, APCHQ

In light of the situation, the APCHQ has now

with the average sale price of a house somewhere around $161,000. Although new home starts are down in all major centers (Fredericton, Saint John and Moncton), the renovation sector remains strong. There continues to be an out-migration of residents to Western and Upper Canada with most being under the age of 45.

The year 2013 opened with a 25%

New Brunswick is still using the

drop in housing starts, a trend that has

2005 National Building Code and the

held throughout the year. The result:

adoption of the 2010 Code is linked to

a sharp decline in total housing starts

an Act and Regulations, the adoption of

for the year. In fact, the Association pro-

which has stalled within our Provincial

vinciale des constructeurs d’habitations

government.

22 Home BUILDER November/December 2013

424

Boom or Bust?

224

An insider’s look at Canada’s residential housing industry

New Home starts on Prince Edward Island

in 2014 and 2015, but for now, renovations

are also showing a -16% growth from August

are keeping members busy while they wait for

12, 2012 – August 2013 with the capital City of

single detached starts to increase.

Charlottetown citing a -29% growth for single

Our members, even in a slow market, con-

detached and multiple starts showing a -24%

tinue to see government imposed fees, costs,

growth. The MLS market has also decreased

charges and taxes increase. Halifax Water has

“Like other industries in New Brunswick, the residential construction industry is experiencing a decline for a second year in a row.” — Claudia Simmonds, CHBA – NB.

proposed a water levy in the form of a regional development charge that would collect $600 million from new construction over the next 30 years. That equates to approximately $6,000 per home and would be an expense that will be passed directly to new home purchasers. NSHBA’s position is clear that before any such charges are allowed, Halifax Water must

strengthening economy. A robust 6% growth

work with an independent third party to cre-

for the economy in 2013 has been forecasted by

ate a detailed Water Conservation Policy. If we

RBC, propelling NL to the top of the provincial

by 10% with the average house price sitting

decrease water consumption, we conversely

growth rankings in 2013.

at $155,000 and increasing by 2.6% year over

reduce the need for pipes in the ground.

year. The impact of HST (14%), implemented in April 2013, is being felt in all sectors. On the Association front, commitment to

While our economy is booming, there is a

Nova Scotia has gone from Orange to Red

lack of local data on the residential construc-

overnight and I am not talking about fall foli-

tion industry, which is essential to understand-

age. The Liberals scored a resounding victory

ing and preparing for what lies ahead. To fill

the Association remains strong and we are

that gap, the CHBA-NL commissioned Altus

one is welcome!

“Halifax Water has proposed a water levy in the form of a regional development charge that would collect $600 million from new construction over the next 30 years.” — Paul Pettipas, NSHBA

Nova Scotia

in the October 8th Provincial Election, winning

Program, with a marketing plan to educate

Paul Pettipas, CEO,

32 of the 51 seats up for grabs. Liberal Leader

consumers this fall. To complement these

Nova Scotia Home Builders’ Association

Stephen McNeil called for a restructuring of the

efforts, we have also developed a Master

electricity market to open it up to competition

Builder Program, giving our builder members

and lower its regulated return to investors.

a competitive edge and identifying them as the

busy with the creation of a mandatory builder designation program for our Members. Board and Staff are excited about hosting our annual conference—Habitation—in Moncton on February 11 and 12, 2014, which will bring members together with speakers such as Gord Cooke of Building Knowledge, Ontario, and Dr. John Straube from the University of Waterloo, not to mention our very own Comedy Hour featuring not one but three comedians. Every-

impact housing affordability, such as government-imposed costs and the costs associated with the development process. This research will help us elevate our voice and our credibility in public discussions involving housing. Renovation intentions across Canada are strongest in St. John’s, where 85% of consumers indicated they plan to undertake renovations. In anticipation of this trend, CHBA-NL

go-to businesses for home building.

ernment will give you choice by breaking Nova

Coming on the heels of a report indicating

Scotia Power’s monopoly and creating a heav-

that the price of a new home has increased by

ily regulated competitive market.”

a staggering 93% since 2006, the Association

It seems we have heard this before in other provinces.

Newfoundland and Labrador Victoria Belbin – CEO, Canadian Home Builders’ Association Newfoundland and Labrador

is sluggish to say the least. Single detached

2012 was the most successful year on record

starts are down approximately 30% year-to-

for the Newfoundland and Labrador (NL) resi-

date, while apartment construction continues

dential construction sector. Despite a slow-

to boom. There is a positive on the horizon with

down earlier in 2013, the industry is looking

the “Ships Start Here” construction to ramp up

forward to a bright future as it responds to a

24 Home BUILDER November/December 2013

nomic impacts of the sector; the indicators that

launched the nationally recognized RenoMark

The Liberal platform stated: “A Liberal Gov-

The state of the Nova Scotia housing market

Group to provide research measuring the eco-

continues to advocate on the issue of housing affordability aimed at municipalities and the provincial government to ensure our housing industry remains sustainable and accessible by providing choice for all.

Askthe

expert Send your question to expert Jon Eakes Visit HomeBuilderCanada.com and click on “Ask the Expert”

JOB SITE, MEET INSIGHT. Learn about Sage solutions for construction and real estate. » Visit our website at SageCRE.com/insight to learn more. Now you can empower your project teams with the most business-aware, people-connected applications for specialty and general contractors. Every year, more than 40,000 construction and real estate rms, including well over half of the ENR 400, rely on Sage solutions to manage more than 400,000 jobs and 5.7 million subcontracts. Join them and start getting job-ready today. © 2012 Sage Software, Inc. and its aﬃliated entities. All rights reserved.

Sage 50 • Sage 100 Contractor • Sage 300 Construction and Real Estate • Sage Construction Anywhere • Sage Estimating Enabling Sage contractors of any size to achieve their ambitions.

report

Who Will Buy Baby Boomers’ SingleDetached Homes?

a single-detached home in 2011, this proportion drops to 59 per cent for the population aged 75 to 79. Since the baby-boom cohort is much larger at the tail end of this generation (there are many more younger boomers than older ones), the empty-nest trend will continue and likely accentuate in coming years. Still, baby boomers’ decision to downsize is not expected to be the sole reason for an increase in the demand for smaller

By Julie Adès

units over the long term. Census data suggest that the proportion of one-person households

Today, about 60 per cent of Canadians live in single-detached homes.

is trending up. Indeed, between 2001 and

However, demographic changes suggest that the demand for multiple-

2011, the proportion of one-person house-

dwelling homes, including condominium apartments, will account for a growing share of residential demand in the coming years.

holds increased from 25.7 per cent to 27.6 per cent. This increase may be partly explained by the aging population and the rising divorce rate among the older age cohorts, but also

The rising popularity of smaller units will

for smaller units, such as condos and town-

by a trend toward fewer marriages, including

come at the expense of the future demand for

houses. Combined with our expectation that

common-law relationships. Canadians who

single-detached homes, a shift that some ana-

population growth will remain soft in coming

have never been married and are not living in

lysts suggest could negatively affect the value

decades, these changes raise the following

a common-law relationship make up a grow-

of larger single-detached homes. While this

question: Who will buy the baby boomers’

ing share of the total population. This share

may be a source of concern for baby boomers

single-detached homes once they decide to

planning to trade their single-detached homes

downsize into smaller units?

for smaller units, the situation may not be

The changes in the needs of the baby boom-

as alarming as it first seems. New sources of

ers (now aged 46 to 67 and accounting for

demand and adjustments on the supply side

roughly 29 per cent of the total population) will

will likely mitigate the negative impact on the

have a large influence on the housing market

future value of single-detached dwellings.

in coming years. Indeed, younger members of

The rising popularity of smaller units will come at the expense of the future demand for single-detached homes.

The question of whether speculation or

the boomer cohort currently account for the

fundamentals led to the growing demand for

bulk of households occupying single-detached

condos in recent years has triggered many

dwellings. Nevertheless, as their children leave

debates. However, the source of demand for

home, members of the cohort will become

multiple-dwelling units over the long term

“empty nesters.” And while some may opt to

will likely be less ambiguous. Past experience

stay in their single-detached homes for the rest

suggests that many baby boomers will want

of their lives, a sizable share will move into

to downsize as they age. At the same time,

smaller, lower-maintenance homes. Indeed,

increased from 27.6 per cent in 2006 to 28 per

census data suggest that there is a general

2011 census data show that the prevalence of

cent by 2011. Furthermore, in 2011, 30.8 per

trend toward fewer persons per household,

living in a single-detached home starts declin-

cent of young adults in their 20s were part of a

and this is not solely due to our aging popu-

ing after the age of 55. (see chart.) While 67 per

couple, down from 32.8 per cent in 2006. This

lation. This trend will likely support demand

cent of the population aged 50 to 54 occupied

change is even more dramatic when compared with 1981, when more than half of young adults were married or living in a common-law

Proportion of People Living in Single-Detached homes in 2011, by Age Cohort

relationship.

(per cent)

Some of the increase in the share of one-

70 60

person households may be attributed to the

echo boomers (the children of the baby boom-

ers) who are now aged between 21 and 41.

30 20

This generation will further boost demand for

multiple-dwelling units, since the youngest

26 Home BUILDER November/December 2013

+ 85

4 –8

9 80

–7

4 75

–7

9 70

–6

4 –6

Sources: The Conference Board of Canada; Statistics Canada (2011 Census).

–5

4 55

–5

9 50

–4

4 45

–4

9 40

–3

4 35

–3

9 30

–2

4 25

–2 20

–1 15

members of the cohort have reached an age at which they are beginning to move out of the family home and enter the market for starter435

Exceeding all expectations. IT’S IN OUR FAMILY DNA.

When you start with the premise that the absolute best option is the only option, it’s not surprising when you end up with a family of highly innovative, highperformance products. At Rinnai, we’re proud to offer a wide array of versatile, gas-powered solutions to meet the most demanding water and home-heating needs of homeowners and businesses alike. From our precisely engineered Tankless Water Heaters to our highEX11C RU80i

Q175S

efficiency Boilers and Direct Vent Wall Furnaces, you can count on Rinnai to deliver endless comfort, true reliability and unparalleled support. Let us help you find the right solutions for your next project at rinnai.ca

Tankless Water Heater

Boiler

Direct Vent Wall Furnace

report

That is where we come in, and that is the strength of CHBA—by being an organization at the local, provincial and national levels, we can leverage our strengths and work together to ensure success for the businesses of our members. HBM: As someone new to the organization, you bring with you expertise from past experience, as well as fresh perspective. What sort of changes can we expect to see from CHBA, how will they be implemented, and why are these changes important? KL: I am pleased to report that on October 26, 2013, the CHBA’s Board of Directors carefully reviewed and then approved our Strategic Directions 2014 report, which sets important new directions for the Association with respect to governance and operations: directions that position us for success. CHBA is the voice of the residential construction industry, and the key

Meet

Strengthening our voice will include an increased emphasis on government relations.

Kevin Lee by Judy Penz Sheluk

ening that voice. Photo By: Natasha Rombough

Chief Executive Officer, Canadian Home Builders’ Association

theme of Strategic Directions 2014 is strengthWe will do that through strong collaboration across all three levels of the association, and we are pleased to see great momentum with respect to that already. Strengthening our voice will include an increased emphasis on government relations—the exercise itself of developing Strategic Directions 2014 has already started this shift. In the past two weeks alone, CHBA has been invited to the Speech

A professional engineer with a Masters in Architecture, Kevin Lee has worked in the housing industry for 25 years, bringing a wealth of experience and knowledge in housing policy, technology and business to the CEO position at CHBA. Recently we sat down with Kevin to find out a bit more about his plans for the Association.

from the Throne (a first for the Association) and to present at the inaugural meeting of a new Conservative Housing Caucus of Federal Members of Parliament. The Caucus is dedicated to having a strong and vibrant housing industry to ensure Canada’s long-term economic prosperity. We also had many Members of Parliament

Home BUILDER Magazine: You’ve had

professionals looking to advance the indus-

attend our Fall Meetings in Ottawa, including

some time to visit many of the HBAs across

try and the Association to the benefit of all

the Minister of Citizenship and Immigration,

the country. What is your impression of the

Canadians. At the grassroots level, our mem-

Chris Alexander. The residential construction

CHBA and its impact on members at the grass

bers face many challenges locally, and our

industry represents some 845,000 jobs and

roots level?

local associations work hard to help members

over $120 billion in economic activity. It is

Kevin Lee: It has been a real pleasure to

address these issues. But many of these chal-

therefore imperative that our voice always

visit with members across the country. CHBA

lenges have causes or solutions that must be

be heard on Parliament Hill on all policies

is an organization of passionate and caring

addressed at the provincial or national level.

that affect our industry; our new emphasis on

28 Home BUILDER November/December 2013

430

Let Intertek

clear a path

™

for your next innovation

You have a choice... get to market with greater speed and simplicity. When launching a new product in the building industry, two questions often come up: What performance certifications do I need, and when can I get started? You can’t afford to get lost in a maze of complexity. That’s why more and more companies in Canada are choosing Intertek. With industry-recognized marks like Warnock Hersey, Intertek offers one of the largest portfolios of testing and certification services in Canada. Laboratories across the country provide expert — and extraordinary — service and quality for testing the safety, efficiency, and performance of your products so you’re ready for business at home or abroad. We keep it fast. And we keep it simple. Visit www.Intertek.com/ChoiceInCanada today and discover how we remove the barriers and get you to market faster.

report

284 strengthened government relations is already beginning to ensure that that is the case. HBM: Like any national organization, CHBA

the problem, depending on which way poli-

charges at federal, provincial and local levels.

cies are implemented. To bolster awareness

Working together at all three levels, we can

of this issue, the CHBA Board of Directors also

tackle these issues with much more force.

passed a motion at our Fall Meetings to develop HBM: So what’s next for you and CHBA?

faces many challenges, including running a truly national association. What do you believe are the primary challenges for members, and how do you plan to address them? KL: Every region of Canada faces challenges locally that are at times somewhat unique, but most issues facing the residential construction industry have a great deal of commonality from coast to coast. Development charges that unduly drive up costs and severely impact affordability are a good example of a local issue that members face across the country. By working together at the national level, we can help each other address these types of issues, leveraging our collective strengths. In addition to undertaking research to document the

By being an organization at the local, provincial and national levels, we can leverage our strengths and work together to ensure success for the businesses of our members.

severe impact development charges are having

KL: Our Fall Meetings were a great success. We had tremendous engagement from our representatives from coast to coast, and together we set strong new directions. The meetings were also streamlined and action oriented to ensure we make full use of our tremendous volunteer base. We have set the table for CHBA to strengthen its position as the leading proponent on all issues affecting housing affordability and choice. Together we will use our strengthened voice to support our members so they can build and renovate the great communities we are so proud as Canadians to call home. I am thrilled to be working with this great association and the passionate and talented people that make up its membership and

across the country, CHBA national is bringing

a detailed national communications strategy

staff across Canada. What’s next for me and

this to the attention to the Federal Government,

and action plan to convey common messages

CHBA: with our 8,500 member organizations

where related issues like infrastructure funding

about the adverse impacts on housing afford-

speaking with one strong coordinated voice,

and mortgage rules can alleviate or compound

ability of development-related taxes, fees, and

just you wait and see!

Advertise Where the Action Is 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.

Call us to book your premium ad space: 514-620-2200 sales@work4.ca HomeBuilderCanada.com

30 Home BUILDER November/December 2013

Canadian Home Builders’ Association

Askthe

expert Dear Jon, Ice and water shield has been around now for a while and some roofs where it was used now need re-shingling. Due to heat and adhesive, the roofs now are pretty well one solid bitumen mess and removal is next to impossible. It seems manufacturers never considered this issue when the product was invented. Any suggestions? I contacted Resisto on this and got no reply. Wonder why. Thanks, Philip Prangley Hello Philip, A great question, so I sat down with the Resisto technical expert to discuss the issue. We need to realize that the question we are asking is basically what to do 15 years later after the bitumen membrane had done such a good job of sticking where it was put. The person installing the roof is not likely the person replacing the roof years later, so has very little incentive to take measures to avoid having the shingles and the membrane become one solid mass well stuck to the wood. On flat roofs, membranes are best stuck

to substrates such as RESISTOBOARD, a fibreboard substrate that allows for easily lifting old membrane roofing. But it is not used under shingles. What you need is a separator at the time of installation that will prevent the shingles from fusing to the membrane, be it a full roof membrane or simply an ice shield on the lower edge. Resisto’s high-end membrane, the LASTOBOND PRO HT-N (yes, the “N” stands for North; they also sell an HT-S for the South) has a plasticised topping that allows for removal of shingles years later without destroying the membrane, and the nail holes are still self-sealing. But few people want to invest for someone else’s job 15 years later. The brilliant and inexpensive solution for eave protection sheets is to bring your roofing felt all the way down to the edge of the roof, right over the newly laid membrane. Then nail the shingles as usual and the felt paper acts as a separation sheet between the shingles and the membrane years later. If you are too cheap to use three feet

more of roofing felt, then you deserve the problem. If you put a membrane over the entire roof, or use a lot of it around penetrations or transitions, then cover the entire roof with 15-lb. felt, something actually required for warranty with some shingles. This will have the same separation/slip-sheet effect between the membrane and the shingles. They didn’t do any of those things on the messy roof that you are stuck with? If it is just eves’ protection, cut out the plywood on the bottom of the roof (a good opportunity to fix any soffit ventilation/insulation issues from the top) and lay down new plywood. If it is the whole roof, hog off what you can, pull the nails and then cover the uneven surface with new sheathing. But you are right: It would be nice if someone warned us of this down-the-road problem. Jon Eakes Do you have a question that needs answering? Home BUILDER Magazine’s interactive feature with expert Jon Eakes is ready to help. With the power of the press and all of Jon Eakes’ industry contacts, we can find the answers to your questions. Visit homebuildercanada.com and click on “Ask the Expert.”

Home BUILDER November/December 2013

CHBAreport

Full Speed Ahead! Having just completed CHBA’s Fall meetings in Ottawa, I’m very pleased with what our Association is accomplishing, and the positive—and exciting—momentum

were well received by all.

that is being created in all areas.

New Connections on Parliament Hill

Strategic Directions 2014

was pleased to attend the founding of the new Conser-

The Ottawa meetings kicked off with a special full-day session of our Board of Directors. The Board reviewed Deep Shergill President, CHBA

Board. The Fall Meetings reflected these changes and

and approved Strategic Directions 2014, the plan that emerged from an organizational review carried out over the last year.

Immediately following our special Board meeting, I vative Housing Caucus, initiated by MP (and past OHBA President) Phil McColeman. I was joined by CEO Kevin Lee, as well as OHBA President Eric DenOuden and OHBA CEO Joe Vaccaro. An impressive group of government MPs was present,

Strategic Directions is all about strengthening the

as was Finance Minister Jim Flaherty—a solid indication

voice of the CHBA, and making it an even more efficient

that the government “gets it” in terms of our industry’s

and effective organization.

importance to the economy, jobs, and the quality of life

In terms of how the Association operates, look for

in communities from coast to coast.

greater emphasis on government relations, supported by

Look for greater emphasis on government relations, supported by close collaboration among all three levels of the Association.

close collaboration among all three levels of the Association. We are refining what we ask government to do, and increasing our focus on building relationships with MPs and Ministers throughout the year—including annual Forum for Growth events, where members from across the country join together in Ottawa to take our message en masse to Parliament Hill. In the near-term, our government relations efforts will focus on three priority issues: Deteriorating housing affordability—particularly as this affects younger first-time buyers—and the case for federal action to address this problem. The Board also directed that a detailed communications strategy and action plan be developed on the adverse impact that development-related taxes, fees, and charges by governments have on housing affordability.

President: Deep Shergill, Calgary, AB Immediate Past President: Ron Olson, Saskatoon, SK First Vice-President: Bard Golightly, Edmonton, AB Second Vice-Presidents: Jane Morgan, St. John’s, NL Bob Finnigan, Toronto, ON Treasurer: Carol Oxtoby, Calgary, AB Secretary: Steven Crowell, Kentville, NS Presidential Appointees: Nathan Stone, Langley, BC Bob Deeks, Whistler, BC Mike Martin, Ottawa, ON Urban Council Chair: Don Dessario, Calgary, AB Chief Executive Officer: Kevin Lee, Ottawa, ON CHBA Contact: Michael Gough, CAE, National Office, Ottawa, ON

Having such a distinguished group of government

The growing shortage of skilled workers and

MPs focused on housing will be very helpful in the

steps the federal government needs to take to support

months ahead; it ensures that the government will be

workers in our industry through skilled trades training

engaged with the issues that matter to our industry.

and immigration.

CHBA EXECUTIVE BOARD

CHBA CEO Kevin Lee, Finance Minister Jim Flaherty and CHBA President Deep Shergill in the Parliament buildings.

Having CHBA invited to speak at this first meeting of

The underground “cash” economy and what the

the Caucus is a solid indication that our increased focus

federal government can do today to more effectively

on federal government relations is already delivering

address this problem.

results.

This important work will be supported by stronger

I’m looking forward to working with the members of

and more effective communications, keeping Associa-

the Housing Caucus, and providing them with CHBA’s

tion members informed and engaged, and building an

perspective on a range of important issues affecting our

effective presence with national business and financial

members and their customers.

media. Strategic Directions will also update how the CHBA

Great Meetings—and Great Results!

is governed. Pending approval at the Annual Meeting

The Fall round of the CHBA Board, Council, and

of Members, the Board will be reduced in size from 47

Committee meetings involved a lot of hard work, and

members to 27. At the same time, small and medium-

produced solid results and a lot of excitement.

sized HBAs will have a greater presence on the Board,

These meetings got off to a great start with Citizen-

ensuring a wide range of views when we set policy and

ship and Immigration Minister Chris Alexander speaking

directions.

to a joint session of the CHBA’s Urban Council and the

We are also changing how our Board meetings are

National Education and Training Advisory Committee.

structured to reflect today’s best practices. The goal is to

The Minister spoke of the federal government’s inter-

ensure active engagement and decision-making by the

est in hearing from our industry on the performance of

32 Home BUILDER November/December 2013

CHBAreport

environmental advocacy groups. While a number of CHBA member builders have participated in these NZE housing projects, or undertaken NZE home development on their own, the CHBA has not, to date, sought a central role in “setting the agenda” in this area. This may be about to change. At its Saturday morning meeting, the Board of Directors established a Net-Zero Housing Working Group. Drawing members from the CHBA’s Technical Research Committee and Manufacturers’ Council, they

The Fall round of the CHBA Board, Council, and Committee meetings involved a lot of hard work, and produced solid results and a lot of excitement.

will assess the need for ongoing Association activity to influence developments related to net-zero housing so that these remain consistent with the interests of the The Honourable Chris Alexander, Minister of Citizenship and Immigration addresses CHBA’s Urban Council.

home building industry and its customers. This initiative reflects the Board’s observation that there is a strong likelihood that developments related

its new and revised skilled trades-oriented immigration

to NZE housing will influence the evolution of building

programs. He commented that the government needs

products, systems, and approaches. And, as always,

business input so that these initiatives can achieve the

there is some risk that ill-considered regulation may

desired result—filling critical skilled labour needs.

be pushed by those with special interests; not playing a

The Canada Job Grant initiative, currently under dis-

central role in defining the future path of NZE housing

cussion with the provinces, is yet more evidence of the

development is not in the best interests of the home

federal government’s interest in making sure the needs of

building industry or its customers.

employers are well understood, and reflected, in federal

I look forward to hearing from the Working Group

programs.

when it reports back to the Board.

And Great Informal Conversations!

Building Momentum Towards our Whistler Conference

On Thursday evening, the CHBA hosted a reception for MPs to meet and chat with our volunteer leaders. This

The next meetings of the

was a great occasion for more informal conversations

CHBA’s Board, Councils,

between members and federal decision-makers.

and Committees will take

I was pleased that so many MPs took this opportunity

place in conjunction with

to spend some time with our Board, Council and Com-

the CHBA National Con-

mittee members. Among them were the Parliamentary

ference in Whistler early

Secretaries for Infrastructure, Communities and Inter-

next April. Between now

governmental Affairs; Finance; and Natural Resources

and then, a lot of work will

(Peter Braid, Andrew Saxton and Kelly Block,

take place, and I am already

respectively)—a great indicator of the impor-

looking forward to seeing

tance they see in the constituency our associa-

more results as Strategic Directions 2014 rolls out.

tion represents.

I encourage all CHBA members to be part of the

MP and Conservative Housing Caucus Chair

excitement at Whistler as your Association builds even

Phil McColeman addressed reception attend-

more momentum. With the National SAM Awards, CHBA

ees, noting the growing engagement of MPs

National Awards and a long list of impressive speakers

in housing issues, and encouraging CHBA to

and great social events, it is going to be a terrific and

continue its efforts to build personal, solid rela-

engaging Conference. The CHBA has a lot to be proud

tionships on Parliament Hill. Phil’s background

of. Please come to Whistler and help us celebrate this!

as a leader in our Association made his remarks

For full Conference information, visit www.chba.ca/

even more relevant and timely, and the crowd

conference.

certainly appreciated his message.

Net-Zero Housing Working Group Formed The concept of Net-Zero Energy (NZE) Homes has attracted considerable interest within govMP Phil McColeman complements CHBA’s government relations thrust at the Reception.

ernments, within the home building industry, among building material and product suppliers, as well as among some policy-makers and

Home BUILDER November/December 2013

TOOLTalk

Designed with Distinction

Sometimes, it’s the tweak that makes all the difference. The tool business is a competitive one with rapidly evolving technology. Even a small tweak can make all the difference. Something that was stateof-the art five years ago might get relegated to next summer’s garage sale. With that in mind, let’s review the latest tools and techniques that impressed me enough to make these pages.

Metabo Breaks A Battery Barrier Metabo, which makes only heavy-duty tools, has just released its 5.2Ah battery. Amp Hours (Ah) is a measure of the run time of a battery under heavy use. Up to now, most good cordless tools had smaller 2.0Ah or double size 4.0Ah batteries. So we have seen voltages go all over the place, and then both batteries and tools changed to give us power we didn’t

Everything to Everybody

dream of five years ago. And now the competition for “run time” is officially launched.

This month it was DeWalt’s turn to invite the trade journalists to their annual unveiling. Of note in what is referred to as Stanley Black & Decker Inc., is that Black & Decker, Stanley Tools, DeWalt, Porter Cable and Bostitch are all under the same roof. Although each one traditionally targeted slightly different clients, the retail distribution channels have pushed each to provide at least a minimum lineup of basic power tools that all appear quite similar. So, thanks to

Stanley Breaks A Price Barrier

their effort to be everything to everybody, you will see a full lineup of basic tools from each

Electronic measuring tools used to be of

of these brands—a bit of an exaggeration—

two different kinds: sonar, which had a lot of

including a full line of new electric tools by Bostitch coming out in Wal-Mart.

DeWalt’s New Site Saw

Replacing the Worm Saw With a Tiny Cordless

trouble focusing on a target, and true laser, which could read distances accurately right through rail spindles or tightly into a corner.

Milwaukee has just started to ship its little

But the last precise laser distance measuring

But there are some gems at DeWalt’s

M18 FUEL 6-1/2” brushless panel and framing

tool I bought cost about $2,000. Now Stanley

unveiling, starting with this really great new

saw. Milwaukee claims that this new lineup

has that range of precision mea-

site table saw from DeWalt. The DWE7491RS

of brushless cordless tools will perform as

suring and useful calcula-

is a 10” 15-amp saw with some really great

strongly as corded tools doing the same job. I

tions down to $300 with

features. Guard insertion, removal and adjust-

tried it myself and was blown away at the ease

the TLM330.

ment without tools and with on-board storage,

with which it ripped through three ganged

even for the extension cord. The kerfing blade

sheets of ¾” OSB, even through Parallam. The

precise distance to any-

can stay in place even if the upper shield needs

power is there, as is a dust blower and a rafter

thing (330ft. at +/- 1/32in.)

to be removed! The fence uses a double rack

hook. It has the motor on the right, as do the

and also measures the angle

and pinion for equal top to bottom movement.

old worm saws, and site testing shows that it is

to horizontal. Those two piec-

A 2-1/4” dust port will help to keep the site

replacing those saws at a fraction of the weight

es of information allow it to be

clean. The whole thing rolls on and off the

and without a cord. I’m betting that they will

pointed at the top of a building

site with a quick and sturdy folding frame with

come out with a standard motor-on-the left

and read out the vertical height.

built-in wheels.

carpenter’s saw next.

You can point to any place visible

34 Home BUILDER November/December 2013

This tool measures the

TOOLTalk

on the wall and it will give you the horizontal

cold or create problems with elastomeric flash-

distance to that wall, despite there being land-

ing, but screws buried through the thick wood

scaping or a truck in the way. Marking out every

frame; insulated flashing; less thermal bridg-

32 inches sets the spacing distance, and then

ing through glass to curb junction; total fram

as you approach the far wall, it tells you where

sealing to glass and roof deck; and an effec-

to place a sequential mark. Square feet, cubic

tive outside draining system for condensation.

meters—no problem.

That’s just a teaser but it is worth taking a look

L TOOK C TA L L TOOK TA L

at Fakro.ca.

DeWalt – Gyro Screwdriver The only question about this little 8-volt pistol grip, or twist it to an in-line screwdriver

few years ago the insulated curbs disappeared

shape, is: “Is it a toy?” There is no on-off trig-

from their catalogues and they now reference

ger or button, no speed trigger. Put it on the

“site built or prefabricated curbs, provided by

screw and make a motion like you want to

others.”

drive in the screw, and it drives. Twist your

So now, 10 years later, I am happy to write

hand further and it drives faster. Slack off and

about a new set of competitively priced roof

it slows down. It even has screw settings for a

window and skylight products that are actu-

clutch action. Twist in the other direction and it

ally and effectively designed for a cold climate.

reverses. It sounds like a toy, but for light duty

Features include: almost twice the width of a

driving, like electrical or finishing work, it is a

wooden frame; no metal brackets to conduct

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

gem of a tool with the intuitive action of a Wii game controller.

264

Boomers

homes and rental accommodations. In addi-

due partly to lower construction levels and

tion to demographic changes, other factors—

also because some may be converted into

such as affordability, the attractiveness of liv-

semi-detached units. Therefore, while poten-

ing in the core of a city, and the fact that there is

tial pockets of oversupply might remain, these

very little space to build single-detached units

factors will help balance the market for single-

in the core—will support demand for multiple-

detached homes in most regions and cushion

dwelling units in coming years.

the impact on the value of these homes.

These trends raise the question of whether future demand for single-detached homes will be enough to support price growth, particularly

Julie Adès is an economist within the Conference

for homes far from city cores. But it is not all

Board of Canada’s national forecasting team and

Back in 2004 I did a TV show where I was

bleak. New young families and increased lev-

is responsible for the medium and long-term

happy to show off “insulated curbs” from Velux

els of international immigration will bolster

outlooks of the labour market, housing market,

as finally one way to deal with our cold climate

demand for single-detached homes. Moreover,

household spending and income and some areas

problems with beautiful southern skylights. A

the relative supply of these homes will fall,

of the demographic forecast.

Cold Climate Skylights Are Back

Economics Matters

416.641.9500 1.877.953.9948 economics@altusgroup.com altusgroup.com

demographics construction economics planning impacts real estate markets expert testimony forecasting Home BUILDER November/December 2013

renovation

Canadian Homeowners See Long-Term Benefit of Green Renos TORONTO — Two-thirds (66%) of Canadian homeowners are likely to consider making their home more energy efficient or environmentally friendly by making green home renovations, according to a recent

renovation stores (29%), and the internet and social media (29%). The primary barrier to green home renovations for Canadian homeowners is cost (56%).

Scotiabank Home Renovations Poll. Quick Facts: Canadian homeowners in Manitoba/Saskatchewan are the most likely to consider green renovations (76%) followed by the Atlantic provinces (75%), British Columbia (74%), Ontario (68%), Alberta

A New Home Renovation Resource A new website, MyReno411.ca, was recently launched as a unique renovation resource. Alex Beraskow, President and CEO, established the idea for Reno411

(65%), and Quebec (48%). Two thirds (65%) of Canadian homeowners agree that green renova-

while renovating his home and becoming increasingly frustrated at how

tion choices will lower the operating cost of their home in the long

difficult it was to find a reliable source of information. From this, Reno411

run.

was produced to help homeowners find the best available contractors,

Half (52%) of homeowners agree that green renovation choices will increase their home’s value.

and, in turn, help contractors promote their services and connect with potential clients. Currently over 130,000 contractors from across Canada

Eight in ten (78%) homeowners are likely to consider green products

are listed.

for a big renovation such as installing solar heating, while slightly

Homeowners can search for contractors to carry out repairs and

more (84%) would choose green products for a small renovation such

renovations, search and write reviews, find top tips and advice, ask an

as installing ultra-low flush toilets.

expert a question, and keep up with the latest news and trends. Con-

Homeowners in Manitoba and Saskatchewan are the most likely to

tractors can advertise their services and manage their profile including

consider smaller green renovation options (91%), as well as bigger

posting images of projects. If any adjustments need to be made, such as

green renovation options (83%).

a new address or phone number, this can be done in real-time. This site

The top sources of inspiration for green home renovations are television programs (36%), family, friends, and neighbours (30%), home

Innovations in Comfort from Rinnai

Rinnai Corporation is one of the world’s largest manufacturers of gas appliances. Established in 1920 as a manufacturer of pressurized oil cooking stoves, Rinnai has expanded its product portfolio to include a wide range of residential and commercial gas appliances for efficiently heating water and air. Specifically, this includes Tankless Water Heaters, Condensing Boilers and Direct Vent Wall Furnaces. Rinnai products are known throughout the world for their superior quality and safety, gas-modulating valve technology and sophisticated thermostatic-control systems. For more information about the complete space- and water-heating product portfolio, visit www.rinnai.ca.

36 Home BUILDER November/December 2013

also provides the contractor with a platform to carry out some of their own PR by being able to respond to costumer reviews instantly.

Green Buildings Should Include PINK™

Home builders around the world have trusted Canada’s No. 1 insulation for high-quality and dependable products for 75 years. Today, a leader in energy efficiency is proud to bring you the next generation, EcoTouch® PINK™ FIBERGLAS® Insulation with PureFiber™ Technology. It’s made from 99%** natural materials with over 73%* recycled content – 3rd party SCS certified, and is GreenGuard Indoor Air Quality CertifiedSM and verified to be formaldehyde-free. With PINK™ Insulation, save money, save energy and help save the planet. For more information, contact: Owens Corning Phone: 1-800-GET-PINK® www.owenscorning.ca The colour PINK is a registered trademark of Owens Corning. © 2013 Owens Corning. All Rights Reserved. *73% recycled content is based on the average recycled glass content in all Owens Corning fiberglass batts, rolls and unbonded loosefill insulation manufactured in Canada. SCS certified. GREENGUARD Children & SchoolsSM Mark is a registered certification mark used under license through the GREENGUARD Environmental Institute. Owens Corning PINK™ insulation is GREENGUARD Certified for indoor air quality, except bonded loosefill products.**Made with a minimum of 99% by weight natural materials consisting of minerals and plant-based compounds.

New Edition Now Available!

For those who need to know how to build homes in one of the toughest climates on earth, the CHBA Builders’ Manual is the most authoritative guide you will find for building superior energy-efficient housing. This newly expanded and updated edition, based on the building techniques proven by R-2000, offers over 400 pages of concise information and easy-to-follow illustrations. Completely revamped with new illustrations including an expanded section on renewable energy and a brand new section on home automation. CHBA Builders’ Manual — the definitive guide for home building in Canada. For more information, contact: CHBA – Builder Manual Sales Phone: 613-230-3060 E-mail: sales@chba.ca www.buildermanual.com

////// PRODUCTS 2013 /////////////////////////////////////////// Titan Luxury Laminate Floor

InStyle Titan is a 14mm luxury laminate floor proudly made in Canada. The Bestlock Technology locking system allows for quick installation without sacrificing performance. The AC4 wear layer (light commercial) is paired with a waxed locking system to produce industry leading durability. Titan’s residential lifetime warranty offers your customer long term piece of mind. Enjoy the confidence of installing a quality Canadianmade product on your next job. Titan is available in four designer colours to suit any décor. For more information, visit your local Home Hardware Building Centre or Home Building Centre. www.homehardware.ca

Sleek Addition to Any Bathroom

The perfect addition to its current suite of bathroom collections, Delta Faucet is thrilled to announce the launch of its first-ever freestanding tub filler. This sleek addition helps elevate the look of a bathroom while continuing to offer smart solutions customers expect from Delta. The product blends seamlessly with other Delta collections to bring more versatility to the bathroom design process. The Delta freestanding tub filler features a separate handshower with a pivoting arm, allowing it to lean over the tub after use. The tub filler flows at a rate of 6-9gpm cascading the water out in a laminar flow for an elegant look while filling the tub. For more information, contact: Delta Faucet Phone: 1-800-345-DELTA www.deltafaucet.ca

Introducing The One Series by NUDURA

The industry’s only multi-link form offering unmatched versatility for projects designed using ICFs. At the core of this innovative line is DURALINK Technology, a newly designed web that creates a wide variety of custom multi-sided form combinations for a variety of building designs. Transition between concrete and foam is seamless, as the unique design allows concrete to meet with the outside edge of a NUDURA foam panel. The One Series reduces labor and offers an ideal building product for pools, stairwells and anywhere only one side of foam is needed. Learn more about this innovation at: Nudura.com/OneSeries

BlazeMaster® Fire Sprinkler Systems

Made from The Lubrizol Corporation’s superior CPVC compounds, BlazeMaster® Fire Sprinkler Systems are Listed and approved for more applications than any other non-metallic system. BlazeMaster systems have delivered MORE INSIDE™ for more than 25 years— giving you access to Lubrizol’s unmatched R&D, technical expertise, global capabilities and a network of customers who are industryleading manufacturers. Put the science of safety to work on your next project. Visit blazemaster.com or call a piping systems consultant at 1-855-735-1431.

Increase Speed to Market with WH-ETL Certification

Drain Water Heat Recovery

Intertek’s new Warnock Hersey (WH) certification brings together two of North America’s most recognized certification marks, the WH and ETL Marks, to provide product manufacturers with a solution that simplifies the certification process and increases speed to market. By combining these certifications, the fire safety strength of the WH Mark is joined with the electrical safety strength of the ETL Mark allowing for easy recognition by AHJs and building code officials. Products bearing the new WH-ETL Mark indicate compliance to relevant building codes, association criteria and product safety and performance standards. For more information, contact: Intertek Phone: 1-800-967-5352 www.intertek.com/ChoiceInCanada

As a reputable builder, you got to where you are today because you do not compromise on quality and that is why you choose ThermoDrain. ThermoDrain is the latest standard in drain water heat recovery technology. No weld joints, high performance (high efficiency and low pressure drop) and priced to impress. ThermoDrain is delivered to your location within 24 hours of ordering. Call 1-888-881-7693 or visit us at www.thermodrain.ca Home BUILDER November/December 2013

IndustryNews

Owens Corning Celebrates 75th Anniversary TORONTO — Owens Corning (NYSE: OC) is celebrating 75 years of

ASTM International Roofing Committee Developing Sustainability Standards

innovation, resilience and optimism in 2013. The company was founded in 1938 after a failed experiment with glass building blocks produced a

WEST CONSHOHOCKEN, Pa — ASTM International Committee D08

surprising result: it revealed a way to make glass fibers in commercial

on Roofing and Waterproofing, through its Subcommittee D08.24 on

quantities. That discovery launched not only the company and a new

Sustainability, is developing several standards for sustainable roofing

product, it also set in motion the spawning of new industries related to

systems. One such standard is ASTM WK26599, Guide for Design of

the production of fibreglass materials.

Sustainable, Low-Slope Roofing Systems.

A Fortune 500 company for 59 consecutive years, Owens Corning is

The proposed standard, which does not specify materials or products,

a leading global producer of residential and commercial building materi-

embraces the fact that the primary purpose of the roofing system is to

als, glass-fiber reinforcements and engineered materials for composite

protect the top of the structure over the course of the roof’s design life,

systems.

and that sustainable considerations such as use of the roof for water

Owens Corning Canada is headquartered in Toronto and has manu-

collection, vegetation, photovoltaics or use of newer or recycled prod-

facturing plants for PINK-insulation fibreglass and extruded polystyrene

ucts deemed environmentally friendly must not sacrifice this key aspect.

in three major Canadian regions including the West (Alberta), Central

ASTM WK26599 describes the process by which a designer or speci-

(Ontario) and East (Quebec), employing more than 1,000 Canadians. C

fier looks at the demands and factors that a low-slope roofing system

LP Acquires Ainsworth Lumber NASHVILLE / VANCOUVER — Louisiana-Pacific Corporation (“LP” or the “Company”) (NYSE: LPX) and Ainsworth Lumber Co. Ltd. (TSX: ANS) (“Ainsworth”) have signed a definitive agreement under which LP will acquire all of the outstanding common shares of Ainsworth for a total consideration that equates to C$3.76 per Ainsworth common share, based on the closing price of LP common shares on September

must be capable of withstanding. External factors include wind, weather, rainfall, chemical exposure, foot traffic and use under vegetation. Building pressurization and interior humidification are among internal factors to be considered.

Askthe

expert

C Do you have a question that needs answering? Home BUILDER Magazine’s interactive feature with expert Jon Eakes is ready to help. Visit homebuildercanada. com and click on “Ask the Expert.”

3, 2013. The proposed transaction has a total value of approximately USD$1.1 billion. Ainsworth is a leading manufacturer and marketer of oriented

Adver ti sers i n Thi s I s s u e

strand board (“OSB”) with a focus

Advertiser

on value-added specialty prod-

All Weather Windows Ltd. . . . . . . . . . . . . . 3 . . . 800-638-5709 . . . www.allweatherwindows.com

ucts for markets in North America

Altus Group Limited . . . . . . . . . . . . . . . . 35 . . . 877-953-9948 . . . www.altusgroup.com

Do you have an event you want posted on our new Online Calendar? E-mail your listing to editor@work4.ca

and Asia. Ainsworth’s four OSB

BlazeMaster, Lubrizol . . . . . . . . . . . . 15, 37 . . . 855-735-1431 . . . www.blazemaster.com

manufacturing facilities, located

Canadian Western Bank . . . . . . . . . . . . . 21 . . . 604-443-5118 . . . www.theworkingbank.ca

in Alberta, British Columbia and

CertainTeed Gypsum Canada, Inc. . . . . . 17 . . . 800-233-8990 . . . www.certainTeed.com/Gypsum

November 18-20

Ontario. LP’s first investment in

CHBA - Builder Manual . . . . . . . . . . . . . 36 . . . 613-230-3060 . . . www.buildermanual.com

Canada was in 1978. It currently

CHBA - Canadian Home Builders . . . . . 39 . . . 613-230-3060 . . . www.chba.ca

employs more than 1,200 people

Delta Faucet . . . . . . . . . . . . . . . . . . . . . . . 37 . . . 800-567-3300 . . . www.deltafaucet.ca

across the country, representing

EcoInnovation Technologies Inc. . . . . . 8, 37 . . . 888-881-7693 . . . www.ecoinnovation.ca

one-third of its total North Ameri-

Fortis BC Energy . . . . . . . . . . . . . . . . . . . 19 . . . 866-884-8833 . . . www.fortisbc.com

can workforce.

GE Appliances - Commercial Sales . . . 23 . . . 800-361-2500 . . . www.ccommercial@mabe.ca

CALENDAR Annual BCNHPA Conference British Columbia Non-Profit Housing Association Richmond, BC www.bcnpha.ca

November 20–22

Greenbuild U.S. Green Building Council Philadelphia, PA www.greenbuildexpo.org

November 26-28

Beacons to Guide You Canada Mortgage and Housing Corporation Quebec/Montreal, QC www.cmhc.ca

December 4–6

Construct Canada, National GreenBuilding Conference, PM Expo, DesignTrends, HomeBuilder & Renovator Expo, and Concrete Canada Toronto, ON www.constructcanada.com

The Company now owns a

Page

Phone

Web site

Home BUILDER Canada . . . . . . . . . . . . . 30 . . . 514-620-2200 . . . www.homebuildercanada.com

total of seven wholly owned facili-

Home Hardware Stores Limited . . . . . 4, 37 . . . 519-664-2252 . . . www.homehardware.ca

ties—OSB mills, siding manufac-

Intertek . . . . . . . . . . . . . . . . . . . . . . . . 29, 37 . . . 800-967-5352 . . . www.intertek.com

turing facilities and engineered

JELD-WEN of Canada . . . . . . . . . . . . . . . 13 . . . 204-510-4745 . . . www.jeld-wen.ca

wood products manufacturing

Malco Products Inc. . . . . . . . . . . . . . . . . 40 . . . 800-328-3530 . . . www.malcotools.com

facilities—in British Columbia,

Mercedes - Benz Sprinter . . . . . . . . . . . . . 2 . . . 800-387-0100 . . . www.TheNewSprinter.ca

Manitoba, Quebec and Nova

Nudura Corporation . . . . . . . . . . . . . . . . .37 . . . 866-468-6299 . . . www.nudura.com

Scotia. LP is also a joint venture

Owens Corning Canada LP . . . . . . . . 11, 36 . . . 800-438-7465 . . . www.owenscorning.ca

participant in two manufacturing

PrimeSource Building Products, Inc. . . . . 7 . . . 800-676-7777 . . . www.primesourcebp.com

facilities in Quebec, and it main-

Rinnai . . . . . . . . . . . . . . . . . . . . . . . . 27, 36 . . . 800-621-9419 . . . www.rinnai.ca

tains a Canadian administrative

Sage Software, Inc. . . . . . . . . . . . . . . . . . 25 . . . 866-420-7289 . . . www.sagecre.com

office in Montreal. For more infor-

Schlage Lock - Ingersoll Rand . . . . . . . . 31 . . . 800-900-4734 . . . consumer.schlage.com

mation, visit www.lpcorp.com C

Therma Tru . . . . . . . . . . . . . . . . . . . . . . . 19 . . . 866-612-3977 . . . www.thermatru.ca

38 Home BUILDER November/December 2013

THRIVING In a business world where the ‘new normal’ means no normal at all, only true entrepreneurs will THRIVE. Today, THRIVING in the home building business means innovation. It means challenging the conventional and building business models and alliances that are driven by change. It means driving something new – and better – to your customer. THRIVING is the domain of the professional entrepreneur, and the focus of the 2014 CHBA National Conference. The Fairmont Chateau Whistler will host CHBA’s 71st National Conference from April 3rd to 5th, 2014. This outstanding location provides the ideal Conference setting, offering excellent facilities, amenities and service with full access to all that Whistler Village and the Whistler/Blackcomb resort offers.

Hear Canada’s Most Insightful Speakers on THRIVING in Today’s Business World

Hayley Wickenheiser Gold-medal Olympian and accomplished business woman.

Mark Bowden Psychologist and world-renowned communications trainer.

Terry O’Reilly Dr. Brian Little Noted expert on Internationally the business, craft, and recognized personality impact of advertising psychologist and expert and promotion. in personality dynamics.

Andrew Coyne Business and political journalist and commentator.

FOR MORE INFORMATION AND TO REGISTER: WWW.CHBA.CA/CONFERENCE

rescue mE...from this madDEning inability!! i must find a more cost effective solution for the jobs that plague me!!! but what do i need? where do i turn!? what will save me?

a solution soon, or i am going to.....

Oh Darling,..

Why donâ&#x20AC;&#x2122;t you save the day the TurboShear way?

Inge

s u o i n

your Cordless Drill r o f s t n e m h c a t t Drill A TSS1

TSHD

TSCM

TSNS1

TSF1

TSF2

Fiber Cement Backerboard

Fiber Cement Siding

Natural Roofing Slate

Architectural Asphalt Shingles

18 ga. Sheet Metal

Live Demos! Booth #344 December 4th - 6th Toronto Convention Center

Malco Products, Inc. | Annandale, Minn. U.S.A. | www.malcotools.com | ÂŠ2013

NEW! 24 ga. Corrugated Metal