Summerside surpassed $100M in building permits for second straight year in 2024
Construction Association of P.E.I. trying to keep up with demand across the province
The city of Summerside surpassed the $100-million mark for building permit values for the second year in a row in 2024, according to Mayor Dan Kutcher.
"When you look around and see the growth, I look at homes for people who don't have homes or [are] living housing-insecure," Kutcher said.
"Now... following the housing growth, we're seeing record investments in the commercial sector."
The P.E.I. government said the value of building permits across the province between January and November increased by 33 per cent compared to 2023.
Hundreds of permits were approved in P.E.I. last year, including 183 in Summerside, 346 in Cornwall, 23 in Kensington, 28 in Alberton and 447 in Charlottetown.
Kutcher said Summerside saw its growth in both housing and an "explosion" in the commercial sector.
"You're looking at new car dealerships, new Kent [Building Supplies], new banks, restaurants, expansion for existing businesses," he said.
"Where there is housing for people and where there is housing growth, people can afford to live, businesses want to invest there and they're coming here. And that's a good thing."
Kutcher said jobs and economic growth are necessary because that's what creates wealth, which helps governments collect tax dollars to invest in things like arenas, arts and culture.
"We know we need to have a strong local economy in order to have a good, positive future for our residents."
Construction industry getting 'fatigued'
Sam Sanderson, executive director of the Construction Association of P.E.I., said it's been a "crazy" few years in the industry and he is expecting that to continue.
He said the demand for construction continues to be overwhelming.
"We continue to say that the industry has never been in as much demand as it is right now, or has been over the last number of years," Sanderson said. "We're still going to see our labour force shrink due to retirement."
Another big issue is that productivity levels are diminishing — Sanderson said it takes 2.2 new people to replace one who is leaving the industry after a decades-long career. He said that's because the new generation of workers practices a better work-life balance.
"As they gain experience and knowledge and understanding... that ratio certainly diminishes," he said. "But that's one of the things we're running into around productivity level, and that is going to have an impact on the overall numbers and ability."
Sanderson said the industry is getting fatigued and dealing with permit delays.
"There just seems to be announcement after announcement of planned projects, which we are thoroughly excited about. But it does raise a little bit of concern [about] the ability to get those built in a timely manner."
'All in on housing'
The association has a number of programs to recruit new employees. Sanderson said some progress has been made, but there's still more that needs to be done.
"I'm not shy to say that... there has to be a whole lot more work done and a whole lot more support and a whole lot more emphasis on the construction industry as a whole,'" he said.
Kutcher said it's still difficult for people to find affordable housing, so there's a lot of work ahead to increase supply and decrease cost pressures for families in Summerside.
"We're going to continue to be all in on housing until we get there."
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With files from Sheehan Desjardins