Calgary saw building permit numbers for density developments spike after citywide rezoning was approved, but councillors say it’s too early to tell if it means long-term housing success.

In a briefing note coming to the Infrastructure and Planning Committee (IPC) meeting on Feb. 27, City of Calgary administration presented data showing a significant impact since the bylaw changes took effect.

To start, the city said that it saw an 81 per cent increase in the number of development permit applications for new homes in established areas in 2024 (921), compared with 2023 (508).

According to city data, after the Aug. 6, 2024 implementation date for citywide rezoning, they received 152 development permits for rowhouses and townhouses. It’s a 271 per cent increase over 2023. There were also 35 development permits for front/back semi-detached homes, a 289 per cent increase in applications over 2023.

“Since coming into effect on 2024 August 6, citywide rezoning has increased the diversity and supply of housing options through a more efficient process that has led to a wider range of housing types being built on affected parcels,” the briefing note read.

The city said that full results of citywide rezoning won’t be seen in building permit data until later this year. Development permits must be approved before a building permit is approved.

Ward 8 Coun. Courtney Walcott, who supported citywide rezoning, said the latest data shows that it’s having an impact.

“This skepticism that was attached to rezoning, about whether or not it could produce more housing, or if it would incentivize enough development to make a difference on our housing strategy,  I mean, just in the single quarter alone, since it was active, it is demonstrable that it did move the needle,” he told LWC.

The City said that upzoning in established areas directly enabled 46 per cent of all new low-density housing permits.

Citywide rezoning pressures on infrastructure

Ward 1 Coun. Sonya Sharp, chair of the IPC, said these are promising results. However, the story not being told is the concentration of RCG-type developments in areas like Bowness, where there were water issues last summer. Sharp, along with fellow councillor, Ward 7’s Terry Wong, tried to limit added development in Bowness and Montgomery until an infrastructure review could be done.

“There’s two sides of stories. Yeah, it’s great that we’re promoting housing, but I came across trying to defend my own community with the amount of pressures we can see on development,” she said.

“I was shot down by council saying, there’s no proof. Well, it’s right here.”

Coun. Walcott still believes the density impact on infrastructure is a fallacy. He said when a development permit is sought, city administration reviews the infrastructure to determine if it triggers an upgrade.

“There was concern that was expressed and refuted repeatedly about infrastructure capacity. There is not any evidence that our infrastructure, like water, like wastewater and sewage, is under strain,” he said.

Walcott said that these numbers show a positive housing trend. There was, however, a pent-up demand already built in as many developers awaited council’s decision. The level of demand will fluctuate with market needs, he said.

“The market is going to shift, and it’s going to turn as it always does,” Coun. Walcott said.  

“The question about rezoning is, do we have these artificial regulations that reduce the flexibility for the market to respond to the need. The kind of demand is because we were so stringent in our recommendation or regulation previously that the market couldn’t respond to the need. That does not preclude that the need will change.

Timelines improve slightly, tools added to DMAP

The city data also showed that the timeline for approvals improved by between two and three weeks in 2024. They also noted that they upgraded the online Development Map tools. That added features where people can share their comments through the web portal, or contact the file manager directly on a development permit proposal.

Data taken after July 18, 2024, shows the city received 2,063 comments on applications. Of those submissions, 1,720 were opposed. They were categorized into areas of interest.

Coun. Sharp said she didn’t oppose the goal of added housing within the citywide rezoning bylaws. She voted against it because it took the citizen voice away from the proceedings. Citizens were able to comment on proposed land use changes at the public hearing meeting of council.

“I am not opposed to cutting red tape and building more homes,” Sharp said.

“You’re talking about a public platform we’ve completely removed from citizens’ development permits. People can write in; there’s no speaking to their member of council. My comments on the development permit hold the same rate as a resident.”

Sharp also took issue with this weighty item, given the publicity the topic has received, only came as a briefing note. She contrasted it with the recent tariff update at council. She said that outlined work the City of Calgary was already doing.

“I’m a little bit perplexed here of what administration thinks is important to Calgarians and why they’re bringing certain things for debate and discussion, and why not others,” Coun. Sharp said.

“I can’t even say this on Thursday, because it’s not debatable.”

Because it’s a briefing note and not a regular agenda item for the committee, the matter will not be discussed in the public session.