Expect more multi-residential buildings with smaller units, Halifax developer tells homelessness conference

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Expect more multi-residential buildings with smaller units, Halifax developer tells homelessness conference
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Halifax is Canada’s second-fastest-growing midsize city, but what are the unintended consequences of population and economic growth?Alex Halef, a developer who heads Banc Investments“I know you’re seeing smaller units now, but even smaller still,” Halef said during a panel discussion Wednesday at the National Conference on Ending Homelessness.

It costs between $425,000 and $450,000 per door to build a multi-unit residential project in Halifax, he said. “If you’re me, what should you earn as a return on your capital that you’re putting in – that extra $50,000-75,000 ? Do you want five per cent? Is it seven per cent? What’s worth the risk? That has to get added on top of the $2,100-2,200 in rent that you’ve got to capture just to pay your mortgage – principal and interest – and your debt.”“Every day you’re hearing about a new tax on people in my industry,” Halef said. “It’s not helping the situation as you can tell by the affordability issues.

Indigenous people need to work with developers so they can see themselves living in specific building projects, she said.

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