Markham breaks record for building permits in 2024 but won’t receive provincial funding

MARKHAM, ON – Feburary 5, 2025 – The City of Markham has set a new record for building permits in 2024, issuing permits for 4,216 housing units, significantly exceeding the provincial housing target of 3,667 housing units. Despite this achievement, the Canada Mortgage and Housing Corporation (CMHC) recognized only 1,825 housing starts to Markham in its 2024 data, highlighting a critical flaw in one of the measures of the Province’s Building Faster Fund methodology.

"Markham has proven that we can process housing applications and building permits quickly," said Mayor Frank Scarpitti. "However, the province's current methodology for counting housing starts is short-changing municipalities like ours. Issuing a building permit is the last step we’re responsible for in order to start the construction of a new home. The province should be counting the building permits we issue towards our housing goal."

The City of Markham signed a Municipal Housing Pledge in 2023, committing to work with the provincial government to build more housing. The province introduced the Building Faster Fund as well, a three-year $1.2 billion program to help municipalities meet or exceed their housing targets to be used for housing enabling infrastructure and costs to support community growth. Since then, Markham has taken bold steps to streamline the approvals process, including completing a Lean review and working closely with the development industry to find efficiencies in the planning process. The City has also updated its processes in response to the More Homes for Everyone Act, 2022 (Bill 109) and the More Homes Built Faster Act, 2022 (Bill 23).

Despite these efforts, and a record number of building permits, Markham anticipates being shut out of much-needed provincial funds of up to $15 million for 2024. The current methodology used by the Building Faster Fund to determine funding eligibility is fundamentally flawed. CMHC housing starts are measured when the building's foundation is completed, which can be many months or even years after the city issues a building permit. This delay is particularly problematic for high-density developments, which take longer to build but yield a higher number of units.

Municipalities have limited control over market forces and business decisions of the development and building industry, which determine when to start construction of new housing units. "We are concerned that our housing start results won't be recognized by the province," said Mayor Scarpitti. "For example, CMHC only recognizes a condo when the parking garage is built to ground level. The city's approval work is only reflected years later when the structure is built past the ground level."

The City of Markham appreciates the provincial government's commitment to partner with municipalities to facilitate the construction of more housing. However, it is crucial that the methodology for counting housing starts be revised to ensure that municipalities like Markham receive the funding they are entitled to.

"We’ve done our part, now we expect the Province to do their part," added Mayor Scarpitti. "Our City has proven that we’re doing what we need to do to deliver more housing.”

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Markham Mayor Frank Scarpitti's Office: 
At mayorscarpitti@markham.ca. 

All other media inquiries / interview requests for the City of Markham:   
media@markham.ca.  

About Markham: Markham, an award-winning municipality with over 366,000 residents and the largest of nine communities in York Region, is home to over 650 corporate head offices and more than 1,500 high tech and life science companies. Markham is a leader in attracting foreign direct investment with more than 234 foreign companies located in the City. Founded in the 1790s, today Markham is Canada’s most diverse community and enjoys a rich heritage, outstanding community planning and services, and a vibrant local economy.  

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