Halifax Developers Warn Of Higher Rents Due To Rising Prices Of Lumber And Materials
HALIFAX – Local developers are warning that rents could be higher on new projects because of the increased costs for materials.
On March 24, lumber was trading for $945 (U.S.) per thousand-foot board on the open market. Back in April of 2020, that price was below $260. To compound the problem, aluminum, steel, plastics, and other important material have also gone up in price worldwide.
This is bad news for a city that needs more apartments at affordable prices. Jason Brunt, president of Clayton Developments Limited, says the huge markup in prices will mean higher rents when new apartment units are complete.
“When you add onto that commodity prices that are in excess of [a 100 percent increase] since July of last year, that’s not going to be absorbed by the builder- that gets passed forward,” said Brunt….[Read More]