Let’s see. I think the only way for this to work is if there’s updated zoning in the major metro areas that makes this buildable basically “as-of-right”, low/zero interest loans, and maybe even a tax break for homeowners to convert their lot. I’m still on the fence as to how much of an impact this will make.
I don't see this helping much.
The largest cost in any new build is land; this produces no change.
I don't see this materially lowering the cost of construction, I suppose one might save some architectural/design fees at the margins; but we don't have a single building code across all provinces; though they are similar as they mostly all reference the federal code.
But there will still have to be local professionals seeing if the design fits provincial codes, municipal zoning and other requirements. (for instance BC requires earthquake safety design measures that are not required elsewhere)
It may speed up construction if more components are pre-fabricated; but we've been able to do this type of construction for years and its never really taken off.
By and large, it looks cheap, but it also requires a high degree of precision for each pre-fab element; because any variation in measurement puts everything else out. In a pre-fab design, these are much harder to fix.
Finally, one has the problem, no developer is doing to lower their price just because they can build cheaper; they will only do so if supply exceeds demand. That is not currently foreseeable without addressing the demand side of the equation.
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To be clear, I don't oppose this, I'm just not sure I see it as having much of a pay off. But perhaps I shall be proven wrong.