Kamloops misses provincially mandated housing targets for second consecutive year

Between Oct. 1, 2023 and Sept. 30, 2024 – the first reporting year – there were 449 occupancy permits issued in Kamloops. That was below the first year target of 679.

Beach said there are a number of factors that have led to fewer than expected occupancy permits being issued over the past year including U.S. tariffs, higher interest rates, rising construction costs, and federal policies restricting immigration and international students.

“These factors have increased the economic risk for developers and builders to move forward with construction projects, so projects are being put on hold until the situation improves,” Beach said in a report that is set to be discussed at the Nov. 4 council meeting.

“Hopefully, the economic outlook for next year improves, with continued lower interest rates, improved trade relations with the United States and the advancement of new federal policies to increase housing supply nationwide.”

Image Credit: City of Kamloops

Beach told CFJC there are thousands of units in development in Kamloops as 3,670 units have been approved through a mix of completed rezoning applications, registered development permits, and approved or issued building permits since October 2023.

“To date council hasn’t denied any density requests from the development community,” Beach said. “Everything that has come before has been approved but until an occupancy permit is issued, the units won’t count towards the target.”

“It does take time to build a project to get that occupancy permit, which is that ultimate number that the province is looking at.”

The City of Kamloops will need to issue occupancy permits for 1,351 units by Sept. 2026 if it is to meet the three-year cumulative target of 2,233 net new homes. Had the city been on target, it would have had to issue permits for 819 net new homes between Oct. 1, 2025 and Sept. 30, 2026.

Under the provincially mandated targets, a total of 4,236 new housing units have to be built in Kamloops by September 2028.

Former B.C. Housing Minister Ravi Kahlon said in a letter to Kamloops council last winter that he was “encouraged” by the work being done in Kamloops to meet housing targets.

“Kamloops has shown progress by developing and reinforcing partnerships that will result in more housing being built, such as establishing a memorandum of understanding with BC Housing and identifying sites for transfer to the Kamloops Community Land Trust,”
Kahlon said in a letter to the city.

Beach said the city has not heard from the Province and new Housing Minister Christine Boyle regarding the latest setback. That feedback is expected to come after the city sends in its housing target report to the province.

“It’s ultimately the provinces decision as to what they want to do,” Beach said. “We’re not the only municipality with housing targets. There are 40 communities now with these ministerial orders and yeah it’ll be interesting to see what everyone else’s results are.”

by Victor Kaisar

Kamloops misses provincially mandated housing targets for second consecutive year

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