Calgary's proposed rezoning plan 'not the right solution,' CREB says

The Calgary Real Estate Board says a plan to rezone the entire city to change what types of housing can be built in communities could cause serious problems and may not address the issues at hand. (File)

A Calgary organization that represents thousands of realtors says a proposed city plan to reorganize residential zones to allow higher-density development could create serious problems.

The Calgary Real Estate Board (CREB) made the announcement Tuesday morning, saying the proposed initiative could lead to more traffic and undue strain on city infrastructure.

"Blanket rezoning is not the right solution to address Calgary's housing challenges," said Hong Wang, chair of CREB's government relations standing committee, in a news release.

"We oppose this approach and advocate for a more community-focused strategy to respond to Calgary's housing shortage, shifting the focus away from a generalized housing crisis to the housing supply crisis that blanket zoning will make worse."

In January, the City of Calgary introduced a proposal to rezone all existing residential areas that currently only allow single or semi-detached homes.

The goal of the plan would be to provide more housing options across the entire city, reduce costs and cut down on the time required for permit approvals.

CREB says the strategy could also negatively impact property values in the city and hurt the city's landscape.

Instead of the blanket plan that the city is proposing, Wang suggests "a targeted approach" may work better.

"By prioritizing sustainable growth practices and engaging in robust community consultation, we can strike a balance between housing need and neighbourhood preservation," he said.

Ann-Marie Lurie, CREB's chief economist, says the city's plan won't address many of the problems the real estate industry is facing, including a severe lack of supply and high housing prices.

“Higher lending rates also drove demand to the most affordable established communities, which have reported the strongest price growth," she said.

"Rezoning in the way it is being proposed will not necessarily add the amount of supply needed in the price ranges that require supply."

CREB says it is seeking to speak with city officials about the plan to ensure all of the concerns are addressed.

A public hearing on the rezoning initiative is scheduled for April 22.