By Paul Morden, From www.theobserver.ca The Observer
Construction in Sarnia had a total value of $90.5 million in 2010, city hall says.
That’s down from $99.3 million in 2009 when three new school projects helped boost the numbers, said Alan Shaw, Sarnia’s chief building official.
“Historically, we actually did very well.”
In fact, last year posted the fifth highest construction total from the last two decades in Sarnia, he said.
There were 144 single family homes started in 2010, compared to 125 the year before.
That made last year a good one for the local homebuilding industry, said Matt McEachran, president of the Sarnia-Lambton Homebuilders Association.
“It’s not great. There are years we hit over 200,” he said.
The new home market in Sarnia enjoyed it hay days in 2007 and 2008, McEachran said.
But he’s expecting activity to pick up in spring and for builders to have “an average to slightly better than average” year.
He said the industry should be helped by low interest rates and lumber costs.
“It won’t stay low forever,” McEachran said about the cost of building materials. “As soon as the U.S. picks up again, we’re going to get hit here, but I think we’ve got some time before that happens.”
Sarnia remains “very much a bungalow town,” with one-floor homes continuing to be popular with buyers, he said.
“When the recession first hit . . . they wanted smaller homes and they wanted less options. The price tag probably fell about $20,000 almost overnight.”
Since then buyers have want small homes, “but now all the options are back and more,” he said.
Shaw said he expects Sarnia’s 2011’s total construction value to end up in the range of $90 million to $100 million.
More commercial development is expected on Quinn Drive, near Highway 402.
A Lowe’s Home Improvement Warehouse and a Michael’s Retail Store project there are waiting for approval from Ontario’s Ministry of Transportation before they can move ahead.
A nearly $7-million Country Inn and Suites, a four-storey and 105-room hotel project is still on the books for Exmouth Street, but the developers have had it on hold for some time now.
“We’re told that they’re still interested but are noncommittal at this time,” Shaw said.
pmorden@theobserver.ca
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