City of Surrey
December 6, 2024
In a bid to address the growing demand for new housing, the City of Surrey is launching a pilot program designed to expedite the construction of larger multi-family housing projects. This initiative allows developers to commence excavation work before receiving final adoption of rezoning and obtaining a development permit. At the same time, it is set to significantly reduce the overall time it takes to deliver new housing, especially in a city where housing demand continues to outpace supply.
The Need for Faster Housing Delivery
The need for faster housing development has never been more urgent. Multi-family projects, particularly those in urban centers like Surrey, often face prolonged timelines due to complex permitting processes and the time-consuming nature of construction. Excavation, a critical early stage of the construction process, typically takes several months to complete. Traditionally, excavation could only begin after all permits and zoning were finalized, causing a bottleneck in the overall timeline.
To address this challenge, Surrey’s new pilot program aims to accelerate the construction process by allowing developers to start excavation work earlier—at a point when their application has already reached a satisfactory level of certainty. By issuing an “excavation only” permit, the City hopes to streamline the process and allow excavation work to proceed while the developer finalizes the remaining details, such as the rezoning and development permit.
Eligibility Criteria for the Pilot Program
To ensure that only suitable projects participate in the pilot program, the City has established specific criteria for eligibility:
- Council Approval: The project must have already received third reading approval for rezoning by the City Council, along with preliminary layout approval (PLA) status. Additionally, Council must authorize the drafting of the development permit.
- Excavation Depth: The project must involve excavation that reaches at least two levels of basement parking, as defined under the BC Building Code. The project must also meet a minimum 2.0 floor area ratio (FAR), triggering the need for onsite erosion and sediment control authorization.
- Environmental Considerations: The property must not be listed under Schedule 2 Uses in the Environmental Management Act Contaminated Sites Regulation, which indicates a risk of contamination due to the presence of hazardous materials.
- Engineering Fees and Servicing Agreements: The owner must have paid the required engineering processing fee and be actively working towards obtaining a servicing agreement that satisfies the City’s General Manager of Engineering.
- Bylaw Compliance: The owner must not have a history of ongoing bylaw violations, particularly concerning safety issues. This includes violations related to stop work orders or fines under the Surrey Building Bylaw.
Requirements of the Pilot Program
In addition to the standard requirements for an excavation permit, the pilot program will require the following from the proponent:
1. A release and commitment letter from the owner to the City that, should there be a work stoppage greater than 180 days (six months), the owner is committed to re-instating the grades of the property to their original state. As well, that the owner understands and acknowledges that the issuance of the “excavation only” building permit does not provide any advance approvals for any future work, including Council’s discretion to grant or deny fourth reading, and that they are proceeding at their own risk.
2. The project’s Architect and Certified Professional will provide a letter of commitment that their designs will align with the prescriptive requirements of provincial construction regulations, including the BC Building Code.
3. The owner will provide a security deposit of 2.5 times the estimated cost to re-fill the excavation to reinstate the grades, as identified by the geotechnical engineer of record.
Benefits of the Pilot Program
By allowing excavation to begin early in the construction process, Surrey aims to significantly cut down the time it takes for new housing to be delivered.
This program is not just a win for developers but also for residents and potential homeowners, as it could lead to faster delivery of much-needed housing units. By streamlining the construction process, Surrey is taking a proactive step toward addressing the housing crisis and ensuring that new homes are delivered in a more timely and efficient manner.
Next Steps
By enabling larger, multi-family projects to begin excavation work before final permits are issued, the City is not only shortening the construction timeline but also setting a precedent for future development initiatives that prioritize efficiency. As this program progresses, it may serve as a model for other cities facing similar challenges. With a growing population and a need for more housing, Surrey’s innovative approach could become a key component in the city’s ongoing efforts to meet the needs of its residents and facilitate sustainable development.
During the first quarter of 2025, the city staff is expected to provide more updates on the pilot program. If the program is deemed to be successful, in their update report staff will also include additional bylaw amendments for consideration to make it a permanent option for developers.
Link to the full corporate report: https://www.surrey.ca/sites/default/files/corporate-reports/CR_2024-R245.pdf