Nine additional proposals for new suburbs on the fringes of Calgary are slated for review by the city council this year, according to municipal authorities.

City administrators, in a report to city councillors, stated that there are currently nine proposals at different stages of the approval process. These are in addition to the four new suburbs greenlit by the council last year. The report also mentioned the likelihood of several more growth applications being submitted shortly.

City administrators noted that the commencement of housing projects in new suburbs is at an all-time high. Over 12,000 homes started construction in 2023, and an additional 12,000 are at various stages of development in 2024 across more than 40 new suburbs currently being built.

These growth applications serve as the industry’s commitment to addressing housing affordability issues by increasing housing supply, explained Brian Hahn, the president of BILD Calgary. He added that these projects need to proceed due to the allure of Calgary and the high demand for housing.

It was noted in the briefing that the outskirts of the city have enough serviced land to accommodate over 82,000 new homes, equivalent to about seven to nine years of housing supply. Together with the four new suburbs approved last year, it is estimated that there is unserviced land sufficient for an additional 56,000 homes.

However, approving growth applications on unserviced land comes at a cost, cautioned Ward 8 Coun. Courtney Walcott. She questioned the affordability of the capital costs necessary to service these communities.

In the previous year, the city council allocated an initial investment exceeding $81 million for water, sanitation, transit, and mobility in the four newly approved suburbs. The city highlighted that tax revenue, off-site levies, and government grants are the primary funding sources, even though hundreds of millions of dollars in additional capital funding will be needed as these suburbs are developed.

Building on the outskirts of the city has been a contentious issue in Calgary, with the city’s Municipal Development Plan aiming for a balance between development on the outskirts and in established areas.

Despite the potential challenges, Ward 2 Coun. Jennifer Wyness believes building on the outskirts remains the most practical solution to accommodate the city’s growing population. Walcott, on the other hand, sees opportunities for a better balance between outward development and inner-city redevelopment but notes that achieving this balance is not without its difficulties.

The new growth applications are expected to be presented to the city council in the coming months, with a final decision anticipated during budget discussions in November when funding for the upfront costs must be secured.