Nova ScotiaMore than 13,000 housing units are under construction in Halifax as of October, according to the Canada Mortgage and Housing Corporation. People working in the industry say the cost of building remains a challenge.Industry facing cost and labour shortage challenges, construction association saysAndrew Lam · CBC News · Posted: Dec 02, 2025 5:00 AM EST | Last Updated: 28 minutes agoListen to this articleEstimated 3 minutesThe audio version of this article is generated by text-to-speech, a technology based on artificial intelligence.The latest Canada Mortgage and Housing Corporation numbers show there are more than 13,000 housing units under construction in Halifax as of October. (Darren Calabrese/The Canadian Press)The number of new housing units beginning construction in Halifax is up 32 per cent for the first 10 months of the year compared to the same period last year.That’s a far greater increase than for Canada overall which saw nearly five per cent more housing starts from last year, according to the latest numbers from the Canada Mortgage and Housing Corporation.“All of the cranes we see across the sky and the significant housing starts numbers we’re seeing now are really a response to those market fundamentals of demand [from] about two or three years ago,” said Jeremie LeBlanc, a director with First National Financial, which provides mortgages to developers, among others.More than 13,000 housing units are under construction as of October. It could be years before many of those are completed.But LeBlanc said Halifax is already seeing the impact of new housing supply.“We’re seeing asking rents on new buildings already come down a little bit,” he said. “We’re seeing more apartments offer incentives … [like] one month free rent.”At the same time, LeBlanc said it’s important for governments to continue to invest in non-market housing, like public and non-profit housing. “It’s incumbent on the government to continue to do that to ensure that those that are most vulnerable are well housed.” The CMHC data shows the large majority of housing starts in Halifax — 81 per cent — are aimed at the rental market, while most of the remainder are for homeownership. The president of the Construction Association of Nova Scotia said a big challenge faced by the industry across Canada is the cost of constructing housing.“Since 2020, the cost of materials and building in general … has doubled,” said Duncan Williams.Houses in an area with new construction are seen in Beechville, N.S., on Oct. 7, 2025. (Andrew Lam/CBC)He added that about a quarter of the materials going into most properties come from outside Canada. “International markets play into it, tariffs play into it, and then of course [there’s] the capacity to produce materials that we need in Canada,” Williams said. Public information from a large Halifax-based landlord shows a 55-unit apartment building it’s constructing downtown is costing $655,000 per unit to build. Killam Apartment REIT’s total budget for the project, which is called Eventide, is $36 million, according to the company’s recent third-quarter earnings call slideshow. The building is estimated to be completed in 2026.The slideshow shows the average unit size for Eventide will be 765 square feet with average rent between $3.50 and $3.75 per square foot.Killam’s 55-unit development called Eventide on Carlton Street in downtown Halifax is shown here under construction in November 2025. (Andrew Lam/CBC)Williams also said there’s hesitation from some builders to move forward with projects, possibly due to questions around things like how measures in the federal budget will play out and whether interest rates will come down.“Many projects are operating on a two to three per cent return on investment which, with a business model that’s high risk … that can evaporate pretty quickly.”Another challenge is a continued shortage of construction labour that is “nowhere close” to meeting demand, Williams added.MORE TOP STORIESABOUT THE AUTHORAndrew Lam (they/she) is a Chinese-Canadian and trans reporter for CBC Nova Scotia. They are interested in 2SLGBTQIA+, labour and data-driven stories. Andrew also has a professional background in data analytics and visualization.
Halifax housing construction up significantly this year, with thousands of units underway
