Monday, July 13, 2026

Each New Resident Requires $80,039 in New Public Infrastructure in Metro Vancouver

When building a new home, there are costs for construction, including land, materials, and labour. There is also the cost of providing public infrastructure to the home and the people who live in it. The Metro Vancouver Regional District recently commissioned a study to determine the amount of provincial and local infrastructure required per household and per capita to support population growth in our region.

Pump room inside Langley City’s Water Reservoir

The per capita cost is $80,039. The per-household cost varies by density. For lower-density housing, such as detached homes, the new infrastructure cost is $272,568 per unit. For medium-density housing such as townhomes, the new infrastructure cost is $242,339 per unit. And for higher-density housing such as apartments, the new infrastructure cost is $152,535 per unit.

Local governments in our region are responsible for about 60% of the infrastructure required for new homes, with the remian 40% delivered by the provincial government.

In Langley City, we charge fees for each new housing unit to help cover some of these infrastructure costs. The total local government fees and contributions for a new apartment are around $50,000 per unit. For a detached home, it is around $80,000 per unit. The costs are nowhere near the cost of providing the infrastructure.

Table of infrastructure considered in the study. Select the table to enlarge.

A simple suggestion might be to increase the fees for building new homes. For example, to reach a break-even point, the City and region would have to charge an additional $40,000 in fees per new apartment unit, raising the fee from $50,000 to $90,000 per unit. Of course, this would affect housing affordability.

Local governments do rely on property taxes and user fees as well. We also have aging infrastructure in all municipalities. Generally, property taxes and user fees are used to fund the renewal of existing infrastructure and to support ongoing municipal operations, such as police officers, firefighters, and people who maintain our parks.

Another suggestion might be to increase property taxes and user fees to pay for new infrastructure. This would also have affordability implications.

While property taxes, user fees, and municipal fees charged for each new housing unit will need to increase, the federal government has a role to play. They really do need to step up and increase federal funding for the infrastructure required to support population growth.

There are some limitations to the data, including regional variations in costs. For more information, please read the Regional Planning Committee Regular July 2, 2026 agenda starting on page 168.

No comments: