Modular housing faces zoning resistance despite government push

Investors in Port Alberni bought a six‑acre riverside site and prepared it for 31 homes, but municipal zoning currently bars fully modular houses on the property. Provincial and federal policies are supporting modular construction, yet local rules and perceptions are limiting its use.

Two Vancouver real estate investors bought a six‑acre riverside property at 5350 Falls St. in Port Alberni to develop affordable detached homes near town. They prepared the site for 31 homes and completed erosion control along the Somass River. The investors wanted the option to use modern modular construction to speed building and lower costs. Municipal zoning currently does not allow fully modular homes on the site, treating them like mobile homes. Key facts: - TerraPartners principals David Wolstenholme and Shaun Greenaway purchased the former trailer park site, which had been rezoned for multifamily housing by prior owners. - The site at 5350 Falls St. is a six‑acre riverside property prepared for 31 homes after erosion control work along the Somass River. - Local zoning does not permit fully modular homes and the city told the owners they would need to rezone the land back to a mobile home park to allow modular construction. - The investors said a small detached home could be built for under $700,000 using modern factory‑built or prefabricated methods, and noted that new builds under $1 million can be GST‑exempt for first‑time buyers. - The article notes federal and provincial measures that support modular and innovative housing, including CMHC grants and low‑interest financing and B.C.'s standardized fourplex and sixplex designs; Burnaby is working with industry advocates Modular BC on modular projects. - Advocates cited in the article say factory‑built housing meets the A277 quality assurance standard under the BC Building Code, represents about 4.5% of B.C.'s housing, and can offer faster builds with reduced waste and lower emissions in some cases. Summary: The gap between higher‑level policy support for modular building and local zoning classifications has limited the Port Alberni project’s ability to use fully modular construction, so the developers are pursuing hybrid construction methods and selling individual lots. Whether the owners will seek rezoning to permit modular homes remains undetermined at this time, and they have listed several lots and sold five to date.