(Image Credit: file photo/Vernon Matters Staff)

By Vernon Matters Staff

Firing back

Kelowna responds to builders’ concerns, outlines housing initiatives

Mar 6, 2026 | 11:40 AM

The City of Kelowna said it is taking steps to support homeownership after receiving a letter from the Canadian Home Builders’ Association of the Central Okanagan that raised concerns about rising costs and policy challenges for small-scale builders.

In a statement, the City emphasized that the current slowdown in housing isn’t unique to Kelowna.

“The greatest contributors to the soft market are macroeconomic factors, not local policy,” the statement read, noting that demand for new homes has dropped since the pandemic and interest rates and costs have risen nationwide.

The city highlighted several measures to make housing development easier, including faster approvals for small-scale projects, pre-approved designs for more than 10 types of infill housing, and pre-zoning large areas for higher-density residential development along transit corridors.

Since 2021, Kelowna has built more than 6,000 new ownership homes, putting the city halfway to its 10-year target of 12,318.

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The statement also pointed out that Development Cost Charges have only increased 2.5 per cent since 2022, while the city absorbed most of the rising infrastructure costs, keeping development more affordable.

“Ownership housing in Kelowna is on target with long-established goals,” the statement concluded. “We recognize the challenges the development and construction sectors face. We are building Kelowna together, but we aren’t controlling the market.”

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