Latest news with #PeterGilgan
Globe and Mail
2 hours ago
- Business
- Globe and Mail
Falling home prices could mean trouble for Canada's GDP and the Home of the Week: Canadian real estate news for the week of June 13
This week, a Toronto real estate developer is getting back in the prefabricated home business. Plus, why Canada can't lean on the housing industry for economic growth, and one property worth a look. Try The Globe's business and investing news quiz With tariffs, low oil prices and an existential threat to Canada's auto sector, the economy could use a quick fix to stimulate some growth. But, as Tim Kiladze writes, there's a problem: the sector that Canadian policy makers often turn to for a sugar high, housing, has only the faintest heartbeat. Despite falling interest rates, home sales are still stagnating, and Canada is coming to terms with how interconnected the economy has become with a growing housing market. The trouble isn't simply that fewer people are buying homes, subduing growth. A weak housing market could actually make Canada's GDP shrink — although Kiladze says not relying on housing to juice up growth could lead the country to actually come to grips with some deeper structural problems. In the late 1990s, real estate developer Peter Gilgan attempted to start a prefabricated homes business, only to shutter the venture about a decade later. But now, as Prime Minister Mark Carney announced his plans to harness prefab homes in an effort to speed up home building, Mr. Gilgan says the climate appears to be more conducive to giving it another try. As Sean Silcoff and Rachelle Younglai write, Mr. Gilgan's new venture, Stelumar, will focus on making modular parts and components for six-storey condo buildings with one- to three-bedroom units. Younglai told me that many politicians likely believe prefab homes can alleviate Canada's housing problem because accelerating the pace of home building sounds like an easy fix, but it might not address the whole picture. 'It is true that it can take years to build homes,' she said. 'But a significant portion of that time is not in the construction but in getting the proper zoning, government approvals, local buy-in, new infrastructure and building permits.' But she said that Canada's harsh weather does tend to slow down or stop construction, so homebuilding could speed up if parts of it are moved to an indoor factory. The government is proposing to cut its 5-per-cent GST entirely for first-time buyers who are purchasing a new or substantially renovated home valued at $1-million or less, and to partially cut the GST for new homes valued between $1-million and $1.5-million. As Salmaan Farooqui writes, the subsidy of about $27,000 could be provided to more than 71,000 prospective homebuyers. Farooqui told me that experts believe there will be some positive impact on sales, but it'll be a pretty limited one. 'That could be a good thing: too much stimulus would just bring prices up and negate any benefit of the tax cut,' he said. Rates shown are the lowest available for each term/type and category (insured versus uninsured) as of market close on Thursday, June 12. As the housing market slows down across the country, sellers have had to get in an effort to make a sale. This 70-year-old bungalow near the MacKenzie Ravine and North Saskatchewan River in Edmonton was priced under $700,000 to draw a crowd. More than 30 buyers booked individual tours with others attending an open house event. In the end, it sold for $30,000 over the asking price — in no small part due to its unique design. The home has a mix of original and modern features, including mid-century modern details such as a low sloped roofline and exposed wood. 17 Collins St., Yarmouth, N.S. – Full gallery here This four-bedroom heritage home is one of only two mansions built in Nova Scotia in the Queen Anne Revival style. The house has a storied history — first built for one of Yarmouth's most prominent doctors, then used by the federal government as a barracks for the Canadian Women's Army Corps, then converted in a public library, and finally turned into rentals and a bed and breakfast. The owners said it took three years to restore the house to its former glory. The property welcomes visitors through a veranda that overlooks the historic district of Yarmouth. It wraps around the front of the house and connects to the entrance of the conservatory. Inside, a French glass door opens to a conservatory that has floor-to-ceiling stained-glass windows and a skylit roof.
Cision Canada
3 days ago
- Business
- Cision Canada
Exciting New Venture to Disrupt Homebuilding with Modular Innovation
Founded by visionary entrepreneur Peter Gilgan, Stelumar Advanced Manufacturing Inc. (SAMI) aims to tackle Canada's housing crisis with advanced tech and bold ambition TORONTO, June 10, 2025 /CNW/ - A bold new enterprise is being launched to help address Canada's housing crisis by transforming how homes are built. Stelumar Advanced Manufacturing Inc. (SAMI), founded by visionary entrepreneur and business leader Peter Gilgan, is a technology company that will harness automation, robotics and AI to create modular housing solutions at a scale never before seen in Canada. Backed by the credibility, experience and investment of Mattamy Asset Management (the parent company of Mattamy Homes), SAMI will specialize in the advanced manufacturing of residential building components – including modules, wall panels, floor systems, cabinetry, and millwork – all designed to streamline and accelerate the construction of sustainable and livable homes that are more affordable for Canadians. SAMI sees an exciting opportunity to collaborate with all three levels of government in Canada to help scale production capacity and deliver thousands of homes annually for Canadian families. With deep industry expertise and alignment with the federal government's ambitions for modular housing, SAMI is well-positioned to contribute meaningfully to the effort to expand Canada's housing supply and address the housing crisis. SAMI's manufacturing facility, expected to be online next year in the Greater Toronto Area, will be the most advanced, automated and data-driven production plant of its kind in North America. It will set a new benchmark for innovation. While it has a strategic relationship with Mattamy Homes – both as investor and key customer – SAMI will operate independently, serving a broad spectrum of homebuilders across the industry. Driven by a clear purpose to "provide housing people are proud of," SAMI is poised to reshape the homebuilding experience in Canada – delivering bold solutions at a time when bold action is needed most. QUOTES "I've been thinking about the prospects in this space for some time, and as technology started catching up to the vision, we started to seriously look at the opportunity in the last couple of years. I've got an extraordinary passion to make this work, to provide livable and sustainable housing that is more affordable for Canadians across the country. What I think about is the young couple who wants a home where they can live and raise a family, and right now they're facing a situation where there isn't enough supply of quality homes and what there is they can't afford – that's what this is all about." - Peter Gilgan, Founder and CEO, Mattamy Asset Management "At Mattamy Asset Management, we are proud to be a founding investor in SAMI — a company that reflects our belief in bold, future-focused solutions to Canada's most pressing challenges. What inspires me most is SAMI's mission to expand access to quality housing for more Canadians by introducing new ways to build efficiently and affordably. SAMI represents a new and important avenue for addressing housing affordability in this country, and we're honoured to support its vision from the ground up." - Kathleen Taylor, Chair of the Board, Mattamy Asset Management "Through a unique blend of construction expertise, strategic vision and cutting-edge technology, SAMI will bring new energy to Canada's modular housing sector. The team is so excited about the prospects to make a real difference in this industry. By harnessing advanced manufacturing and data-driven design, we have an opportunity to build faster, smarter and more sustainably—ultimately delivering better outcomes for both builders and homeowners." - Peter Hass, General Manager, Stelumar Advanced Manufacturing Inc. About Stelumar Advanced Manufacturing Inc. Stelumar Advanced Manufacturing Inc. (SAMI) is a technology-driven company dedicated to revolutionizing homebuilding in Canada through advanced modular building solutions. Founded by Peter Gilgan, one of Canada's leading entrepreneurs and the founder of Mattamy Homes, SAMI combines automation, robotics and AI to produce high-quality prefabricated components at industrial scale. With a state-of-the-art facility set to open in the Greater Toronto Area, SAMI aims to address the housing crisis by making homeownership more attainable, accelerating construction timelines and setting a new benchmark for innovation in the industry. Operating independently and serving a broad range of builders, SAMI's mission is simple: to provide housing people are proud of. For more information, see
Yahoo
3 days ago
- Business
- Yahoo
Exciting New Venture to Disrupt Homebuilding with Modular Innovation
Founded by visionary entrepreneur Peter Gilgan, Stelumar Advanced Manufacturing Inc. (SAMI) aims to tackle Canada's housing crisis with advanced tech and bold ambition TORONTO, June 10, 2025 /CNW/ - A bold new enterprise is being launched to help address Canada's housing crisis by transforming how homes are built. Stelumar Advanced Manufacturing Inc. (SAMI), founded by visionary entrepreneur and business leader Peter Gilgan, is a technology company that will harness automation, robotics and AI to create modular housing solutions at a scale never before seen in Canada. Backed by the credibility, experience and investment of Mattamy Asset Management (the parent company of Mattamy Homes), SAMI will specialize in the advanced manufacturing of residential building components – including modules, wall panels, floor systems, cabinetry, and millwork – all designed to streamline and accelerate the construction of sustainable and livable homes that are more affordable for Canadians. SAMI sees an exciting opportunity to collaborate with all three levels of government in Canada to help scale production capacity and deliver thousands of homes annually for Canadian families. With deep industry expertise and alignment with the federal government's ambitions for modular housing, SAMI is well-positioned to contribute meaningfully to the effort to expand Canada's housing supply and address the housing crisis. SAMI's manufacturing facility, expected to be online next year in the Greater Toronto Area, will be the most advanced, automated and data-driven production plant of its kind in North America. It will set a new benchmark for innovation. While it has a strategic relationship with Mattamy Homes – both as investor and key customer – SAMI will operate independently, serving a broad spectrum of homebuilders across the industry. Driven by a clear purpose to "provide housing people are proud of," SAMI is poised to reshape the homebuilding experience in Canada – delivering bold solutions at a time when bold action is needed most. QUOTES "I've been thinking about the prospects in this space for some time, and as technology started catching up to the vision, we started to seriously look at the opportunity in the last couple of years. I've got an extraordinary passion to make this work, to provide livable and sustainable housing that is more affordable for Canadians across the country. What I think about is the young couple who wants a home where they can live and raise a family, and right now they're facing a situation where there isn't enough supply of quality homes and what there is they can't afford – that's what this is all about." - Peter Gilgan, Founder and CEO, Mattamy Asset Management "At Mattamy Asset Management, we are proud to be a founding investor in SAMI — a company that reflects our belief in bold, future-focused solutions to Canada's most pressing challenges. What inspires me most is SAMI's mission to expand access to quality housing for more Canadians by introducing new ways to build efficiently and affordably. SAMI represents a new and important avenue for addressing housing affordability in this country, and we're honoured to support its vision from the ground up." - Kathleen Taylor, Chair of the Board, Mattamy Asset Management "Through a unique blend of construction expertise, strategic vision and cutting-edge technology, SAMI will bring new energy to Canada's modular housing sector. The team is so excited about the prospects to make a real difference in this industry. By harnessing advanced manufacturing and data-driven design, we have an opportunity to build faster, smarter and more sustainably—ultimately delivering better outcomes for both builders and homeowners." - Peter Hass, General Manager, Stelumar Advanced Manufacturing Inc. About Stelumar Advanced Manufacturing Advanced Manufacturing Inc. (SAMI) is a technology-driven company dedicated to revolutionizing homebuilding in Canada through advanced modular building solutions. Founded by Peter Gilgan, one of Canada's leading entrepreneurs and the founder of Mattamy Homes, SAMI combines automation, robotics and AI to produce high-quality prefabricated components at industrial scale. With a state-of-the-art facility set to open in the Greater Toronto Area, SAMI aims to address the housing crisis by making homeownership more attainable, accelerating construction timelines and setting a new benchmark for innovation in the industry. Operating independently and serving a broad range of builders, SAMI's mission is simple: to provide housing people are proud of. For more information, see SOURCE Stelumar Advanced Manufacturing Inc. View original content to download multimedia:
Globe and Mail
3 days ago
- Business
- Globe and Mail
Mattamy Homes founder Peter Gilgan to start prefab housing factory in Ontario
Real estate developer Peter Gilgan plans to start a home-building factory in the Toronto area, the billionaire's second attempt to create a prefabricated homes business as the federal government looks to boost construction of new homes. Mr. Gilgan, whose Mattamy Homes is one of the country's largest home builders, opened a prefab home factory in the late 1990s only to shutter the money-losing venture about a decade later. This time, the climate appears to be more conducive. The technology is available to make prefab homes faster. And all levels of government are under pressure to create affordable housing, with many Canadians shut out of home ownership or struggling to pay rent. 'Now is the time to try this again,' said Peter Hass, general manager of the new venture, called Stelumar Advanced Manufacturing Inc., which expects to produce modular components for about 3,000 housing units a year once its factory opens. The first phase, slated to open in 2026, will focus on making modular parts and components for six-storey condo buildings with one- to three-bedroom units, Mr. Gilgan said in an interview. He expects the factory to help slash construction timelines for such structures to less than six months, down from as much as three years. 'I'm trying take a lot of the things that are very boring, laborious, time consuming, tedious work on the job site, and prebuild, preinstall in the factory in a different way than has ever been done before,' Mr. Gilgan said. That includes finding a different way to fireproof and soundproof components of the home before they leave the factory. Opinion: In a challenging market, a few brave developers push forward Opinion: Canada can't solve its housing crisis without the provinces Although Prime Minister Mark Carney singled out prefab homes as part of the solution to speed up the pace of home building, Mr. Gilgan said Stelumar has been in the works for more than a year. Mattamy will be Stelumar's first customer and Mattamy's parent company, Mattamy Asset Management, is Stelumar's main investor. Mr. Gilgan said Stelumar has already spent tens of millions of dollars to develop new technology for fireproofing and soundproofing, design the six-storey condo buildings and housing units, hire consultants and key personnel. Mr. Hass, a previous employee of affiliate Mattamy Ventures who joined in September, said the company has hired 12 people and expects to employ more than 300 once the factory is operating. Mr. Hass said the factory will cost hundreds of millions of dollars to set up, primarily for equipment made by European suppliers, which will be partly debt-financed. Mr. Hass said Stelumar may bring on other investors and will also look to 'work with the federal government on fundraising. The main benefit would be that we'll be able to accelerate what we plan to build way quicker' if the company can secure public aid. Mr. Gilgan expects Stelumar's output will translate into lower construction costs and home prices. When asked how much the cost would come down for the buyer, he described the amount as 'holy smokes.' Mr. Carney's campaign said that prefab and modular housing could reduce construction times by up to 50 per cent and costs by up to 20 per cent. Mr. Gilgan said: 'I would say he is significantly accurate.' Construction is not the only big expense. The cost of the land, government development charges and taxes also contribute to the price of a home. As well, permits and building approvals can slow the home building process. Mark Carney's bet on prefabricated homes has promise – and big risks There has been little demand for new homes for the past year, with borrowing costs still high and prebuilt homes selling for less than preconstruction homes. Asked if there would be demand for his prefab homes, Mr. Gilgan said his products will meet people's needs. Stelumar homes will be larger than the newly built condos on the market today. For example, a one-bedroom made with its modular parts will be 700-plus square feet, compared to 600 square feet or less for many newly built one-bedroom condos. Setting up Stelumar is personal for Mr. Gilgan. Stelumar – named after three of his children, Stephanie, Luke and Markus (Mattamy is named after two other children, Matt and Amy), was also the name of his first prefab home factory, which made single-family detached homes that were transported whole to construction sites. Mr. Gilgan said the technology wasn't advanced enough and that the operation was unprofitable. Asked if he though the new Stelumar could make money, he replied, 'Absolutely. Having learned from the mistakes that I made 25 years ago, I think I'm pretty well equipped to know what will work.' Mr. Hass said Stelumar is close to selecting a site in the Greater Toronto Area. Stelumar plans to source at least 75 per cent of its materials from Canada, which would help the company get around the higher costs associated with the trade war with the U.S. Mr. Gilgan characterized Stelumar as a personal project to make home ownership more affordable for young adults. 'People want to own a home. We're trying to give them the opportunity to live that dream.'
