Why Are Toronto Homes Under Construction Catching Fire?
A significant fire incident plagued the City of Oakville, which is part of the Greater Toronto Area, raising concerns about the safety of homes under construction. On Wednesday morning, a blaze erupted in a burgeoning subdivision near Dundas Street East, just west of Highway 403, resulting in substantial damage to ten houses.
The Oakville Fire Department swiftly responded to the scene and successfully contained multiple structure fires in various stages of construction. While no injuries were reported, the cause of the fire remains a mystery.
Deputy Fire Chief Drew Boys, in a statement to the media, emphasized the challenging nature of the blaze, attributing its rapid spread to powerful winds. Despite these daunting circumstances, the firefighters’ swift response and effective containment efforts prevented the situation from escalating.
Some of the homes were reportedly near turnover period. Twitterers noted that the Oakville development that caught fire was a project of real estate developer Mattamy Homes.
Earlier this year, buyers of pre-construction houses from Mattamy Homes protested at the homebuilder’s Dundas Street West sales office saying the firm should act on the falling value of home prices causing them to lose their investment on houses they bought at market’s peak.
Dozens of people who thought they were purchasing their dream houses in two Oakville housing developments early last year, when the real estate market was still hot, say they never expected property prices to plummet so low or loan rates to soar so quickly.
Now, Mattamy Homes is selling the same type of pre-construction houses in the same locations for hundreds of thousands of dollars less – a move that the buyers claim is compromising their already precarious financial situation.
They claim they are facing financial ruin since their bank evaluations fall considerably short of the price they agreed to pay for their homes last year, creating a huge gap in the financing they will receive when they close on their homes later this year.
Gregory Miller, a construction worker at one of the affected homes, escaped the fire alongside four colleagues just moments before the flames engulfed the building. Recounting the incident, he described witnessing flames near a window while on the main floor.
In light of these disturbing events, the Fire Marshall has been summoned to conduct a thorough investigation. So far, no injuries have been reported.
In a similar incident that occurred in April, a devastating fire took place in Vaughan, resulting in the damage or destruction of at least 71 home units within a subdivision under construction. Vaughan Fire and Rescue confirmed that the incident affected 32 single homes, 21 townhomes, and 16 firebreak properties.
While there were no serious injuries, a firefighter was taken to the hospital as a precautionary measure. The cause of the fires remains unclear, but the Ontario Office of the Fire Marshal has initiated an investigation into the matter.
And almost a year ago, a massive fire erupted, engulfing numerous homes under construction in Hamilton. The incident occurred in a recently developed area by Losani Homes near the intersection of Rymal Road and Upper Red Hill Valley Parkway.
Hamilton Fire Chief Dave Cunliffe confirmed that the fire had ravaged 23 units in various stages of construction. Furthermore, the intense heat caused windows in 12 adjacent units to shatter, resulting in additional damage. The fire also affected several vehicles in the vicinity, causing damage or complete destruction, including service trucks present in the area.
The Ontario Fire Marshal’s Office was contacted to aid in the investigation alongside the Hamilton police. Preliminary estimates suggest that the incurred damage amounts to at least $10 million.
With three massive fires breaking out on under construction subdivisions just within a year, these beg the question why are these developments catching fire.
Information for this briefing was found via CP24 and the sources mentioned. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.
