Exporting housing how-to

Jeff Culp sees a future for Canadian building technology in Shangri-La. The general manager of Super E, a globally recognized Canadian housing technology program, travelled to a Chinese town in the Himalayan mountains in May to pursue a lucrative project. Working with a Chinese developer, the project calls for the retrofit of a concrete resort clubhouse on top of a Himalayan mountain 14,600 feet above sea level, and construction of 1,200 energy-efficient units on the mountain’s 8,000-foot high plateau. It’s an ambitious plan for the town, Zhongdian, to promote tourism.

A Super E home in Sendai, Japan.
Photo: Selco Home Inc.

Super E, headquartered in Woodstock, Ont., is a program that exports Canada’s expertise in wood-frame, environmentally conscious housing to builders around the world. The program partners Canadian companies with local builders to provide energy-efficient homes. The key to Super E’s approach to building energy-efficient homes is ventilation systems that retain heat and keep air leakage to a minimum.

Mr. Culp is heading back to China in November to advance the plan.

“There are challenges for what will be the highest Super E structure in the world. For example, you can only get materials to the top by cable car,” he noted. Frigid temperatures and fierce winds are also a problem. Doubled glazed windows are a necessity. To prevent cracking because of altitude changes, holes are drilled in them while on the ground, and then plugged in when at the summit.

China’s booming housing industry serves as a huge opportunity for Canada to export its building expertise.

“As long as this is not a bubble and is sustainable, the sheer size of the market is simply awesome,” said Oliver Drerup, a senior housing systems consultant with Canada Mortgage and Housing Corp., which is involved in Super E. “The first time I visited China I looked up at all the apartment buildings and saw all the air conditioners. At that point I wished I sold them.

“After a few days I thought about the two fans in every air conditioner. Then my interest turned to the bearings. At the end of my trip I only wanted to sell the balls that go into the bearings. The magnitude of the Chinese market and the potential for sales is absolutely staggering to consider.”

Since 2004, Arthur Lo, president of Vancouver builder Insightful Healthy Homes Inc., has been working alongside CMHC and Natural Resources Canada, offering his technical expertise to Chinese builders, translating Super E technical requirements into Chinese and delivering seminars and training courses in that country.

“At first many homeowners were concerned that wood-frame houses were more expensive than concrete homes, but now they see the benefits and comforts of an energy-efficient home and are okay with a little extra cost,” Mr. Lo said. “Our company is the chief technical consultant for Super E in China, where we have about 30 homes.”

Super E proponents point to the sustainability of energy-efficient wood-frame homes and potential for growth throughout the world, including 8,000 to 9,000 housing units in China valued in the $400-million range. There are currently 900 units under construction.

Yet Super E members, 35 around the world, readily admit there are numerous global challenges they face in the Britain, Japan, Ireland, Iceland and South Korea.

“We have to defeat what I call the ‘three little pigs’ syndrome,” where concrete is seen by many as better. Mr. Culp explains. “Wood-frame houses can last for hundreds of years, in fact there are some in England over 1,000 years old.”

“Then there are currency fluctuations, over which we have no control. In the U.K., the pound was trading at between $2.40 to $2.60 Canadian, then slumped to the $1.40 range. The product hasn’t changed but the cost has gone up 30%. Government red tape over codes, standards and certifications, cultural differences, languages represent challenges.”

The biggest obstacle over the past several years has been the global economic downturn that has translated into a virtual standstill in terms of export sales into countries like Britain and Ireland.

Still, many eye the future with optimism. Paul Johnston, product manager of the Mississauga-based Viceroy Custom Home Solutions, says the company is supplying temporary homes to the earthquake and tsunami-ravaged region of Sendai, Japan, and looking ahead to rebuilding projects. For Ottawa-based DAC International, its export business has dropped from about 90 per cent eight years ago to 5 per cent today, but general manager Jeff Armstrong still maintains constant communications with Japanese representatives.

Exporting self-build products has come to a near halt in Britain for Nova Scotia company Interhabs Ltd., but president Rob Williams believes it could improve with global stock market adjustments and currency changes.

Meanwhile, there are rumblings that Canadian federal government officials may be considering drastic cuts to the CMHC operation. But Mr. Drerup remains upbeat about the future role it will play in global housing projects.

“We know departments have been informed of possible 5- to 10-per-cent cuts but we simply don’t where they will occur,” he said. “But CMHC International has always been and I believe will remain an important face in housing. There is so much potential out there. Just look at what has already been achieved on the world stage.”

THE SUPER E PROGRAM

Super E was developed by Robin Sinha of Natural Resources Canada based on the R-2000 and Advanced Houses Programs. Natural Resources Canada, CMHC and National Research Council Canada have worked with housing partners, researching and developing energy-efficient and healthy housing technologies.

The E stands for energy-efficient, environmentally friendly, economical, export and enhancing the homeowner’s quality of life.

Super E has single-unit and multi-unit homes and social housing. Representatives are eyeing potential growth in institutional facilities including hospitals, schools and homes for the elderly.

Windows, doors, floors, kitchen cabinets, stairs, drain systems and more are provided by 800 Canadian companies.

There are 600 Super E units in Britain.

There are 300 Super E units in Japan.