More residential properties are urgently needed in the city, council heard Monday night.

Two of the three delegates who appeared at last night's meeting talked about the growing demand in the housing market around the city.

'There is a crisis that is looming in Whitehorse if we don't plan for the future and work together with YTG (the Yukon territorial government) and get some lots on the side,' Rick Karp, president of the Whitehorse Chamber of Commerce, said in a presentation he made with Mike Racz, president of the Yukon Real Estate Association.

A representative from the Yukon Home Builders Association was also on hand as part of the presentation to answer questions, but did not speak on the issue.

Karp said the chamber receives phone calls daily from people Outside looking to move to Whitehorse.

'There are a number of trends we see developing in Whitehorse and one of them is economic development,' he said.

To continue stimulating that growth, it's important to facilitate people moving into town, Karp suggested.

As economic development continues, there are also many Whitehorse residents retiring who want to stay in town, council was told.

'What this means is as people are moving into Whitehorse and people are staying in Whitehorse, we're going to run out of property, out of lots, out of homes for them to purchase, out of places for them to live,' Karp said.

'And if we don't facilitate this growth, we're going to negatively impact economic development.'

Racz suggested there could be a loss of city taxpayers to the periphery around Whitehorse.

He brought forward a number of figures from the Yukon Bureau of Statistics, pointing to the growth.

In his presentation and a document provided by the chamber, the real estate association and the home builders association, it was noted property values have risen throughout the city in the past year.

Riverdale has seen the highest increase of 20 per cent, with the value of Copper Ridge homes climbing by 12.9 per cent. Country residential properties have jumped 10.4 per cent in the past year.

'There are only six single-family residential lots remaining in Copper Ridge from last year's lottery,' Racz said.

'There are 31 restricted residential lots, but these lots are larger and have restrictions as the designation implies. They are not meant for smaller economical homes.'

As property values have increased, so have the number of building permits. Since 2002, Racz said, the number of building permits has gone up 64 per cent from 571 in 2002 to 939 in 2004.

The value of the permits has risen from $14,822,000 in 2002 to $28,004,000 in 2004.

'The 200 lots or two-year supply policy of the city and YTG, that has never been maintained, must be implemented and maintained in the future,' Racz said.

He added there should be a plan for future development in the city for the next 10 to 20 years with the ability to maintain the land policy on demand.

'Areas for development must be identified and zoned appropriately so that there is no misunderstanding regarding the designations of: future development, open space and greenbelts,' he said.

The recently proposed zoning bylaw, which has been deferred, would see future development sites in Takhini and Porter Creek rezoned for residential properties. A parks and recreation site in Riverdale would be rezoned for residential development as well.

After numerous residents of the areas spoke out against the development proposals though, council deferred the bylaw.

Mayor Ernie Bourassa said it will likely be the fall before the bylaw comes back to council again.

Coun. Bev Buckway asked Karp if the chamber's position is to support the proposed new residential zoning in the three established neighbourhoods.

Karp replied: 'We're not talking today about infill. What we're trying to say is that if we don't do something, we're in a crisis situation, and it's going to negatively impact economic growth in the City of Whitehorse.'

The decision of where those lots will be is a council decision, he said.

Meanwhile, Jeff Wagner of Millennium Homes reminded council there are no new mobile home-zoned properties expected to be available until 2009.

'They are a great alternative for people,' Wagner said, noting new trailers are being built better for the North.

Wagner noted he can sell a new mobile home with two bedrooms, two bathrooms, appliances, and a warranty for $125,000, including the GST. Most first-time home buyers he deals with can't afford a $225,000-home, he said.

'This is a very affordable housing option that in a few weeks is going to be gone in the City of Whitehorse,' Wagner said.

He recalled a recent sale where a young couple starting a family bought their first home.

'They were super-excited,' he said. 'They were having their first baby together. She was planning to quit work, go on maternity leave. Some of you will remember when you bought your first home.'

When the couple got to the final price, they had to cut out a few options, but were able to purchase their home.

Wagner went on to suggest the city's greatest natural resource is young people and families.

'Those are the people that are going to be here 20, 30 years from now,' he said, adding his own father, 'pounded into' his head he should come back to the city when he's done university.

'The secret's out now,' Wagner said. 'People are going to be coming to the Yukon.'

If something isn't done, he warned, there won't be affordable housing options for young families nor retirees who want to downsize into a smaller home.

He asked the city to consider mobile home lots a priority as it continues looking at providing residential areas in town.