SRI Homes, a key player in British Columbia’s modular home industry, has announced the permanent closure of its Kelowna manufacturing facility, citing insurmountable market pressures and operational hurdles.
all photos – SRI Homes Kelowna
General Manager Darren Bassett revealed that the decision was driven by escalating operating costs and a series of regulatory and labor-related issues. Notably, the company failed to meet a WorkSafeBC deadline following the discovery of a biological hazard in December 2023. Additionally, in January 2024, SRI was ordered to pay $30,000 to USW Local 1-423 after an arbitrator found the company had violated its collective bargaining agreement. These challenges culminated in a worker strike in February 2025, stemming from the absence of a contract since July 2024.
Despite efforts to navigate these difficulties, Bassett acknowledged that the cumulative impact made continued operations untenable. He emphasized the company’s commitment to supporting affected employees and customers during the transition, ensuring that existing home orders will be fulfilled.
The closure marks a significant shift in the region’s modular housing landscape. Paul Binotto, director of Modular BC, expressed disappointment but remained optimistic about the industry’s resilience. He highlighted the capacity of other facilities, such as the large modular plant in Penticton and multiple plants operated by the Champion Group across the province, to absorb the demand. Binotto reaffirmed the Mayors’ Task Force on Standardized Modular Factory-Built Homes’ commitment to job creation and addressing B.C.’s housing needs.
For future modular home needs, customers are directed to SRI Regent in Lethbridge, Alberta, or Moduline Industries in Penticton.
Full credit: Jen Zielinski, “SRI Homes shuts down Kelowna manufacturing facility,” , May 22, 2025.
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Gary Fleisher, The Modcoach, writes about the modular and offsite construction industry at Modular Home Source.
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