The province is offering $2 billion over the next 10 years as an incentive to build more affordable homes.
That money will be part of this year’s budget, which will be unveiled next week.
Attorney General and Minister Responsible for Housing David Eby says, with that money, developers can access lower-interest borrowing if they’re building homes for families with incomes of up to $75,000.
“The developer must be able to demonstrate that the funding is providing increased affordability. So, it might be that they have existing affordable housing units and that they’re deepening affordability, and that they’re deepening affordability, so that rents would be lower than they’d otherwise be. Or that they’re new, affordable units to an existing development. Or they’re building an entire development of affordable housing.”
Eby says the money is available for private companies or non-profits, and can go towards housing for rent or for sale.
“In exchange for the funding, the developer provides a 10-year commitment around the affordability that will be delivered at the site,” Eby says.
Developers will have to pay back those loans after the affordable housing units they build are finished.
“And I also want to point out there’s very significant interest in this program; there’s more than 90 developments across the province, currently, that BC Housing has received solicitation about participating,” Eby says, adding that this loan program has been available since 2018, and that the $2 billion announced today is a top-up for the program.
Eby also says BC Housing will try to ensure the funds are evenly distributed across the province. He says the more affordable units that are built per project will be favoured by the province, indicating developers of condos or apartments would be more likely to receive loan money, instead of townhouses, duplexes or other low-density multi-family housing.
Recently, the City of Kamloops development committee asked city staff to consider incentives for certain development, namely what is called the “missing middle,” which can include duplexes, fourplexes, eightplexes, or co-op housing or subsidized housing.
