Affordable housing projects in limbo after fund ends
Non-profit organizations say an interruption to federal funding is putting millions of dollars for affordable housing projects in limbo.
Last week, some groups say they learned funding had been 'exhausted' for the Affordable Housing Fund's community housing development stream, said Stephanie Haight, director of development and construction for the Winnipeg Housing Rehabilitation Corporation.
Haight said groups were told the key Canada Mortgage and Housing Corporation funding stream is now on hold and 'waiting for further direction from government.'
MIKAELA MACKENZIE / FREE PRESS FILES
Manitoba Non-Profit Housing Association's Christina Maes Nino fears a 'cascade' of uncertainty.
Her corporation fears that will put their $46-million affordable housing project at risk, along with many others.
'We're in a pretty terrible position right now because we've actually put in $768,000 of our own cash with the understanding that CMHC would be supporting our project and moving it forward, only to receive this information … This housing project likely won't be built without CMHC support,' said Haight.
The group planned to build 154 housing units at 145 Transcona Blvd., all with affordable rents. The project would include 68 units rented at 69 per cent of the median market rate and 31 units with provincially supported rents 'geared-to-income,' with some monthly one-bedroom rates as low as $285. The remaining 55 units would meet CMHC median market rent (the middle point of rental rates in a specific area).
'The 31 (rent-geared-to-income) units are fully accessible and they are dedicated to providing affordable housing for vulnerable populations facing homelessness or at (risk of) homelessness with a physical disability,' said Haight.
The organization applied for CMHC funding to cover more than half its costs, seeking an $11.5-million grant and $14.8 million in long-term, low interest loans.
Haight said the funding delay could also jeopardize $5 million the project is set to receive from Winnipeg's $122-million share of the federal Housing Accelerator Fund.
Without CMHC funding, she said it's not clear if the project will get a building permit in time to qualify for that fund.
'If we don't get this project going, we can't recover that money so it will be very difficult for us to continue building deeply affordable housing into the future. So it definitely doesn't do anything to help our city work on the housing crisis that we currently have,' she said.
Haight said CMHC did not provide a written conditional approval for the Transcona Boulevard project but encouraged the group to pursue it.
Christina Maes Nino, executive director of the Manitoba Non-Profit Housing Association, said many of her organization's members are facing the same uncertainty.
'There is a lot to do on a project to be able to apply for CMHC capital funding, so they will often get funding from a bunch of other sources and invest a bunch of their money just to get to the stage where they can apply for the funding,' said Maes Nino.
She said projects across the country could be affected by the change.
Maes Nino said the federal government has expressed a commitment to affordable housing but the timeline for this key funding pocket is unknown.
'It's not clear how long the pause is for or what it's going to look like in the end,' she said, adding other housing funds could be compromised by CMHC changes, since many projects wouldn't be viable without it.
'It creates this cascade effect of uncertainty,' she said.
In a late May notice to members, the Canadian Housing and Renewal Association warned that the Affordable Housing Fund's community housing development stream had been exhausted.
'This means any applications in the new construction — community housing sub-stream of the Affordable Housing Fund that have not yet been conditionally approved are being placed on hold … CHRA understands that these holds will remain in place until CMHC receives new direction from the federal government,' it states.
The memo says the funding issue is 'particularly concerning' because the federal government announced in November that the Affording Housing Fund would be extended to 2028-29.
'Organizations have been investing in and preparing proposals based on the assumption that funding would be available until this time,' the memo states.
Wednesdays
Sent weekly from the heart of Turtle Island, an exploration of Indigenous voices, perspectives and experiences.
A federal news release described the Affordable Housing Fund as a $14.6-billion program, which also includes a separate rapid housing stream and a repair-and-renewal stream.
A spokesperson for CMHC said its affordable housing fund has received many applications since it launched.
'CMHC continues and is committed to working with our clients and partners to process as many (affordable housing) funding applications as possible,' an email said, without confirming if the fund had been exhausted and whether more money would be added.
joyanne.pursaga@freepress.mb.ca
X: @joyanne_pursaga
Joyanne PursagaReporter
Joyanne is city hall reporter for the Winnipeg Free Press. A reporter since 2004, she began covering politics exclusively in 2012, writing on city hall and the Manitoba Legislature for the Winnipeg Sun before joining the Free Press in early 2020. Read more about Joyanne.
Every piece of reporting Joyanne produces is reviewed by an editing team before it is posted online or published in print — part of the Free Press's tradition, since 1872, of producing reliable independent journalism. Read more about Free Press's history and mandate, and learn how our newsroom operates.
Our newsroom depends on a growing audience of readers to power our journalism. If you are not a paid reader, please consider becoming a subscriber.
Our newsroom depends on its audience of readers to power our journalism. Thank you for your support.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Cision Canada
a day ago
- Cision Canada
Statement from Minister Lightbound in response to the Auditor General's report on her performance audit of real property management
GATINEAU, QC, /CNW/ - Today, the Auditor General of Canada presented her report on the performance audit of real property management, which examined the management of the government's office space portfolio, as well as the management of the Federal Lands Initiative. I welcome the findings of the Auditor General's report and thank her for her important work on this file. Our government remains fully committed to fairness, openness and transparency in the management of federal real property. In general, the report found that the government has encountered delays in achieving the target of reducing its office space portfolio by 50%, and that a lack of information from some federal tenants is impeding this work. The report also found that the Federal Lands Initiative, under the leadership of Canada Mortgage and Housing Corporation (CMHC), is on target to meet its housing affordability, energy efficiency and accessibility targets. The Auditor General makes recommendations for Public Services and Procurement Canada (PSPC), the Treasury Board of Canada Secretariat (TBS) and Housing, Infrastructure and Communities Canada (HICC). Our government accepts all of the recommendations. In particular, I welcome the recommendation that PSPC improve its public reporting on progress toward achieving the 50% reduction of its office portfolio by 2034. The department recently shared an update on its website and will provide updates on results annually going forward. My department also remains committed to working with federal departments and agencies to improve data collection so that we can better achieve our office space portfolio targets. The report recommends that TBS assess its capacity to resume the work of the former Centre of Expertise for Real Property. While the funding for this centre has concluded, TBS will continue to support departments in the management of real property and, based on available capacity, will seek opportunities to address outstanding priorities from the Horizontal Fixed Asset Review. Finally, the report recommends that HICC improve its reporting mechanisms and review its current tools and measures to ensure alignment with the goals of the Federal Lands Initiative. HICC will continue to work in collaboration with CMHC to report results on a quarterly basis through the National Housing Strategy Progress Report. HICC and CMHC will also work together to explore measures to ensure projects support housing that is affordable in communities that need it. I am committed to working closely with TBS and HICC to implement the Auditor General's recommendations in an open and transparent way and will provide updates on our government's progress toward reducing the federal office footprint.
Winnipeg Free Press
3 days ago
- Winnipeg Free Press
Finding what's missing in the Winnipeg housing market
Opinion Last week, Winnipeg city council spent several long days and late nights debating a sweeping set of zoning bylaw amendments that could fundamentally change how our city is built in the future. Like all Canadian cities that signed on to the federal government's Housing Accelerator Fund (HAF), Winnipeg is being asked to revamp its planning policies to allow greater density and more diverse housing types to be built in every neighbourhood across the city. The federal government recognizes that if we are going to build more housing supply in cities to balance market demand and create more affordability, it can't be accommodated by simply expanding outward in sprawling low-density suburbs. Brent Bellamy photo New rules for infill housing can invigorate Winnipeg neighbourhoods. The costs of infrastructure and municipal services can no longer be supported by low density growth, evidenced by increasing taxes, reduced services, and deteriorating infrastructure. The federal government is using the financial carrots of HAF to push cities into making uncomfortable changes to policies that regulate where housing can be built. The planning changes being implemented effectively eliminate single-family zoning, allowing at least a duplex to be built on almost any lot in the city. It will also allow up to threeplexes and fourplexes depending on lot size, location, and considerations like proximity to transit and existing street conditions. To speed up development, these new housing types will be allowed as-of-right, meaning that if they meet certain restrictions like height, lot coverage, and setbacks, they can be built without a public hearing. The need for cities to densify, combined with ever-rising land and construction costs, means that the future of housing will be less and less about single-family homes. Already only one-quarter of new homes built in Winnipeg each year are houses, with three-quarters being multi-family dwellings. This is an almost perfectly inverted ratio from 25 years ago. Current zoning policies effectively segregate densities, protecting single-family neighbourhoods and pushing most multi-family options into downtown high-rises or six-storey buildings on large streets. The new zoning changes will allow smaller multi-family developments to be peppered throughout neighbourhoods instead of being relegated to their fringes. Many people prefer the quality of life offered in a single-family home, and much of what is desirable in that lifestyle can be more affordably found in the types of housing these new zoning changes promote, commonly called 'missing middle housing.' Low-rise, multi-family housing types like townhouses, duplexes and fourplexes can offer more flexible and diverse living arrangements than a neighbourhood that is exclusively single-family, accommodating a wider range of household sizes, ages, and income levels. Missing middle housing can fit seamlessly into the character of walkable residential neighbourhoods, while still increasing density and providing a greater range of home sizes and affordability options. This housing diversity responds to the needs of people at different stages of life, whether it's a rental or starter home for a young person, a downsizing option for a senior ageing in their community, or a family home. A concern often raised about missing middle development is that it can mean the loss of smaller, older houses that are often affordable. Winnipeg is fortunate in some ways to have the oldest housing stock of any major city in Canada, with one in five houses being more than 80 years old, and one in 10 more than a century old. An old housing stock creates affordability, but it can't be relied on as a strategy to achieve that forever. We must allow our housing stock to be organically replenished in a way that will respond more specifically to the evolving needs of people today and in the future. Change will happen to our aging neighbourhoods whether we like it or not, but we can shape and guide this change by designing zoning regulations that push more multi-family housing towards smaller scale, neighbourhood focused developments that provide a more desirable lifestyle option for many. When a small bungalow is demolished for a fourplex, one house may be lost, but three more families are able to gain access to the neighbourhood. The new construction may not be as affordable immediately, but a neighbourhood's transition to higher density happens slowly, and as more and more older houses are lost over time, the infill will age and start a new cycle of affordability. In today's market, most new missing middle housing is built as rental properties, but 10 years ago it would likely have been condominiums. Market trends change, and by creating zoning regulations that promote this scale of development, more ownership options and home types will appear in the future. As this housing type becomes more prevalent and ages over time, it will replace the old bungalow as a common type of starter home that is the first step in the property ladder for young people. Wednesdays Columnist Jen Zoratti looks at what's next in arts, life and pop culture. The idea of allowing different densities and housing types to sit on the same street is not a new one. Many of our most beloved older neighbourhoods have houses, townhouses, condominiums and apartment buildings sitting comfortably side-by-side. Higher-density neighbourhoods serve the greater good of reducing the cost of infrastructure and services needed to support new growth, helping to keep taxes down. It also improves support for local shops and amenities like libraries and community centres, while making public transit more effective, and improving walkability. New zoning bylaws that will create more missing middle housing over time will result in more diverse and livable communities that provide varied ownership models, home types and sizes. Missing middle housing will also allow broader access to good neighbourhoods, creating a more prosperous, affordable, and socially equitable city in the future. Brent Bellamy is creative director at Number Ten Architectural Group. Brent BellamyColumnist Brent Bellamy is creative director for Number Ten Architectural Group. Read full biography Our newsroom depends on a growing audience of readers to power our journalism. If you are not a paid reader, please consider becoming a subscriber. Our newsroom depends on its audience of readers to power our journalism. Thank you for your support.
Winnipeg Free Press
7 days ago
- Winnipeg Free Press
Affordable housing projects in limbo after fund ends
Non-profit organizations say an interruption to federal funding is putting millions of dollars for affordable housing projects in limbo. Last week, some groups say they learned funding had been 'exhausted' for the Affordable Housing Fund's community housing development stream, said Stephanie Haight, director of development and construction for the Winnipeg Housing Rehabilitation Corporation. Haight said groups were told the key Canada Mortgage and Housing Corporation funding stream is now on hold and 'waiting for further direction from government.' MIKAELA MACKENZIE / FREE PRESS FILES Manitoba Non-Profit Housing Association's Christina Maes Nino fears a 'cascade' of uncertainty. Her corporation fears that will put their $46-million affordable housing project at risk, along with many others. 'We're in a pretty terrible position right now because we've actually put in $768,000 of our own cash with the understanding that CMHC would be supporting our project and moving it forward, only to receive this information … This housing project likely won't be built without CMHC support,' said Haight. The group planned to build 154 housing units at 145 Transcona Blvd., all with affordable rents. The project would include 68 units rented at 69 per cent of the median market rate and 31 units with provincially supported rents 'geared-to-income,' with some monthly one-bedroom rates as low as $285. The remaining 55 units would meet CMHC median market rent (the middle point of rental rates in a specific area). 'The 31 (rent-geared-to-income) units are fully accessible and they are dedicated to providing affordable housing for vulnerable populations facing homelessness or at (risk of) homelessness with a physical disability,' said Haight. The organization applied for CMHC funding to cover more than half its costs, seeking an $11.5-million grant and $14.8 million in long-term, low interest loans. Haight said the funding delay could also jeopardize $5 million the project is set to receive from Winnipeg's $122-million share of the federal Housing Accelerator Fund. Without CMHC funding, she said it's not clear if the project will get a building permit in time to qualify for that fund. 'If we don't get this project going, we can't recover that money so it will be very difficult for us to continue building deeply affordable housing into the future. So it definitely doesn't do anything to help our city work on the housing crisis that we currently have,' she said. Haight said CMHC did not provide a written conditional approval for the Transcona Boulevard project but encouraged the group to pursue it. Christina Maes Nino, executive director of the Manitoba Non-Profit Housing Association, said many of her organization's members are facing the same uncertainty. 'There is a lot to do on a project to be able to apply for CMHC capital funding, so they will often get funding from a bunch of other sources and invest a bunch of their money just to get to the stage where they can apply for the funding,' said Maes Nino. She said projects across the country could be affected by the change. Maes Nino said the federal government has expressed a commitment to affordable housing but the timeline for this key funding pocket is unknown. 'It's not clear how long the pause is for or what it's going to look like in the end,' she said, adding other housing funds could be compromised by CMHC changes, since many projects wouldn't be viable without it. 'It creates this cascade effect of uncertainty,' she said. In a late May notice to members, the Canadian Housing and Renewal Association warned that the Affordable Housing Fund's community housing development stream had been exhausted. 'This means any applications in the new construction — community housing sub-stream of the Affordable Housing Fund that have not yet been conditionally approved are being placed on hold … CHRA understands that these holds will remain in place until CMHC receives new direction from the federal government,' it states. The memo says the funding issue is 'particularly concerning' because the federal government announced in November that the Affording Housing Fund would be extended to 2028-29. 'Organizations have been investing in and preparing proposals based on the assumption that funding would be available until this time,' the memo states. Wednesdays Sent weekly from the heart of Turtle Island, an exploration of Indigenous voices, perspectives and experiences. A federal news release described the Affordable Housing Fund as a $14.6-billion program, which also includes a separate rapid housing stream and a repair-and-renewal stream. A spokesperson for CMHC said its affordable housing fund has received many applications since it launched. 'CMHC continues and is committed to working with our clients and partners to process as many (affordable housing) funding applications as possible,' an email said, without confirming if the fund had been exhausted and whether more money would be added. X: @joyanne_pursaga Joyanne PursagaReporter Joyanne is city hall reporter for the Winnipeg Free Press. A reporter since 2004, she began covering politics exclusively in 2012, writing on city hall and the Manitoba Legislature for the Winnipeg Sun before joining the Free Press in early 2020. Read more about Joyanne. Every piece of reporting Joyanne produces is reviewed by an editing team before it is posted online or published in print — part of the Free Press's tradition, since 1872, of producing reliable independent journalism. Read more about Free Press's history and mandate, and learn how our newsroom operates. Our newsroom depends on a growing audience of readers to power our journalism. If you are not a paid reader, please consider becoming a subscriber. Our newsroom depends on its audience of readers to power our journalism. Thank you for your support.
