Feds investing $132M for rental units in Winnipeg to help combat housing crisis
Posted November 17, 2023 3:39 pm.
Last Updated November 18, 2023 10:41 am.
The federal government is investing more than $132 million to build 447 purpose-built rental units for two projects in Winnipeg.
Minister of Northern Affairs Dan Vandal, announced on Friday morning that an $86.7 million development on Oakdale Drive will provide 270 units across three buildings with direct access to services and programs from the Charleswood 55+ active living centre. The project is expected to be completed in the spring of 2025.
“This partnership with Charleswood is a wonderful addition for residents to get the support they need right where they live,” said Vandal.
A newly completed $45.6 million apartment building in Transcona is providing 177 units.
The developments have been made possible due to low-interest loans from the National Housing Strategy’s rental construction financing initiative.
“Because of this program and the benefits of its low interest loans and its forgiveness of some of the CMHC fees, it’s a very attractive program that gives developers confidence that they are not gonna get hit by rates increasing and They can control their cost better,” explained Keith Merkel, President of Edgecorp Group.
This allows for more affordable rental rates as developers would need to set theirs below market rents to qualify for the program.
The National Housing Strategy is the Federal government’s 10-year plan to invest more than $82 billion to deal with the housing crisis in Canada
“Our government is committed to creating a new generation of rental homes in Canada so that more Canadians have a safe place to call home,” said Vandal.
Through the Rental Construction Financing initiative, the federal government is encouraging the development of more than 71,000 units across the country.