Canada invests over $48 million for new rental homes in Vancouver

VANCOUVER, BC, Oct. 13, 2023 /CNW/ - The Government of Canada has supported construction of 104 purpose-built rental homes for residents of Vancouver through $48.5 million in fully repayable low-interest loans through the Rental Construction Financing Initiative (RCFi).

This announcement follows the Honourable Sean Fraser's, Minister of Housing, Infrastructure and Communities, August 16 visit to Vancouver where he announced nearly $500 million for over 1110 units, including the project announced today.

Wilkinson by Cressey is a 10-storey concrete building at 1715 Cook St in the Olympic Village neighbourhood. It offers 104 purpose-built rental units composed of a variety of housing types from studio to three-bedroom units. Wilkinson is LEED Gold certified and is connected to the False Creek Neighbourhood Energy Utility, which uses waste thermal energy captured from sewage to provide space heating and hot water to buildings in the area. Construction was completed in June 2021 and the project is fully leased. 

Funding for this project include:

• $48.5 million RCFi low-interest loan from the federal government through CMHC.
• $2.1 million from the City of Vancouver through waived development cost levies.
• $800,000 in cash equity from Cressey (Wilkinson) Development LLP contributed
• $3.2 million in land equity from Cressey Wilkinson Holdings Ltd.

"This project demonstrates the strong commitment and partnership between all levels of government and the housing sector. With strategic investments through the RCFi, we are providing more access to safe, sustainable housing while increasing the rental supply across the country, including markets like Vancouver, where it is much needed. This is one example of the National Housing Strategy ensuring every Canadian has a safe place to call home. ? The Honourable Sean Fraser, Minister of Housing, Infrastructure and Communities

"New investments in projects like The Wilkinson, show the federal government is taking action, not only to increase the supply of new rental developments, but also to provide housing options to middle class families in Vancouver, that are closer to jobs, services, public transit and amenities. I am pleased to see our National Housing Strategy come to life through announcements such as today's." ? The Honourable Hedy Fry, Member of Parliament for Vancouver Centre, British Columbia

"We are tackling the housing crisis head on. Waiving the development cost levy of $2.1 million, will help to put roofs over people's heads while investing in a more inclusive Vancouver," said Mayor Ken Sim. "We are addressing the housing challenges in our city with all-hands-on-deck approach because housing is not just a matter of shelter, it's about creating communities where everyone feels at home, and empowered to build a brighter future." ? Ken Sim, Mayor, City of Vancouver

"Wilkinson was made possible because of good City of Vancouver policy, attractive financing from the Federal Government through CMHC and opportune timing. This project was conceived in 2015, started construction in 2019 and completed construction mid-2021. It took Cressey 7 years to deliver 104 units of market rental housing. We need many more projects like this if we are ever going to prevail over the housing crisis, but projects can't take 7 years! We have to stay focused on tearing down the obstacles and paving the way to many more rental projects if we are going to have meaningful success in the medium term." ? Hani Lammam, Executive Vice President, Cressey Development Group

• The Rental Construction Financing Initiative (RCFi) provides fully repayable low-interest loans to encourage the construction of more purpose-built rental housing for middle income Canadians. It creates a positive impact to the housing system at minimal cost to taxpayers.
  • RCFi is one of many programs and initiatives under the National Housing Strategy designed to help address housing needs across the housing continuum.
  • RCFi complements other NHS initiatives that focus on funding affordable housing units for lower-income households.
  • Through RCFi, the federal government is encouraging the construction of more than 71,000 rental units.
  • A stable supply of purpose-built rental housing is essential for more people in Canada to have access to housing that meets their needs.
• Through Investing in Canada Infrastructure Program, the Government of Canada has committed $3.9 billion to support infrastructure investments in British Columbia.
• Of that amount, the Government of Canada has allocated $2.21 billion to TransLink for projects in Metro Vancouver.
• Since 2018, the Government of Canada has approved 17 TransLink projects under Investing in Canada Infrastructure Program with a total federal contribution of $1.63 billion, including $888.3 million for the Millennium Line Broadway Extension and $493.3 million for the Expo and Millennium Upgrade Program.
• In 2021, the Government of Canada announced up to $1.3 billion in federal funding toward the Surrey Langley SkyTrain extension project, being built to accommodate projected population growth in Surrey and Langley.
• Major public transit infrastructure projects like the Surrey Langley SkyTrain strengthen communities, make more Canadians' lives easier and more affordable, and are aligned with the Government of Canada's commitment of net-zero emissions by 2050.

• Visit Canada.ca/housing for the most requested Government of Canada housing information.
• CMHC contributes to the stability of the housing market and financial system, provides support for Canadians in housing need, and offers unbiased housing research and advice to all levels of Canadian government, consumers and the housing industry. CMHC's aim is that everyone in Canada has a home they can afford and that meets their needs. For more information, please visit cmhc.ca or follow us on Twitter, Instagram, YouTube, LinkedIn and Facebook.
• To find out more about the National Housing Strategy, visit: www.placetocallhome.ca
• Check out the National Housing Strategy Housing Funding Initiatives Map to see affordable housing projects that have been developed across Canada.

SOURCE Canada Mortgage and Housing Corporation (CMHC)