The Government of Canada, the Government of Ontario, and the City of North Bay today celebrated an official opening and ground breaking of two new affordable rental projects. The projects are supported by $380,000 in funding through the Canada – Ontario Affordable Housing Program.

Cheryl Gallant, Member of Parliament for Renfrew – Nipissing – Pembroke, on behalf of the Honourable Diane Finley, Minister of Human Resources and Skills Development Canada and Minister Responsible for Canada Mortgage and Housing Corporation (CMHC), the Honourable Monique Smith, Ontario’s Minister of Intergovernmental Affairs, and Member of Provincial Parliament for Nipissing, on behalf of Jim Bradley, Ontario’s Minister of Municipal Affairs and Housing; Victor Fedeli, Mayor of the City of North Bay; and George Jupp, Chair of the District of Nipissing Social Services Administrative Board (DNSSAB) made the announcement.

“Our government is committed to giving a hand up to Canadians who need some help,” said MP Cheryl Gallant. “In these tough economic times, Canada’s Economic Action Plan is providing Canadians with the opportunities, skills, jobs and help they need so they can contribute and strengthen our communities.”

“Ontario is committed to helping people who live on lower or fixed incomes stay in their home communities,” said Nipissing MPP Monique Smith. “These 16 new affordable rental units are going to make a positive difference to the families living here, and an excellent addition to the community.”

Today’s announcement celebrates the official opening of The Pines at 2469 Trout Lake Road, and the groundbreaking of Cam’s Place at 240 Kingsway Avenue East. The Pines is a 12-unit project sponsored by the Girard-Johnson group, and is occupied    by families living on low to moderate incomes. Cam’s Place is a four-unit project for persons with disabilities, and is sponsored by Lorraine Venasse, Sonia Vigna, and Lynda Ceppetelli.

“We know that we need 1,000 affordable homes in the area, and the opening of the new facility on Trout Lake Road is part of 117 units we committed to last year.  This is the only example in Ontario where the feds, the province, and the municipalities came together to make it happen”, said North Bay Mayor Victor Fedeli.  He added, “The Girard units are a wonderful addition to the city – they are the new face of Affordable housing.” (TBC)

“This is our second successful affordable housing project developed through a private-public partnership with Mr. Girard. The DNSSAB is delighted to be at the table and contributing to increasing the supply of affordable housing in North Bay,” said Chair George Jupp.  “The need for supportive housing in our community has never been greater. Cam’s Place is a unique homeownership model that will ensure that these boys will always have a place to call home that is safe and affordable.” (TBC)

“I would like to thank the Federal and Provincial governments and the City of North Bay for their incentive on this project. Without financial help this would not have been possible. I hope that the Canada Ontario Affordable Housing program will continue as North Bay is still in need of many more units like these,” said Ron Girard, proponent for The Pines.

“This home will provide our family with the peace of mind that Bryan will have a place to live in a neighbourhood within the community and with his friends in a family setting,” said Cam Ceppetelli, one of the sponsors of the project.

The Canada – Ontario Affordable Housing Program Agreement comprises a commitment of $301 million from each of the two senior levels of government. In total, the federal, provincial and municipal governments will invest at least $734 million in the program, which will provide affordable housing for up to 20,000 households in Ontario.

In 2008, the Government of Canada committed more than $1.9 billion over the next five years to improve and build new affordable housing and to help the homeless. Canada’s Economic Action Plan builds on this with an additional one-time investment of more than $2 billion over two years in new and existing social housing and lending of up to another $2 billion to municipalities for housing-related infrastructure. Combined for Ontario, this means a further $1.2 billion joint investment under the amended Canada – Ontario Affordable Housing Program Agreement. The federal and provincial governments are contributing equally to this overall investment.

The Government of Canada’s announced today an investment of more than $2.1 million as part of the year one funding through Canada’s Economic Action Plan to improve housing conditions for the First Nation communities on Vancouver Island.

James Lunney, Member of Parliament for Nanaimo – Alberni, on behalf of the Honourable Diane Finley, Minister of Human Resources and Skills Development and Minister Responsible for Canada Mortgage and Housing Corporation (CMHC), made the announcement along with members of the Tseshaht First Nation community.

“Our Government’s Economic Action Plan is creating jobs, stimulating the local economy and improving housing conditions for First Nation communities in British Columbia,” said MP Lunney.

Through Canada’s Economic Action Plan, the Government of Canada has committed $400 million over two years to help First Nation communities build needed new housing, repair and remediate existing non-profit housing for their members, and complement housing programs offered by CMHC. This investment will also provide an economic stimulus for many First Nations and surrounding areas by creating jobs.

Through Canada’s Economic Action Plan, some $50 million in federal investments will be made available to First Nations in British Columbia to address immediate housing needs.

Specifically, CMHC will allocate more than $11.1 million to retrofit housing units on reserve in British Columbia. Of this funding, 17 First Nation communities on Vancouver Island will receive more than $2.1 million to improve the quality of 207 housing units.

The Government of Canada and the Province of Saskatchewan today announced $31 million in joint funding for improvements to more than 247 projects in 97 communities in southern locations of Saskatchewan.

The funding was made available through Canada’s Economic Action Plan, the federal government’s plan to stimulate the economy and create jobs during the global recession. Overall, the Economic Action Plan includes $2 billion for new and existing social housing, plus up to $2 billion in loans to municipalities for housing-related infrastructure. The federal and provincial governments are contributing equally to this overall investment of $132 million under the amended Canada – Saskatchewan Affordable Housing Program Agreement.

The Government of Canada wants to improve the quality of existing social housing for low-income seniors, single parent families, recent immigrants and Aboriginal households. Canada’s Economic Action Plan provides $850 million under the Affordable Housing Initiative to provinces and territories for the renovation and retrofit of existing social housing.

The announcement took place today in Regina at Cornwall Village Housing Co-operative, a 91-unit high rise for low- and moderate-income seniors. A total of $1.8 million is being provided by the Government of Canada and Saskatchewan for elevator, boiler and air handling system replacement and window repairs. The approved work for the 247 projects announced today will be completed through 2010 – 2011.

Andrew Scheer, Member of Parliament for Regina – Qu’Appelle, on behalf of the Honourable Diane Finley, Minister of Human Resources and Skills Development and Minister Responsible for Canada Mortgage and Housing Corporation (CMHC); and First Nations and Métis Relations Minister Bill Hutchinson on behalf of Social Services Minister and Minister Responsible for Saskatchewan Housing Corporation Donna Harpauer, made the announcement today.

“Through Year 2 of Canada’s Economic Action Plan, our Government remains committed to giving a hand-up to those who need it most here in Saskatchewan,” said MP Scheer. “Projects like these are especially valuable during these tough economic times, because they put construction workers and tradespeople to work quickly while also providing needed improvements to housing throughout the country.”

“Our government is committed to improving housing availability and affordability in Saskatchewan,” Minister Hutchinson said. “This investment will ensure that safe, affordable, and well-maintained housing will be available to people who need assistance. It’s more important than ever to work together to develop housing solutions that will benefit Saskatchewan citizens and revitalize communities. Cornwall Village, and other renovation projects like it, is an example of that.”

Canada’s Economic Action Plan builds on the Government of Canada’s commitment in 2008 of more than $1.9 billion, over the next five years, to improve and build new affordable housing and help the homeless.

The amendment to the Canada – Saskatchewan Affordable Housing Program Agreement, which included funding under Canada’s Economic Action Plan, signed in May 2009, brought federal housing support of $74 million to the province. The Government of Saskatchewan will match that commitment for a total of $148 million to assist those in housing need and, in collaboration with other levels of government and community partners, to make various types of affordable housing programs possible. In Saskatchewan, federal-provincial housing programs are delivered through the Saskatchewan Housing Corporation.

The Government of Canada announced today that two housing co-operatives in the Amherstburg and Windsor areas will receive more than $600,000, through Canada’s Economic Action Plan, as part of the social housing renovation and retrofit investments.

The announcement was made at the Rosewood Crescent Housing Co-operative by Jeff Watson, Member of Parliament for Essex, on behalf of the Honourable Diane Finley, Minister of Human Resources and Skills Development and Minister Responsible for Canada Mortgage and Housing Corporation (CMHC).

“Through Canada’s Economic Action Plan, our government is taking action to help ensure our economic recovery and create the conditions for long-term growth,” said MP Watson. “Funding renovation and retrofit projects, like this one, will not only improve the quality of life of its residents by keeping their homes safe and affordable, but it will also help stimulate the local economy and create local jobs.”

The Government of Canada, through Canada’s Economic Action Plan, announced $1 billion for social housing renovation and retrofit. Of the $1 billion, $850 million is being delivered by provinces and territories on a cost-matched basis for existing federally assisted social housing projects which they administer on behalf of the partnership. The remaining $150 million is being delivered by CMHC for existing federally assisted off-reserve housing which it directly administers. Eligible repairs include general improvements, energy efficiency upgrades or conversions, and modifications in support of persons with disabilities.

The housing co-operatives that will receive contributions from the Government of Canada being announced today are:
Rosewood Crescent Co-operative Housing Inc. (Amherstburg) $169,753
Border City Co-operative Homes Inc. (Windsor) $448,000

“We congratulate and thank the federal government, MP Watson and CMHC for making a sound investment to help ensure that this affordable community is preserved as a legacy for the long-term benefit of its residents,” said Ken Elliott, President of the Co-operative Housing Federation of Canada. “Today’s announcement is an excellent example of stimulus funding that works towards preserving jobs, assisting the local economy, and protecting valuable affordable housing assets for Canadians.”

“We are very pleased to be receiving the Renovation and Retrofit grant through Canada’s Economic Action Plan to improve our cooperative,” said Kim Klyn, Corporate Secretary, Rosewood Crescent Housing Co-operative. “These significant renovations will have a tremendous positive impact for our members and their quality of life.”

“We are very pleased to be working with CMHC and the Government of Canada on the Renovation and Retrofit grant through Canada’s Economic Action Plan”, said Anna Angelidis, Executive Director, Labour Sponsored Community Development Group, on behalf of Border City Co-operative Homes Inc. “This grant not only stimulates the local economy, but it also provides for a healthier, safer and more energy efficient home environment for the current and future members of Border City co-op.”

The Government of Canada announced today an investment of more than $1 million as part of the year one funding through Canada’s Economic Action Plan to improve housing conditions for First Nation communities in the Chilliwack – Fraser Canyon region of British Columbia.

The Honourable Chuck Strahl, Minister of Indian and Northern Affairs and Federal Interlocutor for Metis and Non-Status Indians, on behalf of the Honourable Diane Finley, Minister of Human Resources and Skills Development and Minister Responsible for Canada Mortgage and Housing Corporation (CMHC), made the announcement today.

“Our Government’s Economic Action Plan is creating jobs, stimulating the local economy and improving housing conditions for First Nation communities in British Columbia,” said Minister Strahl.

Through Canada’s Economic Action Plan, the Government of Canada has committed $400 million over two years to help First Nation communities build needed new housing, repair and remediate existing non-profit housing for their members, and complement housing programs offered by CMHC. This investment will also provide an economic stimulus for many First Nations and surrounding areas by creating jobs.

Through Canada’s Economic Action Plan, some $50 million in federal investments will be made available to First Nations in British Columbia to address immediate housing needs.

Specifically, CMHC will allocate $1,004,962 to retrofit 71 housing units on-reserve in the Chilliwack – Fraser Canyon region.

Randy Hoback, Member of Parliament for Prince Albert, on behalf of the Honourable Diane Finley, Minister of Human Resources and Skills Development and Minister Responsible for Canada Mortgage and Housing Corporation (CMHC), along with MLA for Prince Albert Carlton Darryl Hickie, on behalf of the Honourable Donna Harpauer, Minister of Social Services and Minister Responsible for Saskatchewan Housing Corporation, today announced support for a local housing initiative for seniors.

Funding in the amount of $2.3 million has been made available for the initiative through Canada’s Economic Action Plan, the federal government’s plan to stimulate the economy and create jobs during the global recession. The federal and provincial governments are contributing equally to an overall investment of $132 million under the amended Canada – Saskatchewan Affordable Housing Program Agreement.

Canada’s Economic Action Plan provides $400 million, over two years, to build new rental housing for low-income seniors. Overall, the Economic Action Plan includes $2 billion for new and existing social housing, plus up to $2 billion in loans to municipalities for housing-related infrastructure.

The amendment to the Canada – Saskatchewan Affordable Housing Program Agreement, which included funding under Canada’s Economic Action Plan, signed in May 2009, brought federal housing support of $74 million to the province. The Government of Saskatchewan will match that commitment for a total of $148 million to assist those in housing need and, in collaboration with other levels of government and community partners, to make various types of affordable housing programs possible. In Saskatchewan, federal-provincial housing programs are delivered through the Saskatchewan Housing Corporation.

“Our government is giving a hand-up to Canadian seniors who need it most during these tough economic times,” said MP Hoback. “Year 2 of Canada’s Economic Action Plan will continue to create jobs and stimulate the economy here in Prince Albert and in all corners of the country.”

”Our government is pleased to help seniors in need of affordable housing right here in Prince Albert,” MLA Hickie said. “This project exemplifies a commitment on our part to work with the federal government to improve the quality of life for lower income Saskatchewan seniors, and to help them remain in their communities.”

The project will consist of an 18-unit single level garden apartment, with 16 two-bedroom units and two wheelchair accessible one-bedroom units. The project was undertaken by the Prince Albert Community Housing Society (PACH), a non-profit corporation that owns and manages a housing portfolio of more than 260 rental units for people in need of affordable housing within Prince Albert.

Canada’s Economic Action Plan builds on the Government of Canada’s commitment in 2008 of more than $1.9 billion, over the next five years, to improve and build new affordable housing and help the homeless.

The Government of Canada announced today that a housing co-operative located in Orangeville will receive more than $187,000 through Canada’s Economic Action Plan, as part of the social housing renovation and retrofit investments.

The announcement was made by David Tilson, Member of Parliament for Dufferin – Caledon, on behalf of the Honourable Diane Finley, Minister of Human Resources and Skills Development and Minister Responsible for Canada Mortgage and Housing Corporation (CMHC).

“Through Canada’s Economic Action Plan, our government is taking action to help ensure our economic recovery and create the conditions for long-term growth,” said MP Tilson. “Funding renovation and retrofit projects, like this one, will not only improve the quality of life of its residents by keeping their homes safe and affordable, but it will also help stimulate the local economy and create local jobs.”

The Government of Canada, through Canada’s Economic Action Plan, announced $1 billion for social housing renovation and retrofit. Of the $1 billion, $850 million is being delivered by provinces and territories on a cost-matched basis for existing federally assisted social housing projects which they administer on behalf of the partnership. The remaining $150 million is being delivered by CMHC for existing federally assisted off-reserve housing which it directly administers. Eligible repairs include general improvements, energy efficiency upgrades or conversions, and modifications in support of persons with disabilities.

The housing co-operative that will receive a contribution from the Government of Canada being announced today is Shaw’s Creek Co-operative Homes Inc.

“We congratulate and thank the federal government, MP Tilson and CMHC for making a sound investment to help ensure that this affordable community is preserved as a legacy for the long-term benefit of its residents,“ said Ken Elliott, President of the Co-operative Housing Federation of Canada. “Today’s announcement is an excellent example of stimulus funding that works towards preserving jobs, assisting the local economy, and protecting valuable affordable housing assets for Canadians.”

“We are delighted that our co-operative will benefit from the federal government’s renovation and retrofit initiative delivered by CMHC,” said Robert Dicks, Vice-President of Shaw’s Creek Co-operative Homes Inc. in Orangeville. “Not only will this funding make our co-op more energy efficient, but it will ensure that the homes at Shaw’s Creek Co-operative Homes Inc. are available to meet the needs of future generations.”

The Government of Canada announced today that the City of North Battleford has been approved for an infrastructure loan as part of Canada’s Economic Action Plan. The announcement was made by the Agriculture Minister Gerry Ritz and Member of Parliament (Battlefords – Lloydminster) on behalf of the Honourable Diane Finley, Minister of Human Resources and Skills Development and Minister Responsible for Canada Mortgage and Housing Corporation (CMHC).

“Our Government understands the importance of infrastructure in maintaining strong and prosperous communities,” said Minister Ritz. “This program is opening the door for municipalities to meet their housing-related infrastructure needs. Canada’s Economic Action Plan will continue to create jobs, stimulate communities in all corners of the country, and support Canadian workers and families.”

North Battleford has been approved for $2.5 million in a low-cost loan from CMHC’s Municipal Infrastructure Lending Program (MILP), to increase the water treatment capacity at the groundwater supply water treatment plant #1. The expansion will better utilize the existing groundwater supply facilities, will improve the availability of treated water storage and will reduce produced water loss for residents of North Battleford.

“The $2.5 million CMHC Municipal Infrastructure loan will help our city meet an increasing demand for water in North Battleford,” said North Battleford Mayor Ian Hamilton. “Site preparation for the expansion of Water Treatment Plant No.1 is now underway and the entire project will be complete by March 2011.”

Canada’s Economic Action Plan provides up to $2 billion in direct low-cost loans to municipalities, over two years, for housing-related infrastructure projects through the MILP. Municipal infrastructure loans are available to any municipality in Canada and provide a new source of funds for municipalities to invest in housing-related infrastructure projects. These low cost loans can also be used by municipalities to fund their contribution for cost-shared federal infrastructure programming.

Eligible projects include infrastructure related to housing services such as water, power generation and waste services, as well as local transportation infrastructure within and into residential areas, such as roads, sidewalks, lighting and green space.

As Canada’s national housing agency, CMHC draws on more than 60 years of experience to help Canadians access a variety of quality, environmentally sustainable, and affordable homes — homes that will continue to create vibrant and healthy communities and cities across the country.

Renters are having an easier time finding accommodations in Victoria this year. A sluggish local economy and labour market, and a recent surge in homeownership has moved vacancy rates up. As the level of employment has edged lower, relatively fewer people have moved to the region. Historically low mortgage rates and lower home prices reduced monthly mortgage carrying costs, and encouraged some renters to exit the rental market in favour of homeownership. Near record levels of apartment condominium resales recorded across Greater Victoria during the second and third quarters of 2009 reflected this movement from rental to homeownership.

Vacancy rates for both apartments and town homes moved up in the Victoria CMA over the past year. The average apartment vacancy rate edged up to 1.4 per cent, following four years at 0.5 per cent. Similarly, the average vacancy rate for rental townhouses shifted up from 0.1 per cent last October, to 1.8 per cent in October 2009. The trend of increasing vacancies was widespread in the region. Higher vacancy rates were observed across all Greater Victoria municipalities. Both the one and two bedroom segments of the local apartment rental markets recorded increased vacancies. While apartment vacancy rates in Victoria increased in 2009, they remain low compared to other major British Columbia markets (2.1 per cent in the Vancouver CMA and 3.0 per cent in the Kelowna CMA) and the provincial average (2.8 per cent).1

Softer demand for rental housing in 2009 has put less upward pressure on rents. Average one and two bedroom apartment rents edged up 4.5 and five per cent in 2009, respectively.2 This growth was less robust than the 6.8 per cent average rent increase in 2008, when vacancy rates were at their lowest. A substantial range exists between the rents observed across Victoria CMA municipalities. For an average two- bedroom apartment, Oak Bay was home to the highest rents ($1,206), while the lowest rents were found in Esquimalt ($858). When compared to the provincial average, two-bedroom rents are on par, while average one- bedroom rents are eight per cent lower in Victoria.

Vacancy rate keeps rising According to the results of the latest CMHC Rental Market Survey conducted in October 2009, the rental apartment vacancy rate1 increased again in the Sherbrooke CMA. After climbing by 0.4 of a percentage point in 2008 to 2.8 per cent, the vacancy rate continued to rise in 2009, reaching 3.9 per cent. As shown in Figure 1, the rental market has now been easing more significantly for the past three years in the Sherbrooke area. However, the proportion of unoccupied units still remained far from the levels observed in the late 1990s, when more than 7 per cent of rental apartments were vacant.

In the other CMAs across the province, the Québec area still had the tightest rental market, with fewer than 1 per cent of apartments vacant. As for the Saguenay, Montréal and Gatineau areas, their proportions of unoccupied units remained relatively stable between October 2008 and October 2009, edging down from 1.6 per cent to 1.5 per cent in Saguenay and rising slightly from 2.4 per cent to 2.5 per cent in Montréal and from 1.9 per cent to 2.2 per cent in Gatineau. In the Trois-Rivières CMA, however, the vacancy rate was up, reaching 2.7 per cent (+1 percentage point). Among all of Quebec’s urban centres with 100,000 or inhabitants, Sherbrooke had the highest percentage of vacant rental housing units in 2009, for a second straight year.

Supply increases while demand slowsThe vacancy rate hike in the Sherbrooke CMA in 2009 resulted from a moderating demand and a rising supply.

On the demand side, migrants who come to an area, whether from other areas of Quebec or elsewhere, are definitely one of the main factors. In fact, most newcomers to an area choose to rent when they arrive. The relationship between migration and the vacancy rate is illustrated in Figure 3, with high net migration often being associated with a tighter rental market and the opposite also being observed.

Preliminary data2 show that no substantial immigration gains should be registered in the Sherbrooke CMA since the last survey. Stagnant immigration is no doubt one of the factors that contributed to moderating rental housing demand in the Sherbrooke area this year.

As well, the Sherbrooke CMA has recorded negative net interregional migration3 of about 100 people among the group aged from 15 to 34 years4, for the past two years. In other words, more young people left the capital of the Eastern Townships than settled there. This decrease therefore moderated demand for rental housing units, as the young population is an important client group on the rental market. In fact, according to data from the latest census (2006), most Sherbrooke area households whose primary maintainer is aged from 15 to 34 years are renters.

In addition to migration, several other factors contributed to slowing rental housing demand in the Sherbrooke CMA in 2009. One such factor was that the labour market was less favourable for young people (labour force aged from 15 to 24 years) between the October 2008 and October 2009 surveys. Compared to last year, the average employment level fell by 14 per cent among young people aged from 15 to 24 years, with this decrease mainly affecting full-time jobs (-24 per cent). In these conditions, many young people may have been deterred from leaving the family home, or encouraged to share accommodations, which also slowed demand on the rental market.
Changes in the age structure of a population (in this case, the aging of the population) may also have an effect on the proportion of unoccupied rental housing units in an area. According to our latest demographic projections, the growth in the number of young households (aged from 15 to 34 years) in the Sherbrooke area will be relatively weak, if not stagnant, between 2008 and 2009, which will limit the potential renter client pool. Negative growth is even forecast for the next few years, which will further curb demand on this market.

Another major reason for the vacancy rate increase is that financing conditions have been favourable to home buying, which means that a number of renter households possibly became homeowners. In fact, the strong sales of existing and new homes registered in the CMA in recent years seem to support this point. The same scenario was likely repeated in 2009, which again drove up the percentage of vacant units in the Sherbrooke area.

With such demand conditions and a rental housing supply that increased by 2.5 per cent between our last two surveys (from 30,842 units in 2008 to 31,621 in 2009), it was therefore not surprising to see a hike in the vacancy rate in 2009 in the Sherbrooke CMA.

Lastly, it should be mentioned that, even with the low vacancy rates observed in recent years, the growth in the supply on the rental market has been rather limited. It should not be forgotten that, in the late 1980s, rental housing construction had been very strong in the CMA, such that the vacancy rates had hovered around 10 per cent in the years that followed. Some builders may have then decided to focus their activities on other market segments. Now, even with the low vacancy rates registered in recent years, rental housing construction has never returned to its previous pace. This is generally the case, as a lag is often observed between changes in the vacancy rate on a market and the ensuing adjustment in the level of rental housing starts.