Feds praise $67 million in loans for development of rental homes in Kelowna and Penticton
New rental homes in Kelowna and Penticton – funded by the federal government's investment of $67 million in fully repayable low-interest loans through the Rental Construction Financing Initiative (RCFi) – are providing residents with safe and secure housing.
969 Harvey Avenue in Kelowna has 46 units primarily three-bedroom units to meet the need for families in the community. There is a secure courtyard with a children's play structure, bike wash, community room, and an outdoor common area. This property is close to both the Capri Landmark Urban Centre and the Downtown Urban Centre, transit, and other amenities. The building was completed in May 2023.
468 West Avenue in Kelowna has 48 units for residents. The pet-friendly building also includes retail stores and a large outdoor terrace. It's located near Kelowna General Hospital, Okanagan College and South Pandosy Urban Centre. The building was completed in 2021.
The Clement is located at 599 Clement Avenue in Kelowna's Cultural District and has 58 units. They are a mix of one-, two-, and three-bedroom apartments and two-, three-, or four-bedroom townhomes for residents. The building has EV charging stations, an on-site car share, and a space for bike storage and maintenance. It was completed in June 2021.
285 Westminster Avenue in Penticton offers 75 units ranging from studios to two-bedroom. The pet-friendly building is located near Downtown Penticton and is close to urban amenities and public transit. The building was completed in 2022.
Canada's construction of rental homes has not kept pace with the country's growing cities and population, leading to a decline in the existing and aging rental stock for decades. To tackle this issue, the federal government introduced the RCFi help build more rentals. Increasing the overall supply of rental housing in the country is crucial to creating stronger and more vibrant communities that Canadians can feel proud to call home.
Funding details for the four projects include:
- $15.7 million in low-interest RCFi loans for 969 Harvey Avenue, Kelowna; a $135,365 grant and a 10-year property tax exemption specific to purpose-built rentals from the City of Kelowna (totaling up to an estimated $2.75 million) from the City of Kelowna and $3 million from Evangel Family Rental Society
- $15.5 million in low-interest RCFi loans for 468 West Avenue, Kelowna; a $32,967 grant and a 10-year property tax exemption specific to purpose-built rentals from the City of Kelowna (totaling up to an estimated $354,000) from the City of Kelowna
- $18 million in low-interest RCFi loans for 599 Clement Avenue, Kelowna;a $115,748 grant and a 10-year property tax exemption specific to purpose-built rentals from the City of Kelowna (totaling up to an estimated $424,000) from the City of Kelowna, and $4.28 million from Okanagan Opportunity
- $18.25 million in low-interest RCFi loans for 285 Westminster Avenue, Penticton
"We need to boost housing supply, this is why we are making strategic investments, through programs like the Rental Construction Financing Initiative, to build much-needed rental units across the country. All Canadians deserve a safe place to build and live their lives in, and we will ensure this becomes a reality."– The Honourable Sean Fraser, Minister of Housing, Infrastructure and Communities
"We are grateful to the Government of Canada for supporting the construction of much-needed rental housing in Kelowna, Improving access to a variety of housing that meets the needs of current and future residents is a top priority for this Council. Meeting housing targets in one of the fastest growing communities in the country will require creative thinking, collaboration and new partnerships." – Tom Dyas, Mayor, City of Kelowna
- The federal government's National Housing Strategy (NHS) is an ambitious, 10-year plan that will invest more than $82 billion to give more Canadians a place to call home.
- 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.
- 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.
"We need to boost housing supply, this is why our government will continue to make strategic investments through programs like the Rental Construction Financing Initiative to incentivize the development of much-needed rental units. Programs like RCFi showcase our government's commitment to addressing the pressing housing challenge faced by communities from coast to coast to coast. These investments will help increase the housing supply, and the federal government will continue backing them so that all Canadians have a safe and secure place to call home."
SOURCE Government of Canada