What would you give to pay under $500 a month for a one-bedroom apartment in Squamish?
While the building won’t be able to match demand, a new funding opportunity from the provincial government is making rents in the affordable housing project proposed for Buckley Avenue much friendlier.
“We think an apartment building addresses that low to middle-income gap,” said District general manager Gary Buxton, presenting an updated plan to council on Tuesday.
“We think that addressing that is best as an apartment building, and there are other projects in the community like Under One Roof, that should deal with the transitional-emergency part of the spectrum, and the seniors home society application that is pending before council,” he said.
The new plan for 38648 Buckley Ave., just north of Howe Sound Secondary School, includes 76 apartment units in a single five-storey building on the site. Earlier plans included four fewer apartment units and eight lower-density townhouse units.
The projected rates for rentals are also dramatically lower. Initially, the project tied rates to cover construction costs, meaning estimated rents would be just 10 per cent below market value (from $990 for a studio up to $2,250 for a three bedroom).
The new rates fall under three tiers, which will be subsidized by the province’s new Community Housing Fund.
According to the report, 20 per cent of the units would be “deep subsidy units” with studios and one bedroom units priced at $375, and two-bedroom units at $570.
Half the units would be “rent geared to income” priced at $770 for a studio, $840 for a one bedroom and $910 for a two-bedroom.
The third tier, at 30 per cent, would be affordable market rents closer to the original estimates, at $990 for a studio, $1,170 for a one-bedroom and $1,440 for a two bedroom.
The total cost of the project is estimated at $30.3 million, with a total construction cost of around $20 million.
Under the new rates, the project will run a yearly operating deficit, but the cost will be picked up by the province, rather than the District under the new fund.
“I like this a lot more than I liked the previous rendition. As I said, I’m really not a fan of under-planned, researched or prepared grant applications,” said Coun. Susan Chapelle, who has been critical of the project, suggesting it was timed for the upcoming election.
“I realize there is an urgent need for the housing, but my concern has always been the cost and the ability to manage the project,” she said.
Chapelle said she’s looking forward to seeing more detailed finances after the grant application is submitted.
Coun. Ted Prior, who voted against third reading for the earlier version of the project, said was also impressed with the new numbers.
The ground floor of the building would also house an updated Youth Centre.
As part of the application, the District undertook a Housing Needs Assessment that revealed the need for affordable units is growing. Currently, over 700 households in Squamish spent more than 30 per cent of their income on housing costs.
“That isn’t really a surprise, that just reaffirms what we already knew,” said Buxton.
Council approved a zoning change on May 24, but the details of the building are still subject to change.
This month, the District will send their formal application to BC Housing for consideration.
While the government has already committed some funding toward the planning of the project, it will not go ahead unless that application is accepted.
The grant decision will be made at the end of 2018.
If successful, the project design will begin in early 2019, and with approval by the end of the year, construction could begin in 2020.
