Ontario Construction News staff writer
Toronto council has endorsed a Memorandum of Understanding (MOU) with United Property Resource Corporation (UPRC) to create up to 500 affordable rental homes at seven sites in over the next five to seven years. This is the first proposal under the city’s Land Bank Initiative.
“This is another example of the innovative partnerships that the city is creating in order to get affordable housing built. We are partnering with non-profit organizations and other levels of government to increase access to affordable housing as quickly and as efficiently as possible,” said Mayor John Tory.
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The aim of the Land Bank Initiative is to work with key partners to develop an inventory of sites that can be developed over time to create affordable rental housing in all areas of the city. The partners would contribute land and other resources to support the development and operation of the new housing, and the city would provide ODAH incentives to help make the projects financially viable.
UPRC is a partnership between the United Church of Canada and the Canada Mortgage and Housing Corporation (CMHC), created specifically to help communities of faith of all denominations and other non-profit organizations unlock the value of their real estate assets. As part of the national commitment to build 5,000 affordable homes by 2037, UPRC has committed to build 10 per cent or 500 of those homes in Toronto.
The city will provide $27.5 million in Open Door Affordable Housing (ODAH) incentives will be provided by the City for the creation of up to 500 affordable rental homes. ODAH incentives will include exemption from development charges, planning and building permit fees, and parkland dedication fees.
“This is an exciting step for UPRC as we mark the beginning of our partnership with the City of Toronto and our commitment to providing long-term affordable rental housing across the city,” said UPRC CEO Tim Blair.
“UPRC represents a significant opportunity to address a growing gap in the housing market, and advocate for progressive real estate models that are socially, environmentally, and financially sustainable. We look forward to the progress we can make collectively.”
Seven projects will be announced once site assessments and feasibility work are complete. Once identified, sites will be subject to regular planning approvals and public consultation processes.
UPRC has committed to building a mix of affordable and market rental housing at each site that would be owned and operated by a non-profit organization. A minimum of 30 per cent of the units would be rented at or below average market rent, with UPRC working with the City on a site-by-site basis to ensure deeper affordability by leveraging available housing benefits.
The HousingTO 2020-2030 Action Plan recommends partnerships with other orders of government, the private sector and non-profit organizations, including faith-based groups, to identify and set aside land to build affordable housing as part of a land bank initiative.
Discussions are in the early stages with a number of faith-based groups across the city to
explore development opportunities. However, the MOU with the UPRC is the first multi-site proposal to develop a significant number of affordable rental homes, with an estimated 500 affordable rental homes to be developed over the next five to seven years.
In Toronto, over 50 per cent of households are renters and many of them struggle to find housing that’s affordable and meets their needs.