91 new housing projects announced through $80M affordable rental program

The Newfoundland and Labrador government earmarked $80 million Thursday to address affordable housing, even though there are worries there aren't enough workers to build the units that politicians want to see.

Ninety-one projects have beenapproved across the province, both in the private and community housing sector. Those projects are expected to deliver922 affordable rental units 762 though private builders and 130 through community organizations, including the Happy Valley-Goose Bay Housing and Homeless Coalition in Labrador and Connections for Seniors in St. John's.

The $80 million in funding runsthrough the Newfoundland and Labrador Housing Corporation with the promise it will focus on supporting seniors, vulnerable populations, Indigenous people and people with disabilities.

A key issue: whether builders can find enough contractors and workers to get the projects done.

"We are having trouble with labour all across the board, across all industries, to be honest," said Alexis Foster, chief executive officer of the Canadian Home Builders Association-Newfoundland and Labrador.

"We have been advocating to the federal government and the provincial government to make sure there is a focus on bringing in young tradespeople to different positions. So we're very hopeful that will make an impact."

Pike says some proponents are 'shovel-ready'

The affordable rental housing program was announced in this year's provincial budget. It provides one-time capital funding to private builders and community-based groupsin the form of a forgivable loan.

Housing Minister Paul Pike told reporters some of the proponents are "shovel-ready" and more than200 of the units will be built with an accessible focus.

As for the timeline for those projects, Pike couldn't say.

"As soon as they're able to meet all the criteria that's in their acceptance letter, which most of them already can, then we'll be issuing them the go-ahead to start," he said.

"In some of the communities that I've been in, I've noticed that their land is cleared. They're all ready to go."

Pike said many proponents already have staff in place.

Further, he said, the province will look at apprenticeship programs to "tie into this construction."

"We're so impressed with the number of people that we'll be able to hire and we would hope that we'd be able to bring in more people that are looking for apprenticeships," he said.

"So this is a good thing for the province."

Those who were successful in the request-for-proposals process in June will own and manage their projects becoming landlords. The units' rental rates will be established by the NLHC based on annual rental market reports published bythe Canada Mortgage and Housing Corporation.

Private sector units are targeted toward households with incomes less than $42,000. Community sector units will cover families with incomes less than $38,000. The size of the family does not matter.

Under the program, using data from June, rental rates would be $880 for a two-bedroom in the St. John's area, $795 in other island communities and $880 in Labrador under the private sector. For the community sector, those rates would be $775 in St. John's, $705 elsewhere on the island and $740 in Labrador.

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