The City of North Vancouver should do more for renters – at least 10 per cent more, according to Coun. Rod Clark.
Clark put forward a motion Monday to amend the city policy on new market rental projects. North Vancouver’s current strategy mandates new projects reserve 10 per cent of the units at 10 per cent below average rents for at least 10 years.
Clark’s motion called on the city to reserve 20 per cent of new units in any multi-family development, including condos, at 10 per cent below market rates in perpetuity.
In making his case, Clark noted half of city households are renters. He also referenced the city’s 0.3 per cent vacancy rate.
“This council needs to build what our city needs,” Clark said. “If you were one of the people being renovicted and couldn’t find a place, it would be absolutely No. 1 on your list.”
There could be ramifications to altering the city’s policy, cautioned Mayor Darrell Mussatto.
“Tweaking this will have consequences,” he said. “It will have impacts on our staff and impacts, potentially, on the amount of units that are available.”
Coun. Linda Buchanan concurred.
While she said she could “appreciate the spirit” of Clark’s motion, Buchanan said she had a “large concern” the policy may make new developments untenable.
“Obviously, we’re trying to achieve as much housing as we can but there’s also other community amenities that we’re trying to achieve.”
Buchanan also asked if there had been any major changes since council approved its most recent housing action plan.
“I think the land economics have changed over the last couple of years,” responded city planner Michael Epp.
The key to the policy is ensuring housing projects remain viable, Epp explained.
“If there’s not enough profit left in the project, the project itself won’t come to fruition,” Epp said.
That was a sticking point for Mussatto, who noted the 10 per cent reduction in rent is based on Canadian Mortgage and Housing Corp. averages. In 2016 the 10 per cent discount would have left renters paying $900 for a bachelor and $1,288 for a two-bedroom.
Mussatto also suggested municipalities are “poorly equipped” to deal with a housing crisis exacerbated by the absence of provincial and federal intervention.
However, there is a change afoot in terms of federal involvement action, Clark argued, suggesting the CMHC has some newfound resources.
“The program money is there, it’s a matter of making the development community aware of it.”
Clark’s motion won support from most of his fellow councillors, with Coun. Holly Back underscoring the importance of affordable housing to the business community.
“Our businesses can’t keep staff. That’s quite sad. We need to do something to help our business community,” she said.
Back also argued that reserving 10 per cent of the units in a new development “is really not very much.”
“We sit here at this table and say we need to do something,” she said. “But to this point I don’t think we’ve done very much.”
As immigrants come to Canada and Canadians come to North Vancouver the demand for housing is going up, not down, said Coun. Don Bell.
“Fewer and fewer people are going to be able to afford to buy,” he said.
Clark’s motion was also championed by Don Peters, chairman of the Community Housing Action Committee.
Clark’s motion signals the city may be “settling for too little,” Peters suggested in endorsing the resolution.
Coun. Craig Keating was absent Monday but much was made of his comments during a debate on the recently approved Royal George development, consisting of a 23-storey, 166-unit highrise neighbouring a 14-storey, 89-unit rental building.
At the Sept. 18 regular meeting of council, Keating noted the project’s profitability and suggested more than 18 units could have been reserved at below-market rates.
Clark’s motion passed 5-1 with Coun. Pam Bookham opposed. Bookham did not speak to the motion.
Staff is expected to report back to council on the viability of Clark’s proposal in approximately three months.
