REGINA – The City of Regina is proposing changes to the way incentives are offered for providing rental housing where it’s needed most.
The Mayor’s Housing Commission is reviewing the policy that directs tax exemptions for landlords and developers, which is typically done every two years.
“Two years later now, we realize the market has changed, the incentives have been effective,” said Yves Richard, the city’s neighbourhood planning manager.
There’s $2.5 million committed to the Housing Incentive Program, which won’t change – just who receives it will.
Recommended amendments include boosting the incentive to offer rental units at below market value, as well as phasing out tax exemptions for peripheral neighbourhoods and increasing them for the inner city.
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The report also suggests incentives should also be focused on developments in areas with a “core housing need,” such as North Central or Heritage. Most new rentals coming onto the market are in peripheral neighbourhoods rather than central locations.
“The vacancy rate in those greenfield areas or new neighbourhoods is quite higher than the core neighbourhood area, so we realized the incentive is not so much needed in those neighbourhoods,” Richard said.
“We just can’t keep up with the demand.” – Maynard Sonntag, Silver Sage Housing Corporation
Maynard Sonntag, CEO of the non-profit Silver Sage Housing Corporation, says rentals are needed in all neighbourhoods – and the bigger, the better, which is why he’s pleased the city is increasing the focus on larger units with three or more bedrooms.
“We’re always in excess of 200 to 300 people on our waiting list and we just can’t keep up with the demand.”
Proof of that need could be found in the city paying out the entire $2.5-million worth of capital grants to developers in 2015 – the first time since the program was introduced.
If approved by city council, changes would come into effect in the new year.
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