With an eye on increasing the supply of affordable housing in Guelph, city council agreed to provide seed money to help eligible projects get off the ground.
In a motion unanimously approved by those in attendance on Tuesday, council approved a program that will see $100,000 set aside annually for non-profit groups to apply for money to cover pre-construction costs. They’re eligible for up to $25,000 each.
Those funds, staff explained, could be used for feasibility studies, site surveys, planning fees and more for new developments, renovations and conversions that result in new affordable housing units.
Rent within approved projects must remain within the definition of affordable for at least 25 years.
Funding is to be provided on a first-come, first-served basis.
Once the annual allocation has been handed out, eligible projects will be put on a waiting list until additional dollars become available.
Council may be asked to increase its annual seed money allotment in the future, staff noted, depending on uptake and demand.
The city’s affordable housing strategy calls for the creation of 1,770 new, affordable units by 2025 and 8,700 by 2051.
As determined by the provincial government, the affordable home ownership price in Guelph is $398,800 or less, with affordable monthly rental prices determined by the type of unit – $1,160 or less for a bachelor unit, $1,508 or less for one bedroom, $1,646 for two bedrooms and $1,695 or less for three bedrooms.