Every Canadian deserves a safe and affordable place to call home. Thanks to investments made by the Government of Canada, residents of Charlottetown now have access to more stable rental housing options.

Today, the Honourable Ahmed Hussen, Minister of Families, Children and Social Development and Minister responsible for Canada Mortgage and Housing Corporation (CMHC), alongside Sean Casey, Member of Parliament for Charlottetown, announced a $19.2 million low-cost loan to help construct the three new residential buildings located at 4-78 Kensington Road in Charlottetown, PEI.

The Ironwood Estates Phase 1 & 2, by the proprietor 11350102 Canada Inc., includes three, 4-storey multi residential buildings housing 90 residential units. This Charlottetown project will provide much needed rental housing and is close to public transit, schools and services for local families.

The project received funding through CMHC’s Rental Construction Financing initiative (RCFi), a National Housing Strategy program that supports rental housing construction projects to encourage a stable supply of rental housing for middle-class families in expensive housing markets.

Quotes:

"Every Canadian deserves a safe and affordable place to call home. That’s why our government is taking action to increase the supply of affordable rental housing through projects like this one in Charlottetown. Phase 1 & 2 of The Ironwood Estates will provide families with better access to jobs, services and the amenities they need. This is the National Housing Strategy at work.” – The Honourable Ahmed Hussen, Minister of Families, Children and Social Development and Minister responsible for Canada Mortgage and Housing Corporation (CMHC)

"The longstanding need for more affordable and available housing in Charlottetown has become even more critical since the beginning of the pandemic. Hard working families in Charlottetown deserve a safe and affordable place to call home where they can not only survive but thrive. The Government of Canada’s involvement in this project demonstrates our commitment to that belief. Together we are building a generation of new, permanent housing that we can all be proud of.” – Sean Casey, Member of Parliament for Charlottetown

 “The level of cooperation, professionalism and experience shown by CMHC during the process of developing Ironwood Estates, our 90-unit housing complex, has been second to none. Our Phase One units are opening on August 1, 2021 and consist of 30 units in total, 8 of which are barrier free. Phase 2 will be 60 units available in 2022. Our goal was to provide high quality living at affordable prices. CMHC has made this goal a reality by collaborating on a financing package that allows us to bring affordable housing to Charlottetown at a time when it is most needed.” –  Paul Livingston, Co-director, Ironwood Estates

Quick facts:

• The total project has barrier free access with 24 accessible units. At least four units are universal design and at least four units are adaptable design.
• Phase 1 is designed to achieve a minimum of 31% decrease in energy intensity and 31% decrease in greenhouse gas emissions. Phase 2 is designed to achieve a minimum of 50% decrease in energy intensity and 50% decrease in greenhouse gas emissions relative to the requirements of the 2015 National Energy Code for Buildings or the 2015 National Building Code.
• The project demonstrates strong affordability outcomes.  In Phase 1, all of the units have rents well below 30% of median household income in the area and at least 17 units will be held at affordable rent levels for 21 years. In Phase 2, all of the units have rents well below 30% of median household income in the area and at least 23 units will be held at affordable rent levels for 21 years.
• Phase 1 will be required to maintain at least 17 units with rents at or below 30% of the median household income in the area, including 6 units with rents at or below 70% of 30% of the median household income, for a minimum of 21 years.
• Phase 2 will be required to maintain at least 23 units with rents at or below 30% of the median household income in the area, including 12 units with rents at or below 70% of 30% of the median household income, for a minimum of 21 years.
• Through the RCFi, the Government of Canada is encouraging the construction of more than 71,000 new rental housing units.
• A stable supply of rental housing is critical to ensure that more Canadians have access to housing that meet their need and that they can afford. This is a great option for middle class Canadians who are experiencing affordability pressure in many markets with high home prices and lack of rental supply.
• Launched in April 2017, the RCFi has generated significant interest in the industry, which has led to an expansion of the program. Through Budget 2019, the Government of Canada increased the total amount available in loans to $13.75 billion.
• Given the high demand for the program, the Government again expanded the RCFi in the 2020 Fall Economic Statement by adding an additional $12 billion over 7 years, starting in 2021-22. The program now totals $25.75 billion in low-cost loans.
• To help Canadians find affordable housing, Budget 2021 proposes to provide an additional $2.5 billion over seven years in new funding and a reallocation of $1.3 billion in previously announced funding to speed up the construction, repair, and support over 35,000 additional housing units.
• Budget 2021 proposes that $300 million over two years (2021-22 and 2022-23) from the RCFi be allocated to support the conversion of vacant commercial property into 800 units of market-based rental housing. As the demand for retail and office space has changed due to COVID, some landlords, particularly in major urban cores, are facing higher vacancies. This is an opportunity for property owners and communities to explore converting excess space into rental housing, enhancing the livability and affordability of urban communities.
• Canada's National Housing Strategy (NHS) is a 10-year, $70+ billion plan that will give more Canadians a place to call home—this includes more than $13 billion committed through the 2020 Fall Economic Statement.

Associated links:

• As Canada's authority on housing, CMHC contributes to the stability of the housing market and financial system, provides support for Canadians in housing need, and offers unbiased housing research and advice to all levels of Canadian government, consumers and the housing industry. For more information, please visit ca or follow us on Twitter, Instagram, YouTube, LinkedInand Facebook.
• To find out more about the National Housing Strategy, visit placetocallhome.ca.