With substantial backing amounting to $100 million from the federal government’s Apartment Construction Loan Program, Hudson House in Victoria, British Columbia, is embarking on a new chapter as it opens its doors to residents at 1700 Blanshard Street, providing homes for 245 families. Hudson House is a part of the larger Hudson District, which comprises more than 950 new homes across six buildings.
On March 11, 2024, the Department of Finance Canada visited the Hudson House to commemorate the opening.
The goal of the federal grant to support the opening of these new rental homes was to help provide housing for families, youth, and individuals with disabilities. Thirty nine of these homes were designed to be accessible. Furthermore, 227 of the homes will be rented at rates within or below 30% of the median local household income, to help ensure affordability until at least 2040.
Hudson House is also noteworthy as a sustainable, mixed-use structure. It is projected to emit nearly 20 percent less greenhouse gases compared to other, typical mixed-use buildings. With over 8,300 square feet of commercial space, it also aims to foster local business development, creating a vibrant living environment where residents can comfortably live, work, and access amenities.
Other Housing Initiatives
As part of the federal government’s broader economic strategy, other housing initiatives have been facilitated in the vicinity. This includes the construction of 60 new homes at 840 Fort Street, supported by $13.25 million from the Apartment Construction Loan Program, and 47 new homes at 220 Cook Street, which received $21.14 million from the same program.
The Apartment Construction Loan Program, formerly known as the Rental Construction Financing Initiative, involved a significant investment of over $40 billion, which was aimed at accelerating the development of new rental properties by providing low-cost financing to developers.
Since 2017, the Apartment Construction Loan Program has allocated over $17 billion towards the construction of more than 46,000 new rental homes, with a target of building 101,000 new rental homes nationwide by 2031 to 2032.
Canada’s Economic and Housing Strategy
These efforts align with Canada’s broader strategy, which aims to expedite home construction and enhance affordability for Canadians. This includes the Affordable Housing and Groceries Act which eliminated the Goods and Services Tax (GST) on new rental home construction.
Also, $4 billion was allocated through the Rapid Housing Initiative, intended to aid in the construction of over 15,500 affordable homes by 2026, specifically targeting individuals experiencing homelessness or facing severe housing shortages.
The Federal Lands Initiative has earmarked over $200 million to repurpose surplus federal lands and buildings for housing purposes, with the aim of building 4,500 new homes by 2028. This initiative is expected to provide housing providers with low or no-cost access to land resources.
To bolster rental housing development, the government is allocating $20 billion in new financing by expanding the annual limit for Canada Mortgage Bonds from $40 billion to up to $60 billion. This move aims to facilitate the construction of an additional 30,000 rental apartments annually.
The Canadian Mortgage Charter outlines customized mortgage relief measures that banks are expected to offer to borrowers facing financial hardship with their primary residence mortgages. This initiative ensures that individuals encountering economic difficulties receive appropriate support to maintain their housing security.
Various other initiatives, such as the new Tax-Free First Home Savings Account program, have also been put in place.
