CBRM to incentivize affordable housing construction

SYDNEY — In an effort to create more affordable housing options in Cape Breton Regional Municipality, the municipal council has approved two policies intended to incentivize such projects.

The policies — the Affordable Housing Grant Policy and the Affordable Housing Property Tax Adjustment Policy — are aimed at property owners and developers who are “committed to increasing the availability of affordable housing options” locally.ˆ

The first policy makes available a one-time grant to CBRM property owners who agree to create and keep housing at an affordable level for at least 10 years.ˆ

Two tiers of funding are available. The first is for units charging less than 30 per cent of the tenant(s)’s annual household income, warranting a grant of between $20,000 and $200,000 per project.

Tier 2 is for projects keeping rent at 80 per cent or below of the area’s average market rent. That grant can range between $18,000 and $160,000 per project.

An eligible property must also have a building permit granted between 2024 and 2026 for the installation of a new secondary suite, converted dwelling or several other dwelling styles as defined by CBRM.

Applications for this grant are open until the end of 2026.

The second policy, the Affordable Housing Property Tax Adjustment, is a property tax reduction for developers who create four or more affordable units and pledge to maintain affordability for 10 years.

The adjustments, by year, include:

• A 90 per cent reduction of municipal property tax in years one and twoˆ

• A 75 per cent reduction in years three and four

• A 60 per cent reduction in years five and six

• A 45 per cent reduction in years seven and eight • A 30 per cent reduction in years nine and 10.

The municipality has struggled with rental supply, contending with a 0.8 per cent vacancy rate. The Cape Breton Post reported in March that rising costs and other factors have led to many landlords dropping out of the rental market.

In a CBRM news release, Mayor Amanda McdougallMerrill said the affordable housing challenges posed by a growing population have been exciting but not without “significant challenges.”

“Ensuring there is sustainable and affordable housing stock is imperative to future planning and the Affordable Housing Grant Policy and the Affordable Housing Property Tax Adjustment Policy are necessary tools to see that happen.”

More information on the policies is available at cbrm. ns.ca/cbrmdevsupportprogram.html.