Waterloo council to consider grants for two housing developments

Further units of affordable housing could soon be established in the region, as the City of Waterloo is set to consider two separate requests for funding for upcoming developments in the city. 

Headed to council on Tuesday, city staff have prepared reports on those requests – recommending that council offer their support in both cases. 

The first request headed to council comes from non-profit organization Parkwood Mennonite Home Inc, requesting affordable housing funding from the city for an upcoming development on New Hampshire Street. That project would see the creation of a new six-storey apartment building offering independent senior living, with plans for estimated 90 rental units. Of those units, 60 are expected to be one-bedroom, with 28 designated as affordable. 

The development is also set to include 30 two bedroom units. 

While that development has secured “in-principle funding” from both the CMHC and Region of Waterloo, staff note that Parkwood has also begun a community-based fundraising campaign, and have since called on the city for a contribution equal to Waterloo's development charges for the 28 affordable units – on top of a grant to off-set application fees and a waiving of the parkland contribution charge. 

Noting that support would further the city's strategic plan objective of increasing supply of affordable housing, staff have recommended $411,572 of combined financial support for the development – including a “Development Charge grant” equal to $248,808 plus interest, a $28,803 fees & charges grant and further support through the waiving of a portion of the project's Parkland Contribution charges.

Both the development charge grant and fees & charges grant are expected to be funded through funds from an earlier density bonusing exchange in May – which saw a financial contribution of $480,000 made for affordable housing to the city's Affordable Housing Grant Program. That bonusing was for a zoning by-law amendment for 314-316 Batavia Plance and 295-297 Albert Street.

Waterloo council will also consider an affordable housing funding request made by the Region of Waterloo for a development headed to 555 Beechwood Drive – with staff recommending $618,764 of financial support. 

That project stems from an agreement between the region & Southside Group – which would see the construction of a new six-storey apartment building and 12 townhouses. Of the 90 rental units to be included in the apartment building, 41 are designated as being affordable. The site plan for that development is currently under review by Waterloo staff. 

Staff's recommendation on the request for funding includes grants equal once again to the city's development charges for those 41 affordable units, as well as grants to off-set application fees and a partial waiving of parkland contribution charges. Those grants will be partially funded from remaining funds of the above density bonusing agreement, as well as funds from a separate density bonusing agreement set to flow from a zoning by-law amendment for 70 King Street North on Monday.