City of Langford Affordable Housing Program

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City of LangfordAffordable Housing Program
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Roadmap of Presentation

• Local context backstory
• Successes current challenge
• Affordable Housing Strategy
• Policy context
• Benefits to residents and industry
• 1 in 10 Affordable Home Ownership
• Q A

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Local ContextCity of Langford, BC
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Our Community

• Where we were
• Population of 15,000
• Incorporated 1992
• Past reputation as dogpatch

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Our Community

• Where we are now
• Population over 25,000
• Growth centre for West Shore of greater Victoria
  area
• Community pride awards

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The current challenge affordability
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January 2008 StatisticsCanadian Real Estate
Association

• National average
• in Canada for
• single-family house
• is 309,448
• In greater Victoria
• area ave. s/f house
• is 505,899

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Rental vacancies in 2007

• With
• consistently
• around
• 1
• vacancy rate
• in Langford

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Goals for Affordable Housing Strategy

• Inclusivity not segregation
• Pursuit of both market and
  non-market (subsidized) options
• Diversity of housing types
• Diversity of income groups
• Diversity of tenure
  (both rental and owner-occupied)

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Policy Context

• Integration with amenity package requirements
• 10 50 open space dedication
• Environmental enhancements
• Arts culture, beautification
• Park development
• Community safety

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Affordable Housing Strategy Matrix
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Benefits to Residents

• Full amenity package as a tangible direct
  result of development
• No additional costs borne by taxpayers
• Revitalization of Langford town centre
• Increased choice
• where to live, how to live

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Benefits to industry

• Development economically viable (despite that
  Langford an expensive place to do business)
• Time is money
• Certainty is money
• Flexibility of policy guidelines

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Creating Diversity in the Market

• Secondary suites
• Legalized
• Mandatory
• Small lot developments
• 300 m2
• 220 m2
• lt 200 m2 (micro-cottages, freehold rowhousing)
• Detached duplexes
• Detached townhouses

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Support for Non-market (Subsidized) Rental Housing

• Subsidized housing for seniors, low-income
  families, hard to house
• City has provided grants, DCC and fee
  exemptions, tax holidays

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Introduction of 1 in 10 Affordable Home
Ownership Program

• 100 Made-in-Langford approach
• Brainchild of Mayor and developers in negotiation
  with staff
• S. 904 of B.C.s Local Government Act allows
  density bonussing in exchange for the provision
  of affordable housing amenities

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Affordable Home Ownership Program - Construction

• 1 /10 single-family lots and homes sold under
  Langford Affordable Housing Program
• Min. unit size is 83 m2
• Workmanship standards
• Visitability standards
• Min. standards almost universally exceeded

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Affordable Home Ownership Program Sale and
Re-Sale

• Developer must sell each affordable house for
  160,000 (50 60 subsidy)
• Developer must register a housing agreement which
  restricts resale of the property over long term

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Affordable Home Ownership Program Eligibility
for Purchase

• Needs-based assessment
• Applicants hold some stake in Langford
  (employment or volunteering or residency)
• Point-scoring system identifies families
  that are most in need

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Affordable Houses SOLD
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Pride of Ownership
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How much does a developer subsidize each
affordable housing unit?

• With a market value of roughly 360,000 for each
  Affordable Housing Unit lot and house
• minus a sale price of 160,000
• 200,000 in potential revenue lost per unit
• Cost recovery for construction expenses

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Conclusion The Big Numbers

• To date 43 new homes have been secured
• 27 affordable units built and sold to date
• To date, this represents an estimated 8 million
  subsidy by the development community in Langford
  to the public, at no financial cost to the
  taxpayers of the City.

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