Available Photos

View details and
download

The Honourable Michael Duffy, Senator for Prince Edward Island, on behalf of the Honourable Diane Finley, Minister of Human Resources and Skills Development Canada and Minister Responsible for Canada Mortgage and Housing Corporation (CMHC), and the Honourable Doug Currie, Minister of Social Services and Seniors for PEI, made the announcement at the Charlottetown construction site today.

“The Government of Canada is committed to creating safe and affordable housing for lower-income families in PEI and across the country,” said Senator Duffy. “This project provides access to quality housing in Charlottetown at an affordable cost.”

Today’s announcement recognized the start of a 12-unit project in Charlottetown. Brent McQuaid of BM Housing is developing the new affordable housing complex at 312 University Avenue, near public transit, schools, businesses and community services. Each new unit will have two bedrooms, and tenants will pay up to $685 per month in rent, including heat.

“With an ideal location on University Avenue, this new complex will offer families healthy and affordable homes within walking distance of grocery stores, banks, schools and community services,” said Minister Currie. “This new initiative means more families in our One Island Community will be able to live in housing that offers them a good quality of life.”

In addition, the project received SEED funding through CMHC to assist during the initial planning stages. Construction is expected to be complete by December 2009, with families moving in shortly afterward.

The Canada – Prince Edward Island Affordable Housing Agreement involves an investment of $8.32 million in the creation of affordable housing units in Prince Edward Island. To date, more than 120 units have been supported by the Agreement in rural and urban communities across P.E.I.

Last fall, the Government of Canada committed more than $1.9 billion over the next five years to improve and build new affordable housing and to help the homeless. Canada's Economic Action Plan builds on this with an additional one-time investment of more than $2 billion over two years in new and existing social housing and lending of up to another $2 billion to municipalities for housing-related infrastructure.

To find out more about how the Government of Canada and CMHC are working to build stronger homes and communities for all Canadians, call CMHC at 1-800-668-2642 or visit www.cmhc.ca/housineactionplan. For more information on Canada’s Economic Action Plan, call 1-800-O Canada or visit www.actionplan.gc.ca.

BACKGROUNDER

INVESTMENTS IN AFFORDABLE HOUSING FOR CANADIANS

The Government of Canada’s commitment to affordable housing is significant.

Overall, Canada’s Economic Action Plan provides a total of $7.8 billion to build quality housing, stimulate construction, create jobs, encourage home ownership and enhance the energy efficiency of Canadian homes. In the process, it will provide new and renovated housing for more than 200,000 Canadian households.

Of the $7.8 billion, more than $2 billion is provided through CMHC to build new and renovate existing social housing. This will include:

- $1 billion for social housing renovation;

- $600 million for new housing and repairs to existing social housing on-reserve and in the North broken down as follows:

- $400 million for on-reserve communities

- $200 million for the North

- $400 million for housing for low-income seniors; and

- $75 million for housing for people with disabilities.

Most of this funding, $1.525 million of the more than $2 billion, is being delivered by provinces and territories through amendments to existing agreements. Provinces and territories will design and deliver these initiatives, as well as cost-match the federal investment.

The federal government will directly deliver the remaining $550 million of this $2 billion funding: $150 million for the renovation and retrofit of social housing projects administered by Canada Mortgage and Housing Corporation (CMHC), and $400 million in new construction and repair for housing on-reserve through CMHC and Indian and Northern Affairs Canada.

In September 2008, the Government of Canada also announced $1.9 billion over five years for housing and homelessness programs for low-income Canadians. As part of this investment, the Affordable Housing Initiative and the federal renovation programs for low-income households were extended for two years. For PEI, this includes a total investment of $5 million for these two-year extensions.

Overall, for both the stimulus funding and extensions, the federal contribution is $7 million, while the province is contributing a further $6 million for the combined investment of $13 million.

As well, up to $2 billion in low-cost repayable loans for housing-related infrastructure projects will be made available to towns and cities across the country.

The Government of Canada, through CMHC, spends approximately $1.7 billion annually to support almost 625,000 low- and moderate-income households in existing social housing across Canada. In Prince Edward Island, the federal government provides almost $13.3 million annually to support some 3,100 households.