Affordability
a relative concept in Vancouver
Mayor's task force
interim report offers worthy ideas, but constrained land supply limits effect
By Michael Geller, Vancouver Sun June 30, 2012
Stacked
townhomes, similar to these in Toronto, could be built in new 'transition
zones' between higher-density developments along arterial roads.
This
week, the Mayor's Task Force on Housing Affordability issued its interim
report. The task force, co-chaired by Mayor Gregor Robert-son and Olga Ilich,
was set up earlier this year and included a mix of real estate experts, housing
developers, architects, and community representatives.
It
was created to examine conditions in Vancouver that may act as barriers to the
creation of affordable housing, the steps necessary to protect existing
affordable housing and identify opportunities for increasing affordability.
I
was invited to chair a separate Roundtable on Building Form and Design, to
identify design and building-code requirements that are adding costs to the
provision of quality affordable housing, as well as design changes that could
increase the supply of affordable housing.
The
report identifies a number of new steps the city can take to increase and
protect the stock of affordable housing in. (Of course, "affordable
housing" means different things to different people. For the purposes of
this study, the task force set a range of $21,500 for an individual up to a
combined annual household income of $86,500, and assumed people would pay
approximately 30 per cent for housing. In other words, it was not addressing
the needs of the home-less, but the needs of more "ordinary people"
struggling to rent or buy a home.) Let's take a look at some of the
recommendations.
The
first is to increase the supply and diversity of affordable housing through
density increases in large comprehensive developments like Marine Gateway and
southeast False Creek, and in transit-oriented locations. I thought the recently
approved 32-storey Marine Gateway development at Cambie and Marine was too
large for its site, and feel the new development around the Olympic village is
very dense. Therefore, I hope the task force is not advocating even higher
densities in these areas.
However,
I strongly agree with the recommendation to create "transition zones"
between higher-density development along arterials or transit hubs and adjacent
single-family housing. This was one of the recommendations of my roundtable and
one that could result in significantly more strata-titled and
"fee-simple" row houses and stacked townhouses. The latter can offer
a more affordable alternative to apartment living, with each suite having its
own entrance from the street.
Another
recommendation is to enhance the capacity of the city and the community to
deliver affordable rental and social housing. The task force proposes the
creation of a housing authority with its own board and a mandate to develop
social and afford-able housing on city owned lands. Whistler and Toronto have
done this with some success. I support this idea in concept, but need to see
which city lands will be offered for development and the financial implications
of building primarily rental and social housing. Most of us do not want to see
a repeat of the Olympic village scenario, where expensive social housing was
built by the city on prime water-front sites.
The
task force also recommends the creation of Community Land Trusts. These are
non-profit corporations that acquire and manage land on behalf of community
residents, in a manner that preserves affordability. While common in the U.S.,
there are not many examples in Canada. However CLTs could facilitate new
community-based housing developments by lever-aging donations of land and funding
from private and non-profit partners
The
report also addresses Vancouver's development approval procedures.
Recommendations include increasing certainty, efficiency and transparency and
clarifying regulations. I suspect that most people who have tried to obtain
development and building permits from the city will agree with this
recommendation. An interesting task force suggestion is to create a NEXUS
pass-type system for applicants with a proven track record of successful
projects. While intriguing, I will not hold my breath waiting for this to
happen.
The
task force also addressed my long-standing concern related to how the city
determines Community Amenity Contributions to be paid by developers whenever
they rezone land. Rather than continue the cur-rent "let's make a
deal" approach, it recommends more certainty in what charges will apply.
This could allow the "pre-zoning" of land, something I believe could
increase the supply and affordability of housing.
However, this raises a key question that is on many minds. Will reduced costs for developers and home builders translate into reduced prices for renters and buyers? It is my view that by increasing sup-ply and greater competition in the marketplace, reduced costs will ultimately translate into lower prices.
However,
as long as Vancouver's land supply is constrained, and we continue to be an
attractive place to live, homes here will never have the more affordable prices
of those in other Canadian cities.
In
other words, rather than title the report: Bold Ideas Towards an Affordable
City, it might be more aptly titled Bold Ideas Towards a More Affordable City.
Michael
Geller is a Vancouver-based architect, planner, real estate consultant and
property developer.
He
also serves on the adjunct faculty at SFU's Centre for Sustainable Community
Development.
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