$115 M funding deal could help build 40,000 homes in Vancouver over decade: Trudeau

Prime Minister Justin Trudeau has announced a $115 million federal funding deal with the City of Vancouver that he said could see more than 40,000 new homes built over the next decade.

Trudeau said the deal would fast-track more than 3,200 new homes over the next three years.

Just announced: Through our Housing Accelerator Fund, we’re building more than 40,000 homes in Vancouver. The deal we’ve reached with the city means less red tape, more homes built near transit, more affordable rental housing, and more density. https://t.co/3Rn4nY3VwC pic.twitter.com/3KMxgxpQek

— Justin Trudeau (@JustinTrudeau) December 15, 2023

The announcement came on Friday after the Canada Mortgage and Housing Corp. said housing starts in Canada fell 22 per cent in November, with starts down 39 per cent in Vancouver.

Fraser said of the Vancouver deal that the cash from the government's Housing Accelerator Fund would cut barriers to building homes and "incentivize changes" at the municipal level.

Trudeau said the Vancouver deal would bring the total number of housing units "unlocked" by the accelerator fund to almost 300,000.

"This is well over the initial 100,000 we'd hoped to unlock when we announced the accelerator fund back in 2022," Trudeau said at a construction site on Vancouver's Westside where rental units are being built with the help of low-interest loans from the CMHC.

Due to a strong alignment between our recent suite of housing legislation and Canada’s Housing Accelerator Fund - today, Prime Minister @JustinTrudeau announced $115M for the @CityofVancouver, to spur the construction of more than 40,000 homes over the next decade. 🍁 #bcpoli pic.twitter.com/TtjKqzQ3fQ

— Ravi Kahlon (@KahlonRav) December 15, 2023

We’re working with the City, Mayor, and the Province of BC to help build more homes, faster, in Vancouver.

The agreement struck with the City will help build 3,200 additional homes over the next 3 years and tens of thousands more over the next decade. pic.twitter.com/aPahrHCG5J

— Sean Fraser (@SeanFraserMP) December 15, 2023

A news release from Trudeau's office said Vancouver would streamline rezoning and expand affordable rental programs, and the initiatives would "significantly improve the way housing is built" in the city.

Sim said the deal was not a "symbolic gesture", but a collective commitment to providing more homes and finding solutions to housing challenges.

He said he and his wife had bought a home 20 years ago in the neighbourhood where the announcement took place, and the homes that once stood on the construction site had accommodated about 30 people in six households.

"We're gonna see hundreds of people that have homes (here) in the neighbourhood that our family loved," he said of the project, which the CMHC said involved 118 units.

Sim called the new federal funding "incredibly generous."

Exciting news! Just unveiled the Housing Accelerator Fund with Prime Minister @JustinTrudeau, Minister @SeanFraserMP, Minister @KahlonRav & our dedicated team.

With a $115M investment, we'll build more homes faster, addressing Vancouver's housing needs. pic.twitter.com/NSlZkcuWRF

— Mayor Ken Sim (@KenSimCity) December 15, 2023

The Opposition Conservatives said in a news release that Trudeau's Liberal government was "failing to build anywhere near enough homes."

The Conservatives pointed to the CMHC data, which said the monthly seasonally adjusted annual rate of housing starts in November came in at 212,624 units, down from 272,264 in October.

After all the photo ops and fake announcements from Sean Fraser and Justin Trudeau, what's left?

Housing starts in Canada are down, once again.

Justin Trudeau is not worth the cost.https://t.co/MauLEc3DDv pic.twitter.com/E5vNmktVZ0

— Pierre Poilievre (@PierrePoilievre) December 15, 2023

"This massive decline in housing starts means the cost of rent or a mortgage will only go up for Canadians across the country," the statement said.