Construction of an affordable housing project in Wallaceburg is expected to begin soon if Chatham-Kent council approves the contractor.
If council approves the winning bidder from London on Monday night, construction of the $34 million, 72 unit building is anticipated to start in July and take two years to complete.
According to a staff report, the five-storey municipally-owned and operated building will have 37 one-bedroom units, 25 two bedroom units, five three-bedroom units, and five four-bedroom units.
The municipality said this development is expected to house approximately 122 to 194-plus residents, providing immediate relief to those experiencing housing instability, while helping to reduce pressure across the broader housing system.
"This 72-unit affordable housing development is a critical investment for the Wallaceburg community in addressing the needs of the 1,455 households currently on Chatham-Kent’s Centralized Waiting List. By delivering a mix of one to four-bedroom units with deeply affordable, affordable and attainable rents, the project directly responds to identified demand from individuals, seniors, and families, including the more than 20 per cent of applicants seeking housing in Wallaceburg," noted administration.
Officials said 50 of the units will be a combination of affordable (80 per cent Average Market Rent) and "deeply affordable rents" priced at the “maximum shelter allowance” rate provided under the Ontario Works Act, while the remaining 22 units will be attainable market rents.
The municipality has received nearly $19 million in grants for the project, but staff is recommending borrowing $13 million over 30 years to fund the project, pending more successful grants.
Council is also being asked to approve $2.5 million from the New Construction Reserve.
