Housing Accelerator Fund Rental Housing Grant
$300,000
Grant
Description:
The goal of the Housing Accelerator Fund Rental Housing Grant Program is to increase the supply of rental housing using incentives during the Housing Accelerator Fund funding period. Both non-profit and private sector developers as defined below are eligible for funding under the Program subject to Program guidelines. Projects developed under this Program will promote the “missing middle“housing forms. Incentives are aligned with the City of Fredericton’s Imagine Fredericton – Municipal Plan with funding prioritized to the Urban Core and New Neighbourhoods. Development in certain areas outside the identified growth areas will also be considered. Projects located in the Urban Core include a focus on the development of affordable housing.
Comments on Funding:
Non-profit and private developers can access grants of up to $40,000 per newly developed affordable rental housing unit in the City of Fredericton. Funding is available for a maximum of 10 units per project.
Continuous Intake
Eligibility:
Applicants must:
1. Projects must be located in the City of Fredericton but projects within the Urban Core and the New Neighbourhoods will be prioritized.
2. Projects must be connected to municipal water and sanitary sewer services.
3. This Program prioritizes projects that are shovel ready but acknowledges that applicants must often seek funding commitments early in the project development process.
4. Mixed use and mixed income housing projects will receive bonus points in the evaluation process.
5. Projects must create net new rental units; renovations of existing rental units are not eligible.
6. Projects must be a minimum of four (4) units.
7. Projects must offer long term tenancies – more than six (6) months.
8. Student apartment-style housing will be considered – units must be self-contained with kitchen, living space and private bathrooms.
9. Applicants must be the owner of the land; have an agreement of purchase and sale or have entered into a long-term land lease agreement (greater than twenty (20) years).
10. Multi-tenant projects targeting vulnerable populations must include a plan detailing the wraparound services to be offered in the building along with written commitment from other government agencies of funding and other resources required to provide the services.
11. The proposed project must comply By-law No. Z-6, A By-law to Adopt a Municipal Plan for the City of Fredericton, as amended, and By-law No. Z-5, A Zoning By-law for the City of Fredericton, as
amended.
12. The Applicant must provide proof of sufficient funding to construct the project.
13. Only developments that have applied for a building permit after the December 12, 2023 signing of the Housing Accelerator Fund Contribution Agreement between CMHC and the City of Fredericton are eligible for grants.
14. If a building permit is not submitted with the application, the proponent must participate in a preapplication meeting with the City of Fredericton and obtain a building permit within nine (9)
months.
15. Units must maintain affordability, defined as Affordable Rental Housing and Below Market as defined in this Program above for the minimum period of twenty (20) years
Application Steps:
Applicants must:
1. completed and submitted prior to the commencement of any work and prior to applying for a building permit.
2.Application must be sent to housing@fredericton.ca
Documentation Needed:
Applicants must submit:
1. Application form
2. a. Cover letter
3. A description outlining the experience of the Applicant in the operation and property
management of housing developments including:
a. Number of years of management experience
b. Existing properties owned and managed by the Applicant including the name and address of each property and the number of units
3. Description of the proposed development.
4. Proposed rental rates.
5. Project schedule.
6. Target market – e.g., singles, families, seniors for the number of units allocated to each and a full description of any wrap around services provided.
7. A copy of the long-term land lease agreement or land deed for the property on which the Project will be situated. Lease terms must be for a period greater than the term of any mortgage – a minimum of twenty (20) years not including any right of renewal periods. Applicants must have a registered interest in the property identified in the application based on the Service NB Property Identifier Number (PID); or an agreement of purchase and sale.
8. Confirmation of funding from federal and/or provincial housing programs, if applicable.
9. Confirmation that any additional funding required beyond confirmed government sources is available to complete the project. Letters of commitment from a Canadian Financial Institution attached where appropriate.
10. Confirmation of the total number of units in the project and the number of affordable housing and lower end of market units and any commercial components.
About the author
Maurice