Feds invest $200 million in Toronto rental housing
The federal government is making an investment of $200 million that will be used to build a significant number of rental housing units in downtown Toronto.
The news was announced on January 16 by Ahmed Hussen, the federal minister responsible for Canada Mortgage and Housing Corporation (CMHC). The money will be used to build six residential buildings with a total of 916 rental units at Mirvish Village—a mixed-use community at the corner of Bloor Street West and Bathurst Street, on the site of the historic Honest Ed’s department store.
“Through the National Housing Strategy, we can ensure more Canadians have access to housing that meets their needs, and that they can afford,” said Hussen. “This development is an example of how we are increasing the number of rental units in Toronto and across Canada.”
The project, which is being developed by Westbank Corp. and Peterson Group, will receive financing through CMHC’s Rental Construction Financing initiative (RCFi). The initiative encourages the construction of affordable and rental-housing projects in expensive housing markets by providing low-cost loans to borrowers.
Of the 916 units under construction at Mirvish Village, 366 will be provided at rents at or below 30 percent of median household income. Of those units, 100 will be secured at 80 percent of the City of Toronto’s average market rent—a statistic published by CMHC. These affordable units will be scattered throughout the project and will be of the same quality and design as market rent units.
Mirvish Village comprises a mixed-use, purpose-built 100 percent rental project with 279 studio units, 230 one-bedroom units, 284 two-bedroom units, 87 three-bedroom units and 36 live/work units. In addition to rental residential, the project will include the restoration of 24 heritage buildings, a public market and outdoor performance venue, a comprehensive cycling program, daycare, new public park, micro-retail incubator spaces created in collaboration with the Centre for Social Innovation, and public art installations curated in partnership with David Mirvish.
“This funding for the Mirvish Village will help us preserve a historic and vibrant community in our city,” said Toronto mayor John Tory. “Honest Ed's was a beloved part of our city. By creating affordable housing on this vacant land, we are able to address the housing challenges our city faces.”
Toronto’s vacancy rate was last recorded at 1.1 percent.
The project also includes a Neighbourhood Energy System by district energy provider Creative Energy. The system comprises a block-scale network that will provide reliable and low-carbon heating, cooling, and power. Mirvish Village is modelled to achieve a reduction of 23.7 percent in annual energy use and 30.8 percent in greenhouse gas emissions compared to the National Energy Code of Canada for Buildings 2015 reference building.