New transitional housing project announced for Chase River

Minister of Housing Ravi Kahlon (left) announced on Monday that the province will be building a 50-unit transitional housing project in the Chase River neighbourhood in Nanaimo for people who are unhoused. Photo: Mick Sweetman / CHLY 101.7FM

The province of British Columbia and the City of Nanaimo have signed a memorandum of understanding (MOU) that outlines the shared responsibility for reducing homelessness in the city.

The province also announced that it finalized a lease at 1300 Island Highway South and 10th Street for a temporary transitional housing project. Prefabricated buildings will be used to house up to 50 people in the Chase River neighbourhood.

Minister of Housing Ravi Kahlon, says the new housing will help address homelessness in the city.

“This MOU, these new housing units, this new additional resources for coordinating our services is another step in that work,” he said. “And we're going to continue that work because we know beyond this, there's still more that needs to be done.”

The minister says the new site in Chase River is still “a few months away” from opening.

In addition, the modular trailers at Newcastle Place at 250 Terminal Avenue will continue operating with space for up to 50 people after the current residents move into the Cornerstone supportive housing building at 285 Prideaux Street in a few weeks.

Renee Mares is a resident at Newcastle Place who will be moving into the new supportive housing on Prideaux Street.

“Never once in my life thought I'd be homeless,” she said. My mum passed away and I couldn't go on. Newcastle took me in about three and a half years ago and they've become my new family.”

Kahlon says that the plan to build permanent housing at 250 Terminal is still going ahead. BC Housing submitted a rezoning application for the property in June that includes a plan for two five-storey buildings, one 44 unit affordable housing building and a 50 unit supportive housing building.

“Since I've become the Minister of Housing, the two things that I hear consistently is that everyone knows we're in a housing crisis yet everyone has concerns if that housing is built near them,” he said. “We have to find ways to get housing built. To get the most vulnerable people the support they need.”

Nanaimo Mayor Leonard Krog says that he understands the frustration in the Newcastle neighbourhood about the delay in building permanent housing at 250 Terminal.

“It's not going to happen in the next couple of months, unfortunately,” he told reporters. “But nevertheless, there is a solid commitment here to continue to get to that goal and it's the right goal for the community. To have the kind of permanent housing facility where people, who are suited to it, will be able to live decent lives, as opposed to continuing to see the hundreds and hundreds of our fellow citizens living in the streets.”

Local MLA and poverty reduction minister Sheila Malcolmson said that in addition to the housing announced, the province has also increased the shelter portion of social assistance from $175 to $500.

“We're helping people pay their rent, and we're also building them more facilities to be able to be housed,” she told reporters Monday. “Today's announcement is one more step in a long list of work that we have to do together.”

According to The Canadian Mortgage and Housing Corporation the average market rent for a bachelor apartment in Nanaimo was $1,078 in 2022, and a one-bedroom rented for $1,230.

The three housing sites will cost $9.6 million and the province is committing to three years of funding for them.

Funding Note: This story was produced with funding support from the Local Journalism Initiative, administered by the Community Radio Fund of Canada.