Developers asked to support housing

CASTANET:

Kelowna City Council will take a look at yet another plan on how developers should compensate the city when receiving a density bonus. The issue was a bone of contention with the previous council, which looked at various plans and proposals over the course of its three year term. The last proposal was submitted at the end of November. The council of the day deferred making any decisions until after staff had a chance to review suggestions made by the Urban Development Institute. Those findings, along with recommendations, will come before City Council Monday.
"We're looking to provide developers the right to construct additional units in exchange for addressing community needs. The need for affordable housing continues to be critical and the new policies help clear the way for developers to play a part in the solution," says Community Planning Manager, Theresa Eichler.

The proposal before council will give developers the option of designating some units as affordable or contribute to the City's housing fund. Under the plan, the City would require the following:

• Where additional density is provided for under current zoning, the City would require a cash payment equal to 75 per cent of the value of the bonus area
  
• Developers would need to designate an additional 25 per cent of the bonus area as affordable or provide a cash payment
  
• Applicants with land purchased prior to the new policy on OCP amendments would be asked to contribute only 50 per cent of the increased land value in exchange for increased density.
  

"We'll be looking at density bonusing on a much broader level once we complete the current review of the Official Community Plan. We want to ensure neighbourhoods have input into the type and size of development they wish to see in their area and across the city." Despite the downturn in the economy, Eichler says several current development applications have asked for additional housing density. According to figures released by the City, 50 affordable homes and 20 rental units have been generated along with $539,000 in cash contributions towards the Housing Opportunities Reserve Fund.