Two local nonprofits hope to build at least 200 affordable housing units at a former Mountain school site.
The city spent $ 3.13 million on the old 7.2-acre Mountain High School property in 2018.
This week, the board approved the sale of 60 Caledon Avenue with a $ 5 million forgiveness loan to Hamilton East Kiwanis Non-Profit Homes and Victoria Park Community Homes.
“So exciting for so many reasons,” said Lori-Anne Gagné, General Manager of Victoria Park on Friday.
Victoria Park and Hamilton East Kiwanis have formed a limited partnership called Caledon Community Collaborative for the project.
Construction company Ellis Don will build the development, but the old school must first be demolished, demolition is expected to begin next year and construction will begin in 2022. The goal is to have the complex ready for tenants. by 2024 or 2025.
The collaboration has submitted an initial site plan request to the city which calls for the construction of two high-rise apartment buildings on the site off Mohawk Road West and Upper James Street.
Most of the planned housing will not be geared to income, but the plan is to provide moderately affordable housing. “We are really targeting workers who just cannot afford the full market rents that are skyrocketing across the country.”
Most units will have a rate of 125 percent of the average market rent, according to figures from the Canada Mortgage and Housing Corporation (CMHC), which are based on occupied units. That works out to $ 1,037 for a bedroom, Gagne notes.
A Bullpen Research report based on the units advertised on Rentals.ca found that an average one-bedroom unit in Hamilton was $ 1,453 in November.
The Caledon Community Collaborative expects to contribute about $ 35 million of the organization’s equity to the project, which is expected to cost more than $ 100 million, notes Gagne.
In addition to the city’s contribution, the partners were approved for approximately $ 490,000 in funding from CMHC for planning and to secure more through the federal agency.
Victoria Park and East Kiwanis are part of a collaboration of local community housing providers called Hamilton is Home. The group aims to build 3,000 affordable housing units in three years.