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N.L. looking for proposals to build more than 850 new affordable rental units

The Newfoundland and Labrador government is asking for proposals to build more affordable housing units across the province.

Provincial government spending $70M over next three years for affordable housing

A house subdivided into apartments is shown.
Newfoundland and Labrador is spending $70 million over the next three years on a new affordable housing program. (Submitted by the Nova Scotia Co-operative Council)

Newfoundland and Labrador has put out a call for proposals to build more affordable housing units across the province.

The move is part of a new, three-year affordable housing program announced in the provincial budget earlier this spring. The $70-million program will support the creation of over 850 new affordable rentals in three major regions:St. John's and the surrounding area, communities in other parts of Newfoundland, and Labrador.

The program will focus on housing forvulnerable populations, including young adults, Indigenous peoples, persons with disabilities and newcomers, said Children, Seniors and Social Development Minister John Abbott on Wednesday.

Abbott said he hears from residents about the need for affordable housing almost daily.

"The topic that's on their agenda, now more so than in the past, is, 'Where is the housing programs? Where are the affordable housing programs? We want in on that,'" he said.

"We're meeting the need, and we've now got the dollars advocated to do just that."

The government is workingwith the Newfoundland and Labrador Housing Corporation, which will issue one-time forgivable loans to assist in the building process.

A man wearing a suit stands in front of a banner. The banner has the Newfoundland and Labrador logo on it, with the word Housing underneath.
Children, Seniors and Social Development Minister John Abbott says there is a great need for accessible housing in the province. (Ted Dillon/CBC)

The funding is split into two different application streams, one for the private sector and one for the community housing sector, including non-profits, housing co-operatives and Indigenous organizations.

The amount of funding given will be determined by five factors, according to a government press release:location, duration of affordability, energy efficiency, accessibility and proximity to health-care services.

"We're certainly looking forward to the opportunity to partner with the private sector on this initiative as well as the community sector, because we need both sectors, including the housing corporation, to come together to work on this," said Abbott.

Rental rates will also differ depending on these streams, according to the press release. A one-bedroom unit in St. John's, for example, will cost a maximum of $645 per month in the community housing sector and $730 per month on the private sector.

Abbott said the province expects to see shovels in the ground in the fall. The government has worked to minimize the "administrative burden" that comes with construction projects, he said, andwill also work with community organizations that need more time to fill out applications.

Read more from CBC Newfoundland and Labrador

With files from Ted Dillon