A significant proportion of projects already approved for funding are lagging behind their schedules, report says
A significant proportion of affordable housing projects that have received federal approval for funding are lagging behind their schedules, according to a document made by Canada Mortgage and Housing Corporation in response to a written question from Parliament.
The federal administration approved 4,792 units for funding at the end of the first round of applications on March 2021, and another 5,473 housing units were approved at the end of the second round in 2022.
However, the CMHC document dated November 30 reported that only 1,449 units had been completed at that time.
“Due to unprecedented circumstances faced by housing developers over the last few years including supply chain disruptions, rising costs and severe weather-related events, some projects are expected to and will take longer, mainly due to infrastructure and construction challenges,” said CMHC spokesperson Leonard Catling, as reported by The Canadian Press.
Carolyn Whitzman, housing policy expert at the University of Ottawa, said that other major factors that might be causing delays are the lack of local support coupled with ongoing resistance from residents.
“In order to get supportive housing through rapid housing initiative or any other program up, you need really strong collaboration between all three levels of government,” Whitzman said.
CMHC has not released exact figures on how many projects have already missed their deadlines.