Little Mountain developer wants Vancouver to relax social housing requirements

The developer of a Vancouver-based project that’s 15 years in the making is asking the city to remove occupancy permits on parts of the project, or face further construction delays.

Holborn Properties Ltd. purchased the 15-acre property in 2008 for $334 million under the condition it would replace the 234 social housing units on the site.

Hundreds of families were evicted from the social housing units the following year.

According to a report by City of Vancouver staff, the initial agreement stated that the delivery of social housing units would be completed in the first two phases of the project, prior to the 1,400 market condos.

In the report, Holborn said it is “unable to obtain financing for the development with current OP holds in the housing agreement registered over the phases 1 and 2 market lots.”

Therefore, the Vancouver-based developer is requesting the city remove the holds that would require social housing to be built first.

David Chudnovsky, the former MLA of Vancouver-Kensington, said this latest decision by the developer doesn't bode well.

“Where does this end?,” said Chudnovsky. “What’s the next thing they’re going to ask city council? It’s like the death of a thousand cuts.”

The report goes to council Wednesday, where councillors will decide whether to relax the sales agreement’s conditions.

One City Coun. Christine Boyle called Holborn’s request to the city “ludicrous.”

“It's unjustifiable how slow the process has been so far, and for the city to remove the only remaining teeth we have, to hold Holborn accountable, I think it’s an awful decision and I’m strongly against it,” Boyle said.

ABC Coun. Mike Klassen acknowledged the development has had its challenges, but said the project will provide desperately needed housing on the vacant lot.

“The important thing is that we don’t kind of spend a lot of time looking in the rear-view mirror,” he said.

In the report, city staff write, “releasing the occupancy permit holds in the housing agreement on the phases 1 and 2 market lots with respect to the completion of the social housing units on the BC Housing lots reduces the city’s ability to ensure that these social housing units are constructed and occupied ahead of the market residential units in the development.”

Despite that, city staff and BC Housing are recommending council approve the developer’s request.