Increasing vacancy rate in Kelowna best path to improving housing affordability: City | 24CA News
Groundbreaking for a brand new residence constructing which is predicted to deliver some reduction to Kelowna’s tight rental market is scheduled for Wednesday.
The constructing shall be positioned on the former Building Blocks daycare at Gordon Drive and Lawrence Avenue.
PC Urban Properties and Nicola Wealth Management will begin building this week on a six-storey improvement providing 192 purpose-built rental items with a 3,800-square-foot secured daycare referred to as Urban Flats.
“PC Urban is committed to providing much-needed rental housing, and this is attainable new housing in an area with a below 0.6 per cent vacancy,” mentioned Shawn Smith, PC Urban’s chief monetary officer. “This is the only rental building in Kelowna with a secured, in perpetuity daycare providing convenience to families both living in the new building and those families in the nearby downtown core.”
James Moore, the City of Kelowna’s housing coverage supervisor, mentioned the challenge is a step in the appropriate course for town on the subject of reducing rental prices and rising provide.
“The supply of new rental housing is the most significant strategy we can do to address long-term affordability,” Moore mentioned. “Really, the only times we’ve seen rents come down or level off are at periods where we’ve seen high vacancy rates, and that means more supply.”
The challenge will strictly be a rental constructing with a secured, long-term childcare centre with 50 areas.
According to leases.ca, Kelowna is the fifteenth costliest metropolis within the nation, with one-bedroom residences listed at near $2,000 a month and two-bedroom residences near $2,700 per 30 days.
“The key here is to get our vacancy rate to a place where it’s between three and five per cent, and that means we have a balanced market where people have a choice, our prices aren’t increasing,” Moore mentioned.
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