A plan that would require certain new buildings in Halifax to have a percentage of affordable units is not moving ahead at this time.
The report presented to Council by city staff on Inclusionary Zoning units, Tuesday, showed that after consultations with private developers and non-profit groups, the concept had multiple issues.
These include things like possibly driving up rent prices to accommodate lost revenue in higher density developments and the need to more hire more management staff.
Councillor Shawn Clear said he was waiting a long time for this plan and was looking forward to it but “reluctantly” accepted the recommendation.
“The kick in the gut was… the economics just don’t work,” said Cleary. “The staff resources just aren’t there. The province isn’t supportive of what we’re trying to do, so they’re not going to do it.”
He added they would need to hire a whole new agency if the idea were to go ahead or contract out someone like the YWCA.
“Then we still need staff resources to do all that. Set up the policy, put in a program… and that could take quite a bit of time,” said Cleary.
Inclusionary zoning is something Council voted ahead in 2023; however, it was not approved by the province and in November of that year any new development fees or charges were frozen. That expires this November.
Despite not moving forward on the idea, municipal staff made clear the door is not completely shut on the concept that could be used a tool for future planning.
This would include a future growth node such as the West End Mall in Halifax.
According to the report, they can revisit it when market conditions are better.
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