Seized lots worth converting to affordable housing: councillor

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This article was published 23/04/2021 (1805 days ago), so information in it may no longer be current.

INSTEAD of selling the properties it seizes due to unpaid taxes, the City of Winnipeg might try to attract affordable housing on those lots.

Coun. Matt Allard (St. Boniface) wants the city to study how it could offer seized homes and commercial properties to organizations that develop affordable housing. That would include selling the structures for either $1, another reduced price or an amount equal to the outstanding taxes.

Allard also wants the city to consider providing such organizations the first chance to purchase those lots.

“I think we have a homelessness crisis. I think we have a drug epidemic. Where we can find opportunities to encourage affordable housing, we should do that,” he said.

The city starts the “tax sale” process, in which it can take a home’s title, when payments and penalties are overdue by three years. Following that point, it takes at least another year before the city would acquire a property and sell it.

Allard said this occurs on an unpredictable basis, so the city’s budget doesn’t rely on income from the sale of those homes. He believes that will lessen the effect of any revenue that could be lost by earmarking the properties for affordable housing.

An organization that creates such housing welcomed the idea.

“The more options for affordable housing, the better. We’re already struggling to get properties,” said Frank Zappia, a real estate agent for Housing Opportunity Partnership.

Zappia said all of the lots would need to be sold for $1, not the other prices the motion suggests, to actually trigger new projects. He said the $1 tab could ensure new homes can be sold at reduced prices, especially as the cost of building material rises.

“Even with the $1 lots, it’s difficult (to provide affordable housing),” he said.

Zappia said he believes adding homes with below-market prices to mature neighbourhoods helps rejuvenate those areas.

“There’s this kind of momentum going… It means growth going on in the neighbourhood, with new homes and new families moving in,” he said.

Allard’s motion will be debated at Tuesday’s meeting of the Riel community committee.

joyanne.pursaga@freepress.mb.ca

Twitter: @joyanne_pursaga