The challenge of finding a place to live for Nanaimo rentals continue to become harder as monthly rent increases continue to outpace available suites. (Ian Holmes/NanaimoNewsNOW)

By Alex Rawnsley

RENTAL REFIT

Nanaimo’s rent becomes more expensive as affordable housing strategy takes shape

Feb 11, 2020 | 1:02 PM

NANAIMO — The City believes it is on track to address the growing rental market crisis in Nanaimo, however the finish line continues moving further away.

A report from the Canadian Mortgage and Housing Corporation (CMHC) in January showed between October 2018 and October 2019 the average rent for an apartment or townhouse in Nanaimo grew from $973 per month to $1,042.

The biggest increases came through bachelor suites ($887 per month, $95 increase) and two bedroom rentals ($1,166 per month, $81 increase).

A search of Craigslist rental properties in Nanaimo showed two bedroom suites were offered at an average of $1620 per month.

In September 2018, the City of Nanaimo embarked on a new affordable housing strategy that outlined goals to deal with the rental crisis.

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Many short-term goals focused on developing policy to attract and approve more rental market construction.

City of Nanaimo manager of community planning Lisa Bhopalsingh told NanaimoNewsNOW those policies have been effective.

“In 2018 we approved just under 1,400 rental units, in 2019 there were an additional 800, Bhopalsingh said. “As those come onto the market we hope they will have an impact on the supply and demand of our rental stock.”

Data from the CMHC report showed Nanaimo gained 157 rental units from October 2018 to October 2019 in north and central Nanaimo, however lost 52 in south Nanaimo, mainly one and two bedroom suites.

The strategy plans to eventually address the impact short-term vacation rentals have on the permanent rental housing market.

“Looking at how we treat things like Airbnb’s and how our policies fit with community best interests and practices, balancing neighbourhood needs, economic development and tourism needs,” Bhopalsingh said.

There are approximately 600 Airbnb units in Nanaimo, according to data the City has received.

The City is currently focused on expanding opportunities for secondary suites on existing properties and investigating the creation of a rental bank to help ease the financial burden.

The bank would offer low or no interest loans, providing short term financial support to people in danger losing their housing based on an unexpected financial challenge.

Bhopalsingh also said the City wants to track some of its older rental stock to make sure people aren’t ‘reno-victed’ out of an older home in favour of new, pricier rental stock.

alex.rawnsley@jpbg.ca

On Twitter: @alexrawnsley