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To be re-addressed at 250 Bryden St., new housing construction at 250 Terminal Ave. will be dry and recovery-focused thanks to a change in direction from the provincial government. (Image Credit: Jordan Davidson/NanaimoNewsNOW)
calls finally answered

‘Drug traffickers just got an eviction notice:’ new 250 Terminal housing to be recovery focused

Sep 3, 2026 | 11:11 AM

NANAIMO — Loud and prolonged calls from local officials and advocates regarding a supportive housing complex in the city have finally been answered.

The provincial government confirmed on Thursday, Sept. 3, updated housing approval for construction beginning in early 2027 at 250 Terminal Ave. would be run as a dry, recovery-oriented site, rather than the initially decided low-barrier housing and shelter option.

Nanaimo-Gabriola MLA and Minister of Social Development and Poverty Reduction, Sheila Malcolmson, said the 50-units to replace existing housing on the property help to close a gap in Nanaimo’s housing options.

“This housing will support people in recovery from substance use, people who’ve been at risk of homelessness or experienced homelessness and need additional support to stay housed, and to people who want to reduce their exposure to drugs and alcohol.”

Recovery-oriented housing focuses on ensuring a substance-free environment for all residents, in a bid to aid their recovery and return to the wider community.

Previously run models at 250 Terminal, largely featuring low-barrier housing, have led to considerable social disorder issues in and around the site, frustrating local government and neighbours for years.

After repeated requests were denied regarding the site, a final letter sent by the City in June included a plea from Council, backed up by neighbourhood groups and local advocates.

Nanaimo Mayor Leonard Krog said the province finally reconsidered their stance to address what he dubbed a “societal issue” in the city.

Looking at the property from Bryden St., towards Terminal Ave. to the left, the five-storey structures would provide a range of supports and services for residents only under amended zoning.
Looking at the property from Bryden St., towards Terminal Ave. to the left, the five-storey structures would provide a range of supports and services for residents only under amended zoning. (Image Credit: Ron Hart Architecture)

“It’s a positive step and gives the community an opportunity to see how it will work, and hopefully gives an opportunity to see how it can play, in time as funding becomes available, a larger role in recovery for people around the province.”

He added those living on site will be afforded “a much better opportunity to engage in a fruitful, productive, and happy life.”

Karen Kuwica, president of the Newcastle Community Association, which is the neighbourhood group where 250 Terminal Ave. is located, said advocacy work has been “gruelling”, but worth it in the end.

She declared Thursday’s announcement meant “drug traffickers just got an eviction notice.”

“There’s a lot of procurement of substances in the surrounding community, in Newcastle, and that’s going to change significantly. The customers are leaving.”

Kuwica added the Association continues to be consulted on future operations at the site.

“We’ve always said that supports are necessary for people that are coming out of substance use or want supports without being in an environment where substances are used. We know now…that there’s all sorts of points of contact in the social system in Nanaimo in particular, where people really need housing where substance use is not part of the housing.”

As part of the new construction, which includes 50-units of supportive housing on the north end of the property followed by another 36-units of affordable housing on the south, the property will receive a minor address adjustment, becoming 250 Bryden St.

Both supportive and affordable housing are planned as part of a new complex at 250 Terminal Ave., replacing existing temporary housing.
Both supportive and affordable housing are planned as part of a new complex at 250 Terminal Ave., replacing existing temporary housing. (Image Credit: Ron Hart Architecture)

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