Collingwood’s incentive program returns as town faces affordable housing shortfall

The Town of Collingwood provided further insight into its need for more affordable housing after reintroducing its Rapid Additional Residential [ARU] program, which offers homeowners cash incentives to make part of their homes available for rent.

The ARU program offers between $5,628.62 and $10,000 to property owners who turn their basements, upper levels or other parts of their home into rentable units and rent it out year-round for a minimum of five years.

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"Our information shows us to be approximately 1,300 rental units short," said Collingwood's Deputy Mayor Tim Fryer in an interview with CTV News. "We have to do more to help with housing, and we're doing those steps and everyone is behind those, and we'll continue to do the steps that we think we have to take."

Fryer added that the ARU program granted eight building permits in 2022 and 22 in 2023.

According to the County of Simcoe's Secondary Suites program, it also offers up to $30,000 per unit to create a secondary or garden suite. The County also launched a Rental Market Aggregator tool to help search for housing.

Meanwhile, in the Town of the Blue Mountains Committee of the Whole meeting on Monday, council voted 5-to-0 in favour of declaring a housing crisis. A local housing strategy group declared that 215 affordable units are needed as soon as possible.

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A real estate agent in Blue Mountains Village told CTV News that entry-level condos in the area are valued at around $400,000, and entry-level rentals are valued at roughly $2,000 per month.

Local businesses say staff are challenged to keep up with the rising cost of housing close to where they work.

"It makes it very difficult from a staffing perspective," said Jim Owen, who owns Tholos. "Those that are making an hourly wage to be able to afford to rent in the area."

The Town of the Blue Mountains will ratify its declaration of a housing crisis in council on September 9.