The city wants to build its own market rental housing. Is that a good idea?

Good morning,

If I have a bias when it comes to new coverage, my biggest is that I’m very open to innovative, outside-the-box thinking when it comes to government, especially when it comes to what other countries are doing. Too often we ignore what other places have accomplished, thinking it can’t work here. In my experience, that’s usually wrong.

I say this because last week, there was a major policy announcement by the city about housing that sparked my interest, especially in the context of what other countries are doing. But is something new actually helpful in regards to the housing crisis? We break it all down in today’s newsletter.

Also on the weather front, the good news is it’s clear sunny skies. The bad news is it’s also still cold, especially in the evening! 

— Geoff Sharpe, Vancity Lookout

PS - If you find this newsletter valuable, please consider forwarding it to your friends. New to the Lookout? Sign-up for free.

WEATHER

Monday: 3 🌡️ -6 | ☀️

Tuesday: 2 🌡️ -5 | ☀️

Wednesday: 4 🌡️ -3 | ☀️

NUMBERS OF THE DAY

🚙 10: The number of years B.C. has to hit its zero-emission, light-duty vehicle sales target. Last year, zero-emissions vehicles counted for 25 per cent of all sales in the first nine months of 2024. [Vancouver Sun]

⚽️ $22,806: Now, that’s not the price of a vehicle, that’s for World Cup passes at B.C. Place next year. Looking to save money? For $11,581.67 you can score the first four group stage matches. That’s about $2,895 per ticket. And people say houses are expensive! [The Province]

🛳️ 2: Disney Cruises expects to double the number of cruise ships that arrive in Vancouver in 2026, with two vessels docking instead of one. [Daily Hive]

HOUSING

The city wants to build its own rental housing. Is that a good idea?

What happened: To say this is a radical departure from the norm would be an understatement — Mayor Ken Sim, along with his ABC councillors, announced a plan to turn city land into market rental housing, according to the Vancouver Sun. 

• The city will develop five properties, with two already submitted at 54 and 40 storeys, that would see more than 1,100 market rental apartments built. They are located at Pacific and Hornby Street. 

Why it’s controversial: The decision to build market rental housing, in the context of what other cities doing, could be considered an odd choice for a few reasons. There are already many rental housing projects in the pipeline. Most cities get involved in rental housing by focusing their limited resources on below-market rental projects to help those who can less afford rent.

• From a profit generation standpoint, the city is likely to make money, according to the Globe and Mail, because rather than having to purchase and develop the land, they already own it. However the city will need to hire many people with expertise in building, which could get expensive. 

Zoom out: Burnbay, rather than building market rental housing, has launched a municipal housing corporation called the Bunraby Housing Authority, which will build units that are 50 per cent below market rents. This compares to Vancouver, which is building more expensive market rental units. The mayor of Burnaby said it “doesn’t make any sense” for their housing authority to focus on market rental buildings, , according to The Tyee. 

International example: Vienna is a popular example of a city that’s figured out how to make housing more affordable. They own their own apartments, roughly 220,000 of them but rather than viewing it as a mechanism to generate revenue for the city, the policy goal is to keep inner city housing affordable, according to the Guardian. 

Yes, but: Looking outside municipalities, the city’s plan is a little less unique. The province has, through its BC Builds project, moved into developing market housing on land that it owns. The province says they’re interested in hearing more details about the project, according to the Globe and Mail. 

What it means: There are potentially a few reasons why the city is doing this. ABC believes that building any sort of home building is good for affordability and that by building more, home prices and rents will go down for everyone. The city also likely sees this as an opportunity to make more money. Why let developers pocket the profit when the city could?

• Secondly, as Sim noted in the new release, they’re focusing on middle-income housing. It’s an area that makes sense for them electorally, as people making between $90,000 to $120,000 per year are more likely ABC voters.

Yet, while the city may generate revenue, there is finite land. Each decision to build market rental housing takes away from building other types of developments.

What it means: Most experts quoted in the coverage about the policy questioned the city’s plan to build housing this way. Innovative solutions are not a bad way to approach a project. But there are valid questions about whether the city should be investing in market rental housing instead of below-market rentals, and whether it has the expertise long-term to execute this complex project.

THE AGENDA

🏅 The Invictus Games have begun in Vancouver. The competition is for injured military and service personnel, with around 550 athletes participating in 11 different sports. Winter sports have been added this year. Around 40,000 people attended the opening ceremonies, and artists like Katy Perry, Nelly Furtado, and Coldplay’s Chris Martin performed for the crowd. [CBC]

📃 While the city has announced their plan to revitalize the Granville strip, including car-free spaces and more entertainment venues, local businesses are expressing frustration over the current problems, arguing a 20-year-plan is too little, too late. Amongst the issues cited include cost of living for people and businesses, and growing street disorder. We hope to cover more of the plan in detail at a later date. [CBC]

❌ As of yesterday, the Seawall between Third Beach and Prospect Point is closed due to hazardous conditions.

🏒 While often-injured Canucks goalie Thatcher Demko had to leave the game against the Maple Leafs on Saturday, the team managed to hold on for a 2-1 victory, with Kevin Lankinen replacing Demko in the first period after 10 minutes. [NHL]​

🍎 Is there a way for the province to rely less on imported foods from the US? One reason that makes it harder to grow more food is due to high land costs. The Agricultural Land Reserve is also limited in what can be done with the land. While much can be grown, there are rules around processing the food that make it more difficult. That results in a lot of exported produce to the US, with the final product shipped back and sold to Canadians. [Vancouver Sun]

TRANSPORTATION

New passenger ferry possible between Vancouver, Sunshine Coast

What happened: Council will soon debate a motion about bringing in an electric passenger ferry service that will help connect downtown Vancouver to Bowen Island and the Sunshine Coast after the city announced a public-owned park would serve as the dock for the ferry, assuming it’s approved by council. 

The details: The ferry would launch from Coal Harbour and could start as early as 2027. Over at the park board, Commissioners Brastyovanszky and Christensen will introduce a motion to upgrade Harbour Green Dock for the service. 

• It would not be run by the city, but would be a private service through Greenline ferry. It would take 40 minutes to get to Bowen Island and 70 minutes to get to the Sunshine Coast from downtown. Councillor Bigh estimates it could deliver 1,000 passengers daily, thereby removing 500 car trips.

Context: If you’ve ever taken BC Ferries over to Bowen Island and the Sunshine Coast, you know how frustrating an experience it can be. Long lines, and having to travel all the way to Horseshoe Bay, it all adds up to a less-than-ideal experience. 

Zoom out: Historically, the region has been served by large-scale ferries provided by BC Ferries, at distant points of entry. But in recent years, small-scale operators have popped up, helping fill a clear need. Hullo Ferry is an excellent example, helping move hundreds of people between downtown Nanaimo and Vancouver, rather than forcing passengers to disembark at Tswassen or Horseshoe Bay.

NEW JOBS

Discover your dream job in Vancouver:

• Station agent, VIA Rail Canada

• Director, marketing at PNE

• Community relations coordinator, Senior Helpers Vancouver

• Senior director, operations at Community Builders

• Manager, student affairs at Capilano University

EVENT GUIDE

LunarFest Vancouver | Ocean Artworks, Granville Island, 1531 Johnston St, Vancouver | Now until Feb. 17, various hours | Free

Just for Laughs Comedy Festival | Various venues around town | Feb. 13-23 | Tickets

Just For Laughs Vancouver | Various locations | Feb. 13–23, various times | Tickets $20+

Y La Bamba with Caicedo | Wise Hall | Feb. 16, 8:00pm | Tickets $30

Family Day at Vancouver Maritime Museum | 1905 Ogden Avenue, Vancouver | Feb. 17, 10:00 am | Free

VCT presents Family Day Weekend | Queen Elizabeth Theatre, 630 Hamilton Street, Vancouver | Feb. 15, 9:00 am | Free

Kids Take Over UBC | UBC Campus, Vancouver | Feb. 16, 10:00 am | Various prices

JKLatte Studio - Latte Art Class Taster Session | Wildwood Crescent, Burnaby | Feb. 17, 10:30 am | Tickets $98

New St. Paul's Hospital - Mock Room Tours | 680 Raymur Ave, Vancouver | Feb. 20, 9:00 am | Free

Vancouver International Mountain Film Festival (VIMFF) | Various locations and shows | Feb. 21 – Mar. 4 | More info

PHOTO OF THE DAY

Nice to see the beacons of Gondor (kidding) lit again, this time for the Invictus Games!

GAME TIME

COMMUNITY HIGHLIGHTS

• Van Mag announced their Power 50 List of influential locals. [Vancouver Magazine]

• Here’s some fun history about a former chocolate factory in Vancouver. [Urbanized]

• Vancouver’s historic black neighbourhood is now on a coin! [CBC]

• I always love a good Arthur Erickson showcase, and this place in North Vancouver does not disappoint. [Straight]

Want to have your announcement featured? Learn how here.