In New Brunswick, the housing landscape is set to witness an expansion with the development of three new housing co-operatives that are expected to add around 200 units to the province. Tim Ross, the director of the Co-operative Housing Federation of Canada, highlighted that the resurgence in co-op development is a positive sign, especially following the decline after the government’s retreat from housing programs in the early 1990s.
Ross emphasized that governments are now focusing on catching up with the demand for affordable housing, including co-op initiatives, through new funding programs. Housing co-ops are naturally affordable, with a recent study revealing that in 2021, co-op apartments cost between $400 and $500 less per month compared to private rentals. This affordability is attributed to their non-profit structure, access to grants or low-cost public financing, and insulation from market fluctuations.
The stability of co-op housing models, not being subjected to market speculation, is crucial in combating the loss of affordable housing in Canada. With the average rents in New Brunswick increasing by 51% from 2019 to 2024, the need for such affordable alternatives is becoming more pressing.
In Fredericton, Janet Flowers, president of the New Brunswick Collaborative Housing Co-operative, is spearheading a project for a 97-unit building on the city’s north side. Additionally, plans for a new housing co-op in Sackville, the Freshwinds Eco-Village Housing Co-operative, are underway to construct 68 units in a village-style cluster off Fairfield Road.
John Bourque, a long-term resident of the Maple Grove Co-operative in Moncton, emphasized the communal aspect of co-op living, where member participation helps in keeping housing costs low. Public funding, such as the federal Co-op Housing Development Program, plays a vital role in kickstarting these new co-op projects, ensuring affordability and sustainability in the housing sector.
The demand for federal funding for co-op housing projects has been substantial, with several approved initiatives across Canada. Tim Ross expressed optimism about the potential impact of new federal initiatives like Build Canada Homes, designed to provide low-cost financing for non-market housing providers. The concerted efforts to support viable projects aim to address the housing crisis and seize opportunities to bolster affordable housing options.