CAPITAL REGIONAL DISTRICT
HOUSING AFFORDABILITY STRATEGY - 2024 PROGRESS REPORT

Executive Summary:
The CRD continues to face significant housing affordability challenges with median home prices exceeding $850,000 and rental vacancy rates below 2%. This report outlines regional initiatives and municipal coordination efforts.

=== REGIONAL HOUSING DATA ===

Median Home Prices by Municipality (2024):
- Victoria: $875,000 (condos: $485,000)
- Oak Bay: $1,450,000 (condos: $625,000) 
- Saanich: $925,000 (condos: $445,000)
- Esquimalt: $785,000 (condos: $425,000)
- Langford: $795,000 (condos: $465,000)
- Colwood: $765,000 (condos: $455,000)
- View Royal: $725,000 (condos: $415,000)
- Sidney: $695,000 (condos: $485,000)
- Central Saanich: $1,125,000 (condos: $525,000)
- North Saanich: $1,285,000 (condos: $565,000)
- Sooke: $685,000 (condos: $445,000)
- Metchosin: $895,000 (mostly single-family)
- Highlands: $785,000 (mostly single-family)

Rental Market Overview:
- Average 1-bedroom: $1,650/month
- Average 2-bedroom: $2,100/month
- Vacancy Rate: 1.8% (critically low)
- Purpose-Built Rental Starts 2023: 1,247 units
- Secondary Suite Estimates: 8,500+ units

=== REGIONAL COORDINATION INITIATIVES ===

1. Inter-Municipal Housing Working Group
   - Membership: All 13 municipalities + 3 electoral areas
   - Focus: Coordinated zoning, shared services, funding applications
   - 2024 Meetings: Quarterly coordination sessions
   - Key Achievement: Standardized inclusionary zoning framework

2. Regional Housing Trust Fund
   - Established: 2023
   - Current Balance: $15.2M
   - Contributors: All municipalities (pro-rated by population)
   - Projects Funded: 3 affordable housing developments (287 units)

3. CRD Housing Corporation
   - Incorporated: 2024
   - Purpose: Non-profit housing development arm
   - First Project: 125-unit mixed-income development (Royal Bay, Colwood)
   - Partnership Model: Municipal land, provincial/federal funding

=== MUNICIPAL HOUSING INITIATIVES BY JURISDICTION ===

VICTORIA:
- Missing Middle Housing Strategy: Allows 4-6 units in single-family areas
- Heritage Revitalization Program: 15 projects adding 89 secondary units
- Inclusionary Zoning: 10% affordable units in developments >20 units
- Short-Term Rental Regulations: Business license required, primary residence only

SAANICH:
- Garden Suite Program: Pre-approved designs for secondary suites
- Affordable Housing Reserve Fund: $8.7M accumulated
- Missing Middle Zoning: Allows duplexes/triplexes in RS zones
- Development Cost Charge Waivers: For affordable housing projects

LANGFORD:
- Workforce Housing Initiative: Below-market units for essential workers
- Rapid Transit Housing Strategy: Increased density near future LRT stations
- Public-Private Partnerships: 12 active affordable housing projects
- Family Housing Focus: Prioritizing 3+ bedroom rental units

ESQUIMALT:
- Small Lot Subdivision: Enabling gentle densification
- Esquimalt Housing Corporation: Municipal housing development entity
- Waterfront Housing Strategy: Mixed-income development along harbor
- Naval Family Housing Partnership: On-base and off-base coordination

COLWOOD:
- Royal Bay Master Plan: 30% affordable/workforce housing target
- Transit-Oriented Development: Higher density near future transit
- Colwood Housing Foundation: Non-profit development partnership
- Municipal Land Assembly: Acquiring land for affordable housing

OTHER MUNICIPALITIES:
- Oak Bay: Gentle densification in single-family areas, secondary suite incentives
- Sidney: Seniors housing focus, age-friendly development standards  
- Central Saanich: Agricultural worker housing provisions, rural housing options
- North Saanich: Airport area employment housing, rural residential flexibility
- Sooke: First-time buyer programs, community land trust exploration
- View Royal: Gorge waterway housing strategy, medium-density focus
- Metchosin: Agricultural housing provisions, clustered rural development
- Highlands: Water capacity expansion for modest growth accommodation

=== ELECTORAL AREA HOUSING ===

Juan de Fuca Electoral Area:
- Rural Residential: 1-5 acre minimum lots typical
- Affordable Housing Challenges: Limited services, transportation
- Senior Housing: Aging in place support programs
- Subdivision Potential: Limited by servicing capacity

Southern Gulf Islands:
- Unique Challenges: Ferry access, limited services, seasonal population
- Housing Types: Mix of year-round and recreational properties
- Affordable Options: Limited, mostly secondary suites and cottages
- Water/Septic: Individual systems, capacity constraints

Salt Spring Island:
- Largest Electoral Area Population: 11,635 residents
- Housing Trust: Community-led affordable housing initiatives
- Rental Market: Extremely tight, seasonal worker housing shortage
- Development Constraints: Water capacity, septic capacity, ferry access

=== REGIONAL POLICY COORDINATION ===

Inclusionary Zoning Coordination:
- Target: 10% affordable units in developments >20 units (most municipalities)
- Income Thresholds: Standardized at 30% and 50% of median household income
- Geographic Variations: Higher requirements in core areas, lower in outer areas
- Alternatives: Cash-in-lieu payments to regional housing trust fund

Development Cost Charge Reform:
- Affordable Housing Exemptions: Full DCC waivers for 100% affordable projects
- Rental Housing Incentives: 50% DCC reduction for purpose-built rental
- Regional Coordination: Standardized DCC calculation methodology
- Infrastructure Funding: Regional services DCCs applied consistently

Transportation-Housing Integration:
- Transit-Oriented Development: Higher density permissions near frequent transit
- Regional Transit Plan: Housing strategy alignment with BC Transit service planning
- Active Transportation: Complete streets supporting higher density housing
- Parking Requirements: Reduced minimums near transit, in affordable housing

=== CHALLENGES AND BARRIERS ===

1. Land Availability:
   - Urban Containment Boundary limits greenfield development
   - Municipal competition for development-ready sites
   - High land costs in core areas
   - ALR restrictions limiting suburban expansion

2. Servicing Capacity:
   - Water supply constraints in some areas
   - Wastewater treatment capacity limitations
   - Development sequencing based on infrastructure capacity
   - Regional service cost allocation challenges

3. Regulatory Complexity:
   - Multiple approval processes across jurisdictions
   - Provincial policy changes requiring municipal bylaw updates
   - Federal funding requirements creating project delays
   - Environmental assessment requirements extending timelines

4. Community Acceptance:
   - NIMBY resistance to density increases
   - Traffic and parking concerns
   - Character preservation in established neighborhoods
   - School capacity impacts from family housing

=== 2025-2027 STRATEGIC PRIORITIES ===

1. Regional Housing Targets:
   - 15,000 new housing units by 2027
   - 3,500 affordable/below-market units
   - 2,000 purpose-built rental units
   - 500 supportive housing units

2. Policy Harmonization:
   - Standardized secondary suite regulations
   - Coordinated short-term rental policies  
   - Regional design guidelines for affordable housing
   - Shared zoning tools and development incentives

3. Funding Coordination:
   - Joint federal/provincial funding applications
   - Regional housing trust fund expansion to $50M
   - Municipal land banking coordination
   - Private sector partnership frameworks

4. Innovation Initiatives:
   - Modular housing pilot projects
   - Co-housing and intentional community models
   - Employer-assisted housing programs
   - Community land trust development

Contact Information:
CRD Regional Planning Department
625 Fisgard Street, Victoria, BC V8W 1R7
Phone: (250) 360-3000
Email: housing@crd.bc.ca
Web: www.crd.bc.ca/housing

Report Prepared: November 2024
Next Update: November 2025