Nelson Sergerie, LJI Journalist
GASPÉ – The Gaspé Peninsula faces an urgent need for 1,500 housing units in the very short term – within a year – to address immediate shortages. Despite this, the Gaspé Peninsula Table of Prefects estimates that there will still be a shortfall.
Several elected officials took advantage of the visit of the Minister responsible for housing to Maria on August 27 to take stock of the situation prevailing on the Gaspé Peninsula.
“This is very difficult data to obtain and we did some quick calculations and, at the very least in the short term, in the next year, 1,500 housing units would be needed and we know that each year, more will have to be added. It’s difficult to assess it. The needs are immense and the challenges are great,” says Mathieu Lapointe, president of the Table.
Mr. Lapointe believes that Minister France-Élaine Duranceau is aware of the region’s needs which have been conveyed many times.
“The particular challenge in the Gaspésie is the cost of construction, which is higher than elsewhere in Quebec. There are projects that come out at $600,000 or $700,000 per door. We have to find solutions and that’s what she’s working on to reduce costs. This means that we’re not able to complete the financial packages and carry out the projects,” notes Mr. Lapointe.
In the private sector, a four-and-a-half unit costs nearly $300,000 while social housing can reach $450,000.
On several occasions, the Table has proposed possible solutions to stimulate construction. “What the private sector is telling us is that it’s not profitable enough, especially the down payment, which is too high. That’s why we suggested various measures such as tax credits or enhanced depreciation that could make a real difference and apply only to our region,” says Mr. Lapointe.
“She (the Minister) is analyzing these measures and she was thinking about concrete solutions of this type or loan guarantees to encourage people to invest in rental housing without requiring a 20% down payment, which is too high given the return,” says Mr. Lapointe.
On August 22, the two levels of government announced a call for projects to build 500 modular units across Quebec to speed up construction.
“We wanted the details to position ourselves and for the region to benefit from it but the minister did not commit. As soon as we have solid files, we can go back to see her and present potential files to the municipalities. Her number one issue is to have additional housing quickly and we will position ourselves quickly to respond to this concern,” notes Mr. Lapointe.
In Gaspé alone, there is a shortage of 400 housing units. Last week, the Quebec government presented a strategy to build 560,000 housing units quickly in Quebec. The Mayor of Gaspé, Daniel Côté, believes that this could help with construction.
“It could help on the financial side in particular. In her statement, the minister asked the municipal sector to be more flexible. Here, we are doing it. We had a private meeting with her Monday morning (August 26) and she quickly understood that municipalities in Gaspésie were not the type to slow down projects,” indicates the mayor.
Mr. Côté highlighted the importance of flexibility in financial assistance. The Affordable Housing Program Quebec (PHAQ) could be revised.
“The program is good for nonprofit organizations. The private sector has access to it but few get on board because it is a bit complex. She understands that. She is ready to reopen the PHAQ program. When she talks to us about a new financial assistance program that is better adapted to reality, that speaks to us. If we are told that municipalities must adapt their regulations, that speaks to us less because we have already done so. In short, there is some good in what has been said. There are things that may be good for others but, for us, the financial assistance speaks to us,” comments Mr. Côté.
The minister believes that her program, which has two development axes, has been well received. She wants to create an environment conducive to construction, affordable or not.
“We have new financial tools to support groups so that projects can be built at a lower cost. While waiting for everything to be built, we want to help people who have difficulty paying their rent. There are a multitude of measures to help people while waiting for the housing supply to increase in Quebec,” mentions France-Élaine Duranceau.