ADMINISTRATIVE REPORT


                                           Date: June 12, 1996
                                           Dept. Files No. F682, F845


   TO:            Vancouver City Council

   FROM:          Manager of the Housing Centre

   SUBJECT:       Non-Market  Housing Sponsor  Selection for  City-owned 27
                  West Pender Street and 1205-1213 Seymour Street Sites.

   RECOMMENDATION

        A.        THAT the Vancouver Native Housing Society be appointed as
                  sponsor for the City-owned site at 27 West  Pender Street
                  and that an application be submitted to the 1996 Homes BC
                  Proposal Call.

        B.        THAT  the     Affordable  Housing  and   McLaren  Housing
                  Societies  be  appointed co-sponsors  for  the City-owned
                  site at 1205-1213 Seymour  Street and that an application
                  be submitted to the Homes BC 1996 Proposal Call.

        C.        THAT no  legal rights and obligations  are hereby created
                  and none  shall arise hereafter except  upon execution of
                  all necessary legal documents by all of the parties.


   GENERAL MANAGER'S COMMENTS

        The General  Manager of  Community Services RECOMMENDS  approval of
        the foregoing.

   COUNCIL POLICY

   On May 28, 1996, Council  decided In Camera to "seek a sponsor to submit
   the City site at 27 W. Pender for a 1996 Homes BC allocation  to develop
   the  site for  housing  serving  downtown  low-income singles  with  the
   potential to include a relocated Crabtree Corner, for 
   report back to Council" and to also "seek a sponsor to submit the
   City site at 1205-1213 Seymour for a 1996 Homes BC allocation to develop
   the site for housing serving the downtown low-income singles, for report
   back to Council."  


   It  is  City practice  to  purchase  private  lands and  lease  them  to
   non-profit groups  for 60 years  at a  prepaid rent of  75% of  freehold
   value for social housing development.

   It is also Council policy that a list of potential  sponsor and resource
   groups  for  non-market  housing  projects  on  City-owned     sites  be
   maintained,   and  that  eligibility  for  the  list  be  determined  by
   evaluating  each submission  based  on a  Council-approved criteria  and
   weighting system.

   DISCUSSION

   The  Ministry of Municipal Affairs and Housing announced support for the
   development of  950 new  affordable homes  for 1996  under its HOMES  BC
   program on April  19, 1996.   The call consists of  up to 800 units  for
   families, seniors and individuals with special needs and up to 150 units
   for  homeless/at risk  housing.   The latter  group  includes vulnerable
   individuals (i.e., mental illness) in need of second-stage and permanent
   housing.  The call closes on July 31.

   On  May  28, 1996,  Council authorized  staff to  seek sponsors  for two
   City-owned sites suitable for mainly low income urban singles at 27 West
   Pender Street and 1205 - 1213 Seymour Street. 

   In  mid-May,  proposal   call  packages  were  sent  to   18  non-profit
   societies.   Sixteen  are  on the  Council-approved  list  of  potential
   sponsors for  Downtown singles  and urban  natives on  City-owned sites.
   (Two societies had recently enquired about the availability of the sites
   for  non-market housing development.)  Five societies applied for the 27
   West Pender site  and 4 applicants (including a joint application by two
   societies) applied for the 1205-1213 Seymour Street site.  Two societies
   expressed interest in both sites.

   Each application was  evaluated using the criteria and  weighting system
   approved by Council for groups wanting to get on the City's general list
   for  City-owned  sites  which  includes an  assessment  of  the  project
   proposed.

   The criteria included:

                Society Credentials
                Housing Expertise and Management Philosophy
                Projects Operated by Society
                Links with Community or Neighbourhood Organizations
                Housing Needs and Waiting List or Prospective Tenants
                Housing Project Proposed for the site.



   The  Housing Centre  recommends  that Vancouver  Native Housing  Society
   (VNHS) be  named as  sponsor for  27 West  Pender.   This society  has a
   proven  track  record of  developing and  managing  11 projects  in East
   Vancouver.   Many aboriginal people live  in the Downtown Eastside.   It
   would benefit the neighbourhood to have a  project which gives  priority
   housing to  this group.   VNHS proposes  to include  a family  component
   which is compatible with  Crabtree Daycare, which may relocate  into the
   project, and the mixed  family/singles project by CBA across  the street
   in Block 17.  

   The  Housing Centre  also  recommends that  the  Affordable Housing  and
   McLaren  Housing  Societies act  as  joint  sponsors  for the  1205-1213
   Seymour  Street site.  Their  proposal targets Downtown  South SRO hotel
   residents, consistent with Council's housing priorities.  A component of
   the project will house HIV-positive residents which, given the proximity
   to St. Paul's Hospital, is an ideal location for housing for this group.

   If these  societies are  successful in  obtaining unit  allocations from
   BCHMC,  arrangements will  be made to  ensure that priority  be given to
   local area residents in tenant selection.

   All   applicants   have   been   notified  of   the   Housing   Centre's
   recommendations to Council.




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