Halifax’s new affordable housing plan aims to continue backing the non-profit sector, yet city officials acknowledge it doesn’t fully address the pervasive issue of high housing costs. The proposal was presented to the community planning and economic development council committee, suggesting the retention of current affordable housing grant programs, waiver of permit fees, and tax relief for non-profit housing groups when federal funding for staff assistance ends.
The plan involves adding two new staff positions in the upcoming 2027-28 city budget, with an estimated annual cost of around $242,950 each. Councilor Becky Kent emphasized the importance of supporting independent agencies already creating housing space with city support.
Between 2021 and December 2025, existing municipal programs and federal funds through the Rapid Housing Initiative facilitated the creation of 1,400 non-market or deeply affordable housing units. This new strategy marks the final phase of Halifax’s obligations under the Housing Accelerator Fund, which secured $80 million in federal funding since 2023 for various housing initiatives.
Aaron Murnaghan, overseeing the HAF program, informed councilors that Halifax is on track to surpass its target of 2,600 additional housing starts by October, totaling over 15,460 units in three years, including 333 affordable units. However, Murnaghan noted that construction delays are attributed to high costs, financing challenges, material shortages, labor issues, and the unique geographic challenges in Halifax.
Despite the progress, some councilors expressed disappointment that the strategy lacks measures to significantly impact market affordability for middle-income residents facing escalating rents and property tax assessments. Murnaghan highlighted that the city has promoted wooden construction for quicker and cost-effective projects, along with zoning changes enabling the creation of thousands of new units.
The municipality’s role is to facilitate construction, while the private sector and provincial and federal governments play crucial roles in boosting housing supply. Murnaghan emphasized that it may take several years for supply to meet demand and restore affordability to a balanced level.
The strategy also includes advocating for provincial cooperation to implement a vacant land tax, waive Halifax Water development charges for affordable housing projects, and adjust the deed transfer tax. Additionally, long-term plans involve exploring the integration of affordable housing within new or renovated municipal facilities. Alternative models, such as establishing a municipal housing corporation, could be considered in the future but would require further evaluation and potential legislative changes.
The final approval of the strategy will be presented to the regional council at a later stage for consideration.