New Brunswick Housing Co-ops Set to Add 200 Affordable Units

UPDATE: New Brunswick is on the brink of a housing transformation as plans for three new housing co-operatives aim to deliver approximately 200 new units in the province. The Co-operative Housing Federation of Canada has confirmed a resurgence in co-op development, which had dwindled after federal funding cuts in the early 1990s.

Tim Ross, the federation’s director, emphasized that governments are now racing to catch up with the urgent need for affordable housing. This comes at a critical time as average rents in New Brunswick surged from $812 in 2019 to $1,229 in 2024, marking a staggering 51 percent increase in just five years.

The new projects, located in Fredericton, Sackville, and an undisclosed northern location, highlight the potential for co-ops to provide affordable housing solutions. A recent study revealed that co-op apartments can cost between $400 and $500 less per month than private rentals.

Janet Flowers, president of the New Brunswick Collaborative Housing Co-operative, is spearheading a 97-unit development in Fredericton. If funding is secured, construction could start as early as June 2024. This project, located on Brown Boulevard, will offer a mix of one, two, and three-bedroom units, with some subsidized to ensure tenants pay no more than 30 percent of their income.

Meanwhile, the Freshwinds Eco-Village Housing Co-operative plans to build 68 units in Sackville, with construction expected to begin within six months of federal funding approval. Co-chair **Sabine Dietz** highlighted that as market rents continue to rise, the affordability of their units will stand out, keeping housing costs stable.

Longtime resident and vice-president of the Maple Grove Co-operative, John Bourque, shared his experience of living in a co-op for over 44 years, emphasizing the community benefits and low costs that co-ops provide. At Maple Grove, a three-bedroom townhouse can be rented for “well below $1,000,” but the waiting list stretches between five and ten years.

Funding is crucial for these new co-op projects. The federal Co-op Housing Development Program, which offers $1.5 billion in grants and loans for new developments, has seen overwhelming demand. So far, $423 million has been approved for eight projects across Canada, with more funding announcements expected soon.

Ross noted that the urgency for these projects is greater than ever as “groups that have spent millions on feasibility and pre-development work” await funding to tackle the ongoing housing crisis. The rising costs of housing in Canada make these developments essential, with co-ops providing a stable alternative to the volatile market.

As the situation develops, all eyes are on government action and funding approvals, which are critical to ensure that New Brunswick’s new housing co-operatives become a reality. With community leaders advocating for swift decisions, the future of affordable housing in New Brunswick hangs in the balance as construction plans await the green light.

Stay tuned for updates on these pivotal housing developments in New Brunswick, as the demand for affordable housing continues to escalate across Canada.