Nelson Housing Needs

Report 1
HOUSING NEEDS UPDATE

OCTOBER 2014
CITY OF NELSON
EXECUTIVE SUMMARY
AN UPDATED HOUSING STRATEGY

This report is one of two reports produced from the 2014 Nelson Aordable
Housing study, focusses on need and demand for aordable housing in
Nelson. It contains:
A descripEon of a wide range of factors that inuence the housing market;
An idenEcaEon of groups who are least able to access suitable,

aordable housing; and,
A commentary on gaps and issues in the market and non-market sectors.
CitySpaces research was conducted between May and September 2014,

involving a review of previously completed research, and both in-person and
telephone interviews. ParEcipants were generous with their Eme and provided
many helpful insights.
GROUPS EXPERIENCING GREATEST

CHALLENGE IN NELSONS HOUSING
MARKET
Our research idenEed six groups that have the greatest challenges in nding
suitable and aordable housing in Nelson:
At-Risk Youth and Young Adults. Many low-income youth and young adults in
Nelson are experiencing diculEes with housing aordability. Key to this issue
is low-income levels due, in part, from low availability of entry level jobs, and
the low wages that accompany those that are available. Young adults under
the age of 24 have the lowest median incomes in Nelson compared to other
age groups. Youth aged 16-24 who are at risk of becoming homeless have
been able to nd shelter at Cicada Place. However, gaps sEll exist in the
system for youth who are ready to leave Cicada Place as there are few
aordable housing opEons available.
City of Nelson - Aordable Housing Needs Assessment Update - Final Report | October 2014
Persons with DisabiliGes. The wait list for suitable housing for persons with
disabiliEes has increased since the 2010 Aordable Housing Strategy. This wait
list has increased despite the construcEon of a dedicated 33-unit building
(Anderson Gardens) for low-income seniors and people with disabiliEes.
Community consultaEon further supports the wait list numbers.
Low-income Seniors and Seniors in Rural Areas of Nelson. The demand for
aordable housing for seniors has signicantly increased over the past 8 years
and the number of seniors in Nelson is projected to grow over the coming
decade. Median incomes for seniors appear to be quite healthy in Nelson
compared to other household groups, and seniors appear to be quite
nancially healthy in Nelson compared to household groups, and seniors are
more likely to accumulate wealth over Eme. That said, seniors earning a xed
income (i.e. pension) are challenged to aord the average market rental prices
in Nelson.
The community has reported that seniors living in rural areas in Nelson are
experiencing diculEes with managing their rural properEes, and are also
challenged with transportaEon. As a result, seniors living in rural areas are
increasingly looking to downsize into smaller units in the urban areas of
Nelson. Condominium developments have the potenEal to ll the market gap
for seniors who are downsizing. However, this will not apply to all seniors, and
a segment of the senior populaEon who cannot aord to purchase will need
access to rental suites that are safe, accessible and aordable. Some seniors in
rental suites will be able to apply for the SAFER rent subsidy, but will sEll need
suitable and appropriate housing to meet their needs.
Low-income Families. The City of Nelson has experienced a decrease in the
demand for aordable housing for low-income families. However, community
observaEons indicate that the number of families and children living in poverty
in the City is increasing, and aordability calculaEons support these
observaEons. Although there is a rent supplement program for low-income
families (RAP), there are limited family-friendly rental opEons that are secure
and in good condiEon, and 3-bedroom rental units are rare.
In 2010, the Housing Needs Assessment idenEed a need to assist low to
moderate income families in their aaainment of homeownership. Since then, a
privately operated Rent-To-Own program has been introduced into Nelson,
and at the Eme of this study had 97 qualied applicants. The largest barrier to
achieving housing for these families in the Rent-To-Own program is the lack of
availability of homes with enough bedrooms to accommodate families.
QualitaEve research has indicated that duplexes, fourplexes, and town homes
would best ll this gap.
Persons with Mental Health and AddicGons Issues. Community observaEons
reported a prevalence of persons with mental health and addicEons issues in
Nelson. StaEsEcs provided by Stepping Stones for Success supports this
observaEon, illustraEng that a high proporEon of individuals who use their
services have mental health and addicEons issues (increased from 36% to 52%
ii
between 2006 to 2013). Further, police records also indicate an increase in

calls related to mental health issues (20% to 30% year-to-date). Insucient
housing exists for individuals who both reside in Nelson on a permanent basis
for those who travel to Nelson for addicEons treatment at the local hospital.
The community idenEed a shortage of supporEve housing for persons with
mental health and addicEons, and a need for detox beds.
People who are Homeless or At-Risk of Homelessness. Stepping Stones for
Success has recorded an increase in the average length of stay for visitors,
from 9.5 days in 2010 to 16 days in 2013. Local food banks (the SalvaEon Army
and Our Daily Bread) have also seen an increase in visits over the past decade,
with 1-in-5 visitors being children. These indicators, along with the informaEon
provided in the recent Homeless Report Card, and the increasing number of
visible homeless (i.e. homeless camp in Railtown), indicates that there is likely
a need for more supplements and housing supports for homeless individuals.
This need could be much greater than is immediately apparent as hidden
homeless are hard to reach and account for.
MAIN HOUSING GAPS

Ten main housing gaps cross over the private and non-market housing sectors:
1.
Aordable bachelor or one bedroom units that are suitable for singles
2.
Independent aordable housing for youth (22+);
3.
Youth safe beds or safe home programs for ages 11 - 15;
4.
Permanent aordable housing that is accessible and adequate for persons

with disabiliEes;
5.
Accessible rental and ownership opEons for seniors in the urban areas of
Nelson;
6.
Aordable family-friendly rental units;
7.
Lower cost homeownership (small lots, ground-oriented mulE-units);
8.
Dedicated detox beds, possibly in conjuncEon with an addicEons

treatment facility;
9.
Scaaered site rent supplement programs for persons with mental health
issues, and appropriate discharge planning from hospitals/detainment;
and,
10. Matching households with rent subsidy programs.
OTHER CONSIDERATIONS
Quality and CondiGon of Rental Housing. Poor housing condiEons were
reported in both 2010 and 2014. The updated OCP has a policy in support of
Standards of Maintenance Bylaw; however, a regulatory Bylaw has not yet
been wriaen. There are community concerns that upgrading older buildings in
iii
poor condiEon can result in rental increases, evicEons, and a net loss of
aordable housing.
Pressure on the Rental Market. The rental market has experienced a very low
vacancy rate for several years, but has been alleviated (to a small degree)
silng at 2.6%. SEll, the rental market is considered balanced/healthy at a 3%
vacancy rate. As such, Nelsons rental market is experiencing pressure, which
coincides with demand and increasing rental prices.
Employment Challenges and Occurrences of Poverty. As of 2010, Nelson sEll
had not fully experienced the impact of the recent economic recession. Since
2010, there have been limited job opportuniEes, along with job losses, and the
community has indicated that a lack of large employers in the Nelson area
along with a conEnual increase in populaEon is causing increased compeEEon
for already limited employment resources. The informal economy that has
been built on marijuana producEon could also be at stake considering recent
regulaEon changes. Although the exact future implicaEons of the regulatory
changes are unknown, there is concern in the community that small-scale
operaEons could destabilize in the future and households could lose their
nancial independence.
NELSON AFFORDABLE HOUSING STRATEGY

The second report of this study is the updated Nelson Aordable Housing
Strategy. The Strategy document responds to the housing needs and gaps
idenEed in this report, outlining potenEal soluEons and acEon items to
facilitate change. It also includes examples of housing success stories that deal
with similar challenges in comparable communiEes.
iv
TABLE OF CONTENTS
INTRODUCTION
Project Overview ..................................................................................1

What is an Affordable Housing Strategy? ........................................1
The Housing Continuum ......................................................................2
DEMOGRAPHIC PROFILE
Demographics Overview ......................................................................3

Population Change ................................................................................3
Age Profile ..............................................................................................4
Household Types ...................................................................................5
MARKET HOUSING
Market Housing Overview ...................................................................7

Dwellings and Properties ....................................................................7
Housing Conditions ...............................................................................9
Housing Tenure ...................................................................................10
Residential Building Activity .............................................................11
Purpose-Built Rental Housing, and Fires ........................................12
Rental Prices ........................................................................................13
Rental Vacancy ....................................................................................15
Housing Prices .....................................................................................16
Cost of Borrowing ...............................................................................18
THE AFFORDABILITY CONTEXT
19
Defining Affordability ........................................................................19

Household Income and Rental Affordability Calculations ...........19
Homeownership Affordability Calculations ....................................23
Job types, Wages and Affordability .................................................27
Income Assistance ..............................................................................28
Core Housing Need .............................................................................29

Seniors ..................................................................................................29
NON-MARKET HOUSING
31
Non-Market Housing Overview ........................................................31

Non-Market Housing Supply .............................................................31
Rent Supplement Programs ..............................................................33
Affordable Housing Wait List ............................................................34
Youth Services .....................................................................................36
Rise in Mental Health and Addictions .............................................37
Prevalence of Homelessness .............................................................38
HOUSING NEEDS AND GAPS
41
Affordable Housing Needs in Nelson ..............................................41

At-Risk Youth and Young Adults .......................................................41
Persons with Disabilities ....................................................................42
Low-Income Seniors and Seniors in Rural Areas of Nelson .........42
Low-Income Families ..........................................................................43
Persons with Mental Health and Addictions Issues ......................44
People who are Homeless or At-Risk of Homelessness ...............44
Other Considerations .........................................................................46

Quality and Condition of Rental Housing .......................................46
Pressure on the Rental Market .........................................................46
Employment Challenges and Occurrences of Poverty ..................47
APPENDICES
49
Appendix A: List of Key Informants .................................................49

Appendix B: List of Key Terms and Definitions ..............................50
Appendix C: List of Sources ...............................................................52
vi
INTRODUCTION
PROJECT OVERVIEW
The City of Nelson developed their rst Aordable Housing Strategy in 2010,
engaging CitySpaces ConsulEng to carry out the research and wriEng of the
report, which can be accessed on the Citys website (hap://www.nelson.ca/
assets/City~Services/Pubs~and~Reports/Development~Services/
2_HousingStrategy.pdf).
Above: City of Nelson, BC
Nelson has evolved over the last 4 to 5 years, and undergone several changes
regarding housing stock, housing programs, and economic condiEons. In
addiEon, new staEsEcs were released including StaEsEcs Canadas Census and
NaEonal Household Survey (2011). In response to these changes, the City of
Nelson iniEated an update of their 2010 Aordable Housing Strategy, engaging
CitySpaces ConsulEng to idenEfy aspects of housing that have changed,
improved, worsened, or stayed the same. The purpose of this study is to
idenEfy these changes, as well as idenEfy new and emerging housing needs in
Nelson.
WHAT IS AN AFFORDABLE HOUSING STRATEGY?

An Aordable Housing Strategy idenEes the current and emerging housing
needs of a community by examining the housing gaps and issues. It also
idenEes strategic soluEons to meet the communitys unique needs.
This Housing Needs Report Update is the rst of two deliverables to be
prepared for this project.
Report #1 - Housing Needs Report Update: This baseline report examines

relevant housing data including current housing mix, housing tenure,
rental prices, housing sales prices, household income, housing vacancy
rates, and aordability analysis. This report also includes a summary of
the insights, observaEons and comments obtained from consultaEon with
key informants, outlining their housing concerns.
Report #2 - Aordable Housing Strategy Report Update: The second and

nal report reects on the data research and community input,
summarizing the housing gaps and issues in the City. This report outlines
strategies to address housing issues.
The strategic acEons idenEed in 2010 will be re-evaluated against the new
and emerging housing needs in the community, and updated to reect any
changes to the housing situaEon over the past 4 to 5 years in Nelson. These
Strategies can be found in the Companion Report: Aordable Housing
Strategy.
THE HOUSING CONTINUUM

Housing needs and issues are evaluated against the Housing ConEnuum. The
housing conEnuum is a visual concept that illustrates both market and non-
market housing. Non-market housing refers to housing below market rents or
prices, ranging from emergency shelters through various forms of supporEve
to rent-geared to income (RGI) rentals and housing co-operaEves. Moving
across the conEnuum to the right is market rental and homeownership
housing.
Figure 1: The Affordable Housing Continuum
TYPES
NON-MARKET
EMERGENCY
SHELTER
TRANSITIONAL
SUPPORTIVE
ASSISTED
LIVING
SOCIAL
HOUSING
INDEPENDENT
LIVING
MARKET
AFFORDABLE
RENTAL
RENTAL
ASSISTANCE
PROVIDED
IN PRIVATE
MARKET
MARKET
RENTAL
LOWER COST
HOME
OWNERSHIP
MODERATE &
HIGHER COST
HOME
OWNERSHIP
FORMS
Small Lots/Units
Homeless
Shelters
Safe
Houses
Subsidized
Rental Housing
with Funded
Support Group
Homes
Subsidized
Rental Housing,
Families/Seniors/
Disabled
Grant Aided
Family/
Workforce
Rental
Assistance
Program (RAP)
Rent
Supplements
Rental
Housing
at Market
Prices
Secondary
Suites/Dwellings
Coach/Laneway
Housing
Manufactured
Homes
Detached
Homes
Seasonal
Homes
Co-operative
Housing
HIGH
LEVEL OF GOVERNMENT
FINANCIAL ASSISTANCE
The mix of market and non-market housing varies depending on community,

as every community has a unique socio-economic make-up as well as
community-specic needs. Residents should have the opportunity to move
across the housing conEnuum to nd shelter that is most appropriate and best
suited to their needs and circumstances, and that meets a sucient standard
of adequacy, suitability, and aordability.
LOW
DEMOGRAPHIC PROFILE
There are an increasing number of young people and

families in need of housing
Key Informant Interview, 2014
DEMOGRAPHICS OVERVIEW
Above: Mountain Lake Seniors
Community/Complex Care (front);
Mount St. Francis (back)
Demographics are a key indicator of housing needs in a community as they can

help to idenEfy if there is enough residenEal land base to accommodate future
populaEon growth. This secEon summarizes Nelsons populaEon changes of
the past and esEmates for the future, and includes household characterisEcs
such as family conguraEon and age.
The City of Nelson is situated on Kootenay Lake, within the Selkirk Mountains
in the Central Kootenay region. The 2011 Census is the most recent Census
data available for this report, and is accompanied by data collected in the
voluntary NaEonal Household Survey (NHS), which replaced the previous
mandatory long-form census quesEonnaire in 2011. Due to the unreliable
nature of voluntary return, NHS survey data may not be comparable to Census
data. AddiEonal data limitaEons not associated with the NHS are idenEed
throughout this report.
POPULATION CHANGE
In 2011, the City of Nelson had 10,230 residents. Between 2006 and 2011, the
City of Nelson experienced a populaEon growth of 10.5% (or 2.1% growth per
year), while the surrounding Local Health Area experienced a 7.5% growth.
Using BC StaEsEcs projected growth rate for the Local Health Area
surrounding the City, CitySpaces esEmates that by 2021 there will be
approximately 11,150 individuals residing in Nelson. For the coming decades,
the projected growth rate for Nelsons Local Health Area can be idenEed as
low to moderate.
Figure 2: Nelson and RDCK Future Population Estimates
70,000
52,500
35,000
Above: Historic housing in Nelson
17,500
2001
2006
2011
2016
Nelson
2021
2026
2031
2036
RDCK
Source: BC StaJsJcs, P.E.O.P.L.E BriJsh Columbia-Level PopulaJon ProjecJons, April 2013
AGE PROFILE
Housing demand can be aected by demographic changes related to age since
housing needs ouen change as a result of transiEoning from one stage of life
to another.
From 2001 to 2006, a populaEon decrease occurred in all age categories
except those aged 45-64, and 85 and over (see Figure 3). The 2006 decrease in
populaEon in all other age categories is a general trend observed throughout
the region during the same Eme period.
In 2011, Census data shows that the City of Nelson reversed several earlier
trends, and experienced an increase in populaEon for all age categories,
especially in the 15-24 and 45-64 age brackets (which increased by 670 and
400 individuals, respecEvely). The substanEal increase in the 15-24 age group
indicates that young adults and young families are returning to Nelson. In
2006, the City, Community Futures, and other economic organizaEons
combined eorts to aggressively promote Nelson as a great place to work and
raise a family. The post-2006 increase in young and working age adults could
be a result of these eorts.
Figure 3: Population Distribution by Age Groups
An increase in youth,
young adults and families
allocates demand for
housing suitable to their
needs, including
affordable studio and
one-bedroom rental
housing for low-income
single young adults, and
rental units, such as
townhouses, that offer 2
or 3 bedrooms for
families.
3,000
2001
2006
2011
2,250
1,500
750
0-14
15-24
25-44
45-64
65-84
85+
Source: StaJsJcs Canada, Census 2001, 2006, 2011
The populaEon projecEons also suggest that residents over the age of 65 will
increasingly comprise of a large porEon of the overall populaEon in the City
(see Figure 4), a trend that is partly reecEve of the baby boomer generaEon
reaching reErement age.
Figure 4: Age Projections in Nelson
100%
75%
50%
25%
0%
2011
0-14
2016
15-24
2021
25-44
2026
45-64
2031
65-84
2036
85+
Source: BC StaJsJcs, P.E.O.P.L.E BriJsh Columbia-Level PopulaJon ProjecJons (April 2013)
HOUSEHOLD TYPES
Nelson has fewer couples with and without children compared to the rest of
BC, and the City is home to substanEally more one-person households on
average than the rest of the Province. Single-person households make up 37%
of Nelsons household types, while the comparaEve number for BC is 28%.
Lone parent households are just slightly more common in Nelson, making up
10% of the populaEon, compared to 8% for the province.
Figure 5: Households by Type
100%
75%
50%
25%
0%
City of Nelson
Couples with Children
Lone Parent
One person
British Columbia
Couples without Children
Other Family
Two or more persons
Source: BC StaJsJcs, Building Permits by Community, 2013
In 2011, Nelson had an average of 2.2 persons per household, which has
remained constant over the past decade. In the 2011 Census, Other Family
Households are dened as: one-census family households with addiEonal
persons and/or mulEple-census family households, with or without addiEonal
persons. Couple households are inclusive of both married and common law
status.
MARKET HOUSING
MARKET HOUSING OVERVIEW

This secEon outlines the key factors that describe and inuence aordability of
market housing in Nelson - demographic change, employment rates, housing
prices, the cost of borrowing and, for new housing, the costs of construcEon.
The data is presented for Nelson and the Regional District of Central Kootenay
(RDCK) where possible, and compared to 2010 staEsEcs where available.
Above: Radio Seven (Radio Avenue,
Nelson)
DWELLINGS AND PROPERTIES

Nelsons housing stock is comprised of a mix of structures, with the
predominant form being ground-oriented. According to the 2011 Census, 54%
of the structural building types in Nelson were single-detached houses; 25%
apartments under 5 storeys; 10% duplexes; 5% semi-detached houses; 4% row
houses; and, 2% mobile homes.
Figure 6: Nelson Housing Mix
5%
2%
4%
10%
Above: The Graine, Nelson
54%
25%
Single-Detached
Semi-Detached
Apartments < 5 Storeys

Rowhomes
Duplexes
Mobile Homes
Source: StaJsJcs Canada, Census 2011

Between 2006 and 2011, building types in Nelson that have increased as a
proporEon of the total housing stock include: apartments buildings under 5
storeys (+3%); semi-detached (+2%); and, row houses and duplexes (both
+1%). The amount of moveable homes within Nelson has not changed,
remaining at 2%. The increase in the proporEon of mulE-unit dwellings
decreases the overall proporEon of single-detached dwellings from 59% (in
2006) to 54% in 2011. Nelson does not have any apartment buildings over 5
storeys.
Figure 7: Nelson Housing Mix Change Between 2006 to 2011
60%
2006
2011
45%
30%
15%
0%
Sin
-d
gle
et
d
he
c
a
i-d
m
e
S
et
d
he
c
a
ho
ow
e
m
p
Du
lex
t,
en
rtm

< 5
ys
re
o
st
ob
es
m
o
h
ile
a
Ap
Source: StaJsJcs Canada, Census 2006, 2011
In Nelson, the most common residents of single detached dwellings are

between the ages of 45 and 64, with the second most common residents being
individuals aged 0-19, most of which are likely children living with their
parents (see Figure 8). Some of these children are likely living with parents
between the ages of 30-44 who comprise of the third largest group of
individuals living in single detached homes.
Residents aged 20-29 are just as likely to be living in mulE-family housing as
they are to be living in a single detached dwelling, although a signicant
porEon of this age group also inhabits a combinaEon of duplexes and semi-
detached. Residents of duplexes and semi-detached housing in Nelson are
more commonly found to be between the ages of 0-44, than in any other age
groups.
Because there are far fewer individuals who make up the 65-79 age group,
they inhabit far fewer single-detached homes overall. Individuals 80+ are
generally evenly split between living in single detached homes and
apartments.

8
Multi-unit housing, such

as low-rise apartments,
fourplexes and duplexes,
have gained a higher
proportion of the housing
stock since the last
housing assessment in
Nelson.
Figure 8: Nelson Housing Mix Change by Age of Resident, 2011
3,000
2,400
1,800
1,200
600
0
0-19
20-29
Single Detached
Row
30-44
Moveable
Duplex
45-64
65-79
80+
Semi Detached
Apartment (under 5 storeys)
Source: StaJsJcs Canada, Census - Focus on Geography Series 2011
Table 1: Residents by Age and Dwelling Type for the City of Nelson, 2011
Age
0-19
Single-
detached
house
Movable
dwelling
Semi-
detached
house
Row
House /
Townhouse
Duplex
Apartment
less than
ve storeys
Total -
Structural
type of
dwelling
1,485
25
140
115
230
235
2,230
20-29
600
20
80
35
160
305
1,200
30-44
1,305
30
130
90
280
335
2,170
45-64
1,945
65
130
110
215
480
2,945
65-79
615
20
15
35
40
205
930
80+
225
10
10
10
20
200
465
Source: StaJsJcs Canada, Census - Focus on Geography Series 2011
HOUSING CONDITIONS
Census data from 2011 show that almost half (49%) of Nelsons housing stock
was built before 1960, with 24% built between the years 1961 and 1980. These
gures indicate that approximately 73% of the total housing stock is more than
35 years, with at least half of that stock being older than 55 years old. While
just under 13% of the total housing stock in Nelson was idenEed by the
NaEonal Household Survey as needing major repairs (the provincial average is
approximately 8%), there were 385 new, private dwellings (just over 8%)
constructed between the years of 2006 and 2011. When compared to the
provincial average, the housing stock in Nelson is substanEally older and in
need of more repair.
Figure 9: Age of Housing, Nelson and BC, 2011
100%
75%
50%
25%
0%
Nelson
1960 or before
2001 - 2005
1961 - 1980
2006 - 2011
British Columbia
1981 - 1990
1991 - 2000
Source: StaJsJcs Canada, NaJonal Household Survey 2011
ObservaEons from the community revealed that there are occurrences of

substandard rental housing in Nelson. Poor condiEons were characterized as
including mold, bed bugs, no heaEng, faulty plumbing, and overcrowding.
Equally of concern in the community is the potenEal for reno-vicEons,
whereby older housing stock in need of major repair is improved and, as a
result, rent prices increase and become unaordable for low-income tenants.
The community reported a lack of incenEves for landlords to upkeep their
rental properEes. Further, key informants suggested that renters have limited
alternaEves to living in housing of poor condiEons, as ouen the lower quality
stock is rented at or near the same price as higher quality rental stock, due to
demand.
HOUSING TENURE
Nelson is a city of mixed tenure: 63% owners and 37% renters. Despite the
increase in overall dwelling counts in Nelson (4160 in 2006, and 4630 in 2011)
the percentage of renters to owners has remained constant. As of 2011, there
is a higher percentage of renters in Nelson when compared to the rest of
BriEsh Columbia (provincially, 30% of residents are renters).
10
Figure 10: Housing Tenure, Nelson and BC, 2011
100%
37%
30%
63%
70%
Nelson
BC
50%
0%
Owner
Renter
Source: StaJsJcs Canada, NaJonal Household Survey 2011
RESIDENTIAL BUILDING ACTIVITY

ResidenEal buildings permits in Nelson spiked in 2008, falling substanEally in
2009 and steadily decreasing thereauer (see Figure 11). Since 2008, the
second most acEve year for building permits was 2011 with 78 permits.
Despite being the highest amount of permits in recent years, it is sEll a notable
drop from the 2008 peak of 218.
Figure 11: Total Residential Building Permits in Nelson
225
180
135
Apartments
Row
Single Dwellings
90
45
0
98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13
19 19 20 20 20 20 20 20 20 20 20 20 20 20 20 20
Source: BC StaJsJcs, Building Permits by Community, 2013
Between 2006 and 2013, the most popular building permit type has been for
apartment dwellings. The highest year for apartment building permits was
2008 when 193 permits were provided by the City. Since 2008, rate of issue for
building permits have dropped substanEally in all building type categories,
with 61 apartment permits issued in 2011. Overall, single-detached dwellings
have historically been the second most popular building permit type since the
late 1990s, and row housing third.
11
PURPOSE-BUILT RENTAL HOUSING, AND FIRES

The Canada Mortgage and Housing CorporaEon (CMHC) collects and publishes
semi-annual data (one report in the spring and one in the fall) for
municipaliEes throughout the province. While these staEsEcs are someEmes
criEcized as lagging behind the market, CMHCs methodology has been
consistent over many years.
Figure 12: Rental Housing Stock by Number of Bedrooms in Nelson
2%
49%
14%
35%
Bachelor
1 Bedroom
2 Bedroom
3+ Bedroom
Above: Kerr Apartments burnt down in

2011, resulting in a loss of 32 affordable
market rental units in Nelson. (Photo
Credit: The Nelson Post)
Source: CMHC, Market Rental Reports, Spring 2014
In Nelson, the total number of rental units have been inconsistently reported
by CMHC over the past ve to seven years, and the only recently available data
is from 2013 and 2014. The Spring 2014 report idenEed one and two-
bedroom units as making up the largest share of the rental market, at 49% and
14% respecEvely. Three bedroom rental units were the least common, with
only 10 units reported in the spring of 2014 (see Figure 12).
The CMHC 2014 Spring Market Rental Report shows that over the course of 1
year (from 2013 to 2014), the City of Nelson experienced a net loss of total
rental units, from 518 to 509. Some of these unit loses may be the result of the
Kerr Fire, which destroyed 32 units and displaced 75 residents, many of whom
were reportedly low-income households. It is important to note that the Kerr
building was not dedicated as non-market housing; however, was an older
building with relaEvely aordable rents and a home to a number of low-
income residents.
Social service agencies and local non-prot groups assisted residents in the
immediate auermath, including housing some residents at local hotels for the
short-term. The Kerr Apartment re was a loss of aordable market rental
units in Nelson, and is unaccounted for in the reported rental housing stock.
12
Above: Today, the site of the old Kerr

Apartments remains vacant and fenced
I came to Nelson in
2006 before
retirement, and was
able to afford a rental
for about $405/
month. I left Nelson to
work in 2008,
returning to Nelson in
2013; when I returned
the suite I previously
rented was $620 per
month.
Today, the site of the Kerr Apartments remains vacant and fenced. It is a prime
vacant site in Nelson located in the downtown and close to transit, services,
ameniEes, Selkirk College (downtown campus), and Ward Street Place, which
is a rental site operated by Nelson CARES Society comprised of SROs and
three bedroom apartment housing.
Figure 13: Total Number of Rental Units in Nelson
300
2013
2014
225
150
- Shared experience by a Key

Informant interview (2014)
75
Bachelor
1 Bedroom
2 Bedroom
3+ Bedroom
Source: CMHC, Market Rental Reports, Spring 2014
RENTAL PRICES
Rental lisEngs were captured in 2 ways: rst, obtaining the average market
rents from Canada Mortgage and Housing CorporaEon (CMHC) rental reports;
second, obtaining a rental snapshot from local rental lisEngs.
As per CMHCs data, since 2009 the average monthly rents in Nelson have
increased for all apartment suite types (bachelor, one bedroom, and two
bedroom units). The recorded increases were all less than $100 per month.
Added over the course of a year, renters would experience an increase of over
$550 more per year for a bachelor unit, $840 more per year for a one-
bedroom unit, and nearly $1,000 more per year for a two-bedroom unit. Data
was unavailable for 3+ bedroom units in 2013.
13
Figure 14: Average Rental Prices in Nelson
Fall 2009
Fall 2013
$481
$527
$905
$587
$657
$709
$792
The average 2-bedroom unit

costs $1,000 more per year
than it did in 2009.
n/a
Bachelor
1 Bedroom
2 Bedroom
3+ Bedroom
Source: CMHC, Market Rental Reports, Fall 2009 and 2013
ComparaEvely, rental lisEngs were reviewed across the span of two weeks in
May and June 2014. These rental lisEngs were higher compared to rental rates
obtained by CMHC and have generally increased in cost since 2010.
Apartment/Condo rental units have increased by almost $100 per month on
average, and suites in houses by almost $60 per month on average. It is
important to note that CMHC does not provide data on the secondary rental
market, specically single-owner iniEated rental of houses, apartments or
other privately owned dwelling types. These rental units may have a dierent
average cost than the units reected through CHMCs assessment.
Furthermore, seasonal uElity costs for individual households in Nelson have
the potenEal of being high, especially considering the colder temperatures in
the winter, the age of the housing stock, and reports of older houses that have
not been updated with beaer insulaEng measures.
Figure 15: Rental Snapshot in Nelson in 2014
$1,414
$1,013
$827
$615
Bachelor
1 Bedroom
2 Bedroom
3+ Bedroom
Source: Rental lisJngs obtained by CitySpaces Between May and June 2014 from online
sources - Kijiji, I Love Nelson, Discover Nelson, Used Kootenay, Craigslist and Nelson Gyos.ca
14
Figure 16: Rental Snapshot in Nelson from 2010 to 2014
While the rental

snapshot is inherently
limited, it does indicate
that rental prices may,
on average, be
increasing in recent
months. One bedroom
units cost 22% more on
average compared to
rental listings reported
by CMHC.
2010
2014
$1,303
$1,242
$1,125
$901
$807
$857
$915
n/a
Apt/Condo
Suite in House
$0
DDuplex
uplex
House/Cottage
Source: Rental lisJngs obtained by CitySpaces Between May and June, 2014 from online
sources - Kijiji, I Love Nelson, Discover Nelson, Used Kootenay, Craigslist and Nelson Gyos.ca
RENTAL VACANCY
Typically, the rental market experiences pressure when vacancy rates are less
than 3%. In 2009, vacancy rates hovered below 1.5%. Since then, the vacancy
rates have increased, releasing some of the pressure on the rental market, and
increasing the availability of rental units to renters. During the months of April
2014, the vacancy rate for a bachelor unit was 4.3%, 2.3% for one-bedroom
units, and 2.4% for two-bedroom units.
Figure 17: Vacancy Trends in Nelson
2.6%
2.3%
1.1%
0.8%
2008
2009
2013
2014
Total Vacancy for all Rentals

Source: CMHC, Market Rental Reports, Spring 2009 and 2014
15
No staEsEcally reliable informaEon on vacancy rates for three bedroom units

were available during these months, indicaEng that perhaps three bedrooms
are dicult to nd - a situaEon that was anecdotally received during the 2010
Housing Needs Assessment. Vacancy rate data was also unavailable for the
years 2010, 2011, and 2012.
There have been recent housing development in Nelson that has posiEvely
contributed to Nelsons housing supply. Most notably has been the
development of Anderson Gardens, a 33-unit aordable housing complex for
persons with disabiliEes and low-income seniors. Student dorms were also
built at Selkirk Colleges 10th Street Campus, which can house up to 100
students:
16 - ve bedroom pods;
12 - three bedroom pods;
29 - single dorm units.
The development of student dorms has alleviated, to a small degree, pressure

on the rental supply by diverEng students looking for bachelor and one
bedroom units to dedicated student housing.
HOUSING PRICES
Housing prices climbed in Nelson pre-2008, increasing from the low $200,000s
to mid/high $300,000s. Prices for single-detached housing in rural areas
climbed the highest during this Eme.
Housing prices in Nelson have stabilized post-2008, following the local and
global economic downturn. Single-detached prices have remained within the
lower and upper thresholds of $300,000 and $400,000, respecEvely. Prices for
single-detached homes in rural areas have experienced more dramaEc
uctuaEon in resale prices compared to urban areas of Nelson. For both urban
and rural areas, not much has changed in house prices since the 2010 Housing
Needs Assessment.
Figure 18: Single Detached Sale Prices in Nelson and Rural Areas
$400,000
$300,000
$200,000
Single Detached, Nelson
Single Detached, Rural
$100,000
20
14
20
13
20
12
20
11
20
10
20
09
20
08
20
07
20
06
20
05
20
04
$0
Source: Kootenay Real Estate Board, 2014

16
The pressure on the rental

market in Nelson has
been slightly alleviated
since the last Housing
Needs Assessment, but
still below the healthy,
balanced market
benchmark of 3% vacancy
rate.
Interest rates are a typical

indicator for cost of
borrowing. However,
amortization rates have
recently changed from a
maximum of 35 years,
down to 30 years, and
again down to 25 years.
This impacts a
households ability to
borrow, as demonstrated
in the housing
affordability calculations
found later in this report
The most stable resale prices in Nelson are single-detached homes, which
achieved an average resale price of approximately $360,000 in 2008 and have
not fallen below $325,000 (2013) since then. Duplexes have varied in price
over the last 10 years in comparison to other housing types, decreasing
signicantly in 2009 but recovered quickly and, in 2014, achieved a higher
resale price ($364,600) than all other building types, houses included.
Signicant variaEons in yearly average resale value were seen in both duplexes
and townhouses, which is likely due in part to the smaller percentage of stock
of both building types within the City, and the greater impact of each
individual sale on the yearly average. Despite increasing the amount of
condominiums or apartments as a percentage of the Nelson housing stock, the
average resale price of this building type conEnues to climb steadily.
Figure 19: Average Sale Prices by Housing Type
$400,000
$300,000
$200,000
$100,000
$0
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Single detached, Nelson
Townhome, Nelson
Condo / Apartment, Nelson

Duplex, Nelson
Source: Kootenay Real Estate Board, 2014
17
COST OF BORROWING
The cost of borrowing in the past few years has been some of the lowest rates
in recent history. The most popular term for borrowing is a 5-year xed rate.
The average mortgage rate in 2013 was 4.00% - a new historic low, which has
aaracted new potenEal home-buyers into the homeownership market. In
2014, interest rates reached 3.79%.
Figure 20: Bank of Canada Mortgage Rates
20%
Mortgage Rate
15%
10%
5%
0%
1978
1983
1988
1993
1998
2003
2008
2013
Source: Bank of Canada, 2013
18
THE AFFORDABILITY CONTEXT
DEFINING AFFORDABILITY
Aordability is the relaEonship between household median income, and the
esEmated income available for either purchasing a home, or renEng a place to
live. Using CMHCs standards, housing is considered unaordable if a
household spends 30% or more of its gross income on shelter costs.
Households spending greater than 50% of their gross income on shelter fall
below the housing standard of aordability, and are considered to be in core
housing need.
Housing is considered
unaffordable if a household
spends greater than 30%
towards shelter costs
For renters, shelter costs includes rent and any payments for electricity, water,
and other municipal services. For owners, shelter costs include mortgage
payments (principal and interest), property taxes, condominium/strata fees (if
any), and payments for electricity, water, and other municipal services.
HOUSEHOLD INCOME AND RENTAL AFFORDABILITY

CALCULATIONS
Household income, when compared to rental and purchase prices, is ouen
used to determine what households can aord to rent or purchase in a
community. The median income data used is based on taxler-reported
income sources (obtained from StaEsEcs Canada), and is considered to be a
more accurate reecEon of income levels compared to other sources. Median
income means that half the populaEon are making more than the median
income, and half the populaEon are making below the median income.
Between the 2009 and 2011 taxler-reports, the median income levels in
Nelson have remained constant.
19
Table 2: Households by Median Income in Nelson, 2009 and 2011 Comparison
2009
Household Type
2011
% of
Households
Median
Income
% of
Households
Median
Income
Couple Families
48%
$73,100
48%
$72,180
Single Parent
Families
10%
$30,300
9%
$32,310
Single Individuals
42%
$23,300
43%
$23,480
Source: StaJsJcs Canada, Taxler Reported Custom TabulaJon Family Tables, 2009/2011
The next series of tables illustrates household median income levels by age
groups and household types, and the amount of rent they can aord at 30% of
their gross income.
The rst table is rental aordability for couple households. This group has
relaEvely high median income levels compared to single parents and single
individuals. Couples under the age of 24 have the lowest median income levels
compared to older adults, and have less income available towards rent and
other shelter costs ($789 per month). Middle-aged couples earning the
median income (45 to 54 years old) have 3 Emes the amount of spending
power as couples under the age of 24, and can aord higher rental prices
($2,372 per month). By far, couples as a whole have the most choice in the
Nelson rental market compared to other household types.
Table 3: Rental Affordability by Age for Couple Households in Nelson
Median Annual
Income
Income
Available
Monthly
Available for
Rent @ 30%
0 to 24
$31,570
$2,631
$789
25 to 34
$56,930
$4,744
$1,423
35 to 44
$70,080
$5,840
$1,752
45 to 54
$94,890
$7,908
$2,372
55 to 64
$83,350
$6,946
$2,084
65+
$47,930
$3,994
$1,198
All Couples
$64,125
$5,344
$1,603
Age
Source: CitySpaces ConsulJng CalculaJons referencing StaJsJcs Canada, Taxler Reported

Custom TabulaJon Family Tables, 2009/2011
Single parent households have much lower median income levels compared to
couple households, and for most age groups earn half as much as couples
earn. They have less income available towards housing - $431 per month for a
20
Low-income single parents are

challenged to afford average
rental market prices while
remaining within the 30%
affordability threshold, which
can reduce their ability to
afford other living costs such
as transportation, groceries,
after-school programs for kids,
or recreational activities
Single people living on their

own in Nelson have the lowest
median income and the least
choice in the rental market
compared to couples and
single parents
young single parent under the age of 24, and $748 per month for a single
parent between the age of 25 to 44. That said, rental units can range in price,
depending on housing condiEons and number of bedrooms. The most
challenged households would be those who earn less than the median income
in the respecEve age groups (low-income).
Table 4: Rental Affordability by Age for Single Parent Households in Nelson
Median Annual
Income
Income
Available
Monthly
Available for
Rent @ 30%
0 to 24
$17,220
$1,435
$431
25 to 34
$22,600
$1,883
$565
35 to 44
$29,900
$2,492
$748
45 to 54
$38,220
$3,185
$956
55 to 64
$51,280
$4,273
$1,282
65+
$55,390
$4,616
$1,385
All Single Parents
$35,768
$2,981
$894
Age

The next table illustrates rental aordability for single person households. In
Nelson, single people have the lowest median income compared to couples
and single parents, and have the least choice in the rental market. At 30% of
their incomes, single persons earning the median income or more could aord
$577 per month towards housing. For young adults under the age of 24, they
can aord $316 per month.
Table 5: Rental Affordability by Age for Single Person Households in Nelson
Median Annual
Income
Income
Available
Monthly
Available for
Rent @ 30%
0 to 24
$12,650
$1,054
$316
25 to 34
$23,070
$1,923
$577
35 to 44
$24,530
$2,044
$613
45 to 54
$24,930
$2,078
$623
55 to 64
$27,530
$2,294
$688
65+
$25,770
$2,148
$644
All Single Persons
$23,080
$1,923
$577
Age

21
The aordability calculaEons for households by type and age have been
compared against the average rental prices in Nelson (CMHC reported rental
prices). Couple households earning the median income can aord the average
rental price for bachelor, one bedroom, two bedroom, and three bedroom
units. Couples under the age of 24 or over the age of 65 would be challenged
to aord the average price of a three bedroom unit. Low-income families
earning less than the median income would also be challenged with aording
the average rental prices.
Single parents would likely require a two or three bedroom unit in order to
accommodate their children, and meet the NaEonal Occupancy Standards of
Canada (NOS). Single parents earning the median income under the age of 44
would be challenged to aord a two or three bedroom unit.
Across all household types

(couples, single parents, and
single individuals), youth and
young adults earn the lowest
median income and
experience the greatest
challenge with affording the
average rental prices in Nelson
Except for singles under the age of 24, single person households earning the
median income or more can aord the average rental price of a bachelor unit.
Older adults (55 to 64) can aord more, most likely because their income
potenEal has improved, and can aord the average price of a one bedroom
unit.
Figure 21: Summary of Rental Affordability by Age + Median Income Levels
$2,500
$2,000
$1,500
$1,000
3+ Bdrm $905
2 Bdrm $792
1 Bdrm $657
Bachelor $527
$500
$0
0-24
Couples
25-34
35-44
45-54
Single Parents
55-64
65+
Single Individuals

22
HOMEOWNERSHIP AFFORDABILITY CALCULATIONS

Households pursuing homeownership, rather than rental, will require a
mortgage, and must be qualied by a banking insEtuEon or a mortgage broker
to obtain one. Basic home purchasing assumpEons are made in order to
determine the maximum purchase price and the maximum amount that
households can borrow. For this report, assumpEons were based on 2014
rates, including:
Gross Debt Service (GDS) RaEo at 32% (enEre monthly debt, such as car
loans and credit card payments, including the potenEal monthly mortgage
payment, should be no more than 32% of gross monthly income);
5-Year Fixed Rate (semi-annual) at 3.79%; and,
Monthly maintenance fees at $200, property taxes at $250, and uEliEes/

heaEng at $100 (esEmates based on a scan of recent sales lisEngs in
Nelson).
Homeownership aordability can be esEmated based on the assumpEons

made about a households ability to obtain a mortgage, and using the median
household income. The rst table demonstrates the maximum purchase price
that a couple household earning the median income can aord with a 10%
downpayment. The ability to purchase a home varies in age, with the highest
purchasing power falling in the 45 to 54 age group earning the median income,
who can aord a home worth up to $427,521. Those households earning
greater than the median income can aord more, as well as households that
have saved large down-payments. Couples under the age of 24 earning the
median income are priced out of the market, with the excepEon of
manufactured homes which in rural areas of Nelson are within their price
range.
Table 6: Homeownership Affordability by Age for Couple Households in Nelson
Available at
GDS
Less Fees +
UGliGes
Maximum
Mortgage
Purchase
Price w/
10% Down
0 to 24
$842
$292
$56,706
$63,007
25 to 34
$1,518
$968
$188,097
$208,997
35 to 44
$1,869
$1,319
$256,228
$284,698
45 to 54
$2,530
$1,980
$384,769
$427,521
55 to 64
$2,223
$1,673
$324,980
$361,089
65+
$1,278
$728
$141,468
$157,187
All Couple
Households
$1,710
$1,160
$225,375
$250,416
Age

23
Single parents earning the median income have a lesser ability to buy a home
compared to couple households. Single parents under the age of 34 are

priced-out of the market, and likely most single parents between the ages of
35 to 44 are priced out as well. Single parents over the age of 55 have higher
incomes and more purchasing power, and may have adult children at this
stage in their lives, and could be able to aord a home worth up to $176,472.
Table 7: Homeownership Affordability for Single Parent Households in Nelson
Available at
GDS
Less Fees +
UGliGes
Maximum
Mortgage
Purchase
Price w/
10% Down
0 to 24
$459
-$90.8
-$17,641
-$19,602
25 to 34
$603
$52.67
$10,233
$11,369
35 to 44
$797
$247.33
$48,054
$53,393
45 to 54
$1,019
$469.2
$91,160
$101,289
55 to 64
$1,367
$817.47
$158,824
$176,472
65+
$1,477
$927.07
$180,118
$200,132
$954
$403.82
$78,458
$87,176
Age
All Single Parent

Households

Single individuals earning the median income levels in Nelson are completely
priced out of the homeownership market. There may be occurrences where
singles earn much more than the median income and, with substanEal savings,
could possibly nd a way to buy. But more realisEcally, single people living on
their own are more likely to rent than own their homes.
Table 8: Homeownership Affordability for Single Person Households in Nelson
Available at
GDS
Less Fees +
UGliGes
Maximum
Mortgage
Purchase
Price w/
10% Down
0 to 24
$337
-$213
-$41,319
-$45,910
25 to 34
$615
$65
$12,668
$14,075
35 to 44
$654
$104
$20,232
$22,480
45 to 54
$665
$115
$22,304
$24,783
55 to 64
$734
$184
$35,775
$39,750
65+
$687
$137
$26,656
$29,618
All Single Persons
$615
$65
$12,719
$14,133
Age

24
Price margins between

townhouses and condo /
apartments is small in Nelson.
Due to a greater supply of
condos, and the larger spaces
townhouses can afford, it is
likely that condo sales would
absorbed at a slower rate
compared to townhouses.
Figure 22: Summary of Homeownership Affordability by Age + Median Income

Levels
$450,000
Rural single-detached $361,000

Urban single-detached $347,800
Townhouse $289,400
Condo/Apt $285,700
$350,000
$250,000
$150,000
Urban manufactured home $82,900
Rural manufactured home $41,100
$50,000
-$50,000
0-24
Couples
25-34
35-44
Single Parents
45-54
55-64
65+
Single Persons

Price can serve as a proxy or indicator of demand and, should the prices of
condos and townhouses in Nelson remain constant over Eme, may suggest
that there is more demand for townhouses over condos. Otherwise, as seen in
other markets in BC, townhouses are more expensive than condos, even if the
number of bedrooms are the same. However, price is not the only indicator of
consumer preference. The length of Eme for lisEngs to be on the market can
also demonstrate demand, as well as consumer surveys.
The rental and homeownership aordability has been compared to
calculaEons completed in the 2010 Housing Needs Assessment. In general,
incomes have remained the same, while rental prices have increased slightly
(between $50 to $100 per month, increasing with each addiEonal bedroom).
Rental aordability has not changed substanEally - slightly less aordable to
rent for couple families earning the median income, and slightly more
aordable to rent for single parents earning the median income.
The major change in the past 5 years is the ability to obtain a mortgage and
enter into homeownership. In 2009, the maximum purchase price for a couple
family earning the median income was $373,000 (with a 10% down payment).
Today, the maximum purchase price for a couple family earning the median
income is $250,416. Since 2009, purchasing power for couples families in
Nelson has dropped more than $100,000.
25
Table 9: Summary of Household Ability to Afford Housing in Nelson, 2009 to 2011

Comparison
Household
Type
2009
2011
Income
Max Purchase
Available for
Price (10%
Rent (30%)
Downpayment)
Income
Max Purchase
Available for
Price (10%
Rent (30%)
Downpayment)
Couple
Families
$1,830
$373,000
$1,603
$250,416
Single
Parent
Families
$770
$125,000
$894
$87,176
Single
Individuals
$580
$81,000
$577
$14,133

The key contribuEng factor leading to less ability for households to aord
homeownership in Nelson is not the median incomes nor the housing prices,
but rather the hidden costs of homeownership and eligibility to obtain a
mortgage through CMHCs lending rules. Primarily, it has been the change in
amorEzaEon period from 35 years (as was the case in 2009), down to 25 years.
Among lenders, amorEzaEon periods of 35 years were becoming an

acceptable Emeline rather than the convenEonal 25 years, thereby
reducing the monthly cost for purchasers. Lenders oering mortgages
with 35-year amorEzaEon period could only obtain CMHC insurance with
a loan to value of less than 80%, meaning that the borrower must make a
20% downpayment. If the loan to value is greater than 80%, the
amorEzaEon period can be no longer than 35 years.
The federal government recently Eghtened rules on mortgage and

lending, and now the longest government insured mortgage period is 25
years. The rules were implemented to ensure long term stability in the
housing and mortgage market, as well as to protect households from
gelng nancially overextended.
Aspiring homeowners cannot borrow as much as they once did. The

changing amorEzaEon period means that a mortgage must be paid within
a shorter period of Eme compared to previously, resulEng in a higher
monthly mortgage cost. For example, a $500,000 mortgage would have an
approximate $1,200 monthly mortgage payment at a 35 year amorEzaEon
period, but approximately $1,700 per month with a 25 year amorEzaEon
period. This dierence can reduce the housing opEons available to
aspiring homeowners because they cannot aord (on a monthly basis) as
much as they were once able to.
An interview with a local developer revealed that, in their business, 5% of

purchases have fallen through due to a households inability to obtain
nancing. Their price points are under $300,000 - mostly at the $250,000
mark. They are able to achieve these sale prices by building smaller units
(around 800 square feet for a townhouse), while maintaining construcEon
26
Recent changes to CMHC

lending rules include reducing
amortization periods from 35
years down to 25 years. Low
to modest income households
that were once eligible to
obtain a mortgage in Nelson
with a 35 year lending term
would no longer be able to
obtain a loan with a 25 year
lending term today. As a
result, less households are
able to enter into
homeownership in Nelson,
unless they have a substantial
downpayment.
quality. Generally, it is more challenging for households to purchase a home

today than in 2010. They earn roughly the same income, but can borrow less
money.
JOB TYPES, WAGES AND AFFORDABILITY

EvaluaEng median income levels is a standard approach to understanding
aordability amongst household types and age. Another perspecEve is to
understand how much a household can aord to rent based on the type of job
they have, and the potenEal earning from those jobs.
Minimum wage has increased since the 2010 Housing Needs Assessment,
resulEng in households working in low-paying retail and service sector jobs
being able to aord more towards housing costs. However, not all jobs have
seen an increase in their median wages. Median wages for some occupaEons
have experienced a decrease, including secondary school teachers. This may
be partly due to younger professionals in an earlier stage of their career
moving into the Nelson workforce, and obtaining a salary that that
commensurates with experience.
Table 10: Affordability by Occupation + Wage in Nelson
2010
RepresentaGve
Wages
2014
Median
Wage
Income
Available for
Rent (30%)
Median
Wage
Income
Available for
Rent (30%)
BC Minimum
Wage
$8.00
$336
$10.25
$431
Food and
Beverage
$9.82
$412
$10.25
$431
Hotel Front Desk

Clerks
$12.13
$509
$12.50
$525
Retail Sales
Clerks
$13.29
$558
$12.50
$525
Early Childhood
Educators
$15.69
$659
$16.00
$672
Nurse Aides
$18.29
$768
$20.95
$880
Oce Clerks
$19.75
$830
$17.50
$735
Truck Drivers
$23.06
$969
$22.50
$945
Secondary
School Teachers
$38.82
$1,630
$34.23
$1,438
Source: Calculated by CitySpaces, assuming full Jme employment at 35 hours / week working
48 weeks per year, referencing Labour Market InformaJon, Employment and Social
Development - Government of Canada 2010/2014
27
Minimum wage has increased since Nelsons 2010 Housing Needs Assessment,
from $8 per hour to $10.25 per hour. Households earning the minimum wage
can aord approximately $100 more per month than they did in 2010. Given
that rent has increased between $50 to $100 per month in Nelson over the
same Eme period indicates that minimum wage and rental prices have risen
with inaEon and in tandem. Regardless, individuals earning the minimum
wage are challenged to aord the average rental unit in Nelson.
INCOME ASSISTANCE
Not everyone parEcipates in the labour force for a variety of reasons, such as
being unemployed or unable to work due to a medical condiEon. In these
cases, they can receive income assistance from the government.
Income assistance, as measured by BC StaEsEcs, only includes a subset of
those receiving Income Assistance under the BC Employment and Assistance
program. Included are those on Temporary Assistance (i.e. those expected to
work but currently on leave as a result of a medical condiEon), being
temporarily excused, or having persistent mulEple barriers. Excluded are those
on conEnuous assistance (persons with disabiliEes), and children in the home
of a relaEve, and OAS/Seniors. A recipient is dened in as 'each person living in
a family or living alone that is receiving basic Income Assistance'. Data does
not include Aboriginal people living on reserve.
Overall, percentages of persons receiving income assistance in Nelson has
tended to increase and decrease in unison with the rate of BC. However, an
excepEon to this trend occurred in 2011 when individuals receiving income
assistance increased in Nelson, but decreased overall in BC. Key informants
from this study suggested that Nelson experienced a delayed response to the
economic downturn, and residents did not experience the full eect of the
economic downturn unEl 2011. The spike in income assistance during this Eme
is indicaEve to those observaEons. Fortunately, recent trends show that
income assistance is decreasing in Nelson as of 2012. Overall, the percentage
of individuals receiving income assistance in Nelson remains on average 1.2%
higher than the Provincial average.
Figure 23: Adult Population (ages 19 to 64) Receiving Basic Income Assistance
4%
Nelson (LHA)
BC
3%
2%
1%
0%
2005
2006
2007
2008
2009
2010
2011
2012
Source: BC Stats, 2012

28
Minimum wage and rental

prices in Nelson have risen
with inflation.
Table 10 provides data on the percentage of individuals receiving income

assistance within either the Local Health Area (for Nelson) or within the
Province (BC). As of 2013, this data is no longer being produced by BC
StaEsEcs.
Table 10: Adult Population (ages 19 to 64) Receiving Basic Income Assistance in
December of Each Year
2005
2006
2007
2008
2009
2010
2011
2012
Nelson (LHA)
2.6%
2.6%
2.4%
2.9%
3.4%
3.3%
3.4%
2.7%
BC
1.5%
1.4%
1.4%
1.6%
2.1%
2.0%
1.9%
1.7%
Source: BC Stats, 2012
CORE HOUSING NEED

Core Housing Need means a household lives in housing that falls below at least
one of the adequacy, aordability or suitability standards and would have to
spend 30% or more of its total before-tax income to pay the median rent.
A report prepared by the BC Non-Prot Housing AssociaEon (BCNPHA) in 2012
projected core housing need for the Regional District of Central Kootenay. This
report idenEed two methods of calculaEng core need projecEons: constant
tenure and shiuing tenure. Constant tenure indicates that a similar tenure split
between owners and renters will remain at 2006 levels, while a shiuing tenure
assumes that the proporEon of renters will increase, a trend that has been
occurring throughout the past decade in the Central Kootenay Region.
Based on the constant and shiuing tenure models, BCNPHA has projected that
the Central Kootenay Regions core housing need will increase between 16%
and 26% over the next 25 years. Taking a proporEon of the BCNPHA
projecEons based on populaEon share, it is esEmated that 336 renters in
Nelson are currently in core housing need and that number is esEmated to
grow to 360 by 2021. For owners, 467 households are esEmated to be in core
housing need presently, and 504 esEmated for 2021.
SENIORS
The Canada Mortgage and Housing CorporaEon (CMHC) publishes a yearly
Seniors Housing Report that provides informaEon on seniors housing
provincially and regionally. Within the report, the Central Kootenay region is
reported as part of a consolidaEon of data called Other BC - an area which is
inclusive of all of the Kootenays and North-Central BC. Other regions assessed
by CMHC include the Lower Mainland, Vancouver Island and Central Coast,
and the Okanagan-Thompson-Shuswap.
According to staEsEcs collected by CMHC, the seniors rental market had an
overall vacancy for independent living suites falling to 10.9% from 11.4% the
previous year. Of the regions assessed, the Other BC area reported the
29
lowest vacancy rates for all bedroom types in independent living suites at
6.1%. This area also had the lowest vacancy rate for independent living in all
regions in 2013 (8.0%). CMHC notes that these gures result from having
relaEvely few independent living units in the Other BC region. Although
average rent for these spaces increased from 2013 to 2014 across all regions,
Other BC remained the most inexpensive region in which to rent
independent care faciliEes at $2,131 per month the Vancouver Coastal region
had the highest rent at $3,975 per month, while the provincial average was
$2,811.
The Other BC region also had the lowest vacancy rate for seniors heavy care
spaces at 0.5%. Heavy care spaces are dened by CMHC as being both for-
prot and non-prot living arrangements where the resident pays addiEonal
funds for more than 1.5 hours of care per day.
30
NON-MARKET HOUSING
NON-MARKET HOUSING OVERVIEW

Aordable, non-market housing refers to housing below market rents or
prices, ranging from emergency shelters through various forms of supporEve
to rent-geared to income (RGI) rentals and housing co-operaEves. The lower
rents are maintained as a result of ongoing government subsidy, or created
through collecEon of rents and donaEons on a not-for-prot business model.
Above: Nelson Kiwanis Village
NON-MARKET HOUSING SUPPLY

BC Housing is the central Provincial agency that supports and funds eorts to
meet the housing needs of BCs most vulnerable residents through the
provision of aordable housing. The staEsEcs in this secEon were collected in
March 31st, 2014 and summarize the number of units for emergency,
supporEve and independent housing for Nelson; and, emergency and
supporEve housing along with rent supplement informaEon for Nelson and
select communiEes in the Central Kootenay region.
Figure 24: BC Housing Units by Type in Nelson
44%
48%
SupporEve Housing
Emergency Housing
Independent Living
7%
Source: BC Housing, 2014
31
Nelson contains the highest amount of units subsidized by BC Housing overall

in the Central Kootenays (336 units). Of these units, almost half are
independent living (48%), while just slightly less are supporEve (44%), and the
remainder are emergency units (7%). The only other urban area in the Central
Kootenays to have more housing units of any one type than Nelson is Trail,
which has 155 supporEve housing units compared to Nelsons 149.
Although Nelson has the most non-market housing units in the Central
Kootenay region, other communiEes have types of non-market housing that
Nelson does not. For example, Castlegar, Salmo, Kaslo, Creston, and Nakusp all
have at least 1 safe house unit/bed for women and children eeing domesEc
violence. Nelson and Trail, however, are the only communiEes with
transiEonal units for women eeing domesEc violence. Trail also has six units
of second stage housing for women and children eeing domesEc violence.
Nelson and other communiEes in the region have zero.
Figure 25: Nelson Non-Market Housing Inventory, by Type
84
817
78
Women + Children TransiEon House
Homeless Housed
Special Needs
Independent Seniors
56
51
Shelter - Homeless
Frail Seniors
Family
*Note: The above graph does not include recipients of the Rental Assistance Program
(RAP), Shelter Aid for Elderly Renters (SAFER), or Homeless Rent Supplements.
In any municipality or region, there are someEmes aordable housing opEons

available through sources other than BC Housing. These housing opEons either
do not have a partnership with BC Housing (some privately operated
aordable housing opEons are organized in such a way) or are not members of
the Housing Registry and manage their own applicaEons. As a result, these
housing opEons do not appear within the staEsEcs kept by BC Housing.
It is important to note that although BC Housing operates a wait list for
individuals interested in acquiring a non-market housing unit, there are a
variety of reasons why these and other wait lists are not good indicators of
housing need. For example, applicants may remain on this wait list without
32
Above: Anderson Gardens, a home for

persons with disabilities and low-income
seniors in Nelson
There are still some

misconceptions surrounding
persons with disabilities,
especially amongst seniors.
There are many seniors who
do not feel comfortable living
under the same roof as
persons with disabilities - in
fear of danger or
incompatibility. There is a
need to educate seniors, and
the community at-large, about
the benefits and opportunities
to house persons with
disabilities, as well as how to
create inclusive
neighbourhoods and buildings
in Nelson that welcome a
range of individuals and
groups
Nelson has the most non-

market housing units and
most rent supplement
recipients in the region, and
the only community in the
Central Kootenays to have
individuals receiving the
Homeless Rent Supplement
from BC Housing
acquiring a unit for long periods of Eme: applicants someEmes request a

specic property but no available units meet their needed or desired
specicaEons; an applicants contact details someEmes change with no update
provided to BC Housing, making it challenging or impossible to contact the
applicant when a unit is available; and, applicants occasionally undergo a
change of circumstances whereby they require a type of unit that is dierent
to what they iniEally requested, causing them to have to shiu to the boaom of
another wait list. All these factors can enlarge or reduce a wait list such that it
does not accurately reect the needs of the community it is serving.
RENT SUPPLEMENT PROGRAMS

While waiEng for a unit with BC Housing, applicants may be eligible for
assistance through the Rental Assistance Program (RAP) or for the Shelter Aid
for Elderly Renters (SAFER). Individuals are eligible for SAFER if they are 60
years or older and paying more than 30% of their gross monthly income on
housing. RAP is available to low-income families with at least one dependent
child, who were employed during the last year, and have a gross
household income of $35,000 or less.
Rent supplements are received by individuals throughout the Central
Kootenay region, although Nelson is home to the greatest amount of
households receiving supplements in all categories. In Nelson, 61 individuals
receive SAFER and 74 families are supplemented with funds from RAP. This
shows an increase from the last housing needs update when (in 2010) there
were 43 RAP and 42 SAFER recipients in Nelson.
Figure 26: Rent Supplements in Nelson + Select Communities
150
120
Homeless Rent Supplement

Rental Assistance Program (RAP)
Shelter Aid for Elderly Residents (SAFER)
90
60
30

r
son astlga Salmo uitvale Trail
Nel
C
Fr
p
n
lo
er
sto akus
Kas
env
N
Cre
D

New
33
In 2014, Castlegar, Trail and Creston have nearly half as many individuals
receiving rent supplements compared to Nelson. Although New Denver has
zero aordable housing units, it does have 2 individuals receiving the SAFER
rent subsidy and 1 family receiving the RAP rent subsidy.
In addiEon, Nelson has 10 individuals receiving a BC Housing Homeless Rent
Supplement. This program connects people who are homeless to housing,
income assistance, and community-based support services. No other
communiEes in the Central Kootenays have individuals receiving Homeless
Rent Supplements.
The community reported that there are likely more people in Nelson who are
eligible for rent supplement programs but are unaware of the programs or
their eligibility. The community reported that the scaaered rent supplement
approach works well, but has not been widely applied in Nelson.
AFFORDABLE HOUSING WAIT LIST

The City of Nelson has the highest wait list for aordable housing units in the
Central Kootenay region with 48 applicants (61% of all applicants). The next
highest is 14 applicants in Castlegar, and 7 applicants in Creston. Trail has 6
applicants, and Salmo and Kaslo both have 2 applicants. There are no
applicants on the aordable housing wait list in Fruitvale, Nakusp, or New
Denver.
The largest share of applicants on the wait list in Nelson are persons with
disabiliEes (28), and seniors (17). This is reecEve of the region where 70% of
all applicants are either seniors or persons with a disability. The BC Housing
wait list does not take into account private wait lists that may be recorded by
individual non-prot housing providers and housing managers, such as
Anderson Gardens which verbally shared a wait list of 50 individuals at any
given Eme (for persons with disabiliEes and seniors).
The aordable housing wait list has changed over the past 8 years, moving
from a predominately high volume of applicants for aordable family housing,
to a major decrease in family housing applicants. The demand for aordable
housing for persons with disabiliEes and seniors has signicantly increased.
The decrease in demand for aordable family housing may be a result from
low-income families obtaining the RAP supplement, which has nearly doubled
since 2010.
34
Affordable housing wait lists

have decreased for family
units, and increased for
seniors and persons with
disabilities
Table 11: Affordable Housing Wait List in Nelson + Select Communities
Community
Wheelchair Singles
Modied
Total
by
Com-
munity
Family
DisabiliGes
Senior
Nelson
20
17
48
Castlegar
14
Salmo
Fruitvale
Trail
Kaslo
Creston
Nakusp
New Denver
13
28
28
79
Total by
Type
Figure 27: Changes in Affordable Housing Wait List in Nelson + Select

Communities, Over Time
25
20
15
10
5
0
2006
Family
Singles
2007
PWD
2008
Seniors
2009
2010
2014
Wheelchair modied
35
YOUTH SERVICES
Youth experience challenges aording private market rental housing in Nelson.
ObservaEons and insights from the community idenEed two key challenges
for youth: (i) prices are out of reach for low-income youth; and, (ii) unavailable
minimum wage jobs in Nelson. There are not enough entry-level jobs for youth
in Nelson, and the jobs available are low-paying. This is further supported by
the aordability analysis, which idenEed youth under the age of 24 as having
the lowest median income levels and least choice in the housing market for all
household types (couples, single parents, and single individuals).
Nelson Community Service Centres (NCSC) Cicada Place was the rst youth
housing project in BC to combine a support program and housing facility under
one roof. It provides supporEve transiEonal housing youth between the ages
of 16 to 22 years old. Youth aaend school, work or are acEvely seeking
employment. When there is no space at Cicada Place, eorts are made to
assist individuals to nd safe and aordable housing in the private market.
Cicada Place has been a successful home for many youth; however, it provides
housing for only a select group of youth: 16 to 22 year olds. This service is
provided to the middle crowd and does not address young teens or young
adults.
Community observaEons idenEed a need to provide housing for younger
youth and young adults in Nelson, starEng with temporary housing or safe
beds for youth ages 11 to 15. This is further supported by a survey of 285
youth between the ages of 14 and 17 completed by NCSCs Cicada Place,
where they learned that 10% of youth have couch-surfed at some point
because they had nowhere else to live, and 26% at least knew a friend that
couch-surfed once or twice. Interviews with members of the community also
observed youth that are homeless, couch-surng, and working mulEple jobs
without being able to adequately aord housing and other costs of living in
Nelson.
Table 12: Youth Living Circumstances Survey, 2014
In the past 12 months, have you:
Once or 7 days
twice
or more
Couch surfed because you felt you couldnt go home/that it

wasnt a healthy place to stay?
10%
2%
Had no safe place to go/crash for the night?
7%
2%
Let a friend who had nowhere safe to stay and didnt feel the
could go home crash at your place?
26%
7%
Been in contact with the Ministry of Children + Family

Development or Cicada Place Youth Housing to try and
arrange alternaeve housing for yourself?
3%
Source: Nelson Community Services Centre, 2014

36
There is a need to house the

full arc of youth, including
emerging teens (11 to 15
years old), and young adults
(+22)
The community reported a need to provide aordable housing for youth who
are ready to leave Cicada Place (over the age of 22). Youth are extending their
stay at Cicada Place because there is no suitable or aordable place to move
auerwards. For youth unable to nd housing once they turn 19, they can
access temporary rental supplements through NCSCs Homelessness Outreach
Program. When an aordable market rental unit does come available, youth
may experience age discriminaEon and stereotyping as high-risk tenants.
These challenges have led to a growing wait list for Cicada Place: young adults
cant leave, and young youth cant get in.
17 to 20% of all police

calls in Nelson are related
to mental health issues...
- Nelson Police Department, 2014
RISE IN MENTAL HEALTH AND ADDICTIONS

Community observaEons and insights reported an increasing prevalence of
persons with mental health and addicEons issues in Nelson. This is further
supported by the staEsEcs compiled by Stepping Stones for Success
(Emergency Shelter operated by Nelson CARES Society), in which the total
number of clients have been consistent over the last three years, but clients
with mental health and addicEons has steadily increased from 36% in 2006 to
52% in 2013.
The shelter staEsEc trends indicates that the proporEon of clients with mental
health and addiEons is on the rise, or that the diagnoses and dialogue around
mental health and addicEons has improved.
Further aaributed to this issue, the Nelson Police Department are increasingly
responding to calls related to persons with mental health issues. In Nelson,
typically 17 to 20% of police calls are for mental health cases, which is a 20 to
30% increase in call loads year to date.
Figure 28: Stepping Stones Shelter Statistics
57%
51%
36%
47%
49%
52%
42%
36%
249
235
225
2006
2007
2008
304
2009
Mental Health + AddicEons Clients

Total Stays
245
2010
207
201
202
2011
2012
2013
Trend: rise in mental health + addicEons

Trend: decrease in shelter users
Source: Nelson CARES Society, 2014
37
Community observaEons and insights have indicated that Nelson does not
have adequate supporEve housing with onsite services for persons with
mental health issues. Currently, persons experiencing mental health and
addicEons issues are ouen responded to by outreach workers or police, taken
to hospital, and discharged without a proper plan in place - including a housing
plan. The community reported a need for permanent aordable supporEve
housing for persons with mental health issues or, at the very least, aordable
market rental housing (through rent supplements) with adequate outreach
support and cooperaEon from landlords.
The community also reported on the drug culture in Nelson, including
persons involved in recreaEonal drug use, others with substance abuse
dependencies. It was reported that individuals from elsewhere in the region
travel to Nelson to receive addicEons treatment at the hospital, but do not
have adequate housing available while they receive treatment. The
community has reported a need for an AddicEons Treatment Facility to
provide beaer treatment of persons experiencing addicEons, including
supporEve housing for persons accessing drug treatment (e.g. detox beds).
PREVALENCE OF HOMELESSNESS
At the Eme of this study, 10 individuals in Nelson were receiving a Homeless
Rent Supplement from the Provincial Government. Given the recent Homeless
Report Card and visible homeless issues in Nelson, there is likely a need for
more supplements and housing supports.
One of the indicators of those at-risk of homelessness are the staEsEcs kept by
social service providers. As illustrated in the depicEon of mental health and
addicEon prevalence gure, Stepping Stones for Success has experienced a
slight decrease in number of individuals staying at their shelter: from 414 stays
in 2011 to 355 stays in 2014. The average length of stay, however, has been
increasing: from 9.5 days to 16 days in 2013 (the maximum length of stay is 30
days). The increase in length of stay at the shelter is an indicaEon that it may
be increasingly challenging nding aordable and suitable housing for clients
who are ready to leave the shelter.
Figure 29: Average Length of Stay at Stepping Stones Emergency Shelter
16
Days
9.5
2011
12
2012
2013
Source: Nelson Homeless Report Card, Nelson CARES Society, 2014
38
Above: Ward Street Place, Nelson
Food bank visits in Nelson

have increased by 42% since
the 2010 Housing Needs
Assessment
The number of food bank visits and meals served at Our Daily Bread have also
been on the rise, with approximately 35% of users being seniors. Our Daily
Bread is a hot lunch program oered by the Kootenay ChrisEan Fellowship ve
days a week to anyone who comes through their door. The Nelson Food
Cupboard, located in the United Church on Silica Street, oers a food bank in a
barrier free environment.
There was a substanEal increase in the number of meals served by Our Daily
Bread in 2009, likely in response to economic hardships experienced by
households following the economic recession. A 2011 drop in meals served
was accompanied by a signicant increase in SalvaEon Army Food Bank visits.
Since 2011, both the SalvaEon Army Food Bank and Our Daily Bread have seen
steady increases in the use of their services. In fact, the number of food bank
visits have steadily increased over the past decade, with 1 in 5 served being
children (2013). The steady rise in food bank users is an indicaEon of the
overall rise of cost of living in Nelson, whereby households are short-changed
to meet their basic household expenses such as housing and groceries. Ouen,
low-income families will sacrice nutriEon and food in order to pay xed costs
such as their rent and credit (debt) payments.
AddiEonal food banks exist in Nelson; one is run by the Anglican Church and
the other by the Womens Centre.
Figure 30: Nelson Food Bank Visits and Meals Served at Our Daily Bread
25,000
20,000
15,000
10,000
5,000
2004
2009
Food Bank Visits
2011
2012
2013
Meals Served by Our Daily Bread
Source: Nelson Aordable Housing Needs Assessment 2010, and Nelson Homeless Report
Card, Nelson CARES Society, 2014
39
Social service providers have observed an increase in number of homeless

individuals in Nelson, and are now using the full amount of vouchers for
homeless persons whereas, a few years ago, they had a surplus.
Key informants from this study indicated that the quaint and aaracEve
reputaEon of Nelson has lead to more hidden homelessness, where homeless
individuals do not feel comfortable being visible on the street or who are
encouraged to hide. Because of this, homeless individuals have been known to
choose to rest or sleep in unsafe community spaces such as dark alleys.
The visibility of homeless in Nelson has been increasingly evident, including
this Spring when the largest tent city ever erected in the Nelson area was
dismantled. Five people were evicted from the homeless camp in Railtown,
however, as many as 30 to 40 people have been known to inhabit the property
at any given Eme over the last 8 years. QualitaEve sources have indicated that
up to 100 persons at a Eme have used Railtown as a home base and, as of
August 2014, all occupants previously living in this encampment had been
displaced. Reportedly, a number of camp tenants were on income assistance,
or working minimum wage jobs, and had challenges aording housing. There
have been reports that some homeless have since relocated their tent and
belongings elsewhere, while others have lost their possessions following the
clean-up.
Community observaEons have reported that Nelson is a desEnaEon for a
transient populaEon, specically young people who are unemployed and
without nancial assets. Ouen they are aaracted to the local culture, some
come for fesEvals, or return from fruit picking. Many pass through, but some
also stay. Regardless of why theyve come to Nelson or how long they plan to
stay, all of them require accommodaEon and, at the very least, places pressure
on the rental housing market and community support services.
40
Above: A Nelson Homeless Camp, locally

known as Railtown, is dismantled in
mid-July, 2014. Local media covered the
story and interviewed those challenged to
find permanent, affordable housing in
Nelson (Photo Credit: Nelson Star)
HOUSING NEEDS AND GAPS
AFFORDABLE HOUSING NEEDS IN NELSON

This secEon of the report draws on the staEsEcal measures from this report,
together with community observaEons and insights, non-market housing
providers, social service providers, faith-based organizaEons and others who
are familiar with the housing challenges in Nelson. Six groups have been
idenEed as having varying housing aordability, adequacy and suitability
needs in Nelson:
Above: Duplex in Nelson
At-risk youth and young adults;
Persons with disabiliEes (developmental or physical);
Low-income seniors and seniors living in rural areas of Nelson;
Low-income families;
Persons with mental health and addicEon issues; and,
People who are homelessness or at-risk of becoming homeless.
AT-RISK YOUTH AND YOUNG ADULTS

There is a strong and compelling argument indicaEng that at-risk youth and
young adults are in need of aordable housing in Nelson. StaEsEcally, Nelson
experienced a signicant increase in the number of young people under the
age of 24 from the last census (35% increase, or an addiEonal 670 youth
between the ages of 15 and 24 - refer to Figure 3). These emerging young
adults are likely looking for rental as their form of accommodaEon.
Young adults under the age of 24 earn the lowest median income levels for all
household types (couples, single parents, and single individuals), and have the
least choice in the housing market. Single young adults earning the median
income could not aord the average rental price for a one-bedroom or
bachelor unit in Nelson, and would have to spend greater than 30% of their
income towards housing. AlternaEvely, they could nd a roommate (or two),
or remain living with their parents, if that is an opEon. Unfortunately, living at
41
home or with roommates is not an opEon for all youth. For some youth, for
example, experiencing mental health issues and/or have a fragile/non-existent
relaEonship with caregivers, being able to live independently is their only
opEon.
Young single parents under the age of 24 also have a very low median
income, which can aord them $431 per month towards shelter costs. They
would require at least a two-bedroom rental unit to accommodate themselves
and their child/children, the going-rate of which is $792 per month on average
in Nelson. For these single parents, they ouen will rent a cheaper rental unit
compared to the average unit (if available), in exchange for lower quality and
condiEon in order to save costs. Otherwise, they are likely paying more money
towards housing, resulEng in short-changing themselves for other living costs
such as groceries and childcare.
Young single parents are eligible for rental assistance under BC Housing
program because they have a dependent. Youth who live on their own do not
have such programs available to them, and are in most need of nding
aordable rental housing - either bachelor or one-bedroom unit.
Further, wait list informaEon and conversaEons with the community idenEed
a need to house youth in the young teen years (11 to 15) and youth ready to
leave Cicada Place (+22 years of age).
PERSONS WITH DISABILITIES

The wait list for aordable housing dedicated to persons with disabiliEes has
seen a major increase since the 2010 Housing Needs Assessment. Over half of
the new Anderson Gardens units (completed in 2013) are occupied by persons
with disabiliEes, with the reminder of residents are low-income seniors. The
wait list for that complex is over 50 applicants - half of which are persons with
disabiliEes.
In addiEon, conversaEons with key informants in the community have further
idenEed a need to reproduce a complex such as Anderson Gardens as the
need for this type of building - independent, accessible, and in good condiEon
- is in demand in Nelson for persons with disabiliEes.
LOW-INCOME SENIORS AND SENIORS IN RURAL

AREAS OF NELSON
The number of seniors in Nelson is projected to grow over the coming decade.
There are indicators that low-income seniors are challenged to aord housing
in Nelson - including food bank usage (1 in 10 users are seniors). However,
median income levels suggest that seniors (over the age of 65+) are in a beaer
posiEon to aord rental housing compared to other age groups, and are most
likely to have accumulated wealth over Eme.
That said, adults who have struggled for a large porEon of their lives would
likely not have the same advantage as their senior cohorts when it comes to
42
HOUSING GAP:
Affordable bachelor or
one-bedroom units
suitable for singles
HOUSING GAP:
Independent affordable
housing for youth (22+)
leaving Cicada Place
HOUSING GAP:
Youth safe beds or safe
home program for
youth ages 11 to 15
HOUSING GAP:
Permanent affordable
housing that is
accessible and
adequate housing for
persons with disabilities
reErement years. Some of these seniors sEll require to work and earn an
income, others receive income assistance such as pension and disability. These
xed-income earners are low-income earners, and are challenged to aord
the average market rental prices in Nelson.
HOUSING GAP:
Accessible rental and
ownership options for
seniors in the urban
areas of Nelson
Further, the community reported that seniors living in rural areas of Nelson
are looking to downsize from their large homes and into something smaller
with less maintenance. Key informants have reported that seniors are
challenged to maintain their large homes; and although their mortgages are
paid for, property taxes and home repairs can be costly. TransportaEon in
rural areas is also a challenge for seniors.
Seniors in rural areas have reported that their return on investment for their
rural properEes is not as substanEal as they expected. As a result, they have
less funds available for their reErement years, which also limits the housing
type and price point they can aord should they choose to sell their current
home. Further to this challenge is a limited availability of housing suitable to
seniors looking to downsize. Apartments tend to be walk-ups (less accessible),
and are not dedicated to seniors, so lifestyle clashes with young people and
other household arrangements proves challenging.
Proposed condominium development projects have the potenEal to work for
seniors looking to downsize, especially for those who own a single-detached
home, as their equity would likely allow them to aord the average price of a
condo. However, those seniors earning the median income or less, and who
are on xed-incomes, would not be able to aord purchasing a condo in
Nelson. They would require rental units that are safe, accessible, and
aordable. Low-income senior renters could obtain a SAFER rent subsidy to
make rents in the private market more aordable, but would sEll require
suitable and appropriate housing to meet their needs.
LOW-INCOME FAMILIES
HOUSING GAP:
Lower cost
homeownership (small
lots, ground-oriented
multi-unit)
According to the BC Housing Wait List Registry, Nelson has experienced a

signicant decrease in the demand for aordable rental housing for low-
income families. However, community observaEons and insights indicate that
the number of low-income families and children living in poverty is increasing
in Nelson, and there is a need to house low-income families.
This is further supported by the aordability calculaEons, which suggest that
low-income families (both couples and single parents) are challenged to aord
the average rental prices in Nelson. There could be an opportunity to match
these low-income families with rent supplements, or more permanent
aordable housing dedicated to families where and when made available. The
gap in Nelson is the limited opEons for family-friendly rental; homes that are
aordable without compromising on the quality and condiEon of housing. The
low availability of 3+ bedroom rental units in Nelson, which comprise merely
2% of Nelsons rental stock, lend addiEonal weight to this argument.
43
The 2010 Housing Needs Assessment report idenEed a need to assist low to
moderate income families enter into homeownership. This need was also
heard from the community during this study. However, since 2010, a privately
operated Rent-to-Own program has been introduced through the private
market. At the Eme of this study, there were 97 qualied applicants ready for
a property to become available for the program. The largest barrier is
matching a suitable property to meet household needs, primarily for families.
It was suggested that duplexes, fourplexes and townhouses were ideal forms
for families uElizing the Rent-to-Own program.
HOUSING GAP:
Affordable family-
friendly rental units
(3+ bedrooms)
PERSONS WITH MENTAL HEALTH AND ADDICTIONS

ISSUES
The number of persons with mental health and addicEons issues is on the rise
in Nelson. A higher proporEon of shelter users idenEfy with either a mental
health or addicEon issue (or both), and nearly a quarter of all police calls are
related to mental health. Nelson is home to a variety of social services as well
as addicEons treatment at the hospital, and serves people from around the
region who need access to these services. Overall, housing is missing from
the conEnuum of care.
There is a demonstrated need to provide low-barrier suitable and
aordable housing to persons with mental health and addicEons issues in
Nelson. For housing persons with addicEons and those receiving addicEons
treatment, there is an opportunity to explore the development of an
AddicEons Treatment Facility - one that has dedicated detox beds and onsite
supports, housing or otherwise, for temporary stays. At the very least, a
feasibility study for an AddicEons Treatment Facility would be required before
moving forward on this consideraEon.
Further, there is a need to provide aordable and suitable housing for persons
with mental health issues in the community, possibly in the exisEng private
market rental stock (rather than dedicated buildings). This could be achieved
through rent supplement programs, engagement and educaEon with
landlords, outreach support workers (ACT Teams), and social service provider
support. Across Canada, scaaered site rent supplements for persons with
mental health has been increasingly common in terms of implemenEng the
Housing First model in small and rural communiEes, as achieving dedicated
buildings is dicult outside of major centres.
PEOPLE WHO ARE HOMELESS OR AT-RISK OF

HOMELESSNESS
There are several indicators that demonstrate that homelessness in Nelson is
on the rise: social service providers maximizing homeless rent supplements,
the recent shuing of residents occupying informal sealements/camps, and
the increase in length of stay at the Stepping Stones for Success Emergency
Shelter. Those at-risk of homelessness are already outlined in this report:
residents being potenEally displaced due to res or evicEons (e.g. Kerr
44
HOUSING GAP:
Dedicated detox beds,
possibly in conjunction
with an addictions
treatment facility
HOUSING GAP:
Scattered site rent
supplement program
for persons with mental
health issues, and
appropriate discharge
planning from
hospitals/detainment
HOUSING GAP:
Matching households
with rent subsidy
programs
Apartment Fire), and low-income households paying more than 30% of their
gross income towards housing costs. These low-income households are youth,
seniors, and families, as well as persons living with mental health and
addicEons issues.
There is an opportunity to connect with people who are homeless or
households at-risk of homelessness with rental assistance programs: seniors
with SAFER, and families with RAP. For single individuals who are not eligible
for such programs, the matching of units becomes increasingly important.
There is an opportunity to implement Housing First model for these
residents, through the site scaaered model of housing. Advocacy and
provincial funding is required to implement this approach.
In summary, 10 housing gaps have been idenEed for the City of Nelson, as
illustrated in the table below.
Table 13: Summary of Housing Gaps
Housing Gap
Sub-PopulaGon Group
Aordable bachelor or one-bedroom units suitable

for singles
Single individuals living on

their own (youth, adults,
seniors)
Independent aordable housing for youth (22+)
Young Adults
Youth safe beds or safe home program for youth

ages 11 to 15
Young Adults
Permanent aordable housing that is accessible and

adequate housing for persons with disabiliees
Persons with disabiliees
Accessible rental and ownership opeons for seniors

in the urban areas of Nelson
Seniors
Aordable family-friendly rental units
Low-income families
Lower cost homeownership (small lots, ground-

oriented mule-unit)
Low to moderate-income
families
Dedicated detox beds, possibly in conjunceon with

an addiceons treatment facility
Mental health and addiceons
Scakered site rent supplement program for persons

with mental health issues, and appropriate
discharge planning from hospitals/detainment
Mental health and addiceons
Matching households with rent subsidy programs
Homeless
45
OTHER CONSIDERATIONS
Further to the housing needs and gaps, this study idenEed other underlying
factors contribuEng to the housing situaEon in Nelson, including the condiEon
of the rental housing stock, potenEal pressures on the rental market, as well
as challenges to the economy, employment, and poverty.
QUALITY AND CONDITION OF RENTAL HOUSING

Reports of poor condiEon in the rental stock was noted in 2010, and again in
2014. Part of the reason could be related to the long period of low vacancy
rates in Nelson, which were below 2% prior to 2012, and hovering at 2.6%
today. The demand for private market rental has outmatched the supply and,
when this happens, the market alone regulate good housing condiEons. There
has not been any enacted bylaws (e.g. Standards of Maintenance Bylaw) or
landlord incenEve programs to encourage major repairs. Lastly, rental housing
in poor condiEons also tend to be more aordable, so there is concern in the
Nelson community that upgrading aordable market rental stock could, to
some degree, unintenEonally result in a net loss of aordable market rental
units.
As a result, the issues related to rental housing condiEons remain the same:
mold, inadequate insulaEon, no heaEng, faulty wiring and plumbing, poorly
secured locks, and overcrowding. Substandard housing can have serious
negaEve eects on tenants, the most notable aect being health. Poor
condiEons such as overcrowding, dampness, and cold weather/poor insulaEon
can all lead to physical illnesses. For children, seniors, and persons with
compromised immune systems, living in poor rental condiEons is unsafe.
HOUSING CHALLENGE:
Upgrading rental
housing in poor
conditions
PRESSURE ON THE RENTAL MARKET

The rental vacancy rate has alleviated since 2010 (now 2.6%), but is sEll less
than a healthy, balanced market vacancy rate of 3%. Considering populaEon
growth trends in Nelson (parEcularly among youth, young adults, and seniors -
all more likely to rent), the future market could experience a decrease in
vacancy rates should addiEonal units not be developed in Nelson.
Further, trends in aordable housing programs are leaning towards oering
rental subsidies for households to use towards private market rental units,
rather than developing and managing new dedicated aordable housing
buildings. With the slowing down of aordable housing development projects
occurring throughout the province, and the increase in rent subsidy programs,
Nelson may observe an increased demand for private market rental units for
households that would have otherwise (a decade or so ago) been housed in
dedicated aordable housing. There are benets to integraEng low-income
households in the private market rental, such as creaEng inclusive and mixed-
income neighbourhoods, but also lends to an increase in rental market
demand.
46
HOUSING CHALLENGE:
Maintaining a
reasonable rental
vacancy rate (~3%)
In the coming years, the City should pay close aaenEon to rental vacancy
rates, rental wait lists, and populaEon growth amongst youth, young adults,
and seniors. Also important to consider is not to over-build, as high vacancy
rates can be detrimental on property owners, and can have an opposite aect
on aordability once vacancy rates return to normal (i.e. increase rents to
compensate for lost revenue).
EMPLOYMENT CHALLENGES AND OCCURRENCES OF

POVERTY
Nearly every key informant interview from this study underscored the
relaEonship between economic challenges in Nelson and the challenges to
aordable housing.
HOUSING CHALLENGE:
Limited employment
opportunities, and limited
good-paying jobs
At the Eme of the 2010 report, the Nelson community had not yet felt the full
eects of the economic recession. Since then, the challenges have increasingly
becoming apparent. There are limited job opportuniEes for residents living in
Nelson, including job losses, which limits their income potenEal and ability to
aord housing. The community has also indicated that there is not a large
employer in Nelson, yet the populaEon conEnues to grow. This has increased
the labour force parEcipaEon, but has not increased the total number of jobs.
The compeEEve job market in Nelson makes it challenging to secure
employment, especially for young adults.
Community observaEons and insights revealed that in 2010, low-income
households were working up to 2 or 3 minimum-wage paying jobs at a Eme in
order to aord the cost of living. Today, observaEons suggest that this has
increased to 3 to 4 jobs in some cases. Further, the community is concerned
that the rates of poverty is increasing for individuals, families, and children.
Lastly, community insights idenEed the informal economies of Nelson could
be in jeopardy. Specically, marijuana growing. There are households in both
urban and rural areas of Nelson that grow marijuana to supplement their
income, and to oset their overall cost of living including the cost of housing.
However, recent regulaEon changes could potenEally aaract large-scale
marijuana growing operaEons to Nelson, which could be an economic
generaEng opportunity and potenEally bring-in large employer(s) for the
community. However, the small-scale operaEons could be compromised and,
as a result, reduce households income and directly impact their ability to
aord housing. A major community concern is that Nelson could experience a
wave of households that, at one point were nancially independent and
secure because of their marijuana related income, potenEally in need of
aordable housing and other social services in the future. There is a need to
prepare for this potenEal economic challenge in Nelson.
47
48
APPENDICES
APPENDIX A: LIST OF KEY INFORMANTS

PreparaEon of this report was made possible by the parEcipaEon of the
following list of key informants:
City of Nelson Housing Commiaee
Cicada Place (Joyce Dahms-Whien and outreach workers)
CMHA Kootenays/Anderson Gardens (Qadesh Markowski)
Nelson Community Services Centre (Rona Park)
Nelson CARES Society (Jenny Robinson)
Community First Health Co-op (Joan Reichardt)
Nelson Commiaee on Homelessness (KaEe Tabor and Anne Harvey)
Stepping Stones for Success Emergency Shelter (Klee Hunter)
Links Housing Co-op (Sharmaine Gray)
Nelson Police Department (Chief Wayne Holland)
Nelson Realty/West Kootenay Landlord Society (Trevor Jenkinson)
AIDS Network Kootenay Outreach + Support Society (Cheryl Dowden)
Kootenay ChrisEan Fellowship/Our Daily Bread (Pastor Jim Reimer)
Selkirk College (Mike McGaw)
Habitat for Humanity (Kathy Fair)
Womens Centre (Elena Baneld)
Columbia Basin Trust (Liz Gillis)
Learning in ReErement (Judy Biggins, Joel Guay, Alannah Haynes, Roger

Oliver)
West Creek Developments Inc (Pat Davis)
Primary Choice Homes - Rent-to-Own (Jessica Curran)
49
APPENDIX B: LIST OF KEY TERMS AND DEFINITIONS

ADEQUATE HOUSING: means dwellings reported by residents as not requiring
any major repairs.
AFFORDABLE HOUSING: means a safe, secure, accessible living environment
that allows people to live within their income level, and maintain quality of
life. Aordable housing may take a number of forms that exist along a
conEnuum - from emergency shelters, to transiEonal housing, to mass-market
rental (also known as subsidized or social housing), to formal and informal
rental, and home ownership. According to Canada Mortgage and Housing
CorporaEon, for housing to be aordable, a household should not spend more
than 30% of gross income on shelter costs.
CORE HOUSING NEED: means a household living in a housing that falls below
at least one of the adequacy, aordability or suitability standards and it would
have to spend 30 percent or more of its total before-tax income to pay the
median rent of alternaEve local housing that is acceptable.
DETACHED HOME: As per CMHC, a free-standing home for one family, not
aaached to a house on either side.
DUPLEX: As per CMHC, a duplex is a building containing two single-family
homes, located one above the other.
GROSS DEBT SERVICE RATIO: means the raEo that measures the percentage
of gross annual income required to cover annual payments associated with
housing and all other debt obligaEons, such as payments on car loans, credit
cards, personal loans, etc. (CMHC, Debt Service Formula, 2014).
HOMELESSNESS: is the situaEon of an individual or family without stable,
permanent, appropriate housing, or the immediate prospect, means and
ability of acquiring it.
HOUSING CONTINUUM: is a visual concept used to describe and categorize
dierent types of housing, from non-market to market housing. Housing
conEnuums are developed to assist with planning and program development
and are usually tailored to the community or region in quesEon. On the non-
market end of the conEnuum are emergency services and transiEonal housing,
which ouen require the most public funding, moving towards supporEve and
social housing opEons in the middle of the conEnuum and then towards
independent housing opEons on the right, where housing is typically provided
by the private market.
HOUSING OCCUPANCY STANDARDS: means housing must have enough
bedrooms for the size and make up of a household. This means a home needs
to have enough bedrooms for each cohabiEng adult couple, each adult 18
years or older, each child under 18 years old (two children of the same gender
can share a room; two children under ve years old of opposite genders can
share a room).
50
MARKET RENTAL HOUSING: means the private rental market that provides
the majority of rental housing aordable to households with low to moderate
incomes. This can include purpose-built rental housing as well as housing
supplied through the secondary rental market such as basement suites, rented
condominium units, or other investor-owned houses/units.
NON-MARKET HOUSING: means aordable housing that is owned or
subsidized by government, a non-prot society, or a housing cooperaEve;
whereby rent or mortgage payments are not solely market driven.
RENTAL ASSISTANCE PROGRAM (RAP): is operated by BC Housing, providing
eligible low-income working families with cash assistance to help with their
monthly rent payments. To qualify, families myst have a gross household
income of $35,000 or less, have at least one dependent child, and have been
employed at some point over the last year.
ROW HOUSE: As per CMHC, also called a townhouse, a row house is one unit
of several similar single-family homes, side-by-side, joined by common walls.
SCATTERED SITE: is a Housing First approach to help low-income individuals
access a self-contained rental unit (i.e. private apartment or secondary suite)
and receive a rent subsidy to o-set the costs. Rather than oering housing in
dedicated buildings to a targeted populaEon, this approach results in placing
low-income individuals throughout the community. For situaEons where the
tenant has mental health issues, oering a rent subsidy plus support can be
applied. An example is the At Home/Chez Soi program in Vancouver, where
200 scaaered site units were oered for persons living with severe mental
illness.
SEMI-DETACHED HOME: As per CMHC, this is a home for one family, aaached
to another building on one side.
SHELTER AID FOR ELDERLY RESIDENTS (SAFER): is operated by BC Housing,
and helps make rents aordable for BC seniors with low to moderate incomes
by providing monthly cash payments to subsidize rents for eligible BC residents
who are age 60 or over, and who pay rent for their homes. Seniors who own
their homes are not eligible.
SUITABLE HOUSING: means housing that has enough bedrooms for the size
and make-up of resident households, according to NaEonal Occupancy
Standard (NOS) requirements.
51
APPENDIX C: LIST OF SOURCES
BC Housing, Research and Corporate Planning Department. Housing

Registry - Nelson and Central Kootenays. 2014
BC Non-Prot Housing AssociaEon. ProjecJons of Rental Housing Demand

and Core Housing Need (CVRD to 2036). 2012
BC Stats. Building Permits by Community. 2013
BC Stats. P.E.O.P.L.E PopulaJon and Household ProjecJons. 2013
Canada Mortgage and Housing CorporaEon. Housing in Canada Online

(HICO). 2006
Canada Mortgage and Housing CorporaEon. Rental Market Reports. 2011,

2013
CitySpaces ConsulEng. Nelson Aordable Housing Needs Assessment -

Report #1. 2010
Government of Canada. Labour Market InformaJon, Employment and

Social Development. 2010/2014
Kootenay Real Estate Board. Monthly StaJsJcs Package. 2014
Nelson CARES Society. Nelson Homeless Report Card. 2014
Nelson CARES Society. Stepping Stones for Success Shelter StaJsJcs. 2014
Nelson Post. Fire at the Kerr Apartments - ArJcle. 2011
Nelson Star. Advocates Decry Camp EvicJon - ArJcle. 2014
StaEsEcs Canada. Income StaJsJcs, Annual EsJmates for Census, Families

and Individuals. 2011
StaEsEcs Canada. NaJonal Household Survey. 2011
StaEsEcs Canada. PopulaJon Census. 2011
Various Rental LisEngs: Kijiji
, I Love Nelson, Discover Nelson, Used Kootenay, Craigslist and Nelson

Gyos.ca
52
Suite 585, 1111 West Has/ngs Street, Vancouver BC V6E 2J3 | 604.687.2281
5th Floor, 844 Courtney Street, Victoria BC V8W 1C4 | 250.383.0304
Suite 300, 160 Quarry Park Boulevard SE, Calgary AB T2C 3G3 | 403.336.2468
www.cityspaces.ca

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Report 1

HOUSING NEEDS UPDATE

AN UPDATED HOUSING STRATEGY

A descripEon of a wide range of factors that inuence the housing market;

An idenEcaEon of groups who are least able to access suitable,

A commentary on gaps and issues in the market and non-market sectors.

CitySpaces research was conducted between May and September 2014,

GROUPS EXPERIENCING GREATEST

between 2006 to 2013). Further, police records also indicate an increase in

MAIN HOUSING GAPS

Independent aordable housing for youth (22+);

Youth safe beds or safe home programs for ages 11 - 15;

Permanent aordable housing that is accessible and adequate for persons

Aordable family-friendly rental units;

Lower cost homeownership (small lots, ground-oriented mulE-units);

Dedicated detox beds, possibly in conjuncEon with an addicEons

10. Matching households with rent subsidy programs.

NELSON AFFORDABLE HOUSING STRATEGY

Project Overview ..................................................................................1

Demographics Overview ......................................................................3

Market Housing Overview ...................................................................7

THE AFFORDABILITY CONTEXT

Defining Affordability ........................................................................19

Core Housing Need .............................................................................29

Non-Market Housing Overview ........................................................31

HOUSING NEEDS AND GAPS

Affordable Housing Needs in Nelson ..............................................41

Other Considerations .........................................................................46

Appendix A: List of Key Informants .................................................49

Above: City of Nelson, BC

WHAT IS AN AFFORDABLE HOUSING STRATEGY?

Report #1 - Housing Needs Report Update: This baseline report examines

Report #2 - Aordable Housing Strategy Report Update: The second and

THE HOUSING CONTINUUM

The mix of market and non-market housing varies depending on community,

There are an increasing number of young people and

Demographics are a key indicator of housing needs in a community as they can

Figure 2: Nelson and RDCK Future Population Estimates

Above: Historic housing in Nelson

Source: BC StaJsJcs, P.E.O.P.L.E BriJsh Columbia-Level PopulaJon ProjecJons, April 2013

Figure 3: Population Distribution by Age Groups

Source: StaJsJcs Canada, Census 2001, 2006, 2011

Source: BC StaJsJcs, P.E.O.P.L.E BriJsh Columbia-Level PopulaJon ProjecJons (April 2013)

Source: BC StaJsJcs, Building Permits by Community, 2013

MARKET HOUSING OVERVIEW

DWELLINGS AND PROPERTIES

Apartments < 5 Storeys

Source: StaJsJcs Canada, Census 2011

Source: StaJsJcs Canada, Census 2006, 2011

In Nelson, the most common residents of single detached dwellings are

Multi-unit housing, such

Figure 8: Nelson Housing Mix Change by Age of Resident, 2011

Source: StaJsJcs Canada, Census - Focus on Geography Series 2011

Source: StaJsJcs Canada, Census - Focus on Geography Series 2011

Source: StaJsJcs Canada, NaJonal Household Survey 2011

ObservaEons from the community revealed that there are occurrences of

Figure 10: Housing Tenure, Nelson and BC, 2011

Source: StaJsJcs Canada, NaJonal Household Survey 2011

RESIDENTIAL BUILDING ACTIVITY

PURPOSE-BUILT RENTAL HOUSING, AND FIRES

Above: Kerr Apartments burnt down in

Source: CMHC, Market Rental Reports, Spring 2014

Above: Today, the site of the old Kerr

- Shared experience by a Key