Kitchener land donation helps kick off affordable housing project in region

The City of Kitchener donates $5.5 worth of land to Habitat for Humanity on Apr. 25, 2024. (Chris Thomson/CTV Kitchener)

An ambitious plan to bring 10,000 affordable homes to Waterloo Region is officially underway, thanks to a land donation from the City of Kitchener.

The two acres of land across from Stanley Park Mall was officially donated to Habitat for Humanity Waterloo Region Thursday morning.

The parcel will be used for roughly 65 affordable homes, ranging from one to four bedrooms, be sold to low income households, and cost around $400,000 each.

"The city's giving us land estimated at $5.5 million," said Philip Mills, CEO of Habitat for Humanity Waterloo Region. "That's $5.5 million that we as a charity don't have to fundraise or develop, so that's right off the top."

The BUILD NOW: Waterloo Region partnership was announced in July of last year, which aims to create 7,000 for purchase homes and 3,000 rentals in the area by 2030.

"Folks came together from all across the community and said 'we need to do something and we need to do something big,'" said Mills. "This is a big problem and it needs a big solution."

The donation also comes as part of the $42.4 million Housing Accelerator Fund initiative, provided from the federal government to the City of Kitchener.

"The last big part of this is our development partners who are waiving their profit margins," said Mills. "They're working for cost with us. So you take out the land, take out the development charges, and take out the profit in housing, and we can get the cost dramatically reduced."

Construction on the new homes is expected to begin early next year and welcome homeowners in by 2027.

"What's cool about this is ownership and affordable ownership and perpetuity at scale, that's really exciting about the BUILD NOW project," said Mills. "This isn't just something that's a one time investment. These homes will be affordable forever.

"The more we build, the more affordability there is in the region."