Cold Lake rental incentive set to offer $15,000 for each new unit built

Cold Lake, AB – Cold Lake City Council revisited its Multiunit Rental Housing Incentive in an effort to help spur the development of purpose-built rentals in the community.

The current version of the program was passed in March of 2024 with an incentive worth $10,000 per door for each new rental dwelling built, provided the project created a minimum of four new rental dwellings. The program is approved with funding for up to 100 units. An even earlier version of the program received applications in 2013 and 2014 which resulted in 318 rental units being created and $2,297,500 in grants being disbursed.

At its Regular Council Meeting on April 14, Council decided to increase the Multiunit Rental Housing Incentive offered to $15,000 per door with the remaining provisions of the program intact.

“We’ve seen this incentive work in the community when we were under pressure from growth and, with what we know is on the horizon, we are doing our best to be in front of the wave,” Mayor Bob Mattice said. “We’ve heard from local builders that it is difficult to raise the capital needed for large rental projects, and rentals are the housing option that are often the most difficult to see built at scale in a rural community.”

Council reintroduced the program in 2024 as one of several measures intended to help position the community for significant growth in the coming years, as work is undertaken to prepare 4 Wing Cold Lake to accept Canada’s new fighter jet. Once that work is completed, growth will continue as it is expected that 4 Wing will see additional personnel needed to operate and maintain the new jet, as well as a modernized Cold Lake Air Weapons Range.

Administration has been told by members of the development community that capital for projects is difficult to negotiate with lenders, and government programs are not geared to supporting projects in rural settings.

“A welcoming and inclusive community requires a mix of housing options to ensure that something is available for everyone’s situation,” Mattice said. “Strengthening the business case for these projects with municipal support will pay dividends down the road when we can welcome new residents who are able to find housing that matches their needs.”

-30-