CANMORE – A proposed 239-unit residential development on Three Sisters' land was put on hold for at least a month in hopes of securing additional affordable housing in The Gateway project.
Originally brought forward as a series of variances for building and eaveline height for four four-storey and three townhouses at Canmore Planning Commission’s (CPC) Wednesday (May 22) meeting was unanimously postponed after a roughly 35-minute in camera session.
At the heart of the discussion was whether the entry-level homes – more than 70 per cent of the project – would actually be a community benefit and offer long-term affordable housing for residents.
“I’ve seen a lot of projects come forward over the years. I’ve seen the term extraordinary community benefit used and I’m not seeing that in this application at this time,” said Joanna McCallum, one of two council representatives on CPC.
McCallum said she appreciated the private market offering entry-level housing, but added entry-level housing has seen "zero success in Canmore" and hoped to see the developers work with the Town of Canmore and Canmore Community Housing before returning with the project.
She pointed to Peaks of Grassi, Grotto Mountain Village and the housing at 1 Industrial Place referred to as entry-level housing but are now out of reach for most residents, adding the first buyer receives the entry-level pricing and then it’s subject to the free market.
She preferred to see Logel Homes – the project’s developer – use a section in the land use bylaw that requires an affordable housing unit for every three extra market units added through density bonusing, leading to 16 affordable units instead of four.
“Four units on 239 doors doesn’t really seem like a great deal for anybody, really. … I have zero issues with the height variances … for me, it comes down strictly to the fact that what is the extraordinary net benefit,” McCallum said.
The project is proposed by Calgary-based Logel Homes – one of the largest condo developers in Calgary – and is part of The Gateway area under construction.
Chris Sparrow, principal with Metafor and a representative for the project, said the three-to-one extra market units for affordable housing ratio is a “losing proposition” when land and construction costs are factored in, meaning entry-level units would increase in pricing.
He said the site offers a “unique opportunity” to provide additional density. The original development plan was scrapped and higher density with smaller-sized units went forward.
“If there was ever a site in Canmore that could benefit from additional density to try and bring meaningful housing that would benefit the people that would live there, this would be the site,” he said.
Brayden Logel, president of Logel Homes, said the smaller units help reduce condo fees, but if more affordable housing is added, the costs are shifted to the market units.
Logel said the smaller sized units would start at 473 square feet and go up, adding the company has previously built in Peaks of Grassi and the first month of sales would just be for Canmore residents.
“I think adding [affordable housing] units to the project is going to further increase the costs of the most affordable units that are within the development. … If we had known, if we were asked to provide significantly more [affordable housing], we would have probably stuck with the original perimeters of the bylaw, which would have been less larger and more luxury condos,” he said.
“In an effort to work with the Town and address the housing crisis, we gave up quite a bit in our floor area ratio to offer this many smaller units. Most of the other developers submitting applications are not taking this approach and most of the inventory that’s within the Town is very expensive and a lot of that has to do with the size of the home.”
Logel couldn’t confirm the pricing since the price per square foot would come once further designs are down, permits received and tendering has occurred.
But said it could possibly be below $400,000 or in the low $400,000s, highlighting it is “almost impossible” to find market units below $600,000 in Canmore and the project would help with entry-level market units needed in the community.
Jeff Hilstad, a council representative on the commission, said he hoped to see more affordable units included but gave his own experience of buying entry-level housing at the Blakiston in Palliser to attain local housing.
He noted the CCH board could discuss possibly buying some of the market units for its portfolio, but “would obviously have to go through the CCH board.”
Known as Altitude at Three Sisters Mountain Village, the builds would be located at the end of the new Cascade Drive and include a revised density bonusing ratio, according to a staff report to the commission.
Of the 239 units, 155 will be entry-level housing for 72 per cent of the site. Four of the units will be affordable housing and the project will have solar panels on one building and electric vehicle charging for 25 per cent of parking, but the remaining parking will be EV-eligible.
The Town’s land use bylaw allows a maximum building height of 12 metres, but three of the apartments will be 15.6 metres and another 13.8 metres. The three townhouses will be 13 metres high. The land use bylaw permits eaveline height of nine metres, with three of the apartments being approved for 11.7 metres.
Three of the apartments go above the 20 per cent maximum height and eaveline CPC can consider, but the land use bylaw allows the commission to consider higher percentage variances if “an extraordinary net benefit to the community can be found.” The criteria are historic conservation, enhanced green construction and bonus density.
A staff report highlighted it has “substantial community benefit” since it will add entry-level and affordable housing.
Harry Shnider, the Town’s manager of planning and development, said there’s not a specific guideline for what qualifies as an extraordinary net benefit but building to a higher than required standard such as green energy would be considered a net benefit.
Florian Jungen, a long-time commission member, noted the community needs entry-level housing, but was concerned about maintaining the entry-level pricing.
“We know in this community, we’ve seen units that were intended as staff accommodation selling for quite high price points. … I’m having a little bit of trouble with having the assurance things will work out the way they’ve been presented and planned,” he said, noting he felt the variances had no negative impact.
Commission member Brian Talbot highlighted “the increase in density is needed in this community” and that Logel Homes has a good history and reputation in Calgary for building well-priced homes.
“We’re going to have to put a trust in that reputation,” he said.
Logel Homes can return as early as the next planning commission meeting June 19.