The B.C. government has identified the site of the former Northbridge Hotel in Kamloops as a potential location for new rental homes as part of its $3-billion BC Builds program.

The move means the property at 377 Tranquille Road – which is owned by the City of Kamloops – could eventually become the site of new rental homes for middle-income families.

“The City of Kamloops is excited to work with BC Builds to realize more attainable housing in our community,” Kamloops mayor Reid Hamer-Jackson is quoted as saying in a news release.

“This is another step toward the realization of the North Shore Neighbourhood Plan and underscores the council’s commitment to increasing the inventory of diverse housing options and facilitating more opportunities for residents to access housing.”

Announced in February, the Province says the BC Builds program is meant to fast-track the construction of affordable rental units on land owned by government, communities, and non-profits.

“We’re dealing with a housing crisis and governments must play an active role together with non-profits and the private sector to build as much housing as possible,” B.C. Housing Minister Ravi Kahlon said, in a statement.

“BC Builds is getting British Columbia back into the game of building middle-income housing as quickly as possible by connecting public lands with homebuilders and non-profit housing operators.”

The Tranquille Road property was one of eight pre-zoned parcels of land added to the BC Builds database Monday. There was one property in Kelowna, three in Langley, and one each in Elkford, Sooke, and North Cowichan.

Extent of development not yet determined

In a “property opportunity notice” for the Kamloops property, the Province says the City of Kamloops – as owner of the property – is looking for a developer or a builder to “provide a turn-key building” to a pre-selected operator.

“Landowner is seeking a Developer/Builder joint venture partner to take vacant property through to completion of purpose-built rentals,” the notice said. “Landowner will provide the land and apply for low interest financing and possible grants through BC Builds program.”

“[Developer]/builder will provide development and construction expertise to manage consultants, oversee all aspects of design and construction of the project.”

It also says on completion, the project will be subdivided into two airspace parcels and the chosen developer or builder and the Kamloops Community Land Trust will each hold one parcel as an income-producing rental property. Those two organizations will also be sole members of the strata.

“Rents will be secured through covenant and with rents in accordance with BC Builds programs,” the notice added.

Interested parties have until June 28 to submit their proposals, with the Province expecting to review all proposals within four to six weeks.

“The successful proponent will be required to sign a Conditional Land Contribution agreement which lays out a 12-to-18-month timeline to securing funding, financing, Development Permit, Building permit, and begin construction,” the notice added.

At this time, it is not clear what this project could look like or how many units it will have, but the Province has said the BC Builds program aims to ensure that middle-income households spend no more than 30 per cent of their income on rent.

“Our communities and our economy depend on middle-income people like teachers, nurses and construction workers, and they depend on being able to find a decent place to live within their budget,” said Premier David Eby.

“By bringing together public landowners and housing developers and operators through BC Builds, we are transforming underused public land throughout the province into thousands of lower-cost, middle-income rental homes.”

The Province defines middle-income households as either couples with no children earning between $84,700 and $131,900 a year or couples with children earning between $134,400 and $191,900 a year.

Northbridge Hotel currently being demolished

The Northbridge Hotel is currently being demolished with crews expected to wrap up work by the end of May.

The City of Kamloops bought the Tranquille Road property for $7.1 million in October 2021, with plans to redevelop the site into market housing. Also included in that deal was the adjacent property at 346 Campbell Avenue, which BC Housing is buying for $3.8 million.

BC Housing has released plans to construct a six-storey, 80-unit affordable housing building with 15 one-bedroom units, 45 two-bedroom, 15 three-bedroom, as well as five accessible one-bedroom units.

In March of last year, City council voted to issue a development permit for that Campbell Avenue property, pending the adoption of a housing agreement with B.C. Housing.

It is not clear what the designation of the Northbridge property means for the so-called provincially owned Columbia precinct land at Sixth Avenue and Columbia Street. Those buildings are also set to be demolished to make way for housing.

That Columbia property has long been identified by the City of Kamloops as a potential redevelopment site for “all types of housing.”