Committee approves property tax relief for 16 affordable housing properties

The Finance and Corporate Services Committee designated 16 properties as municipal capital housing facilities, making eligible affordable housing units exempt from municipal property taxes.

In July 2024, Council updated the definition of “affordable housing” for Municipal Capital Facilities Agreements. Following outreach and an eligibility review, staff identified an initial list of 16 properties with eight non-profit and co-operative housing providers that meet the new criteria. The total annual property tax relief provided to the 16 properties is $533,715, retroactive to January 1, 2025. Of this amount, $469,859 is the cost of the municipal portion, while the remaining $63,856 is education taxes and has no financial impact on the City.

The initiative supports Council’s strategic priority “A city that has affordable housing and is more liveable for all” and aligns with the City of Ottawa’s 10-Year Housing and Homelessness Plan by providing financial relief to housing providers, reducing operating pressures, and ensuring savings are reinvested to preserve existing affordable housing.

The Committee also designated three City-leased locations as a Municipal Capital Facilities, which would make them exempt from the municipal and school portions of property taxes under Section 110(6) of the Municipal Act, 2001. This change will represent an overall annual savings to the City of nearly $31,451, in relation to these three lease agreements. The locations include City administrative space at 308 Legget Drive and two leased spaces for the Ottawa Police Service at 21 Concourse Gate and 19 Fairmont Avenue.

City Council will consider the recommendations from today’s meeting on Wednesday, November 12.

• Agenda