Organizations in Saint-Léonard fear that real estate developers’ interest in the area surrounding future blue line stations is accelerating the neighborhood’s gentrification and crowding out families.
• Also read: The extension of the Montreal Metro’s blue line is attracting real estate developers
“What we want is for social housing to develop, not high-rise buildings,” says Sylvie Dalpé, who has been a community worker for the housing commission “Action Dignité Saint-Léonard” for more than 20 years.
On Friday, Le Journal announced that many housing projects are under consideration near future Anjou and Saint-Léonard subway stations in east Montreal.
Real estate giants Groupe Mach and First Capital are among the developers working behind the scenes to develop apartment towers on lots occupied by malls.
Rent explosion
“What worries us is the impact on the families who still live in the neighborhood. Will they still be able to afford to live there?” asks Simon Dumais, coordinator of the Committee for the Promotion of Social Housing in Saint-Léonard.
He’s already seeing tenants complaining about rent increases of $100 or even $150.
Indeed, Anjou and Saint-Léonard are among the sectors where rental prices have risen the most over the past year, according to the latest data from Canada Mortgage and Housing Corporation (CMHC).
The average private apartment rent increased from $793 to $938 from October 2021 to 2022, an average increase of $145.
“Families can no longer afford their rent. People call us crying. There is an emergency,” says Ms Dalpé, who fears cheap housing will be demolished to house the new tower blocks.
“The people of Saint-Léonard, many of them can’t afford to pay the current rent, I don’t think they have the means to afford condominiums,” adds Mr. Dumais.
An “Unprecedented Opportunity”
Ms. Dalpé regrets that some projects submitted “do not contain a line on social housing”.
The 241-unit project that First Capital intends to develop on the Anjous Toys R Us lot is in an area where developers are not required to develop affordable housing.
The city’s housing manager, Benoit Dorais, was unavailable for an interview.
However, Valérie Plante’s administration assures that the sector will be subject to a 20-20-20 rule and “new affordability zones” will be created.
“The extension of the blue line represents an unprecedented opportunity to develop and revitalize the east end of Montreal and increase the supply of social and affordable housing in the region,” Executive Committee press attaché Marikym Gaudreault said in a statement.
Regulation 20-20-20, which has been in force since April 2021, obliges property developers to contribute to the provision of social, affordable and family-friendly housing in the metropolis. On-site construction is strongly encouraged by the city, but financial compensation can always be given instead.