Affordable housing is emerging as one of the most pressing issues in the City of St. John's. Housing prices and rental rates are rising sharply at many times the rate of inflation, and the rental vacancy rate has been among the lowest in Canada since 2008. In this housing market, the task of securing adequate, affordable housing is becoming extremely difficult for people across the income spectrum. The rapidly expanding economy has consequences that must be addressed so that growing prosperity produces benefits for the whole community. The experience of other municipalities shows that widespread housing instability has high social and economic costs. 1

Fortunately, the experience of several other municipalities also demonstrates that a proactive and creative response by a City can help to mobilize many stakeholders to address the problem effectively. (See Appendix B for examples.) The City of St. John’s has long recognized that housing stability is a foundation for a prosperous and vibrant municipality. In particular, investing in affordable housing solutions supports a strong labour force, especially in the service sector of the economy. The City is well positioned to take an enhanced leadership role in addressing the unprecedented affordable housing shortage and help to mobilize its many partners.