A Study of Montreal's Homeownership Programme
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Providing a home and then some: A study of Montreal’s Homeownership programme Supervised Research Project submitted in partial fulfillment of the Master of Urban Planning degree By Brendan James Pinches School of Urban Planning McGill University Montreal, Quebec, Canada September 2010 2 Providing a home and then some: a study of Montreal’s Homeownership programme 3 Brendan Pinches TABLE OF CONTENTS List of tables 5 List of figures 5 List of charts 5 Abstract 7 Résumé 8 Acknowledgments 9 1. Introduction and overview 11 2. Methodology 13 3. Literature review 15 3.1. Government involvement in Canada’s housing system 15 3.1.1. The rationale for government involvement in housing 3.1.2. The Canadian housing policy context 3.1.3. Canada’s reliance on the market system 3.1.4. The downloading of social housing responsibilities 3.1.5. Affordability 3.2. City-building 22 4. Montreal context 24 4.1. History of the Island City 24 4.1.1. Residential character: the plex 4.1.2. Suburban competition 4.1.3. The Montreal megacity 4.1.4. Revitalisation strategies 4.2. Recent Municipal efforts 29 5. Access to homeownership: programme history and evolution 32 5.1. Introduction to the AH programme 32 5.2. Tax credits 32 5.3. Direct grants 34 5.4. Recent changes 35 6. Analysis: outcomes and their congruency with the master plan 39 6.1. Outcomes 39 6.1.1. General distribution of grant recipient properties 6.1.2. Areas of concentration 6.1.2.1. Ville-Marie and Mercier - Hochelaga-Maisonneuve 6.1.2.2. Ville Marie, Le Plateau-Mont-Royal, Rosemont - La Petite-Patrie, Villeray - Saint-Michel - Parc-Extension, and Ahuntsic-Cartierville 6.1.2.3. Le Sud-Ouest and Verdun 6.1.2.4. Rivière des Prairies - Pointe-aux-Trembles 6.1.2.5. Other areas 6.1.3. The composition of grant recipient household types 6.1.4. The distribution of household types by Montréal boroughs 6.1.5. The types of housing units purchased 6.1.5.1. Small buildings and plexes 6.1.5.2. Large buildings 4 Providing a home and then some: a study of Montreal’s Homeownership programme TABLE OF CONTENTS (continued) 6.2. Congruency of AH programme outcomes with the Montréal master plan 59 6.2.1. Planning approach 6.2.2. Intensification near transit infrastructure 6.2.3. Revitalisation 6.3. Other factors influencing the spatial distribution of AH grant recipient addresses 7. Evaluation 71 8. Conclusion 105 8.1. Summary 106 8.2. Recommendations 110 8.3. Future Research 112 Appendices Appendix A: Homeownership – tax credit 114 Appendix B: Homeownership – direct grant – 2003 version 115 Appendix C: Homeownership – direct grant - 2010 version 116 Appendix D: Synthesis of goals and objectives 117 Appendix E: Synthesis of actions 118 Appendix F: HUF - Unit Design Criteria for Proposed Projects 119 Image sources 121 Bibliography 123 5 Brendan Pinches LIST OF TABLES Table 1 Changes and Consistencies of the AH Programme 38 Table 2 Master Plan initiatives supported by AH grant recipients 72, 73 LIST OF FIGURES Figure 1 Traditional and contemporary plex facades 25 Figure 2 AH grant recipients and the Montreal metro and suburban train 40 lines Figure 3 AH grant recipients and Montreal population density 41 Figure 4 New development on Ontario Street 45 Figure 5 Renovated building on Rene Levesque 45 Figure 6 Building heights of grant recipient addresses 55 Figure 7 Typical new, three-story condo building 56 Figure 8 Wilson Street in Lachine: dizzying repetition 57 Figure 9 Example of small-scale infill 57 Figure 10 Grant recipients within 500 metres of metro or train station 63 Figure 11 Grant recipients near main roads 64 Figure 12 Grant recipient addresses in areas where more intense land 65 development is favoured Figure 13 Revitalisation areas and grant recipient locations 66 Figure 14 NOVO's linear park 75 Figure 15 Terrace on Cote-des-Neiges 78 Figure 16 Part of Axxco's large-scale infill development 79 Figure 17 An example of adaptive reuse in Parc-Extension 81 Figure 18 SHDM's first development in CDN-NDG 83 Figure 19 McGill Ouest: high-priced, with small footprint 86 Figure 20 Lowney, Phase III 88 Figure 21 Quai de la Commune, Phase V 89 Figure 22 SHDM's Square Cartier, Phase I 91 Figure 23 The final phases of the Angus project 93 Figure 24 Illustration of a restored Imperial building 96 Figure 25 Place Simon Valois, public space enclosed with new development 99 Figure 26 The former Viau cookie factory 101 Figure 27 Le Quai des éclusiers, on the edge of the Lachine Canal 103 Figure 28 Access Condo web advertisement 108 LIST OF CHARTS Chart 1 Distribution of grant recipients by borough 49 Chart 2 Distribution of grant recipients by household type 52 6 Providing a home and then some: a study of Montreal’s Homeownership programme 7 Brendan Pinches ABSTRACT Public programmes aimed at stimulating homeownership through subsidies have become a popular tool for urban municipalities in North America looking to “reurbanise” or “revitalise” their cities. Convincing prospective homebuyers to purchase housing serves to invigorate the local economy and increase property tax revenues for the sponsor municipality. These programmes also have an indirect influence on the transformation of the built form within their jurisdictions. The purpose of this study is to examine the built form that has emerged with the support (intentional or otherwise) of Montréal’s Access to Homeownership (AH) programme, and evaluate whether these results are contributing to the operationalisation of Master Plan Actions. Data provided by the operator of the programme, Montréal’s Service de la mise en valeur du territoire et du patrimoine (SMVTP), was analysed to reveal (a) where Accession grant recipients have located themselves; (b) the composition of grant recipient household types; and (c) what types of housing units have been purchased by grant recipients. Grantholder addresses were found to be distributed across the Montréal territory, with areas of concentration in the City’s most populated central districts, and especially near transit infrastructure. Single-person households comprised the dominant share of AH grant recipients. Most properties purchased with the programme’s assistance were one or two-bedroom walk-up condominiums, generally located on the periphery of the City Centre. Units located in the City Centre proper, were found to have smaller floor areas and to be located in taller buildings. The AH programme has contributed to the construction of a built form that is better suited to single-person households than to households with children. In order to assess how the AH programme has contributed to the aims of the Master Plan, housing projects (home to at least one AH grant recipient) were selected to illustrate how the programme has promoted the implementation of specific Master Plan Actions. This study suggests that the AH programme has effectively supported many of the Actions listed in the Master Plan, and that it has done so in conjunction with other public and private organisations. Keywords: Housing Policy — Affordability — Revitalisation — Consolidation — Master Plan — Montréal 8 Providing a home and then some: a study of Montreal’s Homeownership programme RÉSUMÉ Les programmes pour encourager l’accès à la propriété sont devenus des outils populaires pour les municipalités en Amérique du Nord qui cherchent à revitaliser leurs centres urbains. Pour ces villes, les potentiels propriétaires sont également un moyen de revigorer l’économie locale et d’augmenter leurs revenus de taxes foncières. Ces programmes ont une influence indirecte sur la transformation du cadre bâti dans ces villes. L’étude présentée ici examine le type d’habitation qui a émergé de manière intentionnelle ou non avec « Habiter Montréal », le programme d’accès à la propriété de la ville de Montréal. Cette analyse tente également de déterminer si le programme a contribué à l’application pratique des actions définies dans le Plan d’Urbanisme de la ville de Montréal. Les données utilisées pour les fins de cette étude ont été fournies par le Service de Mise en Valeur du Territoire et du Patrimoine (SMVTP), le département responsable du programme d’accès à la propriété à la ville de Montréal. Ces informations ont été analysées afin de révéler (a) la localisation des bénéficiaires du programme; (b) la composition des ménages subventionnés; et (c) le type d’unités d’habitation achetées par les bénéficiaires. Les résultats obtenus permettent de tirer plusieurs conclusions. En ce qui a trait à la localisation des bénéficiaires, ces derniers sont distribués sur l’ensemble du territoire de Montréal, avec une concentration dans les arrondissements les plus peuplés près du centre-ville et des infrastructures de transport public. Les ménages composés d’un seul individu représentent la majorité des bénéficiaires d’« Habiter Montréal ». Quant aux propriétés, celles-ci sont majoritairement de type condominium en périphérie du centre-ville avec une ou deux chambres à coucher. Les unités situées au centre-ville ont généralement une superficie habitable plus petite et se trouvent dans des bâtiments de plus grand gabarit. « Habiter Montréal » a contribué à la construction d’habitations orientées davantage vers des ménages composés d’un seul individu que pour les familles. Des projets immobiliers ont été choisis pour illustrer comment « Habiter Montréal » promeut les actions et atteint les objectifs du Plan d’Urbanisme. Les projets domiciliaires choisis avaient pour critères qu’un minimum d’un bénéficiaire au programme doive y résider. L’étude suggère que le programme supporte plusieurs des actions définies dans le Plan d’Urbanisme et qu’il en est ainsi grâce à la collaboration de tierces organisations publiques et privées. Mots-clés: Politique d’habitation – accessibilité - revitalisation – consolidation - Plan d’urbanisme - Montréal 9 Brendan Pinches ACKNOWLEDGEMENTS I would like to thank my supervising Professor, Dr.