This initiative is contingent on reaching a deal with the federal government. Builders will pay PST when purchasing building materials. This means that benefits will be maximized for builders who construct smaller, moderate cost units. Support will be provided to builders for units constructed by March 31, 2002. The effectiveness of this initiative, and its cost to the province, will depend in part on complementary support from the federal government.
Municipal support is also a vital part of increasing the supply of affordable housing.
The province will consult with interested municipalities, and the construction industry, about additional program details to maximize the benefit for moderately-priced units. Making vacant or under-used public lands available to create at minimum 500 units of affordable rental housing. More affordable housing is needed and the private sector is in the best position to build it. However, the cost of land can be a barrier. These lands will be provided at reduced prices or with favourable payment terms to encourage private sector development.