Lower Mainland developer axes plans for rental units, cites proposed rent hike rate change
Posted September 25, 2018 11:08 pm.
This article is more than 5 years old.
VANCOUVER (NEWS 1130) – A Lower Mainland developer says his company won’t build hundreds of rental units after a proposed change to how rent increases are calculated.
Aly Jiwan is the CEO of Redbrick Properties, and was reacting to word about a rental task force recommending changes to the formula for rent increases in BC.
On Twitter, he writes that they have halted plans for “hundreds” of units over the next year or two, and will instead be focusing on building condo units.
Jiwan points a finger at the government, and public outrage over rent increases.
“Price controls do not work and only make it worse for tenants,” Jiwan wrote on Twitter.
In his tweet, Jiwan didn’t talk specifically about what project or projects may be impacted.
When reached by phone Tuesday night, Jiwan directed NEWS 1130 to Landlord BC for further comment.
Earlier this month, a task force charged with examining the problem of housing affordability recommended that B.C. should limit rent increases to inflation.
They found that the rate hike formula of two percent plus inflation is unworkable as the province works to curb rising housing costs.
