The City of Vancouver has quashed the rezoning of a city-owned property in Kitsilano that a previous council approved in July 2022 to have a 13-storey social housing tower built on the site.
The city’s decision was made last month by its legal department in conjunction with city council at an in-camera meeting, but details have only emerged recently, with a residents’ group sharing the news May 26 via its website.
The property on Arbutus Street, between Seventh and Eight Avenues, was to provide 129 subsidized units for people without homes, at risk of homelessness or those displaced from low-income housing, as well as citizens who may be working and earning low incomes.
The project was met with opposition led by the Kitsilano Coalition for Children and Family Safety, which had concerns over the scale of the project and the concentration of people with mental health and addiction challenges proposed to live in one building.
BC Housing was to pay for construction and operating costs of the $64-million project.
The coalition sought a judicial review of council’s 8-3 decision to approve the project and raised concerns over the public hearing process, including restrictions on questions during the hearing.
The coalition argued not enough information was released by the city regarding the project, including a Memorandum of Understanding between Canada Mortgage and Housing Corporation, BC Housing and the city.
'Procedurally flawed'
In a statement Wednesday, the city confirmed it accepted the position of the coalition that the hearing was “procedurally flawed.” That acceptance led to a consent order last month, which effectively quashed the rezoning and development permit.
Cheryl Grant, a spokesperson for the coalition, said she was pleased with the decision.
“It has been a long road to get to this point,” Grant said Wednesday. “We're very encouraged by the fact that the city has understood the concerns of the community and have taken action.”
That “long road” included fighting the provincial government over its move in 2023 to make legislative amendments via the Municipalities Enabling and Validating Act. The move was an attempt to ensure the project got built, despite the coalition’s request for a judicial review.
The changes were sought to the Act as a direct response to a request from the City of Vancouver for “legislative intervention,” according to a government news release at the time, which included a comment from Mayor Ken Sim, who supported the move.
“This project will deliver 129 studio homes and make a huge difference in the lives of people in the community,” Sim said at the time. “We look forward to continuing conversations and working with the community via the neighbourhood community advisory committee as the project progresses.”
'Wasn't the right fit'
No such progress was made after the BC Court of Appeal ruled in December 2024 that the government’s intervention via the Municipalities Enabling and Validating Act had “no force or effect” under the Constitution.
That ruling then allowed the coalition to continue with its petition to the court, but the city decided not to challenge the review, which led to the quashing of the rezoning. Council was involved in the decision to resolve the litigation.
Sim said in a statement Wednesday:
“It’s clear this location wasn’t the right fit for the scale and type of housing that was proposed. While we won’t speculate on the future of the site, we fully believe in the important role that both supportive and social housing play in Vancouver’s diverse housing mix.
We’ve been engaging with the Province to explore options for smaller and better-resourced supportive housing projects to replace the units originally planned for Arbutus and 7th/8th.”
Housing Minister Ravi Kahlon said in a statement that the issues people and communities are facing with homelessness, mental health and addiction have gotten harder in recent years.
Kahlon said housing with dedicated supports works for people experiencing complex challenges.
“It’s disappointing that these homes will not be moving forward because we know there are people sleeping outdoors right now who need these supports,” the minister said.
“We are going to continue to pursue opportunities with the City of Vancouver to build housing in the community to help people experiencing homelessness come indoors and make our communities stronger.”
Mayor's pause on supportive housing
Many coalition members emphasized during the public hearing in 2022 that they weren’t opposed to helping people who needed a home and required supports for mental health and addiction challenges.
At the hearing, Grant used her time at the microphone to present a video complete with a three-dimensional alternative proposal to the project that would support a mix of people, including women, children, seniors and people living with a disability.
“This model also integrates the system of bringing in people who are experiencing homelessness, but it's on a smaller percentage,” Grant said of the five-storey design. “So that's really what we're focused on, is how do you build housing that makes sense for the community?”
She reiterated the point Wednesday about what project would be preferred on the site.
“At the end of the day, the city [council] will make the decision, and we're hopeful that they'll engage the community and build something that really benefits the individuals who live in the building, as well as those who live in the community,” Grant said.
Supporters of the project at the time included NDP MLAs David Eby, George Heyman, the Aboriginal Housing Management Association, the nonprofit Women Transforming Cities and BC Housing CEO Shayne Ramsay.
Many others also spoke at the hearing in favour of the project.
OneCity Coun. Lucy Maloney, who was elected to council in April, issued a news release Monday saying a new public hearing must be scheduled without delay, for the same proposal, “without watering it down.”
In February, council voted 6-3 to support the mayor’s motion to pause construction of any “net new” supportive housing. Sim said the pause was needed so neighbouring municipalities started to build more of the type of housing, which connects tenants to health care and social services.
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