More than 25 low income residents face loss of affordable West Kelowna homes
The latest Rental.ca listings shows the average one-bedroom apartment rents for more than $2,000 per month in Kelowna.
That’s the frightening reality at least 27 residents of an old mobile home park in West Kelowna will likely be facing in the coming months if they are forced out of their homes. Many live off less than $2,000 a month now.
“In general, but not exclusively, residents of the park have low income and consist of single seniors, single individuals and couples/families,” reads a report from Kerr Properties going to the City of West Kelowna’s Advisory Planning Commission on Wednesday, Nov. 1.
READ MORE: Rent drops in Kelowna but still more than $2,000 per month
It wants to redevelop the 45-pad, 6.5-acre mobile home park at 2355 Marshall Rd. in West Kelowna and build a 150,000 square foot light industrial business park in its place.
“Although there are some residents who are gainfully employed on either a full or part-time basis, many of our residents face low household income and are unemployed or retired and are on fixed incomes,” the report says. “Many residents have physical or mental disabilities and rely on government assistance programs for financial aid and living assistance.”
The report shows those not working earn an estimated $935 to $1,935 per month.
Based on 2020 census data for West Kelowna, the report says the median part-time income in the city was $1,867 per month. The median full-time earnings were $6,000 per month.
Kerr Properties, which did not respond to repeated requests from iNFOnews.ca for an interview, has a number of townhome developments mostly in Langley. It has an 109-unit townhome Carbury development on Gellatly Road in West Kelowna and another 40 townhomes on Anders Road.
“The park is well past its economic life and, in recent years, had been plagued with ongoing domestic water, sanitary sewer and road infrastructure issues,” the report says. “Like the park itself, all manufactured homes are well beyond their economic life being built in the same era (more than 50 years old) and devoid of CSA certification required for relocation.”
Of the 45 lots listed in the report, 10 are owned by residents, 18 are owned by Kerr Properties and rented on a month-to-month basis, and the rest of the pads are vacant.
READ MORE: Housing crisis prompts Kelowna to consider tightening restrictions on short-term rentals
Kerr is offering owners more compensation than it legally has to.
All it is required to pay owners is the most recent assessed values less $20,000, which is the estimated cost of demolition and removal.
Kerr is offering to pay the owners 10% above assessed value. They have 60 days to accept and must move out within 120 days of the sale.
Most of the homes that are owned are assessed from $31,200 to $47,600, although one is valued at $13,700 and a double-wide is assessed at $166,000.
That means most owners will get about $50,000. The median price for a condo in Kelowna in September was $481,100.
Kerr is also offering a one-time $1,000 relocation assistance payment.
There is a option for moving the homes but given that they are too old to qualify for relocation that’s not likely a viable option.
If they refuse to sell within 60 days, they will be given 12 months notice to vacate.
For renters, Kerr will give the required four months notice plus one month’s rent. The only extra for renters is the same $1,000 one-time relocation assistance payment being offered to owners.
See the Kerr Properties report going to West Kelowna council here.
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