A Burnaby housing policy that required developers to build 20 per cent affordable rental apartments in their new developments will, for the first time, exclude about a third of the city.

Promoters of downtown Edmonds, an area with one of the lowest median incomes in Burnabycannot afford the costs of building off-market rental housing “due to the decline in development revenue currently experienced in Edmonds,” according to a staff report approved by council on October 7.

Staff recommended delaying new non-market rent requirements in southeast Burnaby, an area that includes Edmonds, “until inclusionary rent requirements become financially viable.”

Meanwhile, staff recommended requiring 10 per cent market rent for buildings over six storeys in southeast Burnaby as part of the city’s zoning policy update. rental use of the city.

Staff say the recommendation, which also included reduce affordable pricesresults from provincial housing legislation this requires cities to turn certain affordable housing policies into regulations.

The statutes are stricter and require a financial analysis demonstrating that they will not discourage development.

While to date no below-market rental homes have been fully built in Edmonds under Burnaby’s policy, according to the report, there are at least 970 under development in the Southgate City development.

Advice. Alison Gu stressed the need for new affordable rentals in Edmonds, calling it a “very difficult pill to swallow” to think that no off-market rentals would be built in Edmonds under this policy.

She asked staff to comment on whether developers could build market units outside of Edmonds in exchange for building rental units at least 5 percent below market in Edmonds, renting at median rates.

Staff will need to explain whether this ratio is viable for developers applying for rezoning.

The median rent in southeast Burnaby is currently $1,377, which the city says is about a 40 per cent reduction from market rents.

Gu also called for below-market rents to still be required in the Southgate development, a planned 60-acre development with about 20 towers, because she said homes are being marketed at prices similar to those in Brentwood.

Gu’s amendment was adopted unanimously.

Staff noted there are a “significant” number of land holdings owned by the provincial government and various housing agencies in southeast Burnaby that could be used to build affordable housing outside of the zoning policy at rental use.

Mayor Mike Hurley told the Burnaby NOW he was disappointed that the city had to reduce affordability requirements and shift the blame to the provincial government.

“All the province has done is slow the downturn in the housing sector by at least two years, maybe five years,” he said.

The province says the legislation supports proactive planning to build more housing while helping to reduce development application submission times.