Housing

A review of City Plan (the City of Nanaimo’s Official Community Plan) is underway to ensure City Plan policy accommodates 20 years of housing need in accordance with the 2024 Interim Housing Needs Report. The review is also to ensure City Plan policy aligns with the “Transit-Oriented Areas Designation Bylaw 2024 No. 7382”. Minor housekeeping amendments to maps and text in City Plan is also proposed. More information can be found in this report.

There are new ‘Form and Character Design Guidelines’ for multi-family residential, mixed use, commercial and industrial development. The objective of this project was to simplify the process for housing development permit reviews and eliminate inconsistencies by consolidating multiple existing Development Permit Area 8 (DPA8) design guidelines into one primary document. The form and character design guidelines provide clarity for the development community to understand the City’s expectations for site, building and landscape design in new development. More information can be found at this link.

The “Off-Street Parking Regulations Bylaw 2018 No. 7266” is being amended to remove minimum parking space requirements for all uses (including residential use) in the Downtown Urban Centre. The Downtown Urban Centre serves as Nanaimo’s Primary Urban Centre and functions as the City’s cultural, economic and mobility hub, with the highest population and mix of housing and uses. This urban centre is designated to support greater density and is generally well-served for pedestrians and transit, and is improving for cyclists. More information can be found at this link.

The City’s Building Department launched the digital application platform eApply to streamline the development approvals process for housing. This system allows applicants to submit building permit applications online, starting with demolition permits. By digitizing the application process, eApply reduces paperwork, minimizes in-person visits, and accelerates processing times. The platform ensures that applications are complete before submission, helping to avoid delays caused by missing information. This modernization effort reflects the city's commitment to improving efficiency, transparency, and accessibility in its development services. More information can be found at this link.

The purpose of the Woodgrove Complete Community Assessment is to provide more detailed land use and policy guidance for future housing and mixed-use development, to remove constraints, coordinate infrastructure, and identify amenity needs to create a complete community. The assessment area is the Woodgrove Secondary Urban Centre. The City received Complete Communities funding from the Province for this project. More information can be found at this link.

In early 2025 the City commenced a comprehensive review of the Zoning Bylaw to address a number of strategic City Plan (OCP) goals and recent Provincial legislative requirements related to housing. The review will inform a broad range of amendments to update and replace the current Zoning Bylaw.  Key focus areas will include: i) aligning zones with City Plan policies and Land Use Designations; ii) updating residential zoning to support housing (SSMUH and TOA); iii) updating density provisions for affordable housing; iv) considering inclusionary zoning tools and opportunities to pre-zone for non-market housing; and v) updating the bylaw format for ease of use. More information can be found at this link. 

The June 2024 to July 2025 Housing Targets Report shows that the City has issued occupancy permits for 875 housing units, exceeding the target of 783 housing units. More information about the housing targets and recent development data is available here.

The Ministry of Housing has identified the City of Nanaimo as a priority community to participate in the Provincial programs Homeless Encampment Action Response Team (HEART); and Homeless Encampment Action Response Temporary Housing (HEARTH). More information is available here.

The purpose of the Housing Legacy Reserve Fund Bylaw No. 7299 is to build a fund that allows for municipal support to affordable housing initiatives in Nanaimo. More information can be found in this report.

The Interim Housing Needs Report (2024) outlines the 5-, 10-, and 20-year housing needs for the City of Nanaimo, including detailed information regarding rental housing, market housing, non-market housing, and bedroom need estimates. In addition, the report explains the difference between the Provincial Housing Target Order for Nanaimo, and housing need estimates. The primary document is the ‘Interim Housing Needs Report (2024)’, however more information about housing need can also be found in the ‘Technical Memorandum’. 

A new ‘Permissive Tax Exemption Policy’ was adopted by Council on July 8^th, 2024 that includes criteria for non-market housing. The policy outlines eligibility criteria for non-for-profit organizations that provide non-market housing including Legacy Properties, Temporary and Supportive Housing that is offered on a year-round basis. For more information, visit the Permissive Tax Exemptions page. 

On June 28, 2024, the Province set a housing target order for the City of Nanaimo. The order is for a minimum of 4,703 net new housing units to be completed within 5 years (2024 – 2029). Housing targets will be measured after the first six months, then annually by net new units completed and actions taken by the City to meet the housing targets. More information can be found at these links: 

Housing Target Progress Report

Nanaimo Housing Target Order

Housing Target Guidelines

Housing Supply Act

2024-JUN-28 Provincial News Release

The City of Nanaimo is continuing to proactively prevent tenant evictions by partnering with local non-profits to issue rent supplements and rent bank loans. Rent Bank BC is also a partner in the rent bank program.  For more information about the rent supplement program please visit the Rent Supplement project page. For more information about the rent bank program please visit the Nanaimo Region Rent Bank project page. 

A review of the City’s Short-Term Rental regulations was completed in 2024 alongside the new Provincial Bill 35 - Short-Term Rental Accommodation Act to help increase compliance and ensure the supply of residential units continues to be available for long-term rental. For more information on updates proposed to the Short-Term Rental regulations, business licensing and enforcement tools, visit the Short-Term Rentals webpage.

The Provincial Bill 44 – Housing Statutes Amendment Act requires local governments to update zoning bylaws to allow Small-Scale Multi-Unit Housing (SSMUH) on any lots currently zoned for a single family home or duplex by June 30, 2024. The number of SSMUH that will be permitted on a lot varies with the lot size and location. More information, visit the City's Small-Scale Multi-Unit Housing Project Page.

The Provincial Bill 47 – Transit-Oriented Areas Amendment Act is intended to establish transit-supported densities adjacent to transit stations. These areas are referred to as Transit-Oriented Areas (TOAs) and are designated around prescribed transit stations to help achieve the goals of transit-oriented development. TOA Regulation 674 identifies three bus exchanges in Nanaimo that are subject to the TOA legislation: Woodgrove, Country Club, and Vancouver Island University (VIU). On June 17th, 2024 Council adopted the Transit-Oriented Area Designation Bylaw No.7382. For more information, visit the City's Transit Oriented Areas Project Page.

In 2019, the BC Provincial government introduced a new Housing Needs Report requirement for all BC municipalities. Every 5 years, municipal councils must receive a report including data and analysis of local demographic and economic trends, as well as current and anticipated housing needs. For a summary of the findings and additional information, visit the Housing Needs Report Project Page.

• Housing Needs Report - May 2023
• Housing Needs Report - May 2023 Infographic

‘Increasing Housing Options’ is a set of four proposed initiatives to increase the types of housing options available to Nanaimo residents. Four projects are proposed which seek to increase rental housing stock and diversity by amending existing suite regulations, encourage gentle infill and intensification in existing neighbourhoods, and require much-needed family-friendly and adaptable units in multi-unit housing developments. To learn more, visit the 'Increasing Housing Options' project page. 

A rent bank is a short term or temporary homelessness prevention tool that helps to provide housing stability for low to moderate income renters who are unable to pay their rent or utilities due to life circumstances.  The City partners with a local non-profit to deliver this program. 

• 2023-SEP-11 Nanaimo Region Rent Bank Review Council Report
• Nanaimo Region Rent Bank Project Page

Rent supplements are government-funded payments that bridge the gap between what an individual or family can afford to pay and what the actual cost of housing is. They are geared at reducing the cost to the rate of affordability wherever possible. The City partners with a local non-profit to deliver this program.

• 2023-SEP-11 Rent Supplement Program Review Council Report

Nanaimo’s Affordable Housing Strategy (2018) provides a framework for the City to work with other levels of government, the private sector, and non-profit organizations to facilitate the development of affordable housing. The goal is to provide a range of housing types and tenures to meet the needs of Nanaimo residents. View this  infographic  to learn more about how Nanaimo is addressing the range of housing needs.

• Nanaimo Affordable Housing Strategy (AHS)
• AHS – 2021 Annual Implementation Update
• AHS – 2020 Annual Implementation Update
• AHS – 2019 Annual Implementation Update

City Plan - Nanaimo ReImagined is the City’s strategic planning document, that provides direction for the coming 25 years on land use, Truth and Reconciliation, climate adaptation, health and wellness, diversity, accessibility and inclusion, economic prosperity, sustainable living, and more. City Plan was adopted in July 2022. To learn more, please visit here.

Coach houses have been permitted in Nanaimo since 2008. In Nanaimo coach houses are considered a secondary suite in an accessory building. For more information please visit: Carriage House Permit.

The CAC Policy outlines a monetary amenity contribution rate increase in January 2023, 2024, and 2025, and states that 40% of all monetary contributions be directed to the Housing Legacy Reserve Fund. The increased contributions to the Housing Legacy Reserve Fund will allow the City to support more affordable housing initiatives in the future. In addition, the CAC Policy states that the CAC rate is reduced by 50% for secured market rental dwelling units, and the CAC rate is waived 100% for secured non-market rental dwelling units to incentivize the development of these types of units in the city.

Schedule D of the Zoning Bylaw contains a list of amenities that a developer can provide in order to achieve more residential units or density within a development than the base zoning designation allows (without requiring a rezoning process). Points are awarded for various amenities in Schedule D, and the developer must achieve a certain total of points to be able to gain additional density.

The “Development Cost Charge Bylaw 2017 No. 7252” contains a provision allowing for a 50% reduction of development cost charge (DCC) fees for not-for-profit rental housing when at least 30% of the units are secured with a housing agreement such that rent does not exceed 30% of before tax income.

The City’s "Revitalization Tax Exemption Bylaw 2018 No. 7261" encourages multi-family units in the downtown area by offering a tax exemption, on the municipal portion for a 10-year term, for new multi-family units.

The purpose of the Housing Legacy Reserve Fund Bylaw No. 7299 is to build a fund that allows for municipal support to affordable housing initiatives in Nanaimo. More information can be found in this report.

Since BC Housing and the City of Nanaimo signed the 2019 Memorandum of Understanding (MOU) work has advanced to develop several supportive and affordable housing projects identified in the MOU. The 2019 MOU commits to developing up to seven projects for affordable and supportive housing across six identified sites in the city.

The City of Nanaimo is committed to addressing the key social issues facing our community, including homelessness. The City's response to homelessness is spelled out in Nanaimo's Health and Housing Action Plan (2021). Nanaimo's System Planning Organization is responsible for implementing key areas of this plan.

In 2020, the City of Nanaimo partnered with the Regional District of Nanaimo to complete a regional housing needs report, as required by the Local Government Act. The report provides detailed housing-need data for the City of Nanaimo. The June 2020 Regional Housing Needs Report is available here.

In 2012, the British Columbia Land Title Act was amended to allow the registration of a party wall agreement on the title of adjoining properties allowing for fee simple row housing, and the City responded by creating the Row House Residential Zone (R7) in the Zoning Bylaw. Several row house developments have been constructed in the City.

In 2021, 64% of new single-family dwellings were built with a secondary suite. Since the adoption of secondary suite zoning in 2005, 3,661 secondary suites building permits have been issued by the City.  Secondary suites fill a key gap in Nanaimo’s rental housing market which is not calculated in CMHC’s vacancy rental rate.  CMHC reported 4,530 rental units in 2021, which means the number of rental units in the primary rental market may be closer to 8,000 units, illustrating the importance that secondary suites have on the primary rental market. For more information please visit: Secondary Suite Brochure. You may also be interested in the BC Housing Secondary Suite Incentive Program.

The Short-Term Rental regulations allow the City to monitor short-term accommodations and protect the rental market by only allowing property owners to rent out a portion or all of their primary residence on a short-term basis (and not allowing short-term rentals of any additional residences).