Friday, April 12, 2019 ~ LANGFORD.
by Mary P Brooke ~ West Shore Voice News
The opportunity for rent-to-own in Langford opens up tomorrow, April 13. That could be your lucky day if you hope to own a condo but so far you don’t have the down payment. You start by renting an apartment then — if a purchase agreement is made — you can own a condo across the street.
The public will be able to view newly-staged one- and two-bedroom rental apartment show suites in the first of two Crossing buildings. Downsizers and millennials are expected to be interested in the suites that include large windows, spacious walk-in closets and in-suite laundry.
News of the rent-to-own offering for all 156 suites at Crossing at Belmont broke last week, and there has already been interest from people dropping by to the Belmont Residences sales centre at 915 Reunion Avenue. That’s directly across from Westshore Town Centre, in the new 160,000 sq ft Belmont Market development with a footprint at Jacklin Road and Kelly Road. Look for the sandwich board sign. There’s parking and bicycle racks.
Yesterday a very pleased group of municipal leaders, property developer reps and sales team celebrated the Crossing at Belmont concept at a morning reception at the sales centre.
“There’s an affordable housing crisis in the region but in Langford we’re always looking for ways to improve the lifestyle of people. I like the rent-to-own idea,” said Langford Mayor Stew Young to the 50 people there in support. “This is the private sector coming up with ideas,” he said in commending Belmont Crossing Developments LP (Ledcor) for taking the plunge with rent-to-own.
The City of Langford will be contributing up to $5,000 per completed transaction when a tenant ‘crosses over’ from rental to purchase a condo in the Belmont West or Belmont East buildings right across the street. The city financial contribution will come from their affordable housing fund which is supplied by developers as new construction takes place in the municipality.
“We have to find a solution and make a difference,” said Langford’s mayor. Most of his Council — Lanny Seaton, Denise Blackwell, Lillian Spzak, Norma Stewart and Roger Wade — was present for the announcement, as well as senior city staff who have worked hard alongside the developer to facilitate the new rent-to-own program at Crossing.
“Stew’s motto is right… the private sector has to be involved,” says Dave Craig, President, Devon Properties Ltd. That property management company holds about 20% of the purpose-built rental market. In the last few years some new rental product has been coming onto the market after 30 years of no purpose-built rentals, says Craig. He says his full team will be on hand to help renters get signed up with new leases at Crossing at Belmont.
Crossing at Belmont tenants will be able to effectively see a percentage of their monthly rent payments help them buy a home at the Belmont Residences condominiums in the same new subdivision. Not only would that mean a move ‘across the street’ physically but also across the financial divide into home ownership.
The Crossing is billed as ‘urban rental living’ in the heart of west Langford amidst shopping, services, transit and recreation being all within easy reach.
And if the rental rewards program is successful on this first try, the City of Langford will consider amending its affordable housing policy to enable similar initiatives on a wider basis across the city.
The Crossing at Belmont program starts Fall 2019. During the 3-year period after signing a lease, any original tenant of the Crossings can have 25% of their rent recognized as loyalty points. Those points will accrue until the tenant acquires financing and successfully closes on a condo unit at Belmont Residences East (buildings expected to be ready by Fall 2022).
The first Belmont Residences condo building is coming on-stream in early 2020. Many of the units in that building have already been pre-purchased, resulting from a phase of marketing that started in spring 2018.
For Crossing tenants aiming to get into home ownership, at the time of closing the developer Belmont Crossing Developments LP (Ledcor) will provide each member that qualifies with a credit on the closing statement of adjustments equal to $1 for every point earned by the member, up to a maximum of 5% of the net purchase price of the unit. That is estimated as being in the range of $16,000 to $20,000.
“This will complement the work that the provincial government is doing to tackle the affordable housing crisis,” said Mayor Young.
“We understand that it’s becoming more difficult for buyers, especially Millennials, in this market, to be able to save enough money towards owning a home,” says Marcela Corzo, director of development, Belmont Residences. “We are delighted to be able to help put the movement of home ownership within the reach of more people,” she said this week.
Here’s one example of how it will work: A tenant paying $2,000 in monthly rent for a two-bedroom Crossing at Belmont unit, will have earned a credit equal to 25% or $500 of that payment being automatically set aside towards the future purchase of a Belmont Residences home. By Spring 2022, the renter will have accrued a $13,500 down payment toward purchasing a condo. Specific situations will differ depending on the suite and rent. Participants will be required to sign an Enrollment Form setting out the terms and conditions of the Belmont Rental Rewards Program)(*).
(*) Legal Disclaimer – This is not an offering for sale of strata lots in Belmont Residences West or Belmont Residences East, which can only be made by a disclosure statement.
The Crossing at Belmont units will be available for rent in the fall of 2019, with Belmont Residences West completing in Spring 2020, and Belmont Residences East completing in Spring of 2022.
“We are thrilled to be able to provide this tool to assist new home buyers in purchasing at Belmont Residences,” says Eric Gerlach, VP of development, Belmont Residences. “We’ve created an amazing community.” About 60% of the Belmont Residences condos have pre-sold, with equal interest in the Galloping Goose view side as well as the Belmont Market view side, explained Gerlach.
The property management industry is also on board. “The Belmont Rental Rewards Program is a fantastic opportunity that will allow future potential purchasers a tool to apply part of their rent to purchasing a unit at Belmont Residences,” says David Craig, President, Devon Properties. “We have not seen this type of offering in the Greater Victoria market and it is very timely with many renters currently struggling to move into an ownership position. Just one more reason to choose Crossing at Belmont.”
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Housing leadership is coming fast now in Langford (April 3, 2019)