Quick purchase of housing for asylum seekers surprises neighbors

The City of Ottawa is set to pay $11 million for a convent it plans to convert into temporary housing. It is the latest purchase or lease to provide shelter for Ottawa’s growing number of new arrivals and ease the pressure on overburdened shelters.

Members of the Finance and Business Services Committee approved the deal Tuesday, days after homeowners near the property on St. Joseph Boulevard in east Ottawa learned about it.

“There wasn’t much time to deliberate. We were under the seller’s time frame,” Robin Souchen, the city’s manager of real estate services, explained to council members.

“If we don’t approve this, then the deal is off, like all bids that are made, and the sellers can go to the next bid. And there were multiple bids.”

The city had to compete with private bidders and increased its original bid of $10 million by $1 million at the urging of the seller, the Sisters of Charity.

“It’s true that as a community we found out about this very quickly,” said Orleans West-Innes councillor Laura Dudas, who represents the area. “There’s a good reason for that.”

Dudas said many people she spoke to expressed support for the newcomers, while others felt overwhelmed.

Homes aimed at newcomers

Due to the short notice of the sale, there has not yet been extensive community consultation, but staff said they plan to hold information sessions and an open day in the coming months.

“Everyone is committed to ensuring that the newcomers we welcome to Canada and to our community are well integrated into the Orléans community,” said Paul Lavigne, the city’s director of housing services.

The city’s struggle to accommodate newcomers came to light last year when reception centres found they were unable to cope with an influx of refugees.

Since then, the city has purchased two properties to relieve pressure on that system and temporary shelter in the community centers.

A former retirement home in Crystal Beach now houses families, while a vacant office tower in downtown Queen Street will house 130 singles. This location would house about 150 singles.

“At this point, with the measures we’ve put in place so far, we’re not able to meet the demand,” Mayor Mark Sutcliffe told CBC after Tuesday’s meeting.

“We are seeing new arrivals to our city like we have never seen before in the history of our community. So we must act quickly.”

A report from city staff shows there was a 55 percent increase in the number of people using the single adult shelter system in May, compared to 2023. Of that population, 64 percent are considered newcomers.

Lack of ‘meaningful’ involvement

The 27-acre parcel on St. Joseph Boulevard at the intersection of Forest Valley and Youville Drives was described by staff as remote, with lots of trees on all sides. Less than half of the area is suitable for development.

The size of the site is a major reason for the high price, staff told council members. However, the city has no immediate plans to sell or further develop other parts of the site.

“There’s an opportunity here … if you look at the long term,” said River Ward Councillor Riley Brockington, who noted the “precarious position” the quick turnaround creates for the local councillor.

“Every time we make decisions that could impact communities without first consulting with the community, we get criticized.”

All seven written contributions and one personal delegation to the committee were against the purchase.

Common concerns included lack of consultation, potential impacts on property values, changes to the character of the neighbourhood and uncertainty about new residents.

While some pointed to their experiences with supportive housing in the neighborhood for people with addictions and mental health issues, Lavigne said this housing would look very different and would focus on providing a temporary place for asylum seekers to “get a foothold” in the city before being moved into permanent housing.

Next steps

The committee approved the purchase, with only Orleans East-Cumberland Councilman Matt Luloff dissenting.

If the council also gives the green light, the city will continue with the closure procedures, including an environmental impact assessment that must be completed by mid-October.

On top of the $11 million purchase price, officials expect $350,000 in taxes and closing costs. They told council members the purchase should be covered by the federal government’s Interim Housing Assistance Program (IHAP).

Immigration, Refugee and Citizenship Canada told CBC it has so far reimbursed Ottawa for $58.3 million in eligible costs incurred for the temporary housing of asylum seekers.

City officials are still negotiating funding to establish a new, specialized reception center.

“While IHAP has not historically been used to reimburse capital expenditures, IRCC is currently working closely with partners to transition the program from an emergency assistance program to one that supports jurisdictions in building more permanent and sustainable transitional housing solutions,” spokesperson Remi Lariviere said in an emailed statement.

Regardless of the challenges, Sutcliffe said the city must act quickly and decisively.

“We’ve always been a community that welcomes newcomers,” he said. “We need to continue to do that.”