$1 Billion Hits the Streets to Fund Canadian Modular Rapid Housing Initiative
For the past two years, MBI and our members have been working with the Canadian Mortgage Housing Corporation (CMHC) to open up opportunities for modular social housing projects in Canada. The challenge, according to CMHC, is that “modular does not fit our traditional underwriting and financing profile.”
MBI has been able to work with CMHC to develop new underwriting guidelines specific to modular projects. Based on a late-October call with CMHC, those guidelines are expected to be available and in force by the end of 2020. But the bigger news for the industry is the recent announcement by CMHC about their “Rapid Housing Initiative (RHI).”
The Government of Canada, through CMHC, has launched the RHI as a $1 billion program utilizing only modular construction to help address urgent housing needs of vulnerable Canadians, especially in the context of COVID-19, through the rapid construction of affordable housing. The initiative provides capital contributions (upon signing a funding agreement with CMHC) under two streams to expedite the delivery of affordable housing.
The RHI will:
- Support the creation of up to 3,000 new permanent affordable housing units.
- Cover the construction of modular housing, as well as the acquisition of land, and the conversion/rehabilitation of existing buildings to affordable housing.
- Aim to commit all funds before March 31, 2021, and ensure housing is available within 12 months of agreements.
Applications for projects must be submitted by cities in partnership with a developer/builder by December 31, 2020.
RHI will deliver funding under two streams, each containing $500 million in available funds. Under the first stream, RHI will expedite funds to pre-identified municipalities with the highest level of renters in severe housing need and people experiencing homelessness. For the second stream, an application portal will be open to municipalities, provinces and territories, Indigenous governing bodies and organizations, and non-profit organizations where applications will be prioritized based on the strength of the application.
MBI has put together a directory of Canadian manufacturers for the express purpose of helping decision-makers locate qualified modular companies with whom to partner.
MBI is also reaching out directly to the pre-identified municipalities to offer resources and assistance to help ensure these modular projects are successful. If you are interested in participating in this housing initiative, please visit this page for more details: https://www.cmhc-schl.gc.ca/en/nhs/rapid-housing-initiative
MBI has identified the multifamily, social/affordable housing sector as one of the greatest growth opportunities for the industry. This work with CMHC dovetails with the recently completed work MBI did with Fannie Mae in the development of their Multifamily Modular Construction Toolkit.
Special thanks to MBI member Joseph Kiss of Horizon North for his assistance on this effort.
More from Modular Advantage
How Rebel Concept Harnesses AI as a Design Tool to Improve the DFMA Process
“The complexity of projects and the size of project are so large, and the technology is so complicated that AI would do it so much faster than we are,” says Kris Droszcz, CEO at Rebel Concept. “Everybody’s struggling to control the manufacturing processes according to the design. And I think that’s what AI will do.”
One Answer from AI Can Provide Innumerable Opportunities, says Stack Modular’s Jim Dunn
The Stack AI Engine is not fully functional yet, but it offers an unlimited number of productivity benefits. Currently, the company is using AI for cost estimates, most recently for a project out in California.
GrayWolf: Building the Future of Modular Data Cnters to Power the AI Revolution
The growth of artificial intelligence (AI) and cloud-based applications has created an urgent need for data centers capable of managing massive amounts of data. As businesses across industries increasingly rely on digital infrastructure to power their AI tools, the demand for data centers has skyrocketed.
Artificial Intelligence: Yes, it is a Construction Game-Changer
Much like other sectors of the economy, AI is reshaping construction, revolutionizing how projects are planned and executed across the country. While it is obvious that AI cannot do certain things by itself, like laying bricks, paving roads, or shingling roofs, its impact stands to be both massive and positive.
The Potential and Possibilities of AI for Offsite
AI is everywhere. Many industries have incorporated AI into business as usual with new organizational structures and new dependencies to be more efficient and to automate repetitive tasks. Offsite construction will not be immune to AI’s ubiquity. The technology offers unique benefits to the offsite building process.
Moving from AI Hype to an AI Advantage
Learning about AI will help you see past the overinflated hype and identify the opportunities specific to your own business. Learning about AI is like peeling an onion – each layer reveals something new, and occasionally it might make your eyes water. But in the end, you’ll have all the ingredients you need to cook up some real innovation in your organization.
The Blueprint for Smart and Ethical AI Integration in Your Business
The journey toward smart and ethical AI integration involves crafting a strategic vision that aligns AI’s transformative potential with your organizational goals. True success with AI is measured by its capacity to enhance human capabilities, foster sustainable growth, and generate value for all stakeholders while actively avoiding ethical pitfalls and harmful risks.
Five Factors for Success When Shifting Your Business to Modular
As labor, competitive and cost factors push more contractors and developers to embrace the opportunity to go modular as a first choice and not a last resort, it’s become clear that adopting this new model requires more than just a willingness to make it happen. Here are five factors to consider as your company moves to a modular construction model:
UniCool-Edge: Optimized Cooling Solutions for Modular and Edge Data Centers
In an industry where efficiency, scalability, and security are crucial, the UniCool-Edge™ system is a revolutionary solution for modular data center manufacturers. By offering external mounting for maximum space utilization, energy-efficient cooling, and pre-commissioned reliability, UniCool-Edge helps manufacturers stay ahead in the rapidly evolving AI-driven data center market. As edge data centers continue to expand, solutions like UniCool-Edge will play a vital role in supporting the next generation of modular data centers and their data center infrastructure.
Building Skills in a Virtual World: Immersive Training for the Modern Workforce
As both the hardware and software for developing and deploying XR applications continue to become more affordable, the investment in this technology as a training tool is increasingly appealing. XR also offers several other benefits, including performing potentially hazardous tasks in a safe environment and acquiring new skills without the immediate need for physical materials.