New loan to help develop more multi unit housing
A new multi unit residential loan development fund will help developers, organizations and non-profits build more housing for Islanders.
Finance PEI, along with the Department of Social Development and Housing, held consultations in Prince, Queens and Kings County in October with local contractors, builders and non-profit organizations to discuss what options would work best for the financing program. Based on that input, the following criteria was developed:
- 10 year term (amortized up to 25 years) with no application fee or penalties to payout before maturity of the loan;
- 4% interest rate;
- Up to 90% financing (80% for renovations);
- Construction for multi-units with a minimum of 4 units; and
- Cap at $4M per project.
“We’re doing all that we can and working together with partners to help create more housing for people in Prince Edward Island. This new loan is focused on supporting communities both large and small, and giving developers, organizations and non-profits the flexibility and financial help they need to make their project happen.”
- Minister of Economic Growth, Tourism and Culture Matthew MacKay
“This loan program is one more way we are supporting the housing needs of Islanders and working with community partners and developers to provide more housing choices,” said Minister of Social Development and Housing Ernie Hudson. “By listening to our partners and working together we can ensure that all Islanders can be safe and secure and have a roof overhead.”
Department of Economic Growth, Tourism and Culture