The Vancouver City Council approved an amendment Monday to its Multifamily Tax Exemption program.
The program gives housing developers building in either the city center or Fourth Plain Corridor tax exemptions for eight to 12 years in exchange for a minimum of making 20 percent of the units available to households earning up to 100 percent of the area median income.
The amendment gives developers with specific circumstances the opportunity to extend their project start date from 24 months to 36 months.
This change was an important piece of the puzzle for getting development of the fourth tower of Vancouvercenter off the ground.
The final tower has been in the works since 1999, but a recent change in ownership is pushing the project forward. Holland Partnership Group took over the 10-story, 194-unit project from Vandevco in 2017. The extension would give Holland until January 2021 to start the project. The developer is currently studying a new type of building material, light-gauge steel, to determine if it stands up to West Coast seismic standards.
The ordinance as written requires developments to be completed within three years from the time of approving a tax abatement. Extensions are available up to 24 months. The amendment gives the community development director the ability to grant an extension to 36 months.
The extension, however, comes with a specific list of requirements. The project must have changed ownership after the abatement was granted, the abatement approval had to be given before February 2015, and the extension must be for a later phase of development and is subject to a development agreement.
Although the amendment can apply to any development project, it was written as a result of the unusual situation surrounding the Vancouvercenter project, according to a city staff report.
A second hearing on the amendment is scheduled for Jan. 22.
