(file photo/Vernon Matters Staff)

By Vernon Matters Staff

Housing affordability

Kelowna unveils big rental project for middle-income families

Jul 30, 2025 | 10:28 AM

The City of Kelowna is partnering with a local non-profit to deliver a new rental housing project aimed at middle-income families.

In collaboration with the Housing Okanagan Foundation, the city will develop 149 rental suites at 1428 St. Paul Street, with 30 per cent of the units offered at 20 per cent below-market rates. The project is designed to meet the housing needs of households earning between $80,000 and $120,000 annually.

Mayor Tom Dyas said the project reflects council’s ongoing focus on improving housing access for working professionals such as teachers, nurses and electricians.

“Affordable housing is a top priority for council, and this project shows how we can work together to take action and deliver housing for middle-income families,” Dyas said in a statement.

“As development costs are gradually paid down, even more suites will become available at below-market rents,” the city said in a news release.

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To support the project, the city has provided a 65-year, non-market lease on the parcel of land. The Housing Okanagan Foundation plans to apply for funding and financing through the provincial BC Builds program, with construction expected to begin in 2026.

“We’re honoured by the trust the city has placed in us to lead this work,” said Rich Threlfall, CEO of the Housing Okanagan Foundation. “We’re not just building homes — we’re setting a precedent.”

The project is part of the city’s Housing Action Plan, which outlines steps to address affordability and access to housing across Kelowna.

The city says increasing affordable options for middle-income earners has a ripple effect that strengthens the entire housing system and supports vulnerable residents.

More information is available at kelowna.ca/housingactionplan.