Summerside PE, April 5, 2023: The Greater Summerside Chamber of Commerce is pleased to announce that the Canadian government has amended the Prohibition on the Purchase of Residential Property by Non-Canadians Act (PPRPNCA) legislation as lobbied by the Greater Summerside Chamber of Commerce. The amendment enables work permit holders with 183 days or more of validity remaining on their work permit or work authorization to purchase a residential property in Canada.
“We are delighted that common sense prevailed and the hastily imposed policy was amended” comments Chamber President Blake Doyle “at a time when the Island is struggling to provide affordable accommodation and experiencing a 0.5 per cent rental vacancy rate, we did not need to apply additional demand to an already constrained market. We also took exception to the inaccurate inclusion of Summerside and Charlottetown as Census Metropolitan Areas of over 100,000 persons, which our Cities are clearly not. This change will support appropriate residential investment and ease unprecedented pressures on our rental accommodation market”
This amendment is one of many updates the the PPRPNCA legislation that was recently announced; other amendments include:
- repealing the vacant land provision from the definition of residential property so that the prohibition does not apply to the purchase of vacant land zoned for residential and mixed use;
- increasing the control threshold from 3% to 10% so that any corporation or entity with 10% or more direct or indirect ownership of shares or ownership interests by a non-Canadian is subject to the prohibition; and
- introducing an exception for non-Canadians purchasing residential property for the purposes of development. The amendments also extend the exception currently applicable to publicly traded corporations under the Act to publicly traded entities formed under the laws of Canada or a province and controlled by a non-Canadian.
More info can be found at https://www.cmhc-schl.gc.ca/en/professionals/housing-markets-data-and-research/housing-research/consultations/prohibition-purchase-residential-property-non-canadians-act
The Greater Summerside Chamber of Commerce recognizes the importance of the PPRPNCA legislation in cooling the strong housing market in Canada. However, we felt that the legislation’s blanket approach applied a disproportionate penalty to the smaller markets of Summerside and Charlottetown, Prince Edward Island. The Chamber is grateful that the government has recognized their concerns, and those of the members they represent. The GSCC looks forward to continuing to work together with Government to support the PEI economy.
As the voice for Business in Summerside, the Chamber is calling on all political parties to commit to a reform of the SRDC, including increased funding and new leadership, to ensure that the organization can effectively promote economic development in Summerside.
For more information, please see the original press release on this topic dated February 13, 2023, or contact: Kaley O’Brien
CONTACT INFORMATION:
Kaley O’Brien
Executive Director
Greater Summerside Chamber of Commerce
(902) 436-9651