Winnipeg: 21,000 more low-income Manitobans could be helped if the provincial government sold the province’s residential real estate portfolio, this according to a new backgrounder from the Frontier Centre for Public Policy.
The study’s author is Dan Klymchuk, a past executive in real estate strategic planning and a consultant to charitable organizations with real estate needs. Klymchuk notes that of approximately 13,100 public housing units in Manitoba, most are mature (30 to 50 years old), lower density (townhouse or three storey apartment type), and in poor condition.
To properly upgrade the units would cost up to $60 million according to a recent KPMG study. Klymchuk notes that while that is one option, another is to sell off the rental units. That would reduce expensive public administration costs to private sector costs and save approximately $25 million annually.
“If this money were applied to additional needy tenants, almost 21,000 more people would be helped, assuming a $400 subsidy per month and occupancy of a family of four”, wrote Klymchuk.
“Using this approach, needy families would have a greater choice in where they can live while the more serious “at risk” families could be better served by more targeted programs.”
Copies of the Frontier Centre backgrounder, Helping 21,000 More Manitobans–The Case for Selling Public Housing in Manitoba, can be downloaded free here.
For more information, contact the study author at:
Frontier Centre for Public Policy