Subject: 2004 Unit Rent Factors for Municipal and Private Non-profits
 Legislation/Regulation Release 03-14
 Operational
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The Unit Rent Factors are figures derived from typical market rents, which are used in the calculation of subsidy in the budgets of municipal and private non-profit housing corporations. There are Unit Rent Factors for each of the approximately 150 rent districts in the province. Unit Rent Factors are reviewed and revised annually by the ministry to reflect changes in local market rents.
Non-Profit’s Responsibility
The Unit Rent Factors are used on Page 3 of the Private NP Operating Budget Form 810 (01/95) and Municipal NP Operating Budget Form 819(01/95).
There are separate Unit Rent Factor tables for apartments and townhouses. Unit Rent Factors are provided for each rent district for units with various numbers of bedrooms. The tables also provide different Unit Rent Factors to reflect the various utility services included in the market rent paid by residents, i.e. no utilities, heat only, hydro only and both heat and hydro. It is important that the correct figure reflecting the services included in market rents be used in the subsidy calculation.
There are no Unit Rent Factors for stacked row housing. For any units considered to be stacked row housing, the average of the apartment and townhouse Unit Rent Factor for the same unit type should be used.
There are no Unit Rent Factors for hostel units, as it is assumed that rent geared-to-income tenants almost exclusively occupy these units. All hostel units should be treated as rent-geared-to-income for subsidy calculation purposes.
Service Managers may set a project specific URF for one or more classes of units for a particular housing provider if in their opinion the published URF does not properly reflect the local rental conditions. Normally, a project (unit) specific URF is a lower amount (URF) than the published URF for a particular rent district.
Further instructions on budget preparation are provided in the Ministry=s publication AGuide For Non-Profit Housing Corporations, Operation Budget and Annual Information Return”, released in January 1995.
Action
The 2004 Unit Rent Factors will be used in the calculation of subsidy when preparing the 2004 budgets for excluded municipal and private non-profit housing corporations currently under administration by the Social Housing Branch. The 2004 Unit Rent Factors will also be used to create 2004 Interim Benchmark Budgets for municipal and private non-profit housing providers currently under administration by local Service Managers until final benchmarks are approved and issued. The Interim Benchmark amounts may not be reflective of the actual benchmark amounts when final Benchmark revenues and expenses are approved and issued by the Ministry.
If you require further information please contact your Service Manager or for excluded providers, please contact your Senior Risk Advisor in the Social Housing Branch.
Toni Farley
Director
Social Housing Branch
Attachments:
1. 2004 Schedule for Unit Rent Factors for Apartments
2. 2004 Schedule for Unit Rent Factors for Townhouses
November 21, 2003