Subject: 2007 Unit Rent Factors for Private Non-Profits
Legislation/Regulation Release 06-09
Operational
The Unit Rent Factors (URF) are derived from typical market rents, which are used in the calculation of subsidy in the budgets of 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
Non-Profit providers are required to use the Unit Rent Factors on Page 3 of the Private NP Operating Budget Form 810(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.
Administrators 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.
Further instructions on budget preparation are provided in the Ministry's publication Guide for Non-Profit Housing Corporations, Operation Budget and Annual Information Return, released in January 1995.
Action
Housing providers will use the 2007 Unit Rent Factors in the calculation of subsidy when preparing their 2007 budgets for private non-profit housing providers currently under administration by the Ministry of Health and Long Term Care and the Ministry of Community and Social Services.
If you require further information please contact your housing representative at the Ministry of Health and Long Term Care or the Ministry of Community and Social Services.
Randy Hodge
Director
Facilitation Branch
Attachments:
1. 2007 Schedule for Unit Rent Factors for Apartments
2. 2007 Schedule for Unit Rent Factors for Townhouses
November 15, 2006