SUDBURY – Sudbury MP Viviane Lapointe says the removal of GST for new purpose-built rentals is good news for Sudbury. And you don’t have to take only her word for it, she adds.

“I’ve talked to local developers, builders’ associations, and city officials. They have all told me that removing this cost would encourage builders to build more rental housing at a more affordable price,” said MP Lapointe.

Louie Zagordo is President of the Ontario Home Builders’ Association. He has over 35 years of building experience. “The Ontario Home Builders’ Association is extremely pleased about the federal government’s announcement to remove GST for new apartment construction. This is another step towards our goal of building more, affordable homes across the country.”

“Encouraging thoughtful, targeted and sustainable residential development that meets the needs of our residents is a key priority for our city,” said Greater Sudbury Mayor Paul Lefebvre. “I want to thank our federal partners for taking this step to incentivize new rental developments, in turn expanding housing options and addressing affordability as we work toward filling the housing gaps in our community.”

The removal of GST will apply to new purpose-built rentals, meaning apartment buildings, student housing and senior residences built specifically for long-term rental accommodation. Also announced were additional measures such as requiring municipalities to end exclusionary zoning and encourage building apartments near public transit.

Lapointe says provinces, including Ontario, are following the federal government’s lead and will waive the provincial sales tax on new apartments.

“Removing the GST will help rental housing get built faster by reducing building costs and will encourage the construction of more rental homes. We will see benefits from these measures for students, seniors and young people right here in our community.”