The building that will rise at 250 Bryden Street has had two addresses and, over the past year, two operating models. Until recently the site was known as 250 Terminal Avenue, home since 2018 to Newcastle Place, 50 units of temporary housing run by the Island Crisis Care Society. On September 3, 2026, Housing Minister Christine Boyle announced that the permanent five-storey building planned for the lot would open as recovery-oriented, substance-free housing, after a long-running argument in which Nanaimo city council had asked for exactly that and been told no.
That reversal is the latest chapter in a long relationship between the city and BC Housing, the provincial agency behind the city's subsidized and supportive housing programs. BC Housing in Nanaimo means several different things at once: a waiting list that low-income households join, a funder of non-profit buildings run by groups such as Pacifica Housing, and a developer whose projects regularly end up before council. A provincial release from May 2025 counted more than 1,800 homes delivered or under way in Nanaimo since 2017, and a September 2026 statement put the number of supportive homes open or under way in the city at 550.
How BC Housing subsidized housing works
BC Housing describes subsidized housing as "long-term housing for people who permanently reside in British Columbia." Rent is tied to income: tenants generally pay about 30 per cent of the household's total gross income, with a minimum rent that depends on household size. To qualify, a household has to fit one of the agency's groups, such as families with a dependent child, seniors, people with disabilities, or low-income singles and couples who are homeless or at risk of homelessness. Income has to sit below BC Housing's published limits, and for buildings the agency manages itself, household assets must be under $100,000.
The application route depends on the building. Some non-profit and co-operative providers take applications through the provincial Housing Registry, while others keep their own lists. BC Housing's listings tool says which applies to each address, and the agency's advice is blunt: if you are applying, apply to every building that meets your needs.
Nobody is promised a date. BC Housing says demand far exceeds supply and that it cannot predict when a unit will become available. It sorts applicants into five categories of housing need, from a severe risk to health or safety down to a low-end-of-market category, and within each category by application date. Applications should be updated at least every six months; one that goes more than six months without contact is put on hold and may be cancelled. The agency's housing assistance line is 604-433-2218, or 1-800-257-7756 toll-free from anywhere in B.C.
Subsidized housing is meant for people who can live on their own. Supportive housing adds staff on site, meals and referrals for people coming out of homelessness.
The 2011 partnership and Uplands Walk
The current pattern of supportive housing in the city goes back to a partnership announced on September 13, 2011, between the Province, the City of Nanaimo and BC Housing. The release promised about 160 new units in total and named two sites, 1612 Dufferin Crescent and 6025 Uplands Drive, each expected to hold 35 to 40 supportive units. Salish Lelum, 18 apartments for Aboriginal youth and elders at 477 Tenth Street, had already opened earlier that year.
The Uplands Drive site became Uplands Walk, and it opened in February 2015. The Province described a four-storey building within walking distance of shops, a library and the hospital, built to LEED Gold standards, with 33 self-contained studio apartments for people who were homeless or at risk of homelessness and one respite unit for additional care. Pacifica Housing Advisory Association operates it, with two staff members on site at all times, and the shared amenities include dining and lounge areas, a kitchen, laundry and a bed-bug sauna.
The Province arranged about $7 million in long-term financing and provides annual operating funding of $761,938. The City of Nanaimo provided $229,277 in municipal reductions, and its land is valued at $307,000. The release called Uplands Walk the third new supportive housing site to open under the partnership between the Province and the city.
North Nanaimo is now the subject of a wider planning exercise. The city's Woodgrove Area Plan, which sets land-use policy for the most northern of its urban centres, received first and second reading on May 25, 2026, with a public hearing expected in late 2026. The city's project page does not yet set out how many homes the plan would allow.
The 2025 push: 187 units on three sites
In May 2025, the Province announced roughly $32 million for three Nanaimo sites with 187 units in all. Fifty new units at 1300 Island Highway South, run by Connective Support Society, were set aside first for people in overnight shelters. Fifty-nine new units at 1030 Old Victoria Road went to the Vancouver Island Mental Health Society, on city land leased to BC Housing for a nominal fee. The third site, The Sparrow at 1298 Nelson Street, is 78 renovated units operated by Pacifica Housing, which by then ran more than 1,500 units on Vancouver Island.
All three came with meals, laundry and staff around the clock. The two new sites were planned to run for at least three years, and The Sparrow was funded for three years and described as recovery-oriented, with priority for people who want to reduce their substance use. The same release mentioned a rezoning application for about 60 permanent supportive units on McKenzie Avenue, beside the Old Victoria Road site, pending approvals and funding.
Mayor Leonard Krog put it in one line: "Without housing, no person can have a healthy life." Ownership costs press from the other side: BC Assessment put the typical Nanaimo single-family home at $769,000 for 2026.
Student beds around VIU
Not all of the pressure comes from homelessness. In January 2025 Vancouver Island University announced that construction had begun on a 10-storey mass timber residence with 266 beds on its Nanaimo campus, funded by the Province at up to $103 million and due to open in 2027. Third-year geography student Samantha Overland was quoted in the release: "It is almost impossible to find housing now as a young person."
Private projects have moved more slowly. Across Wakesiah Avenue from the university, at 416 Wakesiah, a lot was rezoned in 2016 for a 44-bed student building that never went ahead; the two houses on it were demolished in 2017. In October 2021 an applicant asked to raise the limit to 117 beds in 44 units over three commercial units, according to the city staff report.
The old hospital hill and Beban House
Seniors' housing has its own story on Machleary Street. The building at 388 Machleary, designed by Alexander Ernest Henderson and built between 1925 and 1942, served as the Nanaimo Hospital until the hospital moved in 1962. It was later used by Malaspina College and, from 1980, the Malaspina Gardens seniors' care facility. It sat on the city's community heritage register, formally recognized in 2002, but the owner demolished the buildings in 2017. A city staff report from 2019 says the site was "first used in the 1800s" as the hospital, which matches the provincial register's note that a purpose-built hospital opened there in 1881, before the present building.
The Molnar Group proposed 175 homes on the site in 2019, with townhouses and four- and five-storey apartment buildings, a seating area with an ocean view and a refurbished version of the old staircase off Kennedy Street. At the public hearing on October 9, 2019, the community plan amendment was defeated and the rezoning abandoned. In August 2021 council considered a development permit for a 133-unit seniors' congregate housing project under the existing zoning. The staff report records that the applicant looked at keeping the Kennedy Street staircase and found it was not viable, so a new public walkway with stairs was to be designed to echo it, alongside a cast of the original hospital cornerstone.
Another heritage house sits in public hands on Bowen Road. Beban House at 2290 Bowen Road, a two-storey log and stone building from 1930, was designated by the city in 1996. The national register describes its interior as "one of the most intact and well-preserved 1930s interiors in public ownership in British Columbia," and lists the house as offices used by government rather than a home.
Renting with pets
For many tenants the first question about a new place is whether the dog can come. Provincial tenancy rules allow a landlord who permits pets to take a pet damage deposit of no more than half of one month's rent, regardless of the number of animals, on top of the security deposit. Landlords cannot add a monthly pet fee, and certified guide and service dogs are not treated as pets. The province's page on deposits does not say a landlord must accept pets. Questions about animals already living in the city, from strays to dog parks, come up in the pieces on feral cats in Nanaimo and off-leash parks.
Where those animals are bought has been a council matter too. In August 2017, the Nanaimo SPCA asked council to ban retail sales of pets and to set care standards for pet stores, kennels, daycares and groomers. Barry Bender, owner of Paws n Jaws, told council that roughly 40 per cent of his business was puppy sales and that a ban would effectively put him out of business. "We do not get our puppies from puppy mills, we buy them from humane breeders and we know the difference," he said, according to NanaimoNewsNOW. Council decided to have staff review the recommendations before deciding. When the city adopted its Animal Responsibility Bylaw in September 2021, its summary of the changes covered cat identification, sterilization of outdoor cats and a new name for vicious dogs, and did not mention retail sales.
250 Terminal Avenue and the argument over dry housing
The building on Terminal Avenue was announced on July 13, 2020, and its rezoning application went in during June 2023. The plan, according to BC Housing, is 50 studio homes in a five-storey building with support services, a central kitchen, laundry and common space, and a possible second phase of about 36 affordable homes if funding comes through.
What divided the city and the Province was who would live there and on what terms. BC Housing planned the building as low-barrier, in line with what Boyle called the "housing first" model and a harm reduction approach. Council wanted it dry. At a special governance and priorities committee meeting on June 8, 2026, nearly a dozen speakers backed the city's position, CBC reported. Erika Gagnon of the Nanaimo Family Life Association said low-barrier housing was essential, "But there is a gap," pointing to newly homeless seniors who had never used illicit drugs. Kix Citton of the Nanaimo Brain Injury Society said, "One model cannot meet every need." Coun. Sheryl Armstrong, who moved to renew the request, said she was asking about these 50 units because it was unclear whether more supportive housing would follow. Coun. Erin Hemmens said the city would send the minister a package of evidence.
Three months later the Province changed course. Boyle's statement described the new model as "a substance free surrounding that helps people who are recovering from substance use disorders," and Social Development Minister Sheila Malcolmson said it would give people "more choice." Krog said the decision would "better support addiction recovery and wellness."
BC Housing's project page, current as of September 22, 2026, estimates a construction start in spring 2027 and an opening in fall 2028. Newcastle Place will close when work begins, and residents are to be helped to find other homes. One line on the page is still blank in practice: BC Housing says it will select an experienced non-profit operator, and none has been named.
Questions
How do I apply for BC Housing in Nanaimo?
Start with BC Housing's listings tool, which shows for each building whether it takes applications through the Housing Registry or directly. Registry applications can be made online or on a paper form. BC Housing advises applying to every building that suits your household, because some providers keep their own waitlists.
How much is rent in BC Housing subsidized housing?
Rent is geared to income. BC Housing says tenants generally pay about 30 per cent of the household's total gross income, with a minimum rent that depends on how many people live in the home.
How long is the wait for subsidized housing in Nanaimo?
BC Housing does not give a waiting time. It says demand far exceeds supply and that it cannot predict when a unit will come up. Applicants are sorted into five need categories and then by the date they applied.
Who is eligible for BC Housing subsidized housing?
Households have to fit an eligible group, such as families with a dependent child, seniors, people with disabilities, or low-income singles and couples who are homeless or at risk of it. Income must fall below BC Housing's limits, and for buildings BC Housing manages directly, household assets must be under $100,000.
What is Uplands Walk?
It is a four-storey supportive housing building at 6025 Uplands Drive in north Nanaimo, run by Pacifica Housing. It opened in February 2015 with 33 studio apartments and one respite unit for people who had been homeless or were at risk of it, with staff on site around the clock.
What is happening at 250 Bryden Street, formerly 250 Terminal Avenue?
BC Housing plans a five-storey building of 50 studio homes there, with construction estimated to start in spring 2027 and an estimated opening in fall 2028. On September 3, 2026, the Province said the building will be run as recovery-oriented, substance-free housing. The 50 temporary units of Newcastle Place on the site will close when construction begins.
What is the difference between supportive housing and subsidized housing?
Subsidized housing is long-term rental housing for low-income households who can live independently, with rent set by income. Supportive housing adds on-site staff and services, such as meals, laundry and referrals, for people leaving homelessness. Both are funded through BC Housing in Nanaimo.
Can a landlord in B.C. charge a pet deposit?
Yes, where pets are allowed. Under provincial tenancy rules, a pet damage deposit can be no more than half of one month's rent no matter how many pets there are, and landlords cannot add a monthly pet fee. Certified guide and service dogs are not pets for this purpose.
Can pet stores in Nanaimo sell puppies and kittens?
The Nanaimo SPCA asked council in August 2017 to ban retail sales of puppies, kittens and rabbits, and council referred the request to staff. The city's 2021 summary of its Animal Responsibility Bylaw lists cat identification, sterilization of outdoor cats and other changes, but no retail sales ban. Check with the city for the current rules.
What happened to the old Nanaimo Hospital building on Machleary Street?
The buildings at 388 Machleary Street, which had been a hospital, then Malaspina College and later the Malaspina Gardens seniors' facility, were demolished in 2017. A 175-unit plan failed in 2019, and in 2021 council approved a development permit for a 133-unit seniors' congregate housing project.
Is VIU building more student housing in Nanaimo?
Yes. Construction began in fall 2024 on a 10-storey mass timber residence with 266 beds on the Nanaimo campus, funded by the Province at up to $103 million and expected to open in 2027.
Sources
- Subsidized Housing, BC Housing, 2026-09-22
- How to Apply for Rental Housing, BC Housing, 2026-09-22
- Nanaimo – 250 Bryden Street, BC Housing, 2026-09-22
- Minister's statement on recovery-oriented housing in Nanaimo, City of Nanaimo / Province of British Columbia, 2026-09-03
- Nanaimo renews call for dry supportive housing, CBC News, 2026-06-09
- B.C. supports people experiencing homelessness in Nanaimo, Province of British Columbia, 2025-05-09
- New supportive housing sites for housing options in Nanaimo, Province of British Columbia, 2011-09-13
- $7-million supportive housing development opens in Nanaimo, Province of British Columbia, 2015-02-06
- Construction begins on new student housing at VIU, Vancouver Island University, 2025-01-23
- Covenant Amendment Application No. CA15, 416 Wakesiah Avenue (Staff Report), City of Nanaimo, 2021-10-18
- Nanaimo Hospital, Canada's Historic Places
- OCP Amendment Application OCP89 and Rezoning Application RA395, 388 Machleary Street (Staff Report), City of Nanaimo, 2019-08-26
- October 9, 2019 Public Hearing Summary, City of Nanaimo, 2019-10-09
- Development Permit Application No. DP1185, 388 Machleary Street (Staff Report), City of Nanaimo, 2021-08-30
- Beban House, Canada's Historic Places
- Woodgrove Area Plan, City of Nanaimo, 2026
- Deposits and fees, Province of British Columbia, Residential Tenancy Branch
- Nanaimo SPCA appeals to City Council for pet sale ban, NanaimoNewsNOW, 2017-08-16
- Council adopts Nanaimo's Animal Responsibility Bylaw, City of Nanaimo, 2021-09-22






