Whitehorse Daily Star

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UNCERTAIN FUTURE – Ken House, a veteran and explosives expert, says he won't be able to afford his Sternwheeler Village town-home at the $230,000 price tag – and neither will most of the other tenants (top). DISCONCERTING NEWS – Adeline Huston, seen here with her 15-month-old daughter Laeila, said Thursday she's ‘more than a little upset' about the planned condo conversion of the Sternwheeler Village rental units in Riverdale.

‘Condo-ization' trend will impact 50 families

The trend of condo conversion in Whitehorse has claimed another 50 rental units.

By Ainslie Cruickshank on June 15, 2012

The trend of condo conversion in Whitehorse has claimed another 50 rental units.

Kareway Homes, the new owners of Sternwheeler Village, told residents Monday they had 90 days to decide if they wanted to purchase their units.

But most tenants likely won't be able to afford the $230,000 price tag.

Ken House, a veteran of the Canadian military and an explosives expert, currently pays $1,050 a month for his Sternwheeler unit.

His average hydro payment, which includes electric heat, is $220.

House said tenants were also told rent would rise by 20 per cent in October, bringing his rent to $1,260.

His $1,500 Old Age Security payment and the "dollar a year” he gets from his explosives training company won't stretch very far when the rent increase comes into effect, he said in an interview Thursday afternoon.

As well, much of his military and disability pensions have gone to the company, House told the Star.

"It will cut me back to rent and hydro; everything else will have to go – Internet, TV, telephones,” he said.

"I have to move.”

Even if tenants could afford to buy the condos, House said, "they're not worth it.”

"They're full of dry rot, black mold, and talk about poorly insulated; we put plastic baffles between the rooms and upstairs during the winter time and over the doors.”

Sternwheeler Village is home to many residents on social assistance, single mothers, the working poor and seniors who have had to take in family members as roommates to afford the rent, House said.

He himself is eligible for social or seniors' housing but he wants to remain independent as long as he can.

Adaline Huston, another Sternwheeler resident, is a new, stay-at-home mom. Her daughter Laeila is 15 months.

"I'd found a place where I could raise my daughter, at least for five or so years hopefully, and now we have to move,” she said Thursday.

She's been living in Sternwheeler Village for less than a year.

She and her boyfriend can't afford to pay what Kareway Homes is asking for the condos, so they're looking to purchase something a little less expensive.

The alternatives, she said, are renting again or moving in with her boyfriend's parents.

Two other residents of the townhouse complex spoke with the Star Thursday on the condition of anonymity. One a single mother of three.

She said she can't afford to buy her unit, and rents have escalated in the city to the point where she doesn't think she can afford a rental unit where each of her children could have their own room.

Another concern for her is the low rental vacancy rate in Whitehorse.

A housing report released in May by a doctoral student from Carleton University said a healthy rental vacancy rate is between three and four per cent. As of March, the vacancy rate was 1.3 per cent in Whitehorse.

The report says the last time the city's vacancy rate was more than three per cent was in 2008.

Another resident, a hairdresser and mother of two whose husband works as a power line technician, reiterated House's concerns about mold.

"It's disgusting,” she said. "My little boy has asthma now, just from living here.”

A friend who used to live in the townhouses, and also spoke on the condition of anonymity, said her nephew suffered from chronic chest infections which have subsided since leaving the complex.

All three women are concerned about the state of the units, saying they're in need of significant renovation.

The Star was told today that Wayne Cunningham, the owner of Kareway Homes, is unavailable for comment until next week.

Kate White, the NDP critic for the Yukon Housing Corp., wonders where the 50 families will go if they can't afford to buy their units.

"There are 133 cases on Yukon Housing last time I heard waiting for social housing, we don't have 50 places in the newspaper for rent, so what happens?”

White said she'd like to see the government address the housing crisis "period.

"To date, we still haven't seen them implement their housing strategy. They say their housing strategy was in their platform; well if you look at the platform from October (2011), it's pretty slim, so what's their solution?

"I'd like to see it sooner than later, and I'd like to be able to tell people who are calling, who are upset and afraid that the government is there and is supporting them, but I don't see that right now,” she said.

House said he'd like to see some action too.

"If (Premier Darrell) Pasloski doesn't do something pretty soon, he's going to be a one-term person.”

Scott Kent, the minister responsible for the housing corporation, was unavailable for comment on the residents' plight before press time early this afternoon.

Elaine Schiman from cabinet communications said today housing continues to be a priority for government and various departments are working on a number of initiatives which will soon be made public.

Comments (13)

Up 0 Down 0

Jackie Ward on Jun 21, 2012 at 8:47 am

Ol' Jim flatery cut mortgages to 25 years today, lol. Sorry Jim, the pie is already on your face. You are just doing these empty charades so when the crash comes you will say you were doing the best you could. Even though you had full knowledge of an impending crash. That makes you an accomplice. You couldn't pay me your salary to have to constantly lie to people day in and day out. Maybe David Icke is right about the reptiles, lmao.

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No really on Jun 20, 2012 at 7:35 am

I'm no economist, but I don't see any easy way out of the housing situation. It's easy to blame the government for not doing more, and it's easy to vilify landlords, developers, and realtors for making what seems like unreasonable profit from either renting or selling housing. Who among us really understands what the solution is?

One thing I do believe is that we have to change the way we think about housing. We should be looking for safe, energy- and cost-efficient homes that meet our needs. And further to that, we should consider what really are our housing needs. Do we really need 3,000-square foot houses, or are we just buying into what realtors and consumer society is telling us?

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DG on Jun 19, 2012 at 4:41 pm

@ Jackie your comment is almost perfect...

But what you're not pointing out is that Kareway probably sees the writing on the wall so is getting into position to loose a lot of property at high prices right before the crash. It's a gamble if ya ever saw one.

Kinda glad I never bought a house in the current market because the overly priced houses and land will be very difficult to resale within a few years.

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anonymous on Jun 18, 2012 at 10:20 am

So what Whitehorse is slowly becoming is a place only "rich" people can live or a retirement community. Snooze. That's what is happening...it's just no one realizes it yet.

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Jackie Ward on Jun 18, 2012 at 8:39 am

This is a comment to Karaway homes. Who is going to buy your overpriced $250K condos when housing prices crash? Prices will return to normal, where they should be. $150K should buy you a house here, including the lot. RE is reaching its apex, actually it already has. Grab your helmets. Great way to strengthen your name brand in the Yukon..

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mike on Jun 18, 2012 at 4:43 am

The sternwheeler is an eye sore for Riverdale, just like the skyline apartments. They both need to be torn down.. just not rebuilt with condos.

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Anonymous on Jun 17, 2012 at 2:52 pm

@ Joanne,

YOu can't blame contractors in a market like this for purchasing units like these and deciding to sell them to make a profit (it's called running a successful business) and in the long run these depleted units will be renovated and become much more cost efficient. As "nothing wrong with this" said, if they purchase the units they'll be paying the same amount a month towards a mortgage if not less than what they were paying in rent. So I get that a down payment is a problem but if these people ever want to live in anything in better condition than these units are now they need to start saving up and buy something.

The single parent example is not exempt from this either. I know many single parents that are able to buy their own place, care for their children and all while working two jobs.

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Joanne Aubertin on Jun 16, 2012 at 2:15 am

Its very sad how the greed of this society in this country is increasing. I don't know how they sleep at night knowing that they are contributing to displacing people out of their homes. Why do those condos have to be sold? Kareway homes is not very caring. All they would have to do is get one of the tenants to become the landlord and collect the rent from people but obviously they've got plans for all that money they'll recieve from selling the units.Greed, they need it to build more and get bigger and bigger and more powerful. Sad!Too much selfish greed in this county.

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JayManC on Jun 15, 2012 at 10:33 pm

its about time, these places in the sternwheeler need to be torn down and rebuilt. And look, it even states it in this article too, full of mold, dry rot wood framing. And how can the government help you out in the private sector. If they start helping them they'll have to help EVERYONE else out too. I think its funny these people think that its the government that controls this. They can't!! How about save your money, get jobs and buy some houses, there's plenty of them out there. that way our taxes don't have to go to paying for your living!! So unfair.

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nothing wrong with this on Jun 15, 2012 at 11:00 am

soooo.... the existing buildings are moldy, expensive to heat and generally disgusting... and a contractor is going to turn them into 'high end' condos and the residents can purchase them for $230k. A mortgage for this amount at 4% for 30 years is $1093 per month. Presumably there will be some repairs with the condominiumization - so your heating bills will go down and your health risk will subside.

It sounds pretty good.

I would personally like to know why young children all need their own rooms...at least two of them are the same sex - more entitlement at work!

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Jackie Ward on Jun 15, 2012 at 10:04 am

Its always about the poor single mothers and seniors. What about the single fathers? Right, society could care less. Seniors have enough options for housing in this town. Build something that everyone can use, not just for people based on gender or age. Last time I checked we are all humans. The longer we keep separating race, gender and financial situations, the worse all these problems will get. We all need housing. Just because you are a single mother shouldn't give you preference over anyone. Everyone should be treated the same and with dignity. Always crying about single mothers, and ignoring single dads in the same breathe is something I would expect from a 3rd world nation. Oh wait.

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June Jackson on Jun 15, 2012 at 9:28 am

Part of the governments strategy was to pay people to turn their basements into suites, garden suites etc. However, they failed to consider that even these one unit home renters want to make a killing and they only want blue/ or white collar renters that don't smoke, drink, have a pet, or kids..or they won't rent.

Really, what options does gov have?.. they can subsidize rent increases and rents will then skyrocket..that's an open sesame to the gov coffers.. they can cap rent increases..They can start building and go into competition with building contractors.. or, in the old days, the government floated mortgages..what did I miss? Did I miss where people can't buy a house on 10 bucks an hour so they should go get a few more jobs? Or move in with 5 or 6 other people? OR education and get a job that will pay you enough to go to a bank?

Just for the record. I like subsidized housing for 65 and older and handicapped..I have NO use for welfare bums..male or female, It infuriates me how many younger people just refuse to work. They really know how to milk the social cows. Because I worked..they didn't have to. I think.. right or wrong, that easy welfare in Whitehorse for ages 15 to 40 is one of the biggest problems we have.

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anonymous on Jun 15, 2012 at 8:31 am

I don't think the government gives a crap. Prove me wrong...

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