Housing and Land Development

The Town of Grand Falls-Windsor’s Housing Incentive Program (HIP) is designed to promote sustainable growth and increase housing availability within our community. This program offers a financial incentive to encourage homeowners to enhance the density of their existing properties through the addition of secondary suites or secondary dwellings, as well as to incentivize infill development in our urban core.  Also, this program applies to landowners interested in the construction of multi-unit dwellings, apartment buildings and condominiums. 

Program Objective 
The HIP aims to: 

• Increase the stock of affordable and diverse housing. Incentivizing secondary suites (apartment, basement apartment, or in-law suite that are independent of the principal home) and secondary dwellings (garden suite or granny flat separate from the principal residence on a permanent concrete foundation) options.  

• Encourage the efficient use of land and resources within existing urban areas. 

• Support the town’s sustainability and livability goals by enhancing residential density. 

• Increase stock of multi-unit dwellings (duplexes, quadplexes, apartment buildings, and condominiums). 

Incentive Details 

• Incentive Amount: Eligible participants can receive an incentive of $7,500 for the creation of:
  • Additional residential units on their property, such as secondary suites and dwellings.
  • New multi-unit dwellings constructed under this program will not be charged the per unit water tax until the individual units are first rented or two years have lapsed, whichever occurs first. 
  • Land servicing costs related to water and sewer connections may be provided to housing constructed by non-profit and charitable organizations to meet social housing needs. Projects will be assessed on a case-by-case basis. 

• Eligibility: This incentive is available to all property owners in Grand Falls-Windsor who are interested in either adding to their existing home or undertaking new infill development that includes the addition of a secondary suite or a secondary dwelling on single family lots or the construction of multi-unit structures.  

• Use of Funds: The incentive can be used to cover costs directly associated with the development of any qualified units.  

Eligibility Criteria

• Ownership: Applicants must be the registered owner(s) of the property. 
• Zoning Compliance: The proposed development must comply with the Town of Grand Falls-Windsor Development Regulations 2022-2032. 
• Building Standards: All construction must meet or exceed the National Building Code of Canada latest edition. 
• Application Process: Applicants must submit a detailed proposal outlining their development plan, including architectural designs, and a project timeline.  

Application Process 

• Submission of Application: Interested parties must submit a completed application form along with the required documentation to the Town’s Public Works and Development Department. Application must include a schedule of work including a completion date.
• Review Process: Applications will be reviewed on a first-come, first-served basis, subject to the availability of funds and compliance with program criteria.
• Approval and Agreement: Approved applicants will enter into an agreement with the Town, specifying the terms and conditions of the incentive, including the project completion timeline.
• Permitting: Applicants can commence construction once a building permit is issued by the Town after a review of the design drawings. 

Program Terms 

Completion Timeline
All development projects must be completed within 24 months from the date of issuing a building permit or agreement signing. 

Inspection and Compliance
Inspections are mandatory and will be carried out as per the building permit requirements.

Funds disbursement:
The incentive will be disbursed as follows:  

• 50% disbursement upon the successful completion of the first building inspection by the Town’s Building Inspector. 

• 50% upon successful completion of all other inspections and issuance of a final occupancy permit. 

Funding
The HIP is funded through municipal funds and a housing accelerator grant from the federal government that’s targeted for increasing housing supply and density.  

Program Duration
This program will be effective from June 18, 2024, until December 31, 2027, or until program funds are exhausted. 

Contact Information
For more information, application forms, or to discuss your project proposal, please contact:
Public Works and Development Department, Town of Grand Falls-Windsor
PO Box 439 / 5 High Street
Grand Falls-Windsor, NL
A2A 2J8
709-489-0427
Email: incentiveprogram@townofgfw.com

Program effective date: April 1, 2024
Program end date: December 31, 2036
Applicants may be accepted into the program until: December 31, 2027

This incentive program is intended to stimulate land development for new housing construction with specific enhanced emphasis on higher-density housing (duplex, triplex, quadplex) construction.  Incentive payments are primarily meant to help offset the costs related to construction of a roadway, water, sewer, storm sewer, and other infrastructure necessary to get to the first new housing lot in new subdivision areas or to expansion areas for existing approved subdivisions. Funding from the Federal Governments and property taxes normally collected on new property lot development are Council’s funding sources for this Incentive Program. 

The incentive will be provided to the developer to apply against their up-front costs based on their plan of expected units in the first three years of construction or ending December 31, 2027.  

• The payment schedule will be as follows: 
  • 20% of the incentive will be paid upon signing of the agreement. 
  • 60% of the incentive will be paid once construction commences. 
  • 20% of the incentive will be paid once construction is complete with all the required infrastructure to the first lot (as per the subdivision agreement). 

Incentive payments will be based on the number of lots fully developed for housing (water and sewer connections available and grading complete). 

• Incentive payments are as follows: 
  • $2,000 base payment for each developed lot regardless of housing type (Single Family Home (SFH), Duplex, Triplex, Quadplex) 
  • Additional $7,500 bonus payment for each housing lot serviced for an additional unit.  For instance, a duplex would receive a total incentive of $9,500 ($2,000 base + $7,500 bonus).  A quadplex would get a total of $24,500 ($2,000 base + ($7,500 bonus x 3 additional units)).   Payments for additional units will be reduced to $2,500 per unit for all units developed after December 31, 2027. 
• Examples of incentive payments and how they are recovered by the Town are as follows: 
  • A developer has a 10-year plan for subdivisions which total 200 SFH units. 50 in year 1-3 and 150 in years 4-10. 
    • The Developer would receive a $100,000 incentive from the Town (as per [3.a.] above) towards their initial costs (50 units @ $2,000 each). The Town would track the developed lots each year and report to the developer.  
  • A developer has a 3-year plan for a subdivision of 50 units. 25 are SFH, 15 are duplexes, and 10 are quads. The Developer would receive a $387,500 incentive from the Town (as per [3.a.] above) towards their initial costs as broken down below: 
    • 25 SFH ($2,000 base x 25 units =50,000);  
    • plus 15 Duplex structures (15 structures x $2,000 base) + (15 bonus units x $7,500 bonus) = $112,500;  
    • plus 10 Quad structures (10 structures x $2,000 base) + (30 bonus units x $7,500 bonus) =$225,500 
    • Totals a + b + c = $387,500.    
• The Town will determine what projects are eligible to participate in this program based on numbers of units reasonably forecasted for construction during the program period.  In short, the Town wants the maximum living units in the shortest period for its measure of return on investment. Successful proponents of the program will be advised in writing.  The Town requires annual reporting and updates from the developer as to the progress of its development.  
• All projects accepted under this program are subject to the advance approval of Council.  The Council will assess projects for entry into this program based on the number of lots to be developed, the number of units forecasted overall and the anticipated timing of the lots being available to the public.   
• Developers who don’t construct sufficient building lots and/or don’t attract sufficient units, whereby the incentive provided exceeds the actual units developed will owe the balance or shortfall as a debt to Council that will be payable within one year once the program agreement ends on December 31, 2036.  Interest will apply on debts owed to the Town as per Council policy.  

Participation in this incentive program is a separate agreement from any subdivision agreements, but entering into a new subdivision agreement is a prerequisite for this program. No existing development agreements or infilling projects will fall under this program. 

Taxes for new development will be as follows: 

• Until this program expires on December 31, 2036, the subdivisions qualified under this program will be considered as one property for taxation purposes.  Property tax will not be applied to individual lots until lots are sold or a building permit is issued. Property tax will be applied to the value of the land in the subdivision. 
• One water rate per subdivision will be charged by the Town except for individual lots that are sold or when a building permit is issued, as per 5.a. above. 
• After a period of 10 years from the start of the subdivision agreement and entry into this program, any unsold lots that remain in a subdivision will be separated into individual lots as per the development plan or, if necessary, will be separated into individual lots at the direction from the Town and will be taxed according to regular Town policy. 

Consequence if a Developer withdraws from the incentive program, or the incentive agreement or their subdivision agreement.

• If the developer stops development, the remaining land closest to services becomes property of the Town up to the amount initially invested as per 1 above. 
• Or the Developer must immediately pay the Town the value of the incentive earned for land developed up to the point of withdrawing from the Program.   

The maximum payout per subdivision is subject to an advance agreement with the Town but shall not exceed $500,000 for any one agreement. The Town will enter into agreements on a “first come first served” basis subject to budget constraints and overall housing supply forecasted against known housing demands, as determined by Council.   

In development areas that present opportunities for significantly enhancing the available numbers of lots that may be developed but are limited because of unique infrastructure requirements needed to achieve those lots and corresponding additional capital costs; the Council may consider infrastructure investments for such special and extraordinary projects.  The Director of PW&D must agree that a barrier identified by the developer is a qualifying barrier for the program and that the barrier is feasible for the Council to make an investment or to share the cost. Extraordinary capital projects referred to in this section more specifically references capital work in a defined housing development area, that’s also capital work beyond and outside of road infrastructure required for getting to the first sellable lot. The council does reserve the right to reject any proposals for covering the cost of special and extraordinary infrastructure projects without providing a rationale. Financing terms related to special and extraordinary capital needs may include cost-sharing arrangements and other necessary terms to be negotiated. 

The Council reserves the right to cancel this program at any time without notice, reasoning, or explanation.  An annual review of the program will be undertaken to ensure allocated funds are impacting development as expected and intended.  Any preexisting approved Incentive Program agreements will be honored even if the program is terminated by Council. 

Contact Information
For more information, application forms, or to discuss your project proposal, please contact:
Public Works and Development Department, Town of Grand Falls-Windsor
PO Box 439 / 5 High Street
Grand Falls-Windsor, NL
A2A 2J8
709-489-0427
Email: incentiveprogram@townofgfw.com

Below are maps of lots that are for sale by the Town. For more information, please contact our Development Department at 709-489-0427.

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  Main Street West

Below are the latest updates on ongoing subdivision projects. Whether you’re looking to build, invest, or simply stay informed, this section provides a glimpse into the future of our thriving community.

For more info, contact:
Spruce Woods Estates (East end of Grenfell Heights): 709-297-0303 

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  Spruce Woods Estates Potential Housing

Below are conceptual maps of proposed developments that have been approved by Council in principle. This means that these developments have not been formally decided or approved through the legislative process, and will not proceed without further research, discussion, and public engagement. For more information, please contact our Development Department at 709-489-0427.

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  Northcliffe Drive

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  Main Street West

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  Curling Club Land Area

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  Lind Avenue

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  Grenfell Estates Extension

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  Subdivision Development – CBC Property

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  Toulett Drive

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  Reid/Cater Place