In November 2008, the Province and the City of Nanaimo approved a Memorandum of Understanding (MOU) to expedite the development of up to 160 new supportive housing units on five properties.

The Province will pay all the costs to design the new housing developments through to the issuing of development and building permits. These include fees for architects and consultants, permit fees, legal costs and survey and engineering costs.

The first city-owned property, at 1598 Townsite Road, is located immediately across from the Nanaimo Regional General Hospital. It will be developed with approximately 70 units of apartment-style housing. Given the proximity to the hospital and associated services, this site may be suitable for tenants with mental health or addictions issues.

The second city-owned property, at 1402-1590 Bowen Road, could accommodate commercial or services uses on the ground level and apartment-style housing above. This site provides multiple transportation options and could serve more independent tenants in about 30 units.

The third city-owned property, at 437-445 Wesley Road and 421 Franklin Street, could support approximately 40 apartment-style units. This site is in close proximity to a range of services and resources and could be conducive to bachelor suites for homeless singles and people in need of higher levels of support services.

The fourth provincially-owned property, located at 3515 Hillside Avenue, is currently the location of a group home. A new home will be built next to the existing structure. Then tenants would move into the new home, and the old home would be demolished and replaced with a new building. In total, 10 housing units would be created on the site.

The fifth property, at 477 10th Street, is owned by the Tillicum Lelum Aboriginal Friendship Centre. The site will be developed to provide 10 units of housing for youth and elders.

On April 6, 2009, the Province announced $14.95 million to begin construction on the first two supportive housing developments to be developed as part of the partnership between the Province and the City of Nanaimo to break the cycle of homelessness. More information can be found in the news release .