Infill Action Letters
We need your voice to ensure that Edmonton’s growth doesn’t come at the cost of our mature neighbourhoods.
We have launched a grassroots lobby campaign to demand better control, oversight, and common-sense regulations regarding local infill development. Our non-partisan group is actively taking our neighborhood concerns straight to the decision-makers, including the Alberta Provincial Government, Shadow Ministers, Federal MPs, Metropolitan MLAs and Mayors, and our own city council.
Rapid density changes are placing immense strain on our infrastructure, public safety, and community character. We cannot afford to stay silent. Please support this vital community initiative by signing our official lobby letters today to show all levels of government that sustainable, responsible development matters to Edmontonians.
AND watch our website for weekly new letters you can sign as we continue to lobby for change, and to save our neighbourhoods.
Join us at our events where you can meet the organizing team, people from other communities, and learn more about our campaign. Please invite your neighbors and friends. And note, paper copies of our letters are available at all events.
Our upcoming events:
Doors open at 6:30, Meetings start at 7:00.
Sept. 14
Ritchie Community League
7727 - 98 Street
Sept. 29
Bellevue Community League
Oct. 6
North Millbourne Community League
About This Campaign
Edmonton Infill in Pictures
Letters For NDP Ministers
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Metro Region MLA letters
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Letters for NDP Shadow Ministers
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Letters For UCP Ministers
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Metro Region MLA letters
Fill Out These Forms to Send Infill Action Letters to the Government of Alberta
Once you submit this form, the eight letters mentioned above will be automatically sent to the Government of Alberta ministers on your behalf. The information collected will not be shared outside of this campaign.
October 3, 2026
Re: Urgent review of CMHC’s MLI Select program as applied in Edmonton
CMHC’s MLI Select program, combined with Edmonton’s unusually permissive zoning, is producing unintended consequences that warrant federal attention. Federal financing is supporting rapid redevelopment of older neighbourhoods while local vacancy is rising, rents are softening, family ownership housing is diminishing, and new development outside the City’s priority growth areas.
We ask that you urge a federal review on how MLI Select is operating in Edmonton, including its market assumptions, affordability outcomes, underwriting safeguards and alignment with local growth planning.
Why Edmonton warrants attention
MLI Select provides access to highly leveraged financing for qualifying rental projects. In Edmonton, this financing now operates alongside Zoning Bylaw 20001 (2024) which permits substantially greater residential density in mature neighbourhoods. Together, this has changed the economics of redevelopment.
Investors can compete for ordinary residential properties and replace them with multi-unit commercial apartment style housing, three-storey buildings of eight units or more, with no required parking, in the middle of mature neighbourhoods with old infrastructure and on tight lots and no density ceiling set. In one Parkview block alone, seven houses are slated for demolition.
This raises an important federal question: Is MLI Select achieving its intended housing objectives in Edmonton, or is it producing unintended outcomes and public financial risk?
This question needs urgent attention because:
1. Federal insurance is influencing the local housing market - by qualifying rental investors with inexperienced builders to access financing that ordinary homebuyers do not have. At the same time, Edmonton is losing existing family-oriented homes in the $300,000–$450,000. Since Edmonton’s new zoning bylaw took effect, the Greater Edmonton benchmark home price rose approximately 13% in two years. First time home buyers cannot compete against investors for the same properties.
2. Local market conditions have changed - Edmonton’s vacancy rate rose to 3.8% in CMHC’s 2025 survey and to 5.8% by mid-2026 according to industry data. New-lease rents are also falling. Yet MLI Select incentives continue without an apparent mechanism to respond to changing local vacancy and absorption conditions. This warrants a review of CMHC stress-tests to reflect local context.
3. The affordability measure may not reflect Edmonton’s market - MLI Select can treat rent of approximately $1,665 per month, as “affordable” in Edmonton even though it exceeds local market rent. Meanwhile, some newly constructed eight-unit projects are seeking approximately $2,100–$2,400 per month, while houses being demolished previously offered larger units for $1,800–$2,500.
This raises the question: What additional affordability is the federal incentive producing?
1. Federal financing may be working against local growth planning - Edmonton’s planning goals intend to direct significant growth toward nodes, corridors where transit and infrastructure can support additional density. Yet MLI Select financing is property-based and gravitates to support scattered redevelopment. Federal housing financing should complement, not undermine these municipal goals.
2. Construction quality and long-term management require greater scrutiny. - Rapid redevelopment has placed increasing pressure on Edmonton’s inspection and enforcement systems. Also, buildings held for 10 years may be exempt from new-home warranty requirements. CMHC should examine whether borrower experience, construction oversight, warranty protection, professional property management and ongoing monitoring are sufficient to protect both residents and the federal insurance fund.
We are asking for a review of MLI Select in Edmonton and consider additional safeguards specifically:
1. Market-based triggers or additional underwriting review where local rental vacancy materially exceeds balanced-market levels.
2. New-home warranty or equivalent third-party construction protection for CMHC rental projects.
3. Stronger borrower, construction and property-management requirements, together with appropriate ongoing monitoring of insured projects.
4. Measures that better support owner-occupiers, including consideration of extending the First-Time Home Buyers’ GST Rebate to existing homes so first-time buyers can compete for housing.
Edmonton needs both rental and ownership housing infill. The issue is whether CMHC funding is producing the intended outcomes, and whether its safeguards adequately reflect local housing markets.
Over 3,500 Edmontonians (a number that is growing daily) have sent letters through our non-partisan Infill Action Campaign. The level of public response demonstrates that these changes are being felt well beyond individual development sites.
We would welcome the opportunity to meet with you or your staff and ask for your response by October 31, 2026. The enclosed briefing memo provides the supporting evidence and additional detail.
Sincerely,
Lydia Kawun
780-905-8436
Edmonton Infill Action Campaign
Edmonton, Alberta
Attach: Briefing Memo – CMHC MLI Select and Edmonton Infill
Biographies of the Letter Authors
BRIEFING NOTE
CMHC MLI Select and Edmonton Infill Development
For
Prime Minister, Leader of the Official Opposition; Minister of Housing & Infrastructure, Official Opposition Shadow Minister for Housing; Edmonton-area Members of Parliament; CMHC President and CEO and Board Chair; Presidents of Canadian Home Builders, BILD Alberta and BILD Edmonton.
From
Infill Action Campaign (non-partisan citizens’ group, Edmonton)
Date
September 25, 2026
Purpose
For decision: request that you urge the Government of Canada and CMHC to review how MLI Select is applied in Edmonton
Response by
October 31, 2026
Issue
CMHC’s MLI Select program, combined with Edmonton’s highly permissive Zoning Bylaw 20001, is financing a wave of speculative, loosely monitored infill rental construction in mature neighbourhoods. Projects are built on roughly 5% equity with federally insured debt, in a market that is already oversupplied, and they qualify as “affordable” without delivering affordable rents. The financial risk sits with taxpayers; the neighbourhood impact costs sits on residents
Bottom Line
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Taxpayer exposure is rising. Insured leverage of up to 95% of cost is flowing into small, inexperienced builders while Edmonton vacancy climbs and rents fall. A rate rise or lease-up shortfall could trigger defaults within two to three years.
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The affordability test does not work in Edmonton. MLI Select’s threshold (30% of median renter income, about $1,665/month) is above the city’s average market rent, so projects earn “affordable” credit at or above Edmonton’s market rents.
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Targeted, low-cost fixes are available. Four changes to CMHC insurance conditions would reduce risk without halting needed housing.
Background
The program
MLI Select is CMHC’s multi-unit mortgage loan insurance product. It rewards affordability, energy efficiency and accessibility commitments with higher loan-to-value ratios (up to 95% of cost), longer amortizations and lower premiums. Affordability is measured against median renter income.
The local zoning context
Edmonton’s Zoning Bylaw 20001, in effect since January 1, 2024, is among the most permissive in Canada. On a standard single-family lot it permits as-of-right three-storey buildings of up to eight units in mid-block and more on interior lot corners, plus basement suites, with no required on-site parking. Residents report that public awareness of the change before adoption of the bylaw was very low (6%) and that concerns raised with Council since have not been acted upon.
Other Alberta cities have changed course
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Calgary: Council repealed citywide blanket rezoning on April 8, 2026 (12–3), reverting to prior land-use districts and public hearings on individual redesignations.
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Red Deer: Council declined in July 2025 to adopt blanket four-units-as-of-right zoning, a condition of the federal Housing Accelerator Fund, and the federal grant was cancelled
Edmonton is now the main Alberta market where insured capital meets as-of-right, mid-block intensification with no local neighbourhood limit on how many multi-units can be approved on a street. In Edmonton’s Parkview, for instance, seven houses on a single block are slated for demolition and replacement.
Details
1. Market signals are being ignored
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CMHC’s own 2025 survey shows Edmonton purpose-built rental vacancy rose to 3.8%, and CMHC notes the vacancy is concentrated in the higher-end market, which is the segment with new infill developments.
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Industry data put vacancy at roughly 5.6% to 5.8% by mid-2026, well above the 3% generally treated as a balanced market.
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Landlords in new buildings are offering incentives, including periods of free rent; one to three months free is common on initial lease-ups.
2. Taxpayers carry the risk
Builders contribute about 5% equity; the federal government insures the rest. Many projects rely on optimistic pro formas that are highly sensitive to the five- and ten-year Government of Canada bond yields that set insured rental mortgage rates. Edmonton experienced a comparable rental overbuild and wave of foreclosures in the early 1980s. The risk exposure here is potentially worse.
3. The affordability test produces no affordable housing
Measure
Figure
What it represents
MLI Select affordability threshold — 1 bedroom
$1,665/month
Maximum rent based on 30% of Edmonton median renter income; an affordability threshold, not average market rent Edmonton
CMHC average rent Edmonton 2 bedroom, total rental stock
$1,603/month
Average 2025 rent across Edmonton CMA purpose-built rental apartments, including older and newer stock Canada Mortgage and Housing Corporation
CMHC average rent — newer 2-bedroom stock
$1,976/month
Average for Edmonton CMA buildings completed July 2022–June 2025 Blob Storage
New infill multiplex — main-floor unit asking rent
$2,100–$2,400/month + utilities
Asking rents observed for newly constructed multiplex units
New infill multiplex — basement unit asking rent
$1,250–$1,450/month + utilities
Asking rents observed for newly constructed basement suites
New fourplex + four basement suites — sale price
$2.1M–$2.5M/building
Asking/sale prices for new 8-unit infill investment properties
Older family home rent before redevelopment
$1,800–$2,500/month
Rent for the entire older family home, not a single apartment unit
Older family home — property value
$300,000–$450,000
Approximate value of homes being demolished for redevelopment
Older, lower-cost family homes with yards and garages are being replaced by units that rent for the same or more. The net effect is a loss of genuinely affordable housing.
4. Federal dollars are not aligned with local plans
Insured financing flows to scattered mid-block lots rather than to the nodes, corridors and LRT station areas where the City’s own plans direct growth, undermining transit-oriented development.
5. No warranty and no professional management
Alberta exempts multi-family rental buildings from new-home warranty if the owner keeps them for at least ten years. CMHC-insured rentals can therefore be built with no third-party warranty and operated by distant investors with no landlord experience.
6. Community and public-safety impacts
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Home ownership: investors using insured leverage outbid first-time buyers for the same lots and homes.
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Environment: clear-cut demolition removes mature trees and destabilizes soils.
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Infrastructure: aging water, sewer and drainage systems were not designed for this intensity.
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Public safety: fires involving homes under construction or vacant properties suited to infill in Edmonton rose 66% over four years [8]. The City has approved more permits than it can realistically inspect.
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Cost of housing: the campaign estimates average housing costs have risen almost 17% since the bylaw took effect, roughly double the 8% average seen at the peak of past Edmonton booms.
Recommendations
That you urge the Government of Canada and CMHC to review MLI Select as applied in markets like Edmonton and adopt the following conditions. See following table.
#
Recommended change
What it achieves
1: Vacancy-rate triggers: tighten MLI Select eligibility or leverage where local vacancy exceeds the 3% balanced-market level.
Stops insured capital from deepening oversupply; protects the insurance fund.
2: Stronger borrower and construction screening, including mandatory new-home warranty on all CMHC-insured rental buildings.
Closes the provincial rental warranty gap through a federal insurance condition; raises build quality.
3: Professional property management and ongoing monitoring required on all CMHC-insured rental mortgages.
Reduces default risk and protects tenants and neighbours.
4: Priority for owner-occupied buildings, and extend the First-Time Home Buyers’ GST Rebate (now limited to new homes) to existing homes.
Lets young families compete with investors for existing, lower-cost homes.
Note: the First-Time Home Buyers’ GST/HST rebate currently applies only to newly built or substantially renovated homes.
Supporting action
Encourage federal, provincial and municipal colleagues to engage directly with affected Edmontonians and to align federal housing incentives with local area plans, so that growth is directed to nodes, corridors and transit station areas.
Public Interest and Next Steps
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More than 3,500 Edmontonians have signed and sent letters through the non-partisan Infill Action Campaign; town halls are underway.
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The campaign requests a meeting and a written response by October 31, 2026.
Sources
[1] CMHC, MLI Select program page. https://www.cmhc-schl.gc.ca/professionals/project-funding-and-mortgage-financing/mortgage-loan-insurance/multi-unit-insurance/mliselect
[2] CMHC, 2025 Rental Market Report (Edmonton vacancy 3.8%). https://www.cmhc-schl.gc.ca/media-newsroom/news-releases/2025/canadas-vacancy-rate-rises-amid-historically-high-rental-construction
[3] CMHC Housing Observer, Inside Canada’s 2025 rental market. https://www.cmhc-schl.gc.ca/observer/2025/inside-canada-2025-rental-market-what-changed
[4] City of Calgary, Repeal of Citywide Rezoning. https://www.calgary.ca/planning/projects/rezoning.html
[5] LiveWire Calgary, Council approves repeal of citywide rezoning (April 8, 2026). https://livewirecalgary.com/2026/04/08/calgary-city-council-repeal-citywide-blanket-rezoning/
[6] City of Red Deer, Housing Accelerator Fund projects. https://www.reddeer.ca/business/planning/housing-accelerator-fund-haf-projects/
[7] CBC News, Red Deer loses federal housing funding (January 2026). https://www.cbc.ca/news/canada/edmonton/red-deer-housing-funding-zoning-9.7052412
[8] CBC News, Fires at new housing projects, vacant properties in Edmonton up 66% since 2022 (May 2026). https://www.cbc.ca/news/canada/edmonton/edmonton-fires-housing-projects-vacant-properties-9.7206495
[9] CBC News, Renter’s market in Edmonton as building boom meets drop in demand (April 2026). https://www.cbc.ca/news/canada/edmonton/edmonton-alberta-renters-market-supply-outweighs-demand-9.7173934
[10] Government of Alberta, New home warranty (rental exemption). https://www.alberta.ca/new-home-warranty
[11] Canada Revenue Agency, First-time home buyers’ GST/HST rebate. https://www.canada.ca/en/revenue-agency/services/tax/businesses/topics/gst-hst-businesses/gst-hst-rebates/first-time-home-buyers-gst-hst-rebate/what-rebate.html
Figures not listed above (sale prices, asking rents, 2026 industry vacancy, cost-increase estimate, signature count) are compiled by the Infill Action Campaign.
Infill Action Campaign Letter and Briefing Writing Team Managers:
LYDIA KUWAN: Masters in Urban Planning/Environmental Studies, Honours Bachelors in Advanced Statistics and Sociology, marketresponse@shaw.ca
40+ Years of Systems Innovation: Recognized expert in breaking down organizational silos to design and implement integrated planning, regulatory, and service delivery systems. Mastered the intersection of legislation, policy, finance, land use, and governance to drive effective public outcomes across more than 70 client organizations globally.
Executive Leadership & Advisory: President of L. Kawun & Associates Inc. and Market Response Inc. Handled high-stakes corporate restructurings, project management, and strategic advising for blue-chip clients, including TELUS, EPCOR, Thomson Reuters, Gulf Oil, and Texaco, as well as major financial institutions and developers (Nu-West, Genstar, Intrawest).
Provincial & International Governance: Spent over 20 years driving initiatives for the Government of Alberta—including managing a $22M annual budget to operationalize cross-ministry health, education, and social service frameworks. Advised the Governments of Ontario and Saudi Arabia, spearheaded primary healthcare networks, and established provincial complex needs governance.
Public Sector & Infrastructure Leadership: Former Assistant Chief Town Planner with Public Works Canada, where she led the redevelopment of the Energy, Mines and Resources site in Ottawa. Directed regional master planning for Ontario’s Halton Region, consulted on City of Edmonton transportation planning, and drove community engagement for major infrastructure.
Healthcare & Academic Facilities: Spearheaded facility planning and development for major healthcare hubs, including the Edmonton General Hospital, Northeast Community Health Centre, and Fort McMurray Regional Hospital. Directed student housing and programmatic planning for the University of Alberta, Red Deer University, Keyano College, and Olds College.
Community Leadership Education: Dedicated to community growth. Past President of the Brain Care Centre, former non-profit board member for community loan funds, and a former graduate-level instructor in the Faculty of Environmental Design at the University of Calgary.
Current Advisory Focus: Continues to leverage her deep regulatory expertise in retirement by helping citizens successfully navigate Subdivision Development Appeal Board (SDAB) and Alberta Court appeals, while actively writing submissions to City Administration and Council to refine the Edmonton planning process.
COLIN HEFFERON, RPP, MCIP, chefferon@shaw.ca
Experience: Colin Hefferon is an experienced urban planner and land development professional with a career spanning Canada and Poland.
Ontario Municipal Board: Served as a Member from 2006 to 2016, adjudicating appeals related to municipal land development and planning decisions.
International Advisory Roles: In the early 1990s, advised new governments in Poland and Hungary on private sector financing for economic development and housing as part of the Canadian Urban Institute team.
Sustainable Energy Projects: Led Canadian initiatives in Poland, including:
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Replacing coal with bio-based fuel in Bydgoszcz’s 900MW cogeneration plant.
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Producing biodiesel from agricultural products in Police, Poland using the Biox process.
Development Projects: Partnered in a company that built 17 high-end townhouses in central Toronto in the early 1990s.
Municipal Planning: Worked as a municipal planner in Toronto, Edmonton, and Vancouver.
Government Advisory: Served on the Government of Canada’s Task Force on Program Review and advised the City of Toronto and Government of Ontario on legal and planning initiatives in the 1980s.
Education: Holds a BA in English from the University of Toronto and a Masters in Environmental Studies from York University.
Current Activities: Resides in Edmonton, continues to consult and write on planning and development issues.
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Date: Oct 14, 2026
To: All Edmonton City Councillors and Mayor Knack
Re: Request for collaborative approach for changes to the zoning bylaw
Dear Councillors and Mayor Knack,
I’m asking Council to work together with the Province and Edmonton residents to address the problems people are seeing with infill in their neighbourhoods. This should not become a fight between governments. Residents have raised concerns for years about drainage, parking, garbage, privacy and damage to nearby properties, yet many of us feel we no longer have a say in what happens on our streets. Some of us took part in City engagement processes but never heard how our input affected the decisions. It feels like speaking into a void. We now have an opportunity to work with builders and developers on changes that affect our communities. Please support those relationships rather than spend taxpayer money fighting a process that could give residents meaningful public consultation.
Please bring residents, builders, developers and community members who understand these concerns together with City staff to recommend practical changes within 90 days. Work with us, not against us. We are ready to help find solutions that support growth and affordability without creating an expensive new process. I would rather see Council spend time and money solving these problems than pursuing a dispute or court case with the Province. Please listen to us and give us a meaningful role in shaping the future of our neighbourhoods.
Kindly,
Concerned Edmontonian
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