Centre Wellington purchases land in Fergus for affordable housing
Property at 350 St Andrew St. W. purchased for $1.13 million - most covered by county grant
FERGUS – Centre Wellington is getting into the affordable housing game.
The township announced in an Aug. 19 press release that it has purchased 350 St. Andrew St. W. in Fergus for a total cost of about $1.13 million.
The property is 0.39 acres, sits beside Melville United Church and once had a medical building on it along with parking.
VanGrootheest Holdings Inc. had purchased the building and in 2021, brought forward a proposal to build a four-storey, mixed-use building with 36 residential units, one ground-floor commercial unit, 21 parking spaces and a rooftop open area for tenants.
With approvals in place, VanGrootheest demolished the medical building, but further work has not proceeded.
Centre Wellington plans to use the property for affordable housing.
Future council to decide course of action
Township officials say they hope to issue a request for proposals (RFP) to identify a qualified organization to develop, operate and manage affordable housing on the property.
“The proposed RFP would provide flexibility for proponents to propose the land arrangement that best supports the feasibility and affordability of the project,” states the release.
“Options could include a purchase, long-term lease or other land arrangement, subject to future council approval.”
Council will consider an Affordable Housing Initiative report at its Aug. 24 meeting.
The report recommends staff begin discussions with surrounding properties to see if there’s the possibility of synergies such as parking, site access, public connections or other arrangements.
Centre Wellington had applied to the Wellington County Community Housing Development Fund for $1 million in funding.
The application was approved, so the township’s actual cost is $130,000, which will be funded through the township’s housing reserve.
The county funding was initially part of $7 million set aside for a now-cancelled Continuum of Care project in Aboyne, which was to house as many as 400 people.
When that project fell through, the county opted to divvy the funds up between its seven lower-tier municipalities to support affordable housing.
One in six in unaffordable housing
According to the township release, a 2025 housing needs assessment found that one in six households in Centre Wellington are living in housing that’s considered unaffordable.
It also found that one in three renters are spending more than 30 per cent of their gross household income on housing.
The needs assessment also identified a need for a broad range of affordable rental options.
“The property represents an opportunity to support affordable housing in an established area of Fergus, close to existing services, amenities, employment opportunities, commercial uses and community infrastructure,” states the release.
"Its location also provides an opportunity to add housing within the township’s existing built-up area, supporting a more complete and connected community."
