Rental housing eyed for City-owned site near Scott Road SkyTrain station | Daily Hive

Site owned by City of Surrey near Scott Road SkyTrain station eyed for new rental housing project

Site of 10975 126A Street, Surrey. (Google Maps)

Last week, Surrey City Council gave City of Surrey staff the green light to seek a development partner for the redevelopment of a municipally-owned site, near SkyTrain’s Scott Road Station, into a secured purpose-built rental housing project.

This is a 2.9-acre site at 10975 126A St. — situated at the southwest corner of the intersection of 110th Avenue and 126A Street, immediately south of the transit hub, and immediately west of the North Surrey Sport & Ice Complex.

The industrial site has remained vacant for many years, though in more recent times it has occasionally been used to host various kabaddi events.

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Although this is a transit-oriented development site due to its close proximity to the SkyTrain station and bus exchange, no towers are planned; the City is envisioning six-storey, wood-frame structures, similar to other existing projects in the area.

This would be a part of the Surrey Affordable Rental Housing Strategy to provide more affordable housing options for low-to-moderate income individuals and households.

City staff estimate that this site with such low-rise structures could generate approximately 350 rental homes.

At least 20 per cent of the units in this project would be rented at below-market rates.

Site of 10975 126A Street, Surrey. (Google Maps)

“Council is taking action on the shortage of affordable housing by approving the use of City owned land to help facilitate the creation of more rental homes in Surrey,” said Surrey Mayor Brenda Locke in a statement.

“A key factor in choosing this site is its proximity to rapid transit and the North Surrey Sport & Ice Complex. When completed, these new units planned for this development will significantly change the landscape of housing options in Surrey.”

According to a City staff report, following City Council’s approval, a bidding process will now be conducted to seek a development partner to design, construct, operate, and maintain the new buildings.

This procurement will direct bidders to propose a maximum total number of rental homes that can be delivered, with options on the number of units set at below-market rates and corresponding options for the lease rate payable to the City.

The City and the selected development partner are expected to secure low-cost construction financing for the project through the federal government’s Apartment Loan Construction Program through Canada Mortgage and Housing Corporation. Additionally, if a building permit is issued before the end of August 2026, the project could potentially be eligible for the municipal government’s transit-oriented development and non-market rental housing development incentives funded by the federal Housing Accelerator Fund.

A development partner is expected to be selected by the third quarter of 2025. This development partner will prepare a development application in early 2026, so that a lease agreement can be completed sometime in the second half of 2026. Construction would begin in 2027 for completion in 2029.

According to BC Assessment, as of July 2024, these City-owned properties carry a value of $19.12 million.

South Westminster Neighbourhood Concept Plan

Transit Village area around SkyTrain’s Scott Road Station. (City of Surrey)

Site of 10975 126A Street, Surrey. (Google Maps)

“This is a strategic opportunity for the City to address our pressing housing needs through a well-planned rental development on City land,” said Rob Costanzo, City manager of the City of Surrey.

In March 2025, City Council also approved the nearby South Westminster Neighbourhood Concept Plan, which establishes a new Transit Village area around SkyTrain’s Scott Road Station, where the City-owned future rental housing project site is located. As well, City staff are exploring the possibility of creating a major waterfront entertainment district just west of the transit hub.

City staff also noted that Surrey City Development Corporation — the for-profit real estate development company wholly owned by the City — recently submitted a development application to pursue the long-planned, high-density, mixed-use residential development at the City-owned site land assembly 13310-13350 108th Ave., 10722-10772 133rd St., and 10725-10757 University Dr. Located immediately west of SkyTrain’s Gateway Station, there would be four towers on this site, containing 1,800 homes.

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