Vancouver City Council to decide on plan to create 17 new Village areas | Daily Hive

Vancouver City Council to decide on plan to create 17 new Village areas with low-rise residential and retail uses

Villages Plan. (City of Vancouver)

Almost exactly four years after the Vancouver Plan was approved by the previous makeup of Vancouver City Council in July 2022, one of its major components — bringing mixed-use residential and commercial density into traditionally low-density neighbourhoods — is now being considered for actual implementation.

On Tuesday, July 14, 2026, after an 18-month-long planning and consultation process, the City’s Villages Plan — essentially an offshoot of the City’s more recently enacted Vancouver Official Development Plan (ODP), which used the Vancouver Plan as its basis and replaced it as a legal document — will be considered by City Council in a public hearing.

City of Vancouver staff are proposing one of the broadest low-rise residential rezonings yet, which would allow more condominiums, townhomes, secured purpose-built rental housing, small mixed-use buildings, and neighbourhood-serving retail/restaurant uses in 17 areas across the city.

You might also like:

The plan is intended to bring more housing and businesses into lower-density residential areas that are generally located away from the busiest arterial streets, but still near public transit, schools, parks, and existing neighbourhood amenities. Essentially, the creation of such villages aims to turn these areas into more complete neighbourhood hubs.

The 17 Village areas are spread across both the east and west sides of Vancouver, including Macdonald Street and West 16th Avenue, Macdonald Street and West King Edward Avenue, Mackenzie Street and West 33rd Avenue, Mackenzie Street and West 41st Avenue, Granville Street and West 41st Avenue, Heather Street and West 33rd Avenue, Oak Street and West 49th Avenue, Angus Drive and West 57th Avenue, Oak Street and West 67th Avenue, Fraser Street and East 33rd Avenue, Knight Street and East 33rd Avenue, Commercial Street and East 20th Avenue, Nanaimo Street and East 1st Avenue, Nanaimo Street and East Broadway, Wales Street and East 41st Avenue, Victoria Drive and East 61st Avenue, and Kerr Street and East 54th Avenue.

If approved by City Council, the City-initiated rezoning would cover about 13,000 lots, representing roughly 96 per cent of all parcels within the proposed Village areas. This means most affected properties would be pre-zoned for the new housing and mixed-use options, rather than requiring each individual property owner or developer to apply for a separate project-specific rezoning.

Villages Plan. (City of Vancouver)

The residential changes would generally allow low-rise condominium buildings up to six storeys, with some eight-storey buildings possible in the provincially-designated Transit-Oriented Areas (around SkyTrain stations and select standalone bus exchanges/bus loops) or for certain social housing and below-market rental projects. Townhomes, multiplexes, and smaller-scale housing would also continue to be permitted.

For residential low-rise areas, the proposed R3-1 and R3-4 zoning would allow strata condominiums with a floor area ratio (FAR) of a total building floor area of 1.6 to 2.0 larger than the size of the lot, generally anticipated as four-storey buildings. Secured purpose-built rental housing would be allowed at 1.6 to 2.7 FAR, generally anticipated as six-storey buildings. Townhomes would be permitted at 1.2 FAR and generally three storeys.

In some circumstances, secured purpose-built rental housing in designated Transit-Oriented Areas that provide 20 per cent below-market rental housing could reach eight storeys. Buildings that are 100 per cent social housing could also reach eight storeys, with up to 3.0 FAR permitted on some eligible sites.

For mixed-use areas, the new C-2D and C-2E zones would allow low-rise residential buildings with retail/restaurant uses at ground level. Secured purpose-built rental housing projects would generally be allowed at 3.5 to 3.7 FAR and six storeys, while mixed-use strata condominium buildings would be allowed at 2.5 FAR and four storeys. In Transit-Oriented Areas, mixed-use buildings could reach eight storeys.

A minimum amount of ground-level commercial uses would be required in these mixed-use buildings, ensuring that the rezoning does not simply create more homes but also adds room for retail, small grocery stores, restaurants, cafes, pharmacies, childcare, and other neighbourhood-serving businesses and services.

Illustrative concept of what a Village area could look like. (City of Vancouver)

The plan draws a clear distinction for Villages between the Vancouver Eastside and Vancouver Westside for affordability requirements. The Eastside would generally use the existing R3-1 zone for residential low-rise areas and the new C-2D zone for mixed-use areas. The Westside would use the new R3-4 and C-2E zones, which include inclusionary housing requirements in certain cases where City staff believe the requirements are financially viable.

Most new apartment and townhouse projects would not be subject to these inclusionary zoning requirements. Where they do apply, they would mostly affect larger Westside lots.

For strata townhome projects on single large lots in the R3-4 zone, applicants would be required to provide eight per cent of residential floor area as social housing or pay $44 per sq. ft. as cash in lieu. For strata condominium projects on eligible corner sites in R3-4, the requirement would be three per cent of residential floor area as social housing or $16.50 per sq. ft. as cash in lieu.

For mixed-use strata condominium projects in C-2E, the requirement would also be three per cent social housing or $16.50 per sq. ft. as cash in lieu. For mixed-use rental apartment projects in C-2E seeking higher density above 2.5 FAR, 20 per cent of the residential floor area would need to be below-market rental, with rents set at least 10 per cent below Canada Mortgage and Housing Corporation (CMHC) city-wide averages.

City staff note that these requirements are based on the analysis of the financial and economic feasibility by the municipal government’s contracted consultant and are intended to help deliver or fund housing affordable to low- and moderate-income households — without making most projects financially unworkable, especially amid the current challenging market conditions for construction.

The Village areas generally have relatively few existing renters compared with other parts of the city. However, where existing tenants are displaced by redevelopment, enhanced renter relocation and protection requirements would apply, similar to recent policies used in the City’s Broadway Plan and Rupert and Renfrew Station Area Plan. This would include compensation and an option for affected tenants to remain in their neighbourhood.

Beyond the 17 Village areas, there would also be a rezoning 140 lots in low-rise mixed-use areas within the Rupert and Renfrew Station Area Plan. These sites were not included in a previous City-initiated rezoning approved in January 2026.

Illustrative concept of what a Village area could look like. (City of Vancouver)

There are currently about 150 in-stream applications within the areas proposed for City-initiated rezoning, including rezoning, development permit, and building permit applications. City staff note that those applicants have been informed of the new options and would be able to choose whether to proceed under their existing application or consider the new development paths if City Council approves the plan.

If City Council approves and enacts the zoning changes this month, the new rules would take effect in October 2026, which provides a few months for City staff to prepare the changes.

Privately-initiated, project-based rezonings under the Villages Plan would be processed immediately once the plan is approved.

Several existing community and area plans would also be amended to avoid overlapping or conflicting policies.

In most cases, where Village areas overlap with existing community plans, City staff will remove those overlapping areas from the older plans and shifting their development rules into the new Villages Plan.

Villages Plan. (City of Vancouver)

The plan also touches on public spaces and neighbourhood amenities. Public benefits would be delivered gradually through development, City programs, and future capital planning. Improvements could include better sidewalks, public realm upgrades, public plazas, tree planting, childcare, cultural space, and community-serving spaces. Utility upgrades would also be handled through the development application process.

It is anticipated the growth in these areas will happen gradually and across a wide area of Vancouver, rather than in one concentrated wave.

This plan is also tied to the City’s Housing Accelerator Fund agreement with the federal government, with the municipal government receiving about $120 million over four years through that program in exchange for implementing initiatives to reduce barriers and speed up new housing.

You might also like: