Grey County is purchasing a motel in Owen Sound to use for emergency and transitional housing.
On Thursday, county council directed staff to finalize an agreement of purchase for the Diamond Motel in Owen Sound, at a cost of $3.05 million.
“Homelessness is a problem we see growing in communities across the province and Grey County is no exception,” said Grey County Warden Brian Milne. “Investing in this motel is an investment in safety and security for the residents of our communities who are being left out in the cold.”
According to the county, the current supply of short-term housing is not sufficient to meet demand now or into the future and operating 22 rooms at the motel should provide nearly 10,000 nights of accommodation annually.
The purchase will not only help meet demand, it will lower operational costs for the short-term emergency housing program. In 2023, the county ran a $427,000 deficit utilizing motels to provide shelter. The program currently costs around $120 per night per room and staff say the purchase of the Diamond Inn projects a reduction in cost to $52 per night.
“As the demand for homelessness services rise in our community, the purchase of the motel provides more options for people while staying within our available funding. It’s a long-term, sustainable opportunity,” said Warden Milne.
The County says the purchase would be funded through the Affordable Housing Fund and will have no impact on the 2024 levy.
Initial property upgrades will be funded through the Canada-Ontario Community Housing Initiatives. It is estimated around $95,000 in additional investment will be needed in the next 10 years, and those costs will be built into the County’s capital budget.
To finalize the sale, a by-law will be presented to County Council at the next meeting on February 8.