Chiefly in pulp and paper towns.
Next I would like to deal with the activities of Housing Enterprises of Canada, Limited. Hon. members will remember that at the last session of the house amendments were made to sections 9 and 11 of the National Housing Act whereby an institutional holding company could proceed with rental housing. Shortly after these amendments were passed, all life insurance companies operating in Canada joined together and formed a mutual institutional holding company in the name of Housing Enterprises of Canada, Limited. Housing Enterprises contemplated a two-year programme of about 10,000 units and planned to distribute the much-needed rental housing throughout the urban communities from coast to coast. The financial arrangement is that loans are made to Housing Enterprises under section 9, as I have previously described, and the 10 per cent equity of Housing Enterprises comes under the provision of section 11 of this act.
When this proposal was discussed with the life insurance companies in July, 1945, it was contemplated that rental housing units providing two and three bedroom accommodation could be produced for shelter rents of about $35 and $40. Since then there have been increases in cost and at present it would appear that the rental level for most projects will be of the order of $39 to $45 for the two and three bedroom units. This is a low economic rental in light of to-day's costs but it is not the low rental contemplated when Housing Enterprises was formed.
In view of the substantially increased costs as well as a shortage of building materials, the 1946 programme of Housing Enterprises will be limited to some 3,400 units. Of these 1,945, comprising seventeen projects, have been approved by the corporation and are under way or will be under way this week. Tenders have been or are being called on seven other projects involving some 739 units, and the 700-odd units forming the balance of the pro-
gramme are being developed by Housing Enterprises as fast as possible. We anticipate that by August 1 work will be under way on virtually the whole 1946 programme.
The following is a list of projects by localities being undertaken by Housing Enterprises, together with an indication of their status, at July 15.
If I may I will have this table put on Hansard.
Subtopic: AMENDMENT AS TO LOAN PROVISIONS-CENTRAL MORTGAGE AND HOUSING CORPORATION