The Yukon government will provide more than $2 million over three years for short-term construction financing through the Developer Build Program.

This will help contractors provide modest, sustainable housing options in Yukon communities, the government said in a statement last Thursday.

Private contracting companies, First Nations and First Nations’ development corporations that are project-ready will be eligible for loans to build affordable housing.

Under this program, developers will have access to construction financing should they be unable to obtain financing from traditional lending institutions, such as banks.

The intent is to increase the quality and quantity of housing options in the territory.

The Developer Build Program will see more diverse construction projects spring up around the Yukon, the government said.

Applications for the loan will be accepted starting May 1.

“Safe, adequate housing that meets the needs of Yukoners is a key component of healthy communities,” said Pauline Frost, the minister responsible for the Yukon Housing Corp.

“The Developer Build Program initiates a new approach to affordable housing through collaboration with the private sector on models that promote economic growth in communities.”

The program will provide low-interest loans for short-term construction financing of affordable housing.

Developers must submit a project proposal which clearly demonstrates they have the technical expertise and financial capacity to deliver the project on time and within budget.

The intent is to make it easier for developers to access construction financing for affordable housing projects in Whitehorse, but especially in rural Yukon.