Railtown Housing Project Breaks Ground

Core Railtown Housing team at the construction site.

The Railtown Flats project at the foot of Baker Street will bring 55-units of workforce to the community with an anticipated completion by the fall of 2027. Key individuals in getting this project to reality is: (L-R) Ed Olthof of Pac Western Builders, Nelson & District Chamber of Commerce executive director Tom Thomson and Railtown Housing Society president Chuck Bennett.

Chamber Helps Set Course to More Workforce Housing

Crews have broken ground on a 55-unit housing project at the foot of Baker Street that aims to retain and attract employees who will help spur growth in the local economy.

A concept originally introduced by the Nelson & District Chamber of Commerce in 2022, the $31.55 million project is being undertaken by the Railtown Housing Society to help address the workforce housing shortage in the city. Featuring studio, one-bedroom and two-bedroom units, the Railtown Flats project is scheduled for completion by fall 2027.

“Over the last decade, we’ve consistently heard from local business owners that they’re having a hard time taking operations to the next level because current and potential employees can’t find appropriate housing,” says Railtown Housing Society president Chuck Bennett, who has also previously served as Chamber president. “As a voice for business in our region, the leadership at the Chamber saw an opportunity to address this issue through a unique model and partnership that includes the kind support from BC Builds.”

The six-storey project is located at the west end of 85 Baker Street on land owned by the Nelson & District Chamber of Commerce. In preparation for the project, the previous gravel parking area was subdivided and donated for construction. Once complete, the building will be owned and operated by Railtown Housing Society, which was created by the Chamber specifically for the project.

BC Builds Comes on Board with Funding

Delivered by the Province through BC Housing, BC Builds was launched in February 2024 to partner with government, community and private landowners to provide low-interest repayable loans and grants intended to lower construction costs and speed up timelines to deliver more homes to middle-income earners. The Province, through BC Builds at BC Housing, is providing a grant of $12.38 million for the project.

Railtown Flats renderings

The rendering of what the Railtown Flats building will look like upon completion in the fall of 2027.

“This exciting project in Nelson fits very well with the desired BC Builds outcomes,” says Brittny Anderson, Kootenay Central MLA and Minister of State for Local Governments & Rural Communities. “Having the local business community get involved to this extent in helping government solve the housing shortages in this province is a testament to the creativity and passion people have in Nelson. When complete, the legacy of hard work that has been required to get to this point will be rewarded with a stronger overall community.”

The completed building will include 15 two-bedroom units that measure 900 square feet, 30 one-bedroom units that measure 600 square feet and 10 studio units that measure 325 square feet. There will be retail space available at street level and on-site parking available for tenants.

Focus is to Attract Workforce of the Future

Rent for the units will be set at market value with 16 units specifically designated for below-market value that will be paired with the income earning potential of tenants. Local businesses will get the first opportunity to secure units for employees and the remainder will be prioritized for individuals who work within the City of Nelson limits.

Railtown Flats under construction.

A view of the site in early-June 2026. Pac Western Builders crews have been busy laying the foundation of the future Railtown Flats building.

“This project is a strong example of what can be achieved through collaboration and a shared commitment to community growth,” says Mayor Janice Morrison, herself a former president of the Nelson & District Chamber of Commerce. “The City is proud to support this project by investing in infrastructure that will serve both this development and future growth in the Railtown area. We’re encouraged to see this vision taking shape and the positive impact it will have, making a meaningful difference for the local workforce, strengthening services and contributing to Nelson’s future.”

Pivotal to getting the project to this point has been Workfoce Housing Solutions Inc., that has helped with the development process. The Railtown Housing Society has signed a construction contract with Pac Western Builders as the general contractor who will handle all tendering of the project. Kalesnikoff has been contracted to supply prefabricated mass timber modular units that will be built at its new production facility near the Castlegar Regional Airport.

“At completion, this project will fill a long-awaited void in our current housing stock,” says Tom Thomson, executive director at the Nelson & District Chamber of Commerce. “To get us to the point of completion, this project also brings an extra level of excitement and economic development because it will have such a strong local element in construction. It’s been a lot of hard work to get this point, but we are extremely proud to be part of such a worthwhile effort.

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