The City of Windsor has announced it is no longer pursuing land at 700 Wellington Avenue for the new Homelessness and Housing Help Hub (H4).
The city says the decision was due to the cost associated with land acquisition.
Mayor Drew Dilkens told AM800's The Dan MacDonald Show that the cost was going over the allotted budget.
"When we got in to the due diligence looking at what it would take to the cost to acquire the land, to get in to use for residential purpose, and to do all of the things that would be necessary to move forward at that site, we just said this is way above the budget that we have set aside and we weren't comfortable moving forward."
He says the city set aside $20 million for the project, but knew it needed at least $60 million.
"We need the province and the feds to come on board. That number has actually gone up over the years," he said. "So it's actually north of $60 million now, we're probably closer to 70. And now as we move into the end of 2024 into 2025, we know there's going to be a federal election coming up, so we're not going to get any commitments from the federal government until after that election has happened and the government has laid out their priority, and we can try and get some traction, and there's lots of rumours about a provincial election as well."
Dilkens says city council is unanimously in agreement to find another location that will be more suitable for the H4.
"What it might mean, and I'll just refresh peoples memory, the consultant report that we were working from said that the location for a permanent H4 should be within two kilometres of the downtown area. So if you just drew a circle and looked at that particular radius, maybe we have to expand that slightly. Maybe we just have to look at other options that are within the general area, that might work as well because it's becoming more difficult and challenging to find this permanent location in the downtown core."
Earlier this month, the city announced an additional 73 spaces will be available at the H4 at 400 Wyandotte Street East, between the newly expanded hours of 12 a.m. to 8 a.m.
Additional warming spaces include the Salvation Army, operating from 9 p.m. to 9 a.m. and the Welcome Centre Shelter for Women and Families, available from 10 p.m. to 8 a.m.