The B.C. government has introduced legislation that will give municipalities a new tool to fight dismal rental vacancy rates.

If passed, the new regulations will allow local governments to zone property for rental-only development.

Currently, municipalities are unable to make such zoning designations.

"Local governments are on the front lines of the housing crisis, so they're well positioned to guide the right types of housing to meet the needs of their residents," said Selina Robinson, Minister of Municipal Affairs and Housing.

"There is a shortage of rental homes in British Columbia. The steps we are taking today will both help local governments track the needs of their communities, and give them a powerful tool to deliver homes people can afford in the communities where they work, go to school and raise their families."

The new provincial legislation is optional for local governments to use, however, a public hearing would be required before implementing a rental-only designation.

With its historically low rental vacancy rate of 0.2%, Kelowna is in desperate need of more rental housing.

Photo Credit: City of Kelowna.

Kelowna city council recently approved a 149 unit rental only development, which by itself, represents an estimated 2.8% increase to the city's supply of rental housing.

More rental housing is on its way to Kelowna, 2,937 rental units are either under-construction, in the approval process, or have recently been occupied.