AI-generated illustration; not a photograph of the reported event.
- calendar_today November 8, 2026
Town of Lunenburg Challenges Rezoning Decision Despite New Housing Plans
A proposed affordable housing development in Lunenburg, Nova Scotia, has resulted in ongoing legal proceedings—even as the original project at the center of the dispute is no longer moving forward.
Background: Competing Proposals and Council Decisions
The Mahone Bay Community Land Co-operative (MBCLC), in collaboration with Solterre Design, recently announced plans for a 44-unit apartment building on Falkland Street in Lunenburg. This project, designed to be three to six storeys tall, qualifies as an as-of-right development, meaning it conforms to the town’s current planning requirements and does not require special approval from council.
Previously, town council had rejected Solterre Design’s earlier proposal for a 50-unit market-rate building on the same site, a decision contrary to recommendations from municipal staff. Solterre appealed, and in July, the Nova Scotia Regulatory and Appeals Board overturned the council’s decision, stating that it did not reasonably follow Lunenburg’s planning policy.
The Town’s Appeal and Ongoing Legal Costs
Despite the withdrawal of the initial rezoning application, the Town of Lunenburg has chosen to continue appealing the regulatory board’s decision to the provincial Court of Appeal. Mayor Jamie Myra referenced legal advice as the reason why the council has not met with the co-operative regarding their new proposal, and indicated the legal process is already underway.
The mayor noted that the town council could consider halting the appeal in the future, but such a decision has not yet been discussed formally. Myra explained that the council seeks clarification on aspects of the board’s decision, and outlined that the town’s grounds for appeal include alleged errors by the board in interpreting planning rules related to traffic, pedestrian safety, flooding, drainage, and council’s role as steward of the UNESCO World Heritage Site status.
The ongoing appeal is projected to cost the municipality an additional $30,000 to $35,000, on top of roughly $92,100 already spent on the earlier process, according to a recent staff report.
New Co-op Housing Plan Moves Forward
Jennifer Corson, co-owner of Solterre Design, said the new coop housing design is substantially similar to the previous proposal and questioned why the council continues to challenge the board’s decision. Corson noted that Solterre applied for a development permit for the new co-op design months ago, and once approved, hopes to pursue federal funding for the project.
Corson, a Lunenburg resident, commented on the frustration of contributing taxes that help pay for litigation against a project she is helping to develop. She expressed a desire for all parties to focus on building needed housing, rather than continuing court actions and incurring further legal expenses.
As-of-Right Development and Heritage Concerns
The board’s decision identified the new co-op project as having no impact on Lunenburg’s World Heritage Site designation as it remains outside the recognized buffer zone, and found no substantial evidence of flood risk. Mayor Myra acknowledged that, as an as-of-right proposal, the cooperative housing project falls within current regulations and the council cannot prevent it.
Looking Ahead
The Court of Appeal is scheduled to hear Lunenburg’s case in late January 2027. Until a decision is reached, the town remains engaged in the legal process while the new coop housing proposal proceeds through municipal channels in accordance with established planning rules.
Source: cbc.ca.
