Premier Gordon Campbell announced Tuesday the provincial government and a private foundation will provide $225 million to build eight social housing sites on city-owned land.

The province will provide $205 million and the Streetohome Foundation, which includes wealthy businessman Frank Giustra, agreed to kick in $20 million that will translate to 1,006 new apartments.

"These housing units are critically important as we break the cycle of homelessness because they create a sense of stability for the people who live in them," Campbell told a crowd gathered at a Downtown Eastside housing facility on East Hastings Street.

Campbell was joined by Mayor Gregor Robertson, Streetohome Foundation chairman John McLernon, Housing Minister Rich Coleman and Bonnie Rice of the Katherine Sanford Housing Society.

Funding of the eight sites is in addition to six announced previously by the provincial government.

The announcement means all 14 sites the city slated for social housing in 2007 will be built within 18 months, according to Coleman, who praised the Streetohome Foundation and city for their contributions. The value of the city land for the 14 sites is $64 million.

"The beauty of any partnership is you can do more," Coleman told reporters after the announcement. "If you don't have those partnerships, it's harder to make your case [to the government's finance department]."

Combined, the 14 sites will provide 1,575 apartments that will be managed by non-profit societies. Tenants will have access to support services including health care, mental health services, addiction counselling, education and job training.

The majority of the 14 sites are concentrated downtown, although there is one under construction at 17th and Dunbar and others planned for Seventh and Fir and 215 West Second Ave.

An 80-unit building under construction at 1005 Station St. will be the first of the 14 buildings to open. Coleman predicted it will open no later than February with others to follow soon after. All will be operated by non-profit societies. "Our goal in the city is to end homelessness by 2015 and with today's funding announcement, we're moving a lot closer to that goal," Robertson said.

McLernon of the Streetohome Foundation said homelessness is a "growing crisis" in the city and providing housing for somebody is a "basic human need."

"We live in a city that has so much but there's still so many people in need," McLernon said. "It's impossible to ignore the people I pass every day in the streets."

In April, the provincial government agreed to continue paying for the operating costs of three temporary homeless shelters until new supportive housing is ready for occupancy. Funding for the 28-bed Stanley/New Fountain shelter will end next year when a building in the Downtown Eastside to be operated by the PHS Community Services Society opens next year

The 100-bed Central Street shelter, near Main and Terminal, will close in 2012 and the 200-bed First United Church will remain open until 2013. The 160-room Dunsmuir House, operated by B.C. Housing, is another facility that will provide shelter and health care for mentally ill people.

The city is also involved with the Mental Health Commission of Canada's plan to turn Bosman's Hotel at 1060 Howe St. into a residence for 130 mentally ill people.

mhowell@vancourier.com