A former City of Edmonton print shop will become an emergency shelter this winter as part of the city's plan for dealing with a growing homelessness population.

City council approved the $1.4 million plan Tuesday afternoon, saying emergency shelters are expecting a 50 per cent increase in people seeking help this winter.

A surge of newcomers hoping to take advantage of Edmonton's economic prosperity has sent rents soaring, while vacancy rates have fallen to less than one per cent, according to agencies that work with the homeless.

'With the change in the weather and the increase in cold, there have been people coming in and asking for help all the time.'— Janelle Aker, Hope Mission

"Just over this past year, there's been an increase in homelessness and we've been turning people away from the Herb Jamieson [shelter] for months, even before it's gotten really cold outside," said Janelle Aker, spokeswoman for Hope Mission. 

"So now, with the change in the weather and the increase in cold, there have been people coming in and asking for help all the time."

Susan McGee, spokeswoman from the Edmonton Joint Planning Committee on Housing, said working people have been living in campgrounds over the summer or sleeping in the city's river valley.

Meanwhile, cheaper hotels that rented to people without a permanent home for weeks or months have been raising rates or are booked up by workers in from oil and gas camps.

More shelter spaces this winter

Edmonton has 536 shelter spaces. A count in 2004 found 2,192 homeless residents. The results of this year's count hasn't been released, but the number of people without a home is expected to be higher.

As part of the plan approved Tuesday, a former print shop on 103 A Avenue will house 100 people in what will be a temporary shelter run by the Hope Mission. Another 300 emergency mats would be placed in existing shelters.

The money will also go to increased hours at drop-in centres used by the homeless, and a van that travels the streets to pick up people and take them to shelters.

The plan calls for another $1 million to be spent in the case of an "extreme situation" — if the weather turns extremely cold, or the number of homeless people is higher than anticipated.

Councillors are calling on the Alberta government to provide $1 million of the funding.