Federal Housing Investments Gain Momentum in Canada

Co-operative Housing Development Program

The Co-operative Housing Development Program represents the largest federal investment in new co-op housing development in over 30 years, with a total funding allocation of $1.5 billion. In the first application window, $423 million has been dedicated to eight new co-operative housing projects, resulting in the creation of 837 new homes. The initial phase of the program will see the three most advanced projects receiving formal funding agreements this month, accounting for $81 million to build 206 housing units.

One project in Upper Hammonds Plains, Nova Scotia, received $61.2 million to build 136 row house units with a focus on serving Black Canadians. This project is a collaboration between the Upper Hammonds Plains Community Land Trust and the Upper Hammonds Plains Housing Co-operative and aims to provide affordable housing while promoting community engagement.

Another project in Perth, Ontario, through the Linden Housing Co-operative, is set to receive $12.3 million to develop 38 units, including both newly constructed homes and modifications to an existing property, with accommodations planned for individuals at risk of homelessness.

Additionally, the Highbury Road project in New Minas, Nova Scotia, led by the Valley Roots Housing Association, is slated to receive $7.1 million to construct 32 homes. This project emphasizes energy efficiency, incorporating passive solar design to achieve net-zero performance.

Housing Accelerator Fund

Alongside the CHDP, the government announced further enhancements to the Housing Accelerator Fund, aimed at expediting the construction of new homes. In the first round of additional funding, 27 top-performing communities under HAF received almost $74 million to fast-track the delivery of 2,219 housing units over the next two years. The Housing Accelerator Fund, which initially launched in March 2023 with a total of $4.4 billion, is designed to support local governments by requiring action plans that streamline permitting and allow for increased housing density. The overall goal is to deliver at least 112,000 new homes by 2028, with projections suggesting that these measures could eventually lead to the creation of over 750,000 new housing units across towns, cities, and Indigenous communities nationwide.

National Housing Strategy

The federal government’s dual approach through the CHDP and HAF is part of a broader strategy under Canada’s National Housing Strategy, which has committed over $60 billion to support the creation and repair of thousands of housing units. These initiatives focus on delivering affordable, sustainable, and accessible housing solutions while addressing the immediate needs of vulnerable populations.