Ottawa Construction News staff writer
The City of Ottawa’s planning and housing committee has approved a draft 2026 budget that prioritizes a significant capital injection into the region’s affordable housing stock.
At a meeting on Wednesday, the committee greenlit $91.8 million in net operating funding and $24.1 million in capital funding. The bulk of the capital allocation—$23.3 million—is earmarked specifically for affordable and supportive housing for low and moderate-income households.
The investment aligns with the newly approved 2025 affordable housing capital strategy and update. According to the city, this funding is designed to support projects within the affordable housing pipeline, which currently includes 1,565 units receiving funding support. More than 900 are currently under construction, 470 are nearing the start of construction, and 192 are in the pre-development phase. The funding approved Wednesday is expected to support the construction of approximately 436 affordable units in 2026.
By the end of the current 2023-2026 term, approximately 850 new affordable housing units will have been delivered—more than double the number built during the previous council term.
Since 2024, about $230 million from municipal, provincial, and federal sources have been made to support nearly 1,400 non-profit and nearly 500 affordable private sector units.
Beyond direct housing construction, the approved capital budget includes funding for:
- $444,000 for the development of secondary plans around transit hubs to guide intensification and infrastructure priorities.
- $420,000 to fund plans in approved urban expansion areas, directing greenfield growth and identifying infrastructure needs.
- $50,000 increase to the Heritage Property Grant Program, which assists owners with restoration costs for designated heritage buildings.
The budget also incorporates initiatives from the housing action plan,\ approved by council in October, which aims to streamline the development review process for non-profit projects on municipal lands. The city says removing these barriers will accelerate the delivery of both housing and associated infrastructure.
City Council will vote on the final draft budget Dec. 10.
