Ottawa Construction News staff writer
Ottawa’s City Council has officially approved a first-of-its-kind partnership with the federal government to facilitate the construction of 3,000 affordable and market rental homes in the capital.
The agreement, struck with the newly formed federal agency Build Canada Homes (BCH), unlocks up to $400 million in combined municipal and federal contributions. BCH, which launched in September 2025, is geared toward growing the supply of mixed-income housing nationwide.
Simultaneous to the council approval, the city revealed on April 23 that eight projects are already advancing as part of the initial phase of the partnership.
“Together, these projects will deliver over 1,100 new community housing homes across eight wards, exceeding early targets and supporting residents in communities throughout the city,” Debbie Stewart, Ottawa’s general manager of strategic initiatives, wrote in a memo to the mayor and council.
Construction on this first wave of projects is expected to begin later this year or early 2027 to rapidly bring new housing supply online. The initial 1,123 units will be non-profit owned and operated as affordable and supportive rental housing.
To ensure low- and middle-income households have access to the new supply, approximately 78 per cent of these homes — 881 units — will be affordable to households earning up to the sixth income decile.
The broader 3,000-home agreement is divided into two main development streams. As part of the pact, the city will receive $150 million in federal funding to support at least 1,000 homes from its existing shovel-ready Affordable Housing Pipeline.
Concurrently, BCH will contribute surplus federal lands to develop an additional 2,000 homes. The development on federal lands will aim for a mixed-income model to bring people of different incomes together and ensure workers can afford to live locally. The target breakdown for these lands includes:
- 1,200 homes at market rates.
- 800 affordable units for moderate-to-low-income households.
- Within that affordable allocation, 200 units are targeted for deep affordability, which will be supported by rent supplements.
To facilitate the construction, the City of Ottawa is contributing between $200 million and $245 million in value. This comes in the form of waived fees and charges, a tailored and accelerated approval process, and property tax exemptions for affordable homes built on the federal lands to keep operating costs low.
Stewart noted that aligning federal funding with municipal priorities and local non-profit delivery expertise reduces overall delivery risk, accelerates timelines, and guarantees high-quality outcomes. The inclusion of supportive housing units also reinforces a shared federal and municipal commitment to vulnerable residents.
City staff are continuing to negotiate with BCH on the remaining project funding, with further updates expected once negotiations conclude.
Phase 1 projects — Ottawa-Build Canada Homes partnership
Ontario Construction News staff writer
The initial pipeline of the Ottawa-BCH agreement includes 1,123 units spread across eight wards. The approved developments feature a mix of affordable (A) and supportive (S) housing:
- 200-201 Beausoleil Dr. (Ward 12): 159 units (A) built by Ottawa Community Housing.
- Geyser Place / formerly 3380 Jockvale Rd. (Ward 3): 118 units (A) built by Ottawa Community Housing.
- 58 Capilano Dr. (Ward 9): 20 bedrooms across 4 townhomes featuring independent living with onsite supports (S), built by Ottawa Salus.
240 Presland Rd. (Ward 13): 64 units (A) built by Centretown Citizens Ottawa Corporation (CCOC). - 1770 Heatherington Rd. Phase 1 (Ward 10): 90 units (A) built by Ottawa Community Housing.
- 100 block of Hickory St. (Ward 15): 110 units (A) built by Centretown Citizens Ottawa Corporation (CCOC).
- 2475 Regina St. (Ward 7): 266 units (A/S) built by Nesting Ground, in partnership with Windmill Developments, Parkway House, Perley Health, and the Ottawa Aboriginal Coalition.
- 384 Arlington Ave. (Ward 14): 296 units (A/S) built by Nesting Ground, in partnership with Windmill Developments, Perley Health, Operation Come Home, the Ottawa Aboriginal Coalition, and the Ottawa Korean Community Church.
Total ubtotals: 1,123 total units, including 881 affordable units and 48 supportive units.
