New funding aims to fast-track construction of new homes
Ottawa has been allocated $176 million in federal funding to bolster the construction of essential housing across the city.
This financial infusion comes via the Housing Accelerator Fund (HAF), targeting the creation of approximately 4,450 new homes within the next three years.
A key component of the HAF is its focus on removing obstacles that slow down housing development, the federal government said in a release. The goal is to diversify housing options in Ottawa, including “more rental, affordable, and missing middle-housing.”.
The funding announcement was made Monday by Ottawa mayor Mark Sutcliffe, alongside federal ministers and city councillors.
“It might be -10 [degrees], but to me it feels like plus 176.3 million right now,” Sutcliffe told reporters. “This announcement is a down payment, a huge down payment. It's a down payment on building more affordable housing in our community, it's a down payment on building more homes throughout the city, it's a down payment on getting things built faster.”
Jenna Sudds, minister of families, children and social development, additionally noted that the funding is projected to go towards the construction of 32,600 new homes over the next decade.
“This current housing market has been out of reach and unaffordable for many Canadians for too long,” said Sudds via CTV News. “But these new houses that this money will help build will be affordable.”
The funding for Ottawa coincides with a recent report that revealed a significant reduction in the city’s housing starts.
In the third quarter of 2023, housing starts in Ottawa reportedly declined 39.2% compared to the previous year.
Ottawa’s HAF allocation is expected to counteract this downturn by supporting a range of housing-related initiatives, including the development of non-market affordable housing, the expansion of high-density housing near LRT stations, the conversion of vacant office spaces into residences, and the expedited sale of city-owned lands for housing development.
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