Carney launches Build Canada Homes entity with initial $13-billion investment
BCH will function as a special operating agency under the Department of Housing, Infrastructure and Communities Canada, before becoming a standalone federal entity in the new year. Its role will be to act as a single federal hub for affordable housing development, working with provinces, municipalities, Indigenous governments, and the private sector.
The new agency will consolidate federal resources by taking over the federal Crown corporation Canada Lands Company (CLC) and its real estate holdings, including 88 federally owned properties across the country deemed suitable for housing. Those lands total 1,144 acres (463 hectares), roughly the size of Vancouver’s Stanley Park or downtown Ottawa.
Some of CLC’s largest real estate holdings eyed for major mixed-use residential developments include the Downsview Lands in Toronto and Confederation Heights in Ottawa, as well as the Heather Lands and Jericho Lands in Vancouver, which are a joint partnership with local First Nations.
By bringing land, financing, and approvals under one umbrella, the federal government hopes to de-risk projects for private developers and accelerate large-scale, mixed-income housing construction.
BCH’s housing strategy rests on three main pillars.
First, it will build at scale and speed by partnering with industry, governments, and Indigenous communities to deliver large portfolio projects, while removing land costs from the equation by using federal lands.
Second, it will harness modern construction methods, prioritizing factory-built, modular, and mass timber housing, with bulk procurement and long-term financing intended to cut timelines by as much as half and reduce costs by up to 20 per cent.
Third, it will support Canadian industry through a new “Buy Canadian” policy, ensuring projects rely on domestic lumber, steel, aluminum, and other materials, strengthening local supply chains and creating jobs.
To hit the ground running, the prime minister announced four immediate initiatives under BCH. The first will see six federal land sites in Dartmouth, Longueuil, Ottawa, Toronto, Winnipeg, and Edmonton developed into 4,000 homes using modular and off-site construction, with the broader federal land portfolio holding the potential for up to 45,000 units.
These initial sites do not include any locations in British Columbia.
At the same time, a $1.5-billion Rental Protection Fund will help the community housing sector acquire at-risk apartment buildings to ensure they remain affordable over the long term.
Another $1 billion will be directed toward building transitional and supportive housing, with the federal government working alongside provincial, territorial, municipal, and Indigenous partners to pair new housing with employment and health-care services. In addition, Ottawa is partnering with the Nunavut Housing Corporation to deliver more than 700 affordable and supportive homes, with roughly 30 per cent of those units to be constructed off-site through modern building methods.
Ana Bailao, former Toronto deputy mayor and head of affordable housing at Dream Unlimited, was named as the inaugural CEO of Build Canada Homes.
“At Build Canada Homes, we are bringing together government, industry, and communities to build homes faster, smarter, and more sustainably. We’re not just building units — we’re building opportunity, dignity, and a future where everyone in Canada has access to the homes they need — and deserve,” said Bailao.
Gregor Robertson, the federal housing minister and the former mayor of Vancouver, added, “It’s not just about building more — it’s about building better and building bolder. Build Canada Homes will support new ways of building, leverage public lands, and accelerate affordable home building to deliver real results for Canadians, so that everyone has a place to call home.”
Further measures to lower construction costs and attract private capital are expected in the upcoming 2025 federal budget.
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