Ottawa Becomes the First City in Canada to Sign New Housing Agreement with the Federal Government

At the final Mayor’s Breakfast of the year, Prime Minister Mark Carney and Mayor Mark Sutcliffe signed a multi-million-dollar agreement to build affordable housing.

According to the press release, Ottawa is the first city in the country to reach a deal with the new federal agency Build Canada Homes. The city will receive $400 million to construct 3,000 affordable homes.

Sutcliffe said Ottawa is “leading the way by building more homes, and building them faster,” noting the strong cooperation with the federal government. The agreement still requires approval from city council.

The partnership will speed up approval processes, waive certain municipal fees, and make use of federal lands to support development. Projects will focus on mixed-income and family-sized housing.

Build Canada Homes presents itself as a new tool to address the housing crisis by combining financial mechanisms, land access, and development expertise under one roof.

A key priority is non-market housing aimed at reducing homelessness. The agency will also apply a Buy Canadian approach and use factory-built homes to accelerate delivery and reduce the housing gap.