Federal agency commits $25 million to Toronto supportive housing

Build Canada Homes has announced a $25-million commitment toward approximately 80 supportive homes near Toronto Western Hospital.

The project is the next phase of Toronto’s Social Medicine Housing Initiative, which combines deeply affordable housing with primary care, mental-health, addictions and community services. The broader effort is intended to add about 200 supportive homes across three sites and bring the initiative to more than 300 homes overall.

The federal release also cites a $20-million contribution from the UHN Foundation and $19 million from the City of Toronto. It says the Build Canada Homes funding remains subject to due diligence, underwriting, available funding, required approvals and definitive agreements. Additional City incentives, valued at about $27 million, remain subject to council approval.

The announcement expands a model first used at Dunn House, which opened in 2024 with homes for 51 people who had experienced homelessness. Construction timelines for the newly announced 80-unit phase were not specified in the release.

Source: Housing, Infrastructure and Communities Canada, October 1, 2026.

Illustrative apartment-building image: Tobias Wilden via Unsplash, under the Unsplash License. Cropped and resized; not the announced Toronto project.