Ottawa, September 14, 2025 — In a bold response to Canada’s ongoing housing crisis, Prime Minister Mark Carney has officially launched Build Canada Homes, a new federal agency aimed at significantly increasing the supply of affordable housing across the nation. The initiative comes as many Canadians, particularly young people, continue to struggle with finding homes they can afford.
Build Canada Homes will focus on building transitional and supportive housing, collaborating with provinces, territories, municipalities, and Indigenous communities. The agency aims to create deeply affordable housing for low-income households while partnering with private developers to provide affordable options for the middle class.
Key Features of Build Canada Homes
The new agency is designed to transform public-private collaboration in the housing sector, leveraging public lands and offering flexible financial incentives to attract private capital. The initiative is built on three key pillars:
- Partnerships for Scale and Speed: Build Canada Homes will serve as a one-stop-shop for affordable housing, simplifying access to resources for builders. With an initial investment of $13 billion, the agency will facilitate large projects and utilize public lands to reduce costs.
- Innovative Construction Methods: The agency will prioritize modern construction techniques, such as factory-built and modular housing, aiming to cut building timelines by up to 50% and reduce costs and emissions by 20%. This approach is expected to catalyze a new housing industry focused on sustainability.
- Buy Canadian Policy: Build Canada Homes will prioritize the use of Canadian materials, strengthening domestic supply chains and creating high-paying jobs across the country.
Leadership and Initial Investments
To lead this ambitious initiative, Prime Minister Carney has appointed Ana Bailão as the Chief Executive Officer of Build Canada Homes. Bailão brings extensive experience in affordable housing, having previously served on Toronto City Council and as Deputy Mayor.
The agency’s first investments include:
- 4,000 factory-built homes on federal land across six sites, with potential for an additional 45,000 units.
- A $1.5 billion Canada Rental Protection Fund to support community housing sectors in acquiring at-risk rental buildings.
- $1 billion dedicated to building transitional and supportive housing for those experiencing homelessness.
- A partnership with the Nunavut Housing Corporation to construct over 700 affordable housing units.
Government Commitment
Prime Minister Carney emphasized the government’s commitment to reducing housing costs and increasing the supply of homes. “Build Canada Homes will transform the way government works with the private sector to build,” he stated. “We will create an entirely new housing industry using Canadian technology, workers, and resources.”
Minister of Housing and Infrastructure, Gregor Robertson, echoed this sentiment, highlighting the importance of building not just more homes, but better and bolder solutions to the housing crisis.
As Build Canada Homes begins its work, further details on additional projects and investments will be announced in the coming months, with the government also planning to introduce measures in the upcoming Budget 2025 to further support builders and catalyze private capital in homebuilding.