NAIOP Greater Toronto is applauding the new Canada-Ontario housing partnership as a decisive step toward unlocking stalled projects and boosting housing supply across the province.

The agreement includes $8.8 billion in federal funding over 10 years and targets two key barriers to development: High development charges and a lack of housing-enabling infrastructure.

The industry association welcomed a plan to cut development charges by up to 50% for three years in municipalities representing most of Ontario’s population, saying the move will help restore project viability when paired with infrastructure investment.

“Development charges are one of the most significant barriers to new housing supply,” said Noah Gordon, a NAIOP Greater Toronto board member and co-chair of the group’s government-relations committee. “By taking decisive action to reduce these costs, both governments are showing real leadership in accelerating housing delivery”.

NAIOP also endorsed funding for the Waterfront East LRT, a long-awaited transit project expected to support new development in Toronto’s eastern waterfront, including East Bayfront and the Port Lands.

“Transit investment and new housing must go hand in hand,” said Gordon. “The Waterfront LRT is a city-building project that will enable complete communities and support long-term economic growth.”

The association said the broader package — which includes HST relief on new housing, GO Expansion and other regional transit investments — brings together key measures needed to unlock supply across the Greater Toronto and Hamilton Area.

NAIOP added it has been working with all levels of government to address development costs and accelerate infrastructure delivery, and said the announcement reflects many industry recommendations. The group said it looks forward to supporting implementation to ensure the measures translate into new housing supply.

NAIOP Greater Toronto represents developers, owners, investors and service providers across the office, industrial, retail and multi-residential sectors.

Pictured: Future Waterfront East Transit line in Toronto.

Rendering: Waterfront Toronto