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Canada  + Multi-residential Housing  | 
Multi-residential units under construction.

Feds Launch New $1B CHIF Direct Delivery Funding Stream

The federal government has launched the $1-billion Canada Housing Infrastructure Fund’s direct-delivery stream, which will provide funding to communities nationwide.

CHIF is part of a $6-billion program, introduced in the 2024 federal budget, that aligns with the broader objectives of Canada’s Housing Plan. While $1 billion will be distributed directly to communities through the new stream, the remaining $5 billion will be allocated to agreements with provinces and territories that support local infrastructure and federal housing priorities.

Municipalities and Indigenous communities can now apply online, with applicants needing to clearly demonstrate how their projects will facilitate the construction of new homes.

Sean Fraser, minister of housing, infrastructure and communities, announced the launch of the direct-delivery scheme with other federal officials. He also announced that the Federal Economic Development Agency for Southern Ontario has begun to accept proposals under the Regional Homebuilding Innovation Initiative.

The RHII will distribute $50 million over the next two years to support advancements in residential construction technology and manufacturing efficiency in Canada. Through this initiative, Canada’s regional development agencies aim to boost housing sector productivity and capacity, prioritizing projects such as modular housing, 3D printing, modular construction and mass-timber developments.

“These two initiatives will go a long way in fast-tracking investments in critical infrastructure that communities need and advancing innovative homebuilding solutions that will help build more homes, faster across Canada,” said Fraser in a news release.

“No one level of government can end the housing crisis on their own, and these programs are just some of the ways we are partnering with others across the country to ensure that all Canadians have a safe and affordable place to call home.”

Industry Minister François-Philippe Champagne said the RHII will boost productivity, strengthen supply chains, and ultimately help create more affordable housing options for Canadians.

“The Regional Homebuilding Innovation Initiative will inject $50 million into modernizing and expediting homebuilding across the country,” he said. “By supporting cutting-edge technologies like modular homes, net-zero 3D printing, and mass-timber construction, we are building an innovative, efficient, and sustainable future for Canadian homebuilding.”

A minimum of 10% of the funding is reserved for projects benefitting First Nations, Inuit, and Métis communities.

The initiatives reflect the federal government’s commitment to addressing Canada’s housing shortage by investing in both essential infrastructure and innovative construction technologies, according to the news release. The measures also align with the goals outlined in Canada’s Housing Plan, which prioritizes building more homes, facilitating homeownership and rental access, and supporting people who are unable to afford housing independently.

Canada’s Housing Plan aims to develop 3.87 million new homes by 2031. Ottawa is also calling on all other levels of government to build at least 800,000 additional homes in that time frame.

Photo: Shutterstock

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François-Philippe ChampagneSean Fraser

About Monte Stewart

Monte Stewart serves as Content Director - Canada for Connect Commercial Real Estate. Based in Vancouver, British Columbia, Monte provides daily news coverage of major Canadian commercial real estate markets, including Vancouver, Toronto, Montreal and Calgary. He has written about the real estate sector for various media outlets and Avison Young since the early 2000s. In addition, he has covered sports, general news and business for several leading wire services and publications, including The Canadian Press, The Associated Press, The Calgary Herald, The Globe and Mail, Research Money, The Daily Oil Bulletin, Natural Gas World and The Toronto Star. Monte is active in his community as a youth basketball coach and raises funds for such charitable causes as Movember.

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