The federal government will buy $1.5 billion worth of existing apartment buildings to help preserve Canada’s rental-housing supply and keep rents affordable.

The purchases will be made through the new Canada Rental Protection Fund, one of several apartment-related expenditures to be tabled in the 2024 federal budget in the House of Commons on April 16. Ottawa announced that it will provide $1 billion in loans and $470 million in contributions to non-profit groups so that they can acquire rental units and preserve rental rates over the long term.

The B.C. government recently launched a similar fund that has proved to be highly popular.

“We need to make sure affordable housing stays affordable in Canada,” Chrystia Freeland, the deputy prime minister and finance minister in a news release. “The Canada Rental Protection Fund is going to help protect the affordable housing we have so Canadians can live in the communities they love.”

Prime Minister Justin Trudeau’s Liberal government has announced more than $21 billion of rental-housing-related investments in advance of this fall’s election.

Ottawa topped up the Apartment Construction Loan program by $1.5-billion after providing the same amount in fall 2023. The government is also launching $6-billion Canada Housing Infrastructure Fund to help get more homes built.

Plans call for municipalities to receive $1 billion for urgent needs and provinces and territors to receive $5 billion subject to certain conditions being met.

Pictured: Older Vancouver apartment listed for sale by Goodman Commercial

Photo: Goodman Commercial