OTTAWA — Ontario is moving ahead with a modular housing project in the capital, partnering with the City of Ottawa and Habitat for Humanity Greater Ottawa on a 33-unit townhome development that provincial officials say will test new approaches to boosting homeownership in the province.
The homes, to be built at 40 Beechcliffe Street in the city’s west end, are the first major construction initiative announced under the Ontario-Ottawa New Deal — a multi-year agreement that commits the city to deploying surplus land for attainable housing while the province provides operating and capital support. Ground preparation at the Beechcliffe site is already underway, with sales scheduled to begin in early 2026.
In unveiling the partnership, Municipal Affairs and Housing Minister Rob Flack said the project reflects the government’s determination to find unconventional solutions to Ontario’s housing shortage. “Ontario is taking bold, decisive action to create more homeownership opportunities for families across our province,” Flack said. “At a time of economic uncertainty, our government is stepping up by supporting innovative housing projects like Beechcliffe Homes to leave no stone unturned in helping people unlock the quintessential dream of owning a home in Ontario while keeping workers on the job.”
The development will feature factory-built modular townhomes designed for families, with layouts including three and four bedrooms. Habitat for Humanity Greater Ottawa will oversee the application and sales process and operate the project using its income-geared homeownership model. To make the homes attainable, buyers will not be required to provide a down payment, and monthly mortgage costs will be tied to household income.
Mayor Mark Sutcliffe said Ottawa is leveraging municipal land and financial support to accelerate construction timelines, adding that the city’s contribution of the site and $6 million in funding underscores its commitment to expanding the local housing supply. “The City of Ottawa is saying yes to more housing and more affordable housing,” he said. “We’re proud to partner with Habitat for Humanity and the Ontario government on this exciting and innovative project. The city’s contribution of land and $6 million is a clear sign of our commitment to build more homes and build them faster.”
The province is investing $3.4 million in the project, while the municipal funding package includes $3 million from Ontario’s Building Faster Fund — a performance-based program that rewards municipalities for meeting housing targets. Ottawa has received $37.5 million from the fund to date.
Habitat for Humanity Greater Ottawa CEO Sara Cooper said modular construction offers an efficient, scalable pathway to adding ownership-based housing in high-demand markets. “This development showcases the strength of partnership and what’s possible when we work together on housing solutions that benefit families and communities,” she said. “Through investments like this in Habitat’s affordable homeownership model and by embracing factory-built construction, we’re demonstrating that there are scalable, community-driven solutions to the housing crisis. Together, we are building more than homes, we are building equity, resilience, and a stronger Ottawa.”
Cooper noted that interested buyers can submit an expression of interest through the organization’s website ahead of full applications opening in 2026. Habitat will be responsible for assessing eligibility and administering the sales process.
Local MPPs also welcomed the announcement, framing the development as evidence of progress under the provincial housing strategy. “Today’s announcement is another strong example of what we can achieve when the Province of Ontario and the City of Ottawa work together,” said Carleton MPP George Darouze. “By moving forward with 33 new modular townhomes, we are taking real, concrete action to provide families with safe, attainable housing faster. Our government is committed to removing barriers, accelerating construction, and supporting communities across Ottawa, and this project reflects that commitment.”
Glengarry–Prescott–Russell MPP Stéphane Sarrazin added that modular builds are emerging as a practical way to support families seeking to remain in their communities. “Our government is committed to increasing access to attainable homes for families in Ottawa and across Ontario,” he said. “These modular townhomes are a practical, innovative solution that will help more families put down roots and build their future in their communities.”
Under the New Deal, Ontario has pledged up to $197 million in operating supports for Ottawa over three years, alongside capital relief measures intended to help the city fast-track new housing. Officials say insights from Beechcliffe Homes will shape future modular initiatives as governments and community partners look for ways to deliver ownership opportunities amid rising construction costs and persistent affordability challenges.
