Building Faster Fund rewards city after surpassing provincial housing goals by 26 per cent
Kingston is receiving $3.2 million from the Ontario government after exceeding its provincially assigned housing target, marking another milestone in the province’s broader effort to accelerate home construction and address housing demand.
The funding, announced Friday through the third round of Ontario’s Building Faster Fund, recognizes municipalities that achieve at least 80 per cent of their annual housing targets. Kingston qualified after recording 1,011 housing starts in 2025, surpassing its provincial target by 26 per cent.
Provincial officials say the funding will support additional housing development and critical infrastructure projects while helping communities accommodate population growth and economic expansion.
Province Links Housing Progress to Economic Growth
The Building Faster Fund was launched in August 2023 as a three-year program worth up to $1.2 billion. The initiative rewards municipalities that demonstrate measurable progress toward provincial housing objectives, providing funding for infrastructure needed to support new residential development.
Municipal Affairs and Housing Minister Rob Flack said Kingston’s performance demonstrates the impact of reducing barriers to development and accelerating project approvals.
“Kingston’s strong results show what is possible when municipalities remove barriers and move projects forward to get more homes built,” said Rob Flack, Minister of Municipal Affairs and Housing. “This funding will provide the city with more tools to build on its success, supporting its long-term growth.”
The announcement comes as Ontario continues to implement measures aimed at increasing housing supply across the province, including legislative changes designed to streamline development approvals and reduce costs associated with new construction.
Recent initiatives include the Building Homes and Improving Transportation Infrastructure Act, 2026, and the HST Relief Implementation Act (Residential Property Rebates), 2026, both intended to support housing development and affordability.
Kingston Highlights Collaborative Housing Efforts
City officials welcomed the provincial funding, describing it as recognition of a coordinated effort involving government, developers, community partners, and residents.
Kingston Mayor Bryan Paterson said the city’s ability to exceed its housing target reflects years of planning and collaboration focused on increasing housing availability.
“Kingston continues to make progress when it comes to building the housing our community needs,” said Bryan Paterson, Mayor of Kingston. “Surpassing our provincial housing target is a reflection of the work happening across our city and the collaboration between all levels of government, builders, partners and our community. The Building Faster Fund recognizes that progress and helps support the infrastructure and initiatives needed to keep housing moving from plans to reality. We’re focused on creating a Kingston where people can find a place to call home today and for generations to come.”
The funding can be used to support infrastructure and community projects that facilitate residential growth, helping municipalities accommodate increasing populations while maintaining services and amenities.
Housing Investments Expand Across Ontario
The Kingston announcement forms part of Ontario’s broader housing strategy under the Canada-Ontario Partnership to Build, an initiative valued at up to $8.8 billion.
As part of that strategy, the province introduced the Development Charge Reduction Program, which will provide funding for housing-enabling infrastructure projects over the next decade. Municipalities that reduce and maintain lower development charges are expected to receive priority consideration for funding.
The provincial government has also temporarily removed the Harmonized Sales Tax on eligible new homes between April 1, 2026, and March 31, 2027. Officials estimate the measure could reduce the purchase price of a new home by as much as $130,000 for buyers.
According to the province, these initiatives are intended to improve affordability, support residential construction activity, and maintain employment across Ontario’s building sector.
Strong Housing Construction Trends Continue
Provincial housing data indicates continued growth in residential construction activity. Between January and May 2026, Ontario recorded 26,084 housing starts, representing a 17.2 per cent increase compared with the same period in 2025.
Rental housing construction has been particularly strong. During the first five months of 2026, Ontario reported 13,599 rental starts, a 94.9 per cent increase year over year and a record level for that period.
John Jordan, MPP for Lanark-Frontenac-Kingston, said investments in housing and infrastructure are essential as communities respond to rapid population growth.
“Like many of the communities within our riding, Kingston has been greatly impacted by the challenges that come with exponential growth,” said John Jordan, MPP for Lanark-Frontenac-Kingston. “This investment addresses the need to meet realistic housing targets, as we respond to current demand and plan for future population growth. We’re unlocking more housing and building critical infrastructure that will protect communities, keep workers on the job and lay the groundwork for a stronger economy.”
In addition to the Building Faster Fund allocation, Ontario is investing nearly $7 million in Kingston through the Municipal Housing Infrastructure Program, funding expected to support the construction of more than 4,000 new homes in the city.