OREB STATEMENT ON INFRASTRUCTURE FUNDING LINKED TO DEVELOPMENT CHARGE REDUCTION
March 30, 2026
OTTAWA, ON – The Ottawa Real Estate Board (OREB) welcomes today’s joint federal–provincial announcement under the Canada–Ontario Partnership to Build, which introduces a new infrastructure funding initiative tied to reductions in municipal development charges. This represents a meaningful step toward addressing one of the most significant barriers to housing supply in Ontario.
Through a proposed $8.8-billion cost-shared program over the next decade, the Governments of Canada and Ontario have committed to supporting housing-enabling infrastructure, while prioritizing funding for municipalities that reduce development charges by 30 to 50 per cent for at least three years. This approach recognizes the critical role that upfront government-imposed costs play in limiting housing construction and affordability.
In Ottawa, development charges on new homes can exceed $60,000 on a single-detached home. These costs are passed on to homebuyers and can constrain the project feasibility of new developments, particularly for missing-middle housing. OREB has consistently advocated for reductions to development charges as a key measure to improve housing affordability and support new housing development.
The City of Ottawa has signaled strong support for advancing this initiative. As a city focused on improving housing supply and affordability, Ottawa is well positioned to work collaboratively with the other orders of government to implement measures that reduce development charges and unlock new housing supply.
When combined with the proposed enhanced GST New Housing Rebate, the reductions in development charges will directly lower the cost of building and purchasing a home, particularly for entry-level and missing-middle housing. Together, these measures represent an important step toward closing the affordability gap and allowing more projects to proceed.
OREB will continue to advocate for practical policy solutions that reduce costs, accelerate housing delivery, and improve affordability for residents across Ottawa.
