Ontario Construction News staff writer
The Ontario government has announced $155.5 million this year to help fast-track the construction of new or redeveloped long-term care homes, extending a construction subsidy program introduced in 2022.
Funding announced in last month’s provincial budget, is part of a $6.4-billion plan to build 58,000 new and upgraded long-term care beds across Ontario.
A construction subsidy was first introduced to get shovels in the ground for 67 projects across the province – the largest construction campaign the ministry has achieved in a single year. is providing the construction funding subsidy for a second year.
Projects approved for construction by Nov. 30 will receive an additional construction subsidy of up to $35 per bed per day for 25 years.
Also, not-for-profit applicants will be able to convert supplemental funding into a construction grant payable at the start of construction, to help increase the project’s up-front equity and make it easier to secure financing.
The extension is a response to rising construction costs and long-term borrowing rates that are making it difficult to get long-term care homes to the construction stage.
“We owe the seniors who helped build this province a huge debt of gratitude and the dignity of modern, comfortable long-term care facilities,” said Finance Minister Peter Bethlenfalvy. “Now is the time for us to seize our once-in-a-generation opportunity to build the critical infrastructure that makes Ontario the best place to live, work and raise a family, which is exactly what Ontario’s 2024 Budget is all about.”