Ontario Construction News staff writer
The City of Toronto is moving ahead with a major infrastructure response to rising homelessness, highlighting the construction of new shelter sites and thousands of affordable homes as critical components of its long-term strategy.
New data released in the 2024 Street Needs Assessment — a federally required, city-wide survey of people experiencing homelessness — shows the number of unhoused individuals in Toronto has more than doubled since 2021. Conducted in October 2024 and finalized this spring, the survey estimates that roughly 15,400 people were homeless in the city last fall, up from about 7,300 in April 2021.
To address the crisis, the City plans to build up to 20 new shelter sites over the next decade. Designed to be smaller and more cost-effective than leased hotel shelters, the permanent locations are projected to save up to $33.6 million per site over 10 years. Seven sites have already been selected, with more to be announced later this year.
“The scope of the homelessness crisis requires strategic investment in infrastructure,” the City said in a release, noting that its approach includes building new shelters, increasing housing stock and investing in outreach and support services.
Toronto has expanded its shelter capacity by 60 per cent since 2021 and now provides more shelter beds per capita than any other Canadian city. In 2023 alone, more than 4,300 people were moved into permanent housing, and over 25,000 outreach visits were made to those living outdoors.
The City’s strategy is backed by record-level housing investments through the HousingTO Action Plan, which prioritizes the construction of affordable, rent-controlled and rent-geared-to-income (RGI) housing. In 2024, the city approved approximately 6,600 such homes.
While refugee claimants now account for more than half of those in the shelter system — up from 13 per cent in 2021 — the city said it is beginning to see a decline in overall homelessness numbers due to increased housing placements and fewer encampments.
The Street Needs Assessment also revealed that homelessness disproportionately affects specific groups: 58 per cent of respondents identified as Black (compared to 10 per cent of the general population), and nine per cent identified as Indigenous (compared to three per cent). Most respondents reported at least one health issue, including mental illness or substance use, underscoring the need for wraparound services in housing and shelter facilities.
An annual Street Needs Assessment will be used for service planning and infrastructure investment, with a full federal assessment every three years.
As Toronto develops its new five-year homelessness strategy, city officials are calling on all levels of government and the construction industry to help accelerate delivery of permanent housing and purpose-built shelter infrastructure.