ARTICLE | July 27, 2026
The Ontario government has announced the third and final round of funding through its Building Faster Fund (BFF), rewarding municipalities that met or exceeded provincially assigned housing targets in 2025. Among the recipients were Greater Sudbury, Thunder Bay and North Bay, which together received more than $2.3 million to support housing-enabling infrastructure.
While the funding announcements recognize local success, they also highlight how Northern Ontario municipalities are responding to housing demand and how provincial incentive programs are influencing municipal planning.
What is the Building Faster Fund?
Introduced by the Ontario government in 2023, the Building Faster Fund is a three-year, $1.2 billion provincial program designed to encourage municipalities to increase housing construction. Rather than directly funding new homes, the program rewards municipalities that achieve at least 80 per cent of their provincially assigned annual housing target. Funding can then be invested in infrastructure such as roads, water and wastewater systems, and other projects that support future residential development.
The 2026 announcements represent the third and final year of the program.
Greater Sudbury
Greater Sudbury received $1,296,053 after recording 748 housing starts in 2025, exceeding its provincial housing target by 31 per cent. The province stated that the funding will support community infrastructure needed for continued residential growth.
Mayor Paul Lefebvre credited collaboration between City Council, municipal staff and the development community for the city’s performance while emphasizing the importance of maintaining momentum to address housing needs.
Thunder Bay
Thunder Bay received $709,280 after beginning construction on 243 new homes, surpassing its annual housing target by 10 per cent. According to the province, the funding recognizes the city’s efforts to accelerate housing construction while supporting future infrastructure investments.
Mayor Ken Boshcoff noted that previous Building Faster Fund investments have helped establish a foundation for long-term community growth.
North Bay
North Bay was awarded $336,000 after recording 113 housing starts, exceeding its annual target by 13 per cent. Provincial officials highlighted the city’s continued efforts to expand housing options, including single-family homes, apartments, additional residential units and seniors’ housing.
This marks another consecutive year that North Bay has qualified for Building Faster Fund support.
Why Housing Starts Matter
Unlike planning approvals or building permits, the Building Faster Fund is tied primarily to housing starts, which is the point at which construction begins.
This distinction is important because housing starts reflect both municipal approvals and broader market conditions. Municipalities can streamline planning processes and invest in development-ready infrastructure, but developers ultimately decide when projects proceed based on financing, construction costs, labour availability and market demand.
As a result, the Building Faster Fund functions as an incentive program that rewards municipalities for creating conditions that support housing construction rather than directly financing the construction of new homes.
Looking Ahead
The Building Faster Fund concludes with this final round of payments, but Ontario’s focus on housing-enabling infrastructure is expected to continue through other provincial initiatives. As communities continue to invest in growth, businesses that understand changing infrastructure priorities and available funding opportunities will be better positioned to respond.
What This Means for Northern Ontario Businesses
Although the Building Faster Fund provides funding to municipalities, the benefits extend to businesses across the region. Investments in housing-enabling infrastructure can create opportunities for contractors, manufacturers, engineering firms, professional service providers and other businesses that support residential and community development.
At FCR, we help businesses across Northern Ontario identify funding opportunities, evaluate growth plans and make informed financial decisions. Whether you are planning a capital investment or preparing for expansion, our team can help you navigate the changing landscape with confidence.
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