Open
APCHQ — Affordable Housing Fund: New Construction - Rapid Housing Sub-Stream
Last Update: March 3, 2026
Canada
Funds construction of shelters, transitional and supportive affordable housing
Grant and Funding
Loans and Capital investments
Overview
The Affordable Housing Fund: New Construction – Rapid Housing Sub-Stream provides up to 100% of eligible project costs through contributions and low-interest or forgivable loans to create 2,400 new units/beds over 5 years. It funds the construction of low-cost rental housing and single-room occupancy units, specifically shelters, transitional housing and supportive housing for people in greatest need.
At a glance
Funding available
Financing goals
- Increasing community impact
- Develop strategic partnerships
- Reduce the ecological footprint
Eligible Funding
- Up to 100% of project cost
Timeline
- Open continuously
Eligible candidates
Eligible Industries
- Health care and social assistance
Location
- Canada
Legal structures
- Non-profit
- Public or Parapublic institution
Annual revenue
- All revenue ranges
Organisation size
- All organization sizes
Audience
- Indigenous Peoples
- Rural or Northern Residents
- Canadians
Non-profit candidates
Sector of operation
- All industries
Target groups
- All the groups
Revenue structures
- All structures
Scope
- All dimensions
Activities funded
- Construction of new shelters offering temporary accommodation for people in greatest housing need.
- Development of transitional housing projects that provide short- to medium-term accommodation as residents move toward more stable housing.
- Creation of supportive housing facilities that combine affordable accommodation with on-site or coordinated support services.
- Building low-cost rental housing and single-room occupancy projects where residential use is the primary function.
- New construction projects providing at least five units or beds dedicated to vulnerable and priority populations identified under the National Housing Strategy.
Eligibility
- The applicant must be from the non-profit or community housing sector, a rental co-operative, or a provincial, territorial, Indigenous or municipal government (or one of their agencies).
- The project must consist of constructing low-cost rental housing or single-room occupancy units used primarily as shelters, transitional housing or supportive housing.
- The project must include a minimum of 5 residential units or beds and have residential use as its primary function.
- The project must meet the program’s minimum requirements for partnerships, financial viability, energy efficiency and accessibility, as defined in the official documentation.
- The applicant must be able to provide evidence that ongoing operations and maintenance costs for the units/project will be covered.
Who is eligible?
- Organizations in the non-profit housing sector
- Organizations in the community housing sector
- Rental housing cooperatives
- Provincial, territorial, Indigenous and municipal governments
- Agencies of provincial, territorial, Indigenous and municipal governments
Who is not eligible
- Private builders and private real estate developers.
Eligible expenses
- Construction and development costs directly related to building shelters, transitional housing and supportive housing (e.g. materials, labour and associated construction services).
Eligible geographic areas
- Organizations located anywhere in Canada, as this is a federal program delivered by Canada Mortgage and Housing Corporation (CMHC).
- Projects situated in rural areas across Canadian provinces and territories.
- Projects located in northern communities in Canada.
- Indigenous-led projects and projects on First Nation lands within Canada.
Selection criteria
- Level of affordability offered by the housing units or beds.
- Energy efficiency performance, including alignment with updated codes and higher tiers of the 2020 model codes.
- Accessibility features and overall accessibility outcomes of the project.
- Shovel-readiness of the project and completeness of required documentation.
- Strength of financial and community partnerships, including proximity to transit, childcare and community centres, and support for National Housing Strategy priority and vulnerable groups (with additional priority for projects in communities supported under the Unsheltered Homelessness and Encampments Initiative and that are part of a Community Encampment Response Plan).
How to apply
1
Review program guides and criteria
- Download and review the Applicant Guide and Program Highlight Sheet for the Rapid Housing Sub-Stream
- Consult the Required Documentation Checklist – New Construction to understand minimum documentation at each stage
- Determine if your project and organization meet eligibility and prioritization criteria
2
Prepare required application documents
- Complete the Project Assessment Workbook – Rapid Housing Sub-Stream
- Fill out the Integrity Declaration form
- Prepare the Energy Efficiency Attestation and Accessibility Attestation
- Gather all documents listed in the Required Documentation Checklist for the application stage
3
Submit application in CMHC portal
- Sign in or create an account in the CMHC online application portal
- Select the Affordable Housing Fund: New Construction – Rapid Housing Sub-Stream
- If applicable, choose “Indigenous or Northern - Affordable Housing Fund” when starting the application
- Complete all required fields and upload the requested documents
4
Application review and prioritization
- Wait while CMHC reviews your submission for readiness, eligibility and completeness
- Provide any additional documentation or clarifications requested by CMHC
- Receive a decision within about 30 days: decline or conditional approval
5
Complete underwriting process
- After conditional approval, undergo underwriting assessing financial viability, partnerships and shovel readiness
- Submit any outstanding documents requested during underwriting
- Allow up to 60 days after CMHC receives all necessary documentation for underwriting to be completed
6
Sign funding agreement
- Review the legal funding agreement package prepared by CMHC
- Sign all required legal documents within 30 days of receipt
- Return the fully executed documents to CMHC to finalize the agreement
7
Request advances and receive funds
- Follow the drawdown schedule included in the fully executed agreement
- Before the first advance, submit a draw request, Borrower Certificate, project status certificate and project consultant’s certificate
- Provide all required documentation at least 10 days before each drawdown date
- Satisfy any additional conditions specified for subsequent advances
Additional information
- The Rapid Housing Sub-Stream has a total envelope of $963 million over 5 years, aiming to create 2,400 new units or beds.
- Updated minimum accessibility and energy efficiency requirements took effect in November 2024, with a transition period for projects already in design.
- Projects located in communities supported under the Unsheltered Homelessness and Encampments Initiative (UHEI) and included in a Community Encampment Response Plan receive additional prioritization points.
- For projects on First Nation lands, CMHC now accepts four alternative forms of security in addition to a Ministerial Loan Guarantee (MLG).
