In-Kind SupportCanadaProperty DevelopmentReal Estate Financing

Federal Lands Initiative

The Federal Lands Initiative is a $318.9-million fund designed to support the transfer or leasing of surplus federal lands and buildings to eligible applicants. These properties are available at discounted or no cost, intended for development or renovation into affordable housing.

Offered by Canada Mortgage and Housing Corporation (CMHC)

Amount

Surplus federal lands and buildings sold or leased at discounted or no cost; the discount depends on the level of social outcomes achieved by the approved proposal ($318.9-million fund)

Quick eligibility check

Years in business
No minimum stated
Employees
No limit stated
Revenue
No limit stated
Legal structure
Incorporated, sole proprietor, partnership, co-operative, non-profit, charity, other
Location
Anywhere in Canada

Who can apply

The Federal Lands Initiative is open but not limited to the following groups:

  1. community housing organizations
  2. non-profit organizations or registered charities
  3. co-operative housing organizations
  4. municipal, provincial and territorial governments including their agencies
  5. Indigenous governments and organizations, including Tribal Councils
  6. for profit organizations

Eligible affordable housing projects include, but are not limited to:

  1. mixed-income
  2. mixed-use (commercial space should not exceed 30% of gross floor area)
  3. mixed-tenure
  4. shelters
  5. transitional housing
  6. supportive housing
  7. rental housing
  8. affordable homeownership

Minimum Requirements

Proposals to build or renovate surplus federal property into affordable housing must meet the following minimum

requirements:

  1. Affordability: At least 30% of units must be less than 80% of Median Market Rent, for a
  2. minimum of 25 years.
  3. Accessibility: At least 20% of units must meet accessibility standards outlined in CSA B651:23/652:23 OR achieve Rick Hansen Foundation GOLD Accessibility Certification (for projects seeking Rick Hansen Foundation certification, a rating score of 5 points for feature 9.11.1 is required) AND all common areas must be barrier-free.
  4. OR, the entire project – including common areas and dwelling units – must follow full universal design standards.
  5. Energy Efficiency: Projects must achieve Tier 2 of the 2020
  6. National Energy Code of Canada for Buildings or Tier 3 of the 2020
  7. National Building Code).
  8. Evidence of Community Need: Proponents must provide a clear description of how their
  9. project will meet the needs of the community and at least a letter of support from the municipality, a
  10. market study or waiting lists for social or affordable housing in the community.
  11. Experience: Proponents, or their team, must indicate a minimum of 5 years of experience in
  12. the construction/renovation and operation of projects of similar size and scope.
  13. Financial Viability: Projects must meet the minimum debt coverage ratio (DCR) of 1.10.

About the funding

The Federal Lands Initiative is a $318.9-million fund designed to support the transfer or leasing of surplus federal lands and buildings to eligible applicants. These properties are available at discounted or no cost, intended for development or renovation into affordable housing.

The discount on the property purchase or lease depends on the level of social outcomes achieved by the approved proposal.

Project selection: Winning application is selected and property is sold or leased at discounted to no cost. Cost is based on the project’s social outcomes, proponent experience and project proposed.