Sudbury, Ont. Ranks Among Canada’s Top 5 Cities for Housing Construction in 2023
Overview of Housing Development Growth in Northern Ontario
The construction landscape in northern Ontario has shown remarkable resilience and growth, particularly in the city of Greater Sudbury, which has emerged as a leader in housing starts in Canada during the first half of 2025. According to recent data from the Canada Mortgage and Housing Corporation (CMHC), Sudbury recorded 164 housing starts from January to July 2025—an impressive 113% increase compared to the 77 starts in the same period the previous year. This surge positions Greater Sudbury among the top five metropolitan areas in Canada for housing growth, trailing only Kingston, Fredericton, and Abbotsford-Mission.
The growth in housing starts is a direct reflection of strong building permit issuance in 2024, as noted by Melissa Riou, the city’s manager of strategic and environmental planning. The influx of residential construction not only speaks to the demand for new housing but also indicates a proactive approach by local authorities to support development through strategic planning and funding. This momentum has been bolstered by various federal and provincial grants aimed at encouraging builders and facilitating the development of new residential areas.
In July, the city was awarded $1.5 million from the province’s Building Faster Fund for surpassing provincial housing targets. This financial support is earmarked for infrastructure projects that enable further development—opening land for new homes, which is crucial in meeting growing housing demands. Additionally, Sudbury secured $34.9 million from the Housing-Enabling Water Systems Fund and $27.9 million from the federal Canada Housing Infrastructure Fund, which will finance necessary upgrades to sewer systems in the Naughton-Whitefish area, an important aspect of building in areas previously constrained by infrastructure limitations.
Meanwhile, in Sault Ste. Marie, similar trends are observable. The city projects approximately 230 housing starts by year-end, consistent with trends from the previous three years. Innovations in planning, such as the housing community improvement program, have seamlessly aligned incentives for residential builders to address the affordable housing crisis. Initiatives include multiple grants focused on facilitating the construction of affordable housing units, with an ambitious target set to achieve 3,000 units by 2036.
Both communities illustrate a vibrant construction sector responding dynamically to increasing demand for housing. The impact of these initiatives resonates not only in numbers but also through the revitalization of neighborhoods, enhancement of infrastructure, and meeting the diverse needs of their populations. As local governments leverage funding opportunities and work collaboratively with developers, the stage is set for a transformative era in northern Ontario’s housing market.
📋 Article Summary
- Greater Sudbury saw a 113% increase in housing starts in 2025, with 164 starts compared to 77 in the previous year, ranking it among Canada’s top five growth areas.
- The city’s growth is attributed to strong residential building permit issuance in 2024 and federal and provincial grants that facilitate development.
- Sudbury received $1.5 million from the Building Faster Fund and significant funding for sewer upgrades to support infrastructure for new housing.
- In Sault Ste. Marie, the city plans to reach around 230 housing starts in 2025, aided by recent apartment projects and a housing community improvement program.
🏗️ Impact for Construction Professionals
The significant growth in housing starts in Greater Sudbury presents valuable opportunities for construction professionals. With a 113% increase in starts, as reported by the CMHC, this surge indicates a booming market where demand for residential construction is high.
Actionable Insights:
- Strategic Planning: Align your project pipelines with local demand. Prioritize residential projects to capitalize on this growth trend.
- Networking: Engage with local authorities and organizations that administer grants like the Building Faster Fund. These relationships can lead to collaboration opportunities and funding for your projects.
- Resource Allocation: Prepare for increased demand by ramping up your workforce and supply chain management. Ensure that you have the necessary materials and skilled labor available.
- Marketing: Market your services to developers looking to leverage these funding incentives and tackle the housing shortage effectively.
Challenges: Be mindful of potential supply chain bottlenecks or labor shortages as demand increases, which could affect timelines and profitability.
Incorporating these strategies will ensure your business not only adapts to but thrives in this expanding market landscape.
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