Apply for funding to create student housing: Student Housing Development Program

You need to use the funding to create student housing that includes cost-recovery rental units for students. Cost-recovery is housing where the gross rental income is no more than 7% above total operating costs. Annual adjustments to rents are based on the previous year’s operating expenses.

Projects given priority for funding include student housing development that:

• offers cost-recovery rents for student rental units for at least 20 years
• has a plan for construction and operations that’s financially viable
• achieves higher-than-average social, economic or environmental outcomes
• has already developed masterplans and technical reports, and has started the municipal planning approval process
• exceeds Building Code minimum standards for accessibility
• exceeds Building Code minimum standards for energy efficiency

Funding amount

Funding provides a forgivable loan and mortgage loan. Applicants can get funding from either or both loans.

A forgivable loan provides a non-repayable contribution for each student unit created. Funding is available for $25,000 to $150,000 for each student rental unit (based on the cost of development, number or student rental units and type of housing). The applicant needs to fund the remaining balance of the project.

A mortgage loan provides a loan of up to 95% of eligible project costs.

You can use this funding in combination with other federal, provincial or municipal government funding.

Eligible projects

Eligible projects include:

• self-contained units
• dorm style residence beds with shared amenities
• purpose built or student housing that may include market units (mixed use)
• on-campus or off-campus student housing
• university support for off-campus student housing (this may include financial, in-kind or other support for the project)
• commercial space that’s no more than 30% of the total square footage
• third-party operating arrangements or development and ownership structures under long-term agreements with third-party providers

Ineligible projects include:

• renovations to existing on-campus housing and off-campus housing
• renovations of occupied and semi-occupied rental properties
• funding to buy existing rental properties
• projects that are substantially under construction

Reporting requirements

If you receive funding from the Student Housing Development Program, you need to submit annual reporting to confirm occupancy, tenant eligibility (on turnover) and rental rates for affordable rental units. You also need to meet compliance requirements.

Eligibility

You can apply for funding if you’re a university or a non-profit housing organization with experience in housing development.

You need to:

• have a project team with the requisite skills and experience to successfully deliver the proposed project
• demonstrate projects are financially viable and sustainable for at least 20 years
• meet equity requirements

You need to apply by 21 February 2025.

Equity requirements

Universities and non-profit housing organizations need to make a minimum equity contribution of 5% of the project’s eligible capital development costs in the form of cash or unencumbered land.

How to apply

1. Review detailed eligibility and program criteria and proposal submission requirements in the Student Housing Development Program Guide.
2. Contact the Student Housing Development Program to discuss your project idea.
3. Complete the Pro-Forma Operating Budget Template.
4. Send your project proposal and supporting documents by email.

How long it takes

It should take 6 to 8 weeks for the Student Housing Development Program to review your project proposal and let you know if your loan is approved. It can take longer if more information is needed or if your proposal doesn’t include all the required information.

Cost

There is no cost to apply for the funding, but you need to be able to meet the minimum equity requirements.

Before you start

Make sure you review program criteria in the Student Housing Development Program Guide.