The federal government will invest $1 billion to build as many as 3,000 affordable housing units across the country.

Ahmed Hussen, the minister responsible for Canada Mortgage and Housing Corporation (CMHC), announced the funding on September 21. The money will be delivered through a Rapid Housing Initiative (RHI) that is expected to accelerate construction of the units through modular housing, as well as land acquisition and the conversion of existing buildings to affordable housing.

"With the Rapid Housing Initiative, our government is moving quickly to provide more affordable housing to keep our vulnerable populations safe, to fight the virus over the long-term, and to support Canada's economic recovery," said Hussen.

The RHI is an initiative of the National Housing Strategy, and its funding will be available to municipalities, provinces, territories, Indigenous governing bodies and organizations, and non-profit organizations. Application details are forthcoming, and the money is expected to be completely allocated by the end of March 2021.

In addition to the investment, the federal government will provide $236.7 million through Reaching Home: Canada's Homelessness Strategy to help extend and expand the emergency response to the COVID-19 outbreak. This funding is in addition to the $157.5 million announced in April 2020 to help communities address the immediate impacts of the pandemic. This new investment will enable communities to extend the emergency measures that have been successful in reducing the risk of potential outbreaks among people experiencing homelessness, as well as provide them the flexibility to deliver affordable housing solutions.

"We know that Canadians experiencing homelessness are at heightened risk of contracting COVID-19. That's why it is so important that we continue to ensure that communities have the resources they need to support those who are experiencing homelessness,” said Adam Vaughan, Parliamentary Secretary to the Minister of Families, Children and Social Development. “I believe this renewed investment in Reaching Home and new funds for supportive housing will go a long way to effectively support those who need it most."