Ontario Rewards Thunder Bay With More Than $700,000 Through the Building Faster Fund
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Funding rewards municipalities for progress toward housing starts
News Release | July 9th, 2026
THUNDER BAY — The Ontario government is rewarding the City of Thunder Bay with $709,280 through the third round of the Building Faster Fund, which provides funding to municipalities that achieve at least 80 per cent of their provincially designated housing targets. In 2025, Thunder Bay broke ground on 243 new homes, exceeding its annual target by 10 per cent. The funding will help the City of Thunder Bay build more homes and community infrastructure while advancing the province’s plan to protect Ontario by investing in projects that support economic growth and keep workers on the job.
“We’re focused on getting more homes built across Ontario, and that means recognizing municipalities that are stepping up and delivering results,” said Graydon Smith, Associate Minister of Municipal Affairs and Housing. “Thunder Bay has exceeded its target, and this funding will help ensure the infrastructure is in place to keep building and support continued growth.”
Announced in August 2023, the Building Faster Fund is a three-year, up to $1.2 billion program that helps municipalities build more homes faster. The fund rewards municipalities that make significant progress toward their housing targets by providing funding for the infrastructure needed to support new housing and growing communities.
“We continue to be grateful to the Ontario government for the funding provided through the Building Faster Fund and are proud of what we’ve been able to accomplish with it,” said Ken Boshcoff, Mayor of Thunder Bay. “These funds have helped us not only build more homes in the short-term but also set a foundation that will allow our community to continue to grow into the future.”
The Ontario government is also helping to speed up the construction of new homes and infrastructure by streamlining development processes and reducing unnecessary costs, most recently through the Building Homes and Improving Transportation Infrastructure Act, 2026, and the HST Relief Implementation Act (Residential Property Rebates), 2026.
As part of the up to $8.8 billion Canada-Ontario Partnership to Build, Ontario has introduced the Development Charge Reduction Program, which will provide funding for housing-enabling infrastructure projects over 10 years. Funding will be prioritized for municipalities that reduce and maintain reductions on development charges. The agreement also supports the removal of the HST on new homes from April 1, 2026, to March 31, 2027, which will save homebuyers up to $130,000 off the cost of a new home. Collectively, these measures help to enhance affordability, support builders as they get shovels in the ground on new homes and keep workers on the job.
Quotes
"As Thunder Bay continues to grow and prepare for future opportunities, this funding will help support the development of new housing and the infrastructure needed to build a stronger community. By exceeding its housing target, the city has demonstrated its commitment to responsible growth, and I look forward to seeing the positive impact this investment will have for residents today and in the years ahead." - Kevin Holland, MPP for Thunder Bay–Atikokan
Quick Facts
From January to May 2026, Ontario saw 26,084 total housing starts, an increase of 17.2 per cent compared to the same period in 2025.
From January to May 2026, Ontario saw 13,599 rental starts, an increase of 94.9 per cent compared to the same period in 2025. This is a record for rental starts for this time of the year.
To help make way for more housing opportunities and support growing communities, the government is also giving municipalities more time to spend funds rewarded through the Building Faster Fund, extending the deadline to 2028.
Ontario is investing over $65 million in municipalities across the Thunder Bay District through the Municipal Housing Infrastructure Program, which will enable over 1,000 new homes. This includes over $28 million for the City of Thunder Bay.
