Canada is currently facing a significant housing crisis, and innovative solutions are essential to increase the supply of available homes. A key player has emerged with a unique and powerful strategy: Canada Lands Company. This federal Crown corporation, originally formed three decades ago to manage surplus government properties, is now at the forefront of a national effort to accelerate housing development and create sustainable, thriving communities.

By unlocking underutilized federal land, Canada Lands is not just building houses; it is designing the blueprint for the future of Canadian neighbourhoods.

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A Renewed Mission for a Modern Challenge

Operating as a self-funded entity, Canada Lands has a long history of redeveloping government properties. However, the company has recently adopted a new sense of urgency. Its leadership is focused on a clear objective: supporting the delivery of more homes, faster. This involves fast-tracking the development process on federally owned land to meet the pressing demand for housing across the country.

This task is more complex than it appears. Stéphan Déry, the president and CEO of Canada Lands, notes that government land often comes with significant challenges. For instance, some sites require extensive environmental remediation to clean up contaminated soil, a process that can cost millions of dollars before a single foundation can be laid.

Beyond cleanup, modern developments must meet high standards. This includes integrating ample greenspace and parkland, achieving LEED certification for environmental sustainability, improving energy efficiency, and building vital community amenities like recreation centres. The goal is to create high-density, transit-oriented communities that people are proud to call home. "We understand there is a housing crisis," says Déry, "but we also want a place where people want to live."

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Prioritizing Affordability and Accelerating Timelines

With a portfolio of 23 real estate projects nationwide, Canada Lands has made affordable housing a top priority. In the past, a typical development might set aside 10 percent of its units for affordable housing. Today, Canada Lands is doubling that threshold to 20 percent in many of its new projects and is exploring models where up to 30 percent of a development is dedicated to affordable homes.

To combat lengthy delays, the corporation is also revolutionizing its approval process. One of the biggest hurdles for any developer is navigating zoning and municipal approvals. Canada Lands is now beginning the crucial planning stages while properties are still owned by the federal government, a proactive step that was previously not permitted. Furthermore, they are bringing builders and developers into the conversation much earlier to streamline collaboration and get projects underway sooner.

"We are pushing the envelope," Déry states. "We are trying all kinds of ways to bring affordable housing into the picture, but really what we are also trying to do is enable more homes to be built faster."

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Spotlight on Transformative Projects

‍Toronto: The Downsview Lands

The company's most ambitious project to date is the redevelopment of the Downsview Lands in Toronto. This former Canadian Forces Base will become a massive new district, providing homes for an estimated 38,000 people. The area will feature five distinct master-planned communities built around the protected Downsview Park.

A major advantage of this site is that critical transit infrastructure, including a TTC subway station and a GO Station, is already in place. "Usually transit follows development," explains James Cox, VP of Real Estate for the central region. "Here we are starting with that piece." This transit-first approach will create a connected and accessible urban environment from day one.

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Ottawa: Reshaping the Capital

As a government town, Ottawa has a significant amount of surplus federal real estate. Canada Lands is spearheading several major projects set to transform the city.

• Wateridge Village: Located on a former military base, this 310-acre community is already well underway. It will eventually be home to 10,000 residents, with 5,000 having already moved in. The development includes a mix of single-family homes, townhouses, and condos, with five of nine planned parks already built. In partnership with Ottawa Community Housing and Habitat for Humanity, the project has a minimum target of 30 percent affordable housing.
• Tunney's Pasture: This site is being converted from a single-use government employment centre into a vibrant, transit-oriented, mixed-use community.
• Confederation Heights: A comprehensive master plan is being finalized for this 465-acre property, which will transform it into another sustainable, urban community located just five kilometers from the downtown core.

These Ottawa projects reflect a broader trend. With the rise of hybrid work, the federal government's need for office space has decreased, freeing up prime real estate for much-needed housing and mixed-use commercial development.

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Your Future in These New Communities

The work being done by Canada Lands Company is set to reshape the Canadian real estate landscape for decades to come. By turning underused government land into thoughtfully designed, accessible, and affordable communities, they are creating new opportunities for homebuyers and investors across the country.

As these exciting new neighbourhoods take shape, navigating the market requires expertise and local knowledge. Whether you are looking to purchase your first home, find a promising investment property, or understand how these developments impact the value of your current home, professional guidance is more important than ever.

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Contact the real estate experts at Coldwell Banker Horizon Realty today to explore the opportunities in our evolving communities and secure your place in Canada’s future.