Build Canada Homes, CMHC Back $50 Million Affordable Housing Groundbreaking in St. John's

ST. JOHN'S, Newfoundland and Labrador — A coalition of federal, provincial, and municipal partners broke ground September 8 on a $50 million affordable multifamily development at 100 Churchill Avenue in the Pleasantville neighbourhood of St. John's, marking the largest community housing project in Newfoundland and Labrador in more than 40 years.

The development, led by non-profit housing provider Avalon Housing Trust, will deliver 137 new homes, of which 114 — approximately 83 percent of the total — are designated affordable for a minimum of 25 years. The project is supported by Build Canada Homes, Canada Mortgage and Housing Corporation, the Government of Newfoundland and Labrador, the City of St. John's, and New Market Funds.

Capital Stack and Funding Commitments

The approximately $50 million project carries an unusually transparent public capital structure. Canada Mortgage and Housing Corporation is contributing $24.2 million through its Affordable Housing Fund, representing the largest single funding commitment in the deal. Build Canada Homes is providing up to $11.4 million, while the Government of Newfoundland and Labrador is contributing up to $8.3 million. The City of St. John's is contributing more than $480,000. Avalon Housing Trust and New Market Funds are each investing $2.25 million, with Avalon Housing Trust also providing land for the project.

The capital structure relies primarily on public funding and impact capital. All funding commitments remain subject to due diligence, underwriting, funding availability, required approvals, and the execution of definitive agreements.

"100 Churchill Avenue is a transformative investment in the future of St. John's. As the largest community housing development in Newfoundland and Labrador in more than four decades, it will expand access to affordable housing while strengthening the community for years to come. Build Canada Homes is proud to partner in bringing this important project to life," a Build Canada Homes representative said in a statement.

The provincial government also weighed in. "This project, featuring affordable and market rental housing, demonstrates the good things that can happen when different levels of government work together with community sector partners to build housing. It will provide dozens of families with housing that meet their needs in the exciting, booming area of Pleasantville. Our Provincial Government is pleased to contribute $8.25 million to this worthy development," a provincial official said.

Project Details and Affordability Structure

The development at 100 Churchill Avenue will include housing options for residents across a range of income levels, combining affordable and market rental units within a single building. The 114 affordable units will carry a 25-year affordability covenant, structurally distinguishing the asset from conventional private multifamily development. The site in Pleasantville has previously appeared in City of St. John's planning documents in connection with care-related housing uses, establishing it as an institutional and residential parcel rather than greenfield land.

Completion is anticipated around fall 2028. Once delivered, the project will represent a significant expansion of deeply affordable rental supply in a province where new community housing development has been limited for decades.

"Today, we are announcing 137 new homes on Churchill Avenue in Pleasantville, with 114 of them staying affordable for at least 25 years. Housing is the thing I hear about most at the door in St. John's East, and today this stops being a plan and becomes a construction site. Build Canada Homes, the province, the city and Avalon Housing Trust all put money on the table to get us here, and I'm glad to see the work start," a federal representative said at the groundbreaking ceremony.

Role of Build Canada Homes and CMHC's Affordable Housing Fund

Build Canada Homes is a federal Crown corporation mandated to scale up affordable housing supply across Canada by leveraging public lands, deploying flexible financial tools, and acting as a catalyst for modern methods of construction.

Canada Mortgage and Housing Corporation's $24.2 million contribution flows through the Affordable Housing Fund, a $16.1 billion program under the National Housing Strategy that provides low-interest and forgivable loans or contributions for new affordable housing construction and the renovation of existing community housing stock. The fund prioritizes projects serving populations including women and children fleeing family violence, seniors, Indigenous Peoples, people living with disabilities, those with mental health or addiction issues, Veterans, and young adults. As of June 2026, the Government of Canada had committed $15.83 billion through the Affordable Housing Fund, supporting the creation of more than 61,900 units and the repair of more than 173,500 units. The application portal for the fund is now closed, as all funding has been committed.

In September 2025, the federal government announced a $1.5 billion top-up in loans to the Affordable Housing Fund's New Construction Stream, targeting more than 5,000 new units beginning in the 2025–26 fiscal year, alongside an acceleration of the Rapid Housing Sub-Stream that pulled $385 million forward from future years.

Market Context and Strategic Significance

The designation of 100 Churchill Avenue as the largest community housing project in Newfoundland and Labrador in more than 40 years underscores the limited pace of deeply affordable housing development in the province over recent decades. The project's capital structure — drawing on federal Crown corporation financing, provincial grants, municipal contributions, and impact investment from New Market Funds alongside Avalon Housing Trust's own equity and land — reflects the degree of public and mission-driven subsidy required to deliver affordable units at scale in a market where conventional private development economics do not support deep affordability without external support.

Sources

Canada Mortgage and Housing Corporation — Ground broken on largest community housing project in Newfoundland and Labrador in over 40 years (September 8, 2026)