The decision by the city council to suspend development charges for three years could bring as much as $45.3 million in funding from provincial and federal sources to Greater Sudbury – these funds are aimed at encouraging the construction of new homes in the area.
“With housing prices on the rise, many people in Ontario find it hard to achieve homeownership,” said Rob Flack, Ontario’s minister of Municipal Affairs and Housing, in a statement released on Friday. “The Development Charge Reduction Program will allow residents in Greater Sudbury to save thousands when purchasing a new home, making it more feasible for young professionals, expanding families, and seniors.”
Development charges are one-time fees that municipalities collect from developers and builders when they apply for building permits. These fees are designed to recover costs related to growth so that new developments contribute fairly towards expanding public infrastructure instead of placing the financial load on existing taxpayers.
To encourage more housing construction and enhance affordability for buyers, city council has decided to waive development charges for all types of housing from March 30, 2026, until March 31, 2029.
According to the release, this removal of development charges is expected to lower the cost of building new homes in Sudbury by up to $22,162 per house.
Back in March, both Ontario and federal governments established a cost-matching framework that allocates a total of $8.8 billion over ten years for infrastructure projects across Ontario. Canada’s share will be funneled through the Build Communities Strong Fund.
Sudbury MP Viviane Lapointe takes part in a funding announcement in Sudbury, Ont. on Friday October 23, 2026. John Lappa/ /Postmedia Network John Lappa /
The two levels of government also agreed to eliminate full HST on qualifying new homes from April 1, 2026, until March 31, 2027. This move can save homebuyers up to $130,000 off their new home purchase price.
When you combine both the removal of development charges with HST relief measures, families in Sudbury could save as much as $152,162 when buying a new home.
“Building more homes means collaborating effectively to remove obstacles and create favorable conditions for increased housing availability,” stated Sudbury MP Viviane Lapointe. “Through this Development Charge Reduction Program initiative we’re working alongside Ontario and Greater Sudbury city officials to cut down on housing costs while ensuring communities have the necessary infrastructure needed for growth.”
“This investment aims at making housing more accessible for families within Sudbury while also strengthening local communities and supporting Ontario’s growing economy.”
Pending the signing of an agreement related to the Canada-Ontario Build Communities Strong Fund along with further due diligence by both levels of government and finalizing an Ontario-municipal Transfer Payment Agreement; this Development Charge Reduction Program is set to provide Greater Sudbury with up to $45.3 million dedicated toward enhancing its water and wastewater systems.
Officials stated that these funds would assist with transitioning the Garson East Drinking Water System from relying solely on groundwater supplies over to utilizing surface water resources provided by the city. Additionally it will facilitate improvements like constructing watermains and upgrading sanitary sewer systems throughout Maley Drive’s growth corridor.
Greater Sudbury Mayor Paul Lefebvre takes part in a funding announcement in Sudbury, Ont. on Friday October 23, 2026. John Lappa/ /Postmedia Network
The City of Greater Sudbury anticipates that savings during this period due specifically because there won’t be any development charges combined with investments into essential infrastructure aimed at enabling housing could lead towards unlocking around 3,320 newly constructed homes – providing more options along with better pricing structures available not just for homeowners but renters too.
“Greater Sudbury is positioned well with exciting economic possibilities ahead; our council remains focused upon simplifying processes involved when constructing various kinds/types/forms/models/shapes/styles/sizes/levels/types/categories-of residences allowing individuals wanting reside here fulfill those aspirations,” said Mayor Paul Lefebvre adding “This innovative partnership forged between provincial & federal authorities empowers us achieve zero-dev charge status over next three years whilst executing critical enhancements required surrounding vital utility services supporting urban expansion.”
As part ongoing Canada-Ontario Initiative addressing Construction Needs via Partnerships meant deliver funding initiatives across decade-long timeframe targeted towards projects directly facilitating/enabling residential expansions making them possible quicker than ever before- emphasis being placed prioritizing municipalities cutting down dev charge rates ranging somewhere between thirty (30) percent upward fifty (50) percent consistently maintained throughout minimum three-year duration period ahead!
They said it
The importance associated eliminating barriers blocking progress toward advancing potential supply added onto what already exists only strengthens prospects overall outcomes altogether!” – Kris Longston General Manager Planning Growth City G S
With respect current moratorium currently applied regarding semi-detached dwellings smaller apartment complexes allowed Zulich Construction help speed affordable units reaching market place assisting numerous households achieving ambitions moving into newer residences! Expanding relief given out among all classifications extending timelines through eighteen months builds strong foundation assuring builders certainty confidence planning future enterprises investing growth establishing sustainable pipelines fresh accommodations enduringly prospering within region upcoming decades
Scott Andison OHBA CEO
Each dwelling created locally begins life dream accompanied price tag & facing hurdles such like this hurdle here known commonly named “development charge”. When expanded scope offered underneath directives assists municipal level respective jurisdictions attain goals without pricing average citizenry residing nearby out entirely cannot express enough gratitude province recognizing contributions afforded helping bolster regional viability unique case Northern community areas alike!
Morgan Rouleau N O H B A CEO
RESCON wholeheartedly supports measures undertaken Rob Flack aiming significantly reduce municipal charging placing downward pressure affordability issues affecting entire province wide level initiative should thus pave way forward achieving substantial progress tackling challenges head-on moving forward positively shaping tomorrow relative perspectives drawn each group involved collectively” – Richard Lyall President RESCON
Community efforts led recent initiatives bring forth fruitful changes looking expand current opportunities further promote inclusivity throughout entire neighborhoods especially regarding space openness encourages varying lifestyles where everyone finds suitable alternatives situated conveniently maintaining high quality living standards ultimately boosting attractiveness surrounding area drawing interest economic pursuits coming back neighborhood attracting potentials ) P >Kim Fairley O R E A president
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