Canada, Nova Scotia sign $170.9 million housing infrastructure deal

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New public housing under construction in Digby this winter (Nova Scotia Provincial Housing Agency)

Canadian Design and Construction Report staff writer

The governments of Canada and Nova Scotia have finalized a 10-year, $170.9 million agreement under the Canada Housing Infrastructure Fund (CHIF) to support critical infrastructure upgrades and accelerate housing construction across the province.

An agreement will see Nova Scotia receive federal funding to invest in essential infrastructure such as drinking water, wastewater, stormwater, and solid waste systems—foundational elements necessary to enable long-term, sustainable housing growth.

Nova Scotia will also extend its freeze on development charges first introduced on November 10, 2023. Officials say the measure is aimed at reducing building costs and making it easier for developers to construct new homes.

The province has committed to contributing at least one-third of the eligible costs for municipal or regional infrastructure projects funded through CHIF.

In February Growth and Development Minister Colton LeBlanc announced 242 new public housing units will be built in communities where demand for affordable housing is high.

The units are in addition to the 273 units, including 51 modulars, announced in the last 18 months, marking the first major investment in public housing in 30 years.

The government’s Capital Plan 2025-26 will invest more than $2.35 billion in healthcare facilities, housing projects including:

  • $750.9 million for the Halifax Infirmary expansion project and Cape Breton Regional Municipality healthcare redevelopment project
  • $131.9 million for construction and renewal of other hospitals and medical facilities including projects in Amherst, Yarmouth, on the South Shore and at the IWK Health Centre in Halifax
  • $90.9 million for health records digital transformation (One Person One Record)
  • $42 million for Nova Scotia Health to repair and replace medical facilities
  • $32 million to repair and replace medical equipment
  • $19.2 million for new modular dialysis
  • $15.3 million for new diagnostic imaging equipment
  • $3.1 million for the second year of the multi-disciplinary oncology partnership.

The plan continues to support the More Housing, Faster plan with investments that include $47.4 million for new public housing units – the first new funding for public housing construction in more than 20 years.

Other highlights include:

  • $210 million to build and renovate schools, including three that will open during the 2025-26 school year and two more planned Halifax Regional Municipality schools in Bedford and Dartmouth
  • $50 million to buy land for future needs
  • $90.2 million for information technology projects
  • $22.5 million for a funding envelope for storm damage repairs
  • $9.2 million for provincial park repairs and upgrades.

The capital plan includes more than $500 million for projects outlined in the Five-Year Highway Improvement Plan, including $55 million for gravel roads and $60 million for bridges.

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