Canada Greener Affordable Housing Program: Retrofit Funding

Program Category: Built Environment, Climate Mitigation

Program Sub-Category: Energy Efficiency (Housing / Buildings)

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Status: Open

Funder

Canada Mortgage and Housing Corporation (CMHC)

Deadline Details

Applications are accepted on a continuous basis until the available funding has been fully committed.

Funder Organization Type

Federal Government

Canada Greener Affordable Housing – Retrofit Funding provides access to low-interest repayable and forgivable loans for deep energy retrofits of multi-unit residential building. It is an important step in helping Canada reach its goal of net-zero emissions by 2050.

This program will address climate capability and resiliency to multi-unit (5+) residential buildings, by providing forgivable loans and low-interest loans to help finance building retrofit measures and activities needed to meet climate objectives, leading to deep reductions in energy consumption and GHG emissions.

This funding is for deep energy retrofits include projects that target:

70% reduction in energy consumption relative to pre-retrofit performance, and
80% reduction in greenhouse gas (GHG) emissions relative to pre-retrofit performance.

IMPORTANT: Application submission for Retrofit Funding requires completing pre-retrofit activities, such as energy audit, modelling study and Building Condition Assessment report.

Eligible Community

To be eligible for this funding, you must have an affordable housing purpose and a proven mandate to provide housing to lower-income households or populations in need. This funding is open to:

Indigenous governments and organizations including First Nations, Tribal Councils and Indigenous housing providers
provincial, territorial and municipal governments

Specific Eligibility Requirements

Eligible property types include:

mixed income rental or mix-use with affordable rental housing
community housing
affordable rental housing
Indigenous community housing and cultural spaces
shelters, transitional and supportive housing
single-room occupancy

See the program website for specific eligibility details.

Other Eligible Applicants

Indigenous Organizations
Non-governmental Organizations / Not-for-Profits

community housing providers such as non-profit housing organizations, public housing agencies and rental co-operatives

Private market housing organizations are not eligible for this funding.

Type of Funding

Loan

Range of Funding Available per Project

Under $100 000
From $100 000 to $1 000 000

Description of Funding

Up to $1.1 billion in forgivable and low-interest repayable loans are available through a callout application-based process.

CMHC will fund 100% of eligible retrofit costs, up to $170,000 per unit (repayable and forgivable loans combined). Forgivable loans will be the lesser of:
- $85,000 per unit, or
- Eighty percent (80%) of eligible retrofit costs.
Projected energy savings should help offset repayable loan requirements.
Funding will be available over 4 years starting in 2023-24.

Repayable Loans

Repayable loans will be low-interest and can be amortized up to the remaining economic life of the building (40 years maximum).
The interest rate will be locked in at first advance for a 10-year term. At the end of this term, the loan can be renewed, and the rate will be reset and fixed for another 10 years.
The loan will be closed to prepayment during the 10-year term.
Payments will be interest-only until energy retrofits are completed. After the energy retrofits are completed, the principal and interest will be paid for the remainder of the loan’s term.

Forgivable Loans

Will be forgiven over 10 years.