City Boosts Housing Incentives for Downtown and BRT Corridor Developments
To accelerate residential construction in downtown London and along key bus rapid transit (BRT) routes, the city is rolling out up to $10 million in forgivable loans to support developers.
Starting Monday, developers can access $15,000 in loans for each residential unit in new or converted buildings—with a minimum of 20 units—located near major transit lines or high-traffic destinations. These funds are sourced from a $10 million federal housing initiative.
There’s no cap on the total loan amount per development. Loans will be disbursed once a building permit is granted, a legal agreement is in place, and the developer has no outstanding property taxes. Loans will be forgiven upon passing the final building inspection.
“I’ve heard a lot of positive feedback from the building community on this. These are the types of incentive programs that can make a project move from not economically viable to . . . viable, or move the investment of those capital dollars from another city into London,” said Mayor Josh Morgan in an interview Monday.
Morgan noted that the city retains flexibility to refine the initiative, much like other programs, including the ongoing office-to-residential conversion efforts.
The incentive applies to qualifying developments in the downtown core, the eastern BRT corridor connecting to Fanshawe College and the former London Psychiatric Hospital lands, as well as the Wellington Road corridor extending to White Oaks Mall.
“This program is part of the city’s broader strategy through the federal housing accelerator fund to promote sustainable urban development, increase housing supply, and support intensified land use near major transit routes,” said Scott Mathers, deputy city manager of housing, in a statement.
“It’s about building more homes, faster, in the right places. By targeting areas with strong transit connections, we’re not only addressing the housing crisis but also supporting our climate and mobility goals.”
The program will run as long as funds remain available and within the timeline of the federal housing accelerator fund, which continues through 2027.
