The Ontario government has unveiled a new Capital Funding Program (CFP) designed to accelerate construction of long-term care homes, particularly in regions like the Greater Toronto and Hamilton Area and northern Ontario where projects face labour shortages, supply-chain constraints and higher land costs.
Announced August 20, 2025, the CFP replaces the previous fixed, per-bed subsidy with a flexible, percentage-based model. Provincial support can now cover up to 85% of eligible expenditures, with defined maximums that vary across four market segments to reflect local construction realities. Funding will also flow differently by operator type: not-for-profit homes will receive more support earlier to reach the build stage, while eligible hospital and Indigenous operators can receive the full ministry contribution during construction.
The program builds on recent progress toward delivering nearly four hours of direct daily care per resident and supports the government’s commitment-outlined in the 2025 Ontario Budget-to deliver 58,000 new and upgraded beds province-wide. As of July 2025, 148 projects representing 24,101 beds are completed, under construction, or have approval to construct. The initiative aligns with the Fixing Long-Term Care Act, 2021.
A flagship example is Maxville Manor in Maxville, where construction is beginning on a redevelopment that will upgrade 122 existing beds and add 38 more for a total of 160. The phased project will introduce modern amenities, including a new dining room, spa, multi-purpose room, an adult day program suite and improved outdoor areas. The home is expected to welcome its first residents in 2027.
(Written by: Joseph Goden)