Backgrounder: Introduction of the Build Canada Homes Act

On February 5, 2026, the Government of Canada introduced legislation to establish Build Canada Homes as a Crown corporation dedicated to building affordable homes in communities across the country. With the passage of this legislation, Build Canada Homes will transition to a Crown corporation, granting it the independence to take on risk and the operational autonomy to focus on delivering its mandate while remaining accountable to Canadians.

Having already transferred Canada Lands Company under the responsibility of the Minister of Housing and Infrastructure last September, the Government indicated that Canada Lands Company would support Build Canada Homes in order streamline and consolidate federal tools to directly build affordable housing on public land. Today’s proposed legislation would give the Government the authority to transfer the land holdings and development experience of Canada Lands Company Limited’s (CLCL) to Build Canada Homes, enabling faster delivery of affordable housing across the country. No automatic transfer would occur with the introduction of the Act. Until legislation is passed and receives Royal Assent, Build Canada Homes and CLCL will continue to work closely together to advance on priority projects, including the Direct-Build sites, and ensure a smooth transition. 

As a Crown corporation, Build Canada Homes would be overseen by a Board of Directors responsible for strategic direction, risk management, and oversight of Build Canada Homes activities and performance to ensure alignment with its legislated mandate. A Chairperson and a Chief Executive Officer—both appointed by the Governor-in-Council—would provide leadership and ensure the corporation’s activities align with government priorities. This structure provides Build Canada Homes with the independence to operate effectively, while ensuring clear lines of accountability to Canadians.

Build Canada Homes currently operates as a special operating agency within Housing, Infrastructure and Communities Canada—it would become a Crown corporation once the Act receives Royal Assent and the Governor-in-Council brings relevant provisions into force

As a special operating agency, Build Canada Homes was able to draw on existing federal resources and expertise while establishing the operational foundation it needed to focus its mandate, and it has delivered measurable progress.

As a Crown corporation, Build Canada Homes will be funded through the initial capitalization of $13 billion that was announced in Budget 2025.