Project Overview

Client: Green Horizons Development Ltd.
Location: Toronto, Ontario
Project Type: Multi-unit residential building redevelopment
Objective: To create affordable, energy-efficient, and accessible housing while ensuring long-term financial viability.

Challenges

Green Horizons Development faced several challenges in redeveloping a mid-rise apartment complex:

• Rising construction costs threatened to compromise affordability.
• Aging infrastructure required significant energy efficiency upgrades.
• Limited accessibility features needed to meet modern standards.
• Securing competitive financing for a socially and environmentally impactful project.

Solution: MLI Select by CMHC

Green Horizons Development turned to CMHC’s MLI Select program for tailored support. By committing to the program’s priorities, they achieved:

• Affordability: Dedicated 30% of units to below-market rents for the next 20 years, meeting the MLI Select affordability threshold.
• Energy Efficiency: Upgraded insulation, installed solar panels, and implemented energy-efficient heating and cooling systems, reducing greenhouse gas emissions by 40%.
• Accessibility: Added features such as barrier-free entrances, elevators, and adaptable unit designs, ensuring inclusivity for residents with diverse needs.

Implementation and Benefits

1. Financial Incentives

• Secured a 40-year amortization term, reducing monthly mortgage payments by 20%.
• Received a significant reduction in mortgage insurance premiums.

2. Enhanced Cash Flow
The extended amortization and premium savings improved project cash flow, enabling reinvestment into additional community amenities such as a rooftop garden and shared spaces.

3. Community Impact

• Created 100 affordable housing units, addressing critical demand in Toronto’s housing market.
• Reduced the building’s energy footprint, aligning with Canada’s climate goals.
• Fostered a diverse and inclusive community by incorporating accessible design features.

Results

• Financial Success: Lower operational costs and increased tenant retention due to affordable rents and modern amenities.
• Environmental Impact: Achieved a 40% reduction in energy consumption and GHG emissions.
• Social Impact: Delivered safe, affordable, and inclusive housing, positively transforming the neighborhood.

Conclusion

MLI Select by CMHC enabled Green Horizons Development to overcome redevelopment challenges while aligning with affordability, sustainability, and accessibility goals. The program’s financial benefits and incentives empowered the project to deliver meaningful community and environmental impact.