Mississauga’s housing reforms position City for new infrastructure funding

Mississauga has announced the five transformational projects it will put forward for the new Development Charges Reduction Program (DCRP). Mississauga was one of the first cities in Ontario to reduce development charges to help get more homes built and make them more affordable. The City’s decision to lower development charges – by up to 100 per cent – puts Mississauga in a strong position to receive funding under the program.

The DCRP is a key part of the Canada-Ontario Partnership to Build. This is an $8.8 billion joint initiative aimed at increasing housing supply. The program provides funding to municipalities that lower development charges by at least 30 to 50 per cent and move forward with projects that help get new homes built faster.

Projects that unlock new housing

Mississauga is submitting the following five projects for DCRP funding.

Transit maintenance and storage facility ($650 million)

A new zero-emission facility will help MiWay switch its bus fleet to cleaner technology, expand capacity and improve transit service. It will also support transit-oriented development by enabling approximately 9,900 new housing units by 2036.

Downtown transit mobility hub ($500 million)

This project will expand capacity at the City Centre Transit Terminal and prepare the network for future LRT ridership growth. It will improve connections and access to higher-order transit and make it easier to build higher-density housing in the downtown core. It is expected to help enable approximately 9,900 new housing units by 2036.

Library and community centre projects ($175 million each)

Two net-zero community centres and libraries – in Mississauga Valley and Cooksville – will help expand access to recreation and library services in some of the city’s fastest-growing neighbourhoods. These projects will help ensure community infrastructure keeps pace with significant growth and development.

Housing-enabling road infrastructure ($175 million)

A series of road and servicing upgrades across key corridors citywide will help improve capacity and support growth. These investments also help unlock development lands. They will reduce congestion and connect new communities to transit and services. The project is expected to support approximately 9,000 new housing units over the next decade.

Downtown music and convention centre ($500 million)

This project will help spur growth by attracting investment and supporting a vibrant, transit-oriented downtown. As a destination for residents and visitors, the project will make it easier to support higher-density housing and continued development. It could help enable up to 14,000 new housing units over the next decade.

The projects include a mix of housing-enabling infrastructure and city-building projects that support complete communities that prioritize homes, jobs, services and transit.

Mississauga’s housing reforms

In addition to significantly reducing development charges, Mississauga has introduced a range of housing-focused measures to support new development and improve affordability. Guided by the Mayor’s Housing Task Force report, highlights include:

• Incentives for affordable rental housing: Increased funding for the City’s $70 million affordable rental housing program to help get more affordable rental housing built.
• Encouraging more housing citywide: The newly approved Mississauga Official Plan allows permissions for more than 370,000 new residential units city-wide by 2051.
• Tools to help homeowners add new units: Mississauga’s pre-approved garden suite plans make it easier and less expensive to build a backyard suite. Grants are also available under the City’s Gentle Density Incentive program to encourage second, third and fourth rental units in neighbourhoods.
• Streamlining development processes: Mississauga is making it easier to do business with the City and simplifying approvals to help deliver housing more quickly. This includes pre-zoning lands next to major transit station areas.
• Tax-relief to encourage rental development: 35 per cent reduction applied to the municipal tax rate for new multi-residential subclass.

Next steps

The City will submit its DCRP application by the June 19, 2026 deadline. If approved, the funding could cover up to 90 per cent of eligible project costs. This would allow the City to advance key projects that support housing growth. These projects would help deliver lasting benefits for Mississauga’s residents and businesses.

Quotes

“We have been trail-blazers in taking bold action to reduce development charges. It was necessary to get more homes built and make them more affordable. Waiting was simply not an option. It’s encouraging to see the federal and provincial governments acknowledging Mississauga’s novel approach. We’re confident the projects we’ve put forward will receive funding. They support critical infrastructure that will drive growth in our city while creating broader benefits for the province as a whole.” – Mississauga Mayor Carolyn Parrish

“Mississauga’s DCRP application is an important step in our ongoing approach to supporting housing growth while maintaining fiscal responsibility. By advancing a prioritized slate of infrastructure projects – from transit and roads to community and cultural spaces – we are positioning Mississauga to build complete, connected communities. Securing this funding would significantly offset project costs, reduce pressure on debt and reserves and help support investment, job creation and long-term prosperity in Mississauga.” – Marisa Chiu, Commissioner of Corporate Services, Chief Financial Officer and Treasurer

“Mississauga’s business community has seen firsthand the national leadership demonstrated by the Mayor and City Council in confronting the housing crisis head-on. The City’s bold actions, particularly its unprecedented reductions to development charges, streamlining of approvals, and commitment to housing-supportive infrastructure, have positioned Mississauga as a model for municipalities across Canada seeking to translate policy ambition into real, on-the-ground results.” – David Wojcik, Interim President and CEO, Mississauga Board of Trade

Tags

• Finance and Revenue
• Funding and Grants
• Housing