Feds announce second phase of military housing expansion plan
The federal government has announced the launch of the second phase of a project to deliver approximately 7,500 new residential housing units to serving members of the Canadian Armed Forces (CAF) and their families across the country.
Construction of primarily one and two-bedroom unit apartment buildings is planned at all 25 locations where the Canadian Forces Housing Agency (CFHA) currently operates, including approximately 280 units in Ottawa.
The five locations with the largest planned growth include Valcartier, Quebec, Petawawa, Ontario and Edmonton, Alberta, with over 1,000 new housing units each; Kingston, Ontario, with over 900 housing units, and Gagetown, New Brunswick, with over 500 housing units.
“Phase 2 is our largest construction campaign since the creation of the portfolio in the post Second World War era,” said CFHA CEO Paola Zurro. “The Canadian Forces Housing Agency will work with industry to deliver housing at an unprecedented speed and scale to support Canadian Armed Forces members and their families.”
To enable the work, Defence Construction Canada issued an advanced procurement notice for potential projects valued at approximately $3.74 billion. The notice will inform contractors of upcoming construction opportunities at locations across the country and support early engagement with industry.
CFHA, meanwhile, is working with Build Canada Homes - the federal agency for affordable and non‑market housing - to support housing delivery by adopting modular and prefabricated building systems.
This project is the second phase of CFHA’s Residential Portfolio Capital Investment Plan.
Phases 1 and 2 span 25 sites across six regions and are valued at more than $3.7 billion combined. Phase 1 was announced in January 2025, initially launching the construction of 668 residential housing units (now over 800) in nine CAF locations. Together, Phases 1 and 2 will deliver up to 7,500 new builds across the country.
CFHA currently manages over 11,700 such units across Canada.
The expansion under Phase 2 of the national construction program represents a significant step in modernizing and growing the Defence residential housing portfolio to better reflect the current and future needs of the CAF.