The City of Toronto has broken ground on 172 affordable rental homes at The East Mall, also known as Valhalla Village. 

The City says the housing project is the result of a collaboration between the City, Government of Canada and private sector partners, delivering affordable housing within inclusive and mixed-income communities.

The development will include three towers and one mid-rise building, with a total of 1,135 homes including 963 market and 172 affordable rental homes. 

Affordable homes will consist of studios, one-bedroom, two-bedroom and three-bedroom apartments. 

The new affordable rental homes will remain affordable for a minimum of 40 years and be part of a larger mixed-income and mixed-use development.

In a release, the City explains that through its Open Door program, Council approved approximately $9.87 million in financial incentives, including property tax and development charge exemptions and permit fee waivers, to support the project. The Government of Canada provided $235.9 million in fully repayable low-interest loans through CMHC’s Apartment Construction Loan program.

The City says the development advances the HousingTO 2020-2030 Action Plan, which includes a target of the approval of 65,000 new rent-controlled homes across the city to help increase housing stability for Toronto residents over the next 10 years.

Mayor Olivia Chow says the new affordable units included in the project are a testament to what can be achieved when different orders of government and developers work together. “As Mayor, I am determined to create more affordable housing options so more people can continue to call Toronto home,” she said.