Oxford breaks ground on $750M development, delivering Scarborough's first major purpose-built housing project in a generation

TORONTO

Oxford Properties Group (“Oxford”), a leading global real estate investor, developer and manager, today broke ground on Scarborough’s first major purpose-built rental (“PBR”) development in over a generation. Situated on a 3.4-acre parcel of land on the west side of Oxford’s Scarborough Town Centre shopping mall (“STC”), the development will consist of three residential towers made up of 1,285 purpose-built rental units, 268 of which are affordable, with the aim of delivering critically needed housing in a historically undersupplied area for people at a variety of different price points. The project is the largest single-phase rental development currently under construction in Toronto.

In support of this transit-oriented rental development, Oxford, the global real estate arm of OMERS, is proud to announce it has secured a $650 million rental housing construction loan through Canada Mortgage and Housing Corporation’s (“CMHC”) Apartment Construction Loan Program (“ACLP”). This represents the largest single loan issued out of Toronto that CMHC has approved and committed to through the ACLP.

The financing provided by CMHC allows Oxford to accelerate its plan to intensify the lands around STC to help address the housing crisis faced by the City of Toronto by adding a significant source of new purpose-built rental supply, as well as a substantial delivery of affordable units, into the Scarborough community.

“Breaking ground on this rental project is a true milestone for Oxford as we look to use our proven development expertise to deliver much-needed housing solutions for the people of Scarborough, while sustainably intensifying transit-connected land to create mixed-use communities of the future,” said Daniel Fournier, Executive Chair at Oxford Properties. “This generational project signifies a model we hope to replicate across Canada in the years to come, and with CMHC as a funding partner, we’re confident it will serve as a prime example of the power of public-private partnerships to work together to address the housing challenges in Canada’s largest cities.”

“Our government is committed to driving housing supply to bring down costs. This project will create more rental homes for people living and working in Scarborough and is an example of what’s possible when we work together in partnership with the private sector. This is another step forward in our bold, ambitious plan to build Canada strong.” – The Honourable Gregor Robertson, Minister of Housing and Infrastructure and Minister responsible for Pacific Economic Development Canada

“We are building more affordable homes to address the housing crisis. The project at 25 Borough Drive will create 1,285 new homes for Torontonians, including studios, one-bedroom, two-bedroom and three-bedroom apartments and townhomes. The City of Toronto is proud to support this project through the Rental Housing Supply Program. We are stronger together, working with the Government of Canada to create more affordable homes in Scarborough to meet the needs of our growing city.”” – Olivia Chow, Mayor of Toronto

The 1,285 purpose-built rental homes, which will be named Alta, will feature three residential towers and sit atop two 7-storey podiums featuring both residential and retail space. Intentionally designed to accommodate a range of income levels, age groups, and family structures, Alta will offer a broad unit mix of 51 studios, 693 one-bedrooms, 411 two-bedrooms and 130 three-bedroom units, including 23 townhomes. The project will benefit from its close proximity to Scarborough Centre TTC station, which is also serviced by GO Transit, and the future Scarborough Subway Extension.

The entire project is being designed to promote wellbeing and community building through the inclusion of extensive indoor and outdoor amenities. These include outdoor lounge areas, co-working spaces, a children’s playroom, fitness facilities, and a new 22,000 square foot public park at the south end of the development. The completed project seeks to reduce its environmental impact by using a geothermal heating and cooling system that will reduce overall energy use by 55% and greenhouse gas emissions by 74%.

“It is more important than ever that governments at all levels in Canada come together with the private sector to make bold choices that improve Canadian communities, and this project is the perfect example,” said Blake Hutcheson, President and CEO of OMERS. “This development not only puts our members’ dollars to work right here in Ontario, but it does so in a project that is being supported by federal funding which in turn will help maximize the Province and City of Toronto’s substantial investment in rapid transit to Scarborough. It will help deliver returns for our members, while also improving housing choice in a community that so many of them proudly call home and serve.”

Alta marks the first development within Oxford’s recently approved master plan for STC. The multi-decade plan envisions over 10,000 residential units built across 89 developable acres to support Scarborough in its evolution and growth as an urban hub, while optimizing STC’s relationship to the new transit station. This master plan builds on Oxford’s continued conviction to create premier mixed-use communities across Canada.

This development is part of a series of recent major investments made by Oxford in Canada, where it has announced almost $2 billion of activity in the past six weeks, including an acquisition of a seven-asset Western Canada office portfolio, and a redevelopment of two office towers at Canada Square in Midtown Toronto.

Construction on Alta is expected to be completed by Summer 2029.