New model will make it easier and faster to build long-term care homes across the province
The Ontario government is launching a new Capital Funding Program (CFP) to build more long-term care homes faster, especially in regions like the Greater Toronto and Hamilton Area (GTHA) and northern Ontario impacted by labour shortages, supply chain constraints and other challenges. This innovative new funding model is part of the government’s plan to protect Ontario by creating good jobs and building for the future, while ensuring seniors get the quality of care and quality of life they need and deserve.
“As Ontario ages, we need to protect our province by building long-term care homes faster, smarter and in the places that need them most,” said Natalia Kusendova-Bashta, Minister of Long-Term Care. “The success we’re already seeing at sites like Maxville Manor shows our new capital funding program will help us meet our ambitious construction targets and ensure Ontario families can receive world-class care close to home, for generations to come.”
To support more long-term care operators in the face of rising costs, the CFP will shift to a flexible, percentage-based funding model from the previous fixed, cost-per-bed model to better address construction and land cost variations across Ontario. The new model will provide increased ministry funding equivalent to a maximum of 85 percent of total eligible expenditures with a maximum that’s determined by location across four market segments. Not-for-profit operators will receive ministry funding earlier so that projects can advance to construction while eligible hospital and Indigenous operators can receive the entire amount of funding during their project’s construction period.
These changes build on the government’s progress in providing nearly four hours of direct daily care to every long-term care resident last year and will ensure funding and supports are tailored to the specific needs and conditions of each region, making it easier to build long-term care homes across the province.
The CFP will enable more redevelopment projects like Maxville Manor, a long-term care home in Maxville where construction is now beginning, thanks to the increased certainty and support the new model will provide. The not-for-profit home is upgrading its 122 existing beds and adding 38 new beds by renovating the existing building and adding two new buildings. The phased project will bring modern amenities to support residents and staff and will include a new dining room, spa, multi-purpose room, an adult day program suite and upgraded outdoor areas. The redeveloped, 160-bed home is expected to welcome its first residents in 2027.
Through innovative programs like the CFP, the Ontario government is making continued progress toward its commitment to build 58,000 new and upgraded long-term care beds across the province, as outlined in the 2025 Ontario Budget: A Plan to Protect Ontario.
Quick Facts:
- The new Capital Funding Program (CFP) is a continuation of the government’s ambitious long-term care construction campaign and builds on its historic investment levels. The CFP replaces the construction funding subsidy top-up introduced in 2022, which resulted in the largest construction of long-term care projects the government has achieved in a single year.
The new model will provide increased ministry funding equivalent to a maximum of 85 percent of total eligible expenditures. Projects will be funded up to a defined maximum that’s determined by location across four market segments.
Ministry funding distribution will be determined by the operator type to address diverse needs within the long-term care sector. Not-for-profit operators will receive more ministry funding earlier so that projects can advance to construction. Eligible hospital and Indigenous operators may be able to receive the entire amount of ministry funding during their project’s construction period.
As of July 2025, 148 projects representing a total of 24,101 new and redeveloped beds are completed, under construction, or have ministry approval to construct.
Building more modern, safe and comfortable homes for our residents is part of the Government of Ontario’s Fixing Long-Term Care Act, 2021.
Quotes:
"As the MPP for Glengarry—Prescott—Russell, I am very pleased to see this funding come to our riding. The redevelopment of Maxville Manor represents an important investment in the health and well-being of our seniors. This project will give residents and staff the modern spaces and amenities they deserve while strengthening long-term care in our community for years to come."
- Stéphane Sarrazin, MPP for Glengarry—Prescott—Russell
"The demand for long-term care is real and growing. Families across SDG Counties rely on Maxville Manor – not just for a safe place, but for a home filled with compassion and community. That’s what this ground-breaking represents: a promise to meet that need, now and into the future. This milestone wouldn’t be possible without partnership from the province, from municipalities and from the many community members and families who continue to support fundraising efforts. Together, we are building more than bricks and mortar. We are building peace of mind, for today and for generations to come."
- Martin Lang, Warden for the United Counties of Stormont, Dundas and Glengarry
"Maxville Manor is pleased to be the recipient of the new provincial capital funding program, which was critical in building our new 160-bed long-term care home for the community. We are not just upgrading a facility; we are building a future where residents, families and staff can thrive in a space that truly reflects the values of respect, safety and community. Upon completion, the project will serve Eastern Ontario residents for many decades to come."
- Amy Porteous, CEO of Maxville Manor
Additional Resources:
Media Contacts:
Stuart Osborne
Office of the Minister of Long-Term Care
Stuart.Osborne@ontario.ca
Ministry of Long-Term Care Media Line
Communications Branch
MLTC.Media@ontario.ca