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Today, the Province announced a Capital Funding Program (CFP) designed to speed up the development and renewal of long-term care facilities across Ontario. Minister of Long-Term Care Natalia Kusendova-Bashta outlined the program’s new structure, which replaces the fixed per-bed subsidy with a percentage-based approach covering as much as 85% of eligible costs.
With a focus on high-demand regions such as the Greater Toronto and Hamilton Area and northern Ontario, the program is intended to address pressures from rising land and construction costs while ensuring seniors gain access to modern, community-based care closer to home.
Instead of a set amount per bed, the new framework ties funding to a percentage of overall project costs. Depending on location, projects can receive up to 85% of their eligible costs, with maximums set across four different regional categories to reflect local conditions. Eligible floor area is limited to 800 ft² per bed, ensuring projects meet provincial design standards while keeping costs in check. The program replaces the temporary construction funding top-up introduced in 2022, which had produced Ontario’s highest single year of long-term care construction activity.
The CFP is structured around three main funding streams tailored to operator type. Not-for-profit, municipal, and Indigenous operators may access a design and planning grant worth up to $500,000 to help cover upfront professional and consulting expenses. Construction progress payments follow, distributed at key project milestones to ease cash flow during the build. Finally, capital per diem payments extend over 25 years after occupancy, supporting operators with the repayment of construction and financing costs.
For-profit, non-profit, hospital, and Indigenous operators each receive these components on different schedules. The schedule for releasing funds will vary: not-for-profit providers receive earlier support to help them move projects into construction, while hospitals and Indigenous operators may be able to access their full funding during the building phase.
One of the projects advancing under the new model is the redevelopment of Maxville Manor in Maxville, Ontario. The non-profit facility is redeveloping 122 existing beds and creating 38 new ones through renovations and the construction of two additional buildings.
“The redevelopment of Maxville Manor represents an important investment in the health and well-being of our seniors,” said Glengarry–Prescott–Russell MPP Stéphane Sarrazin. “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.”
The project also features two new buildings with amenities such as a dining hall, spa, multipurpose space, an adult day program suite, and enhanced outdoor areas. It will deliver a 160-bed facility, planning to welcome residents in 2027.
“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,” shared Maxville Manor CEO Amy Porteous.
The province says the program supports its target of 58,000 new and redeveloped beds, a goal set in the 2025 Ontario Budget and reinforced by the Fixing Long-Term Care Act, 2021. As of July, 2025, 148 projects representing over 24,000 beds are either complete, underway, or approved to start construction. The initiative aligns with commitments in the 2025 provincial budget and the “Your Health” plan, which pair capital investment with measures to expand the health care workforce and provide an average of four hours of daily direct care for every long-term care resident.
Martin Lang, Warden for Stormont, Dundas, and Glengarry, noted that, “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 groundbreaking represents: a promise to meet that need, now and into the future.”
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