County staff confirm the local Affordable Housing Seed Funding Program is now fully out of money, creating a major barrier for seven local projects and potentially more than 250 new homes.
The County of Lambton has exhausted its initial investment in an important initiative designed to spur local affordable housing development, putting a financial strain on several major projects across the community.
A report presented to Council on November 19 confirms that the Affordable Housing Seed Funding Program is "fully depleted," having allocated $1.3 million to seven different affordable housing proponents. These projects collectively promise between 249 and 252 new units in Sarnia-Lambton.
The lack of local seed funding comes at a critical time, as many of the projects that received the initial investment now face a significant next hurdle: securing sufficient capital funding to begin construction.
The report highlights the urgent need for provincial and federal funding to keep momentum going on the projects underway.
The seven local non-profit and community groups that received the seed funding include:
Alexander Mackenzie Housing Co-operative (20 units), which has obtained planning approvals but is pending a response to its major project funding applications.
Saint Demetrios Greek Orthodox Church (45 units), which has also secured planning approvals but "capital funding is required to advance the project".
The Inn of the Good Shepherd (62 units), which has planning approvals in progress.
Vision '74 Inc. (85 units), which is moving forward with pre-development work following planning approvals.
Other projects receiving funds include Arkona Lions Non-Profit Housing (12-15 units), Habitat for Humanity Sarnia/Lambton (5 units), and the Women's Interval Home (20 units).
County staff plan to include a funding recommendation for the continuation of the seed funding program as part of the 2026 budget request.
Despite the funding challenges facing the smaller projects, the County is moving forward on several of its own major initiatives, backed by its Affordable Housing Reserve which currently holds just over $2.5 million in unallocated funds.
Construction on the 50-unit Kathleen Avenue building in Sarnia is advancing rapidly and is expected to be fully enclosed by the end of the year. Occupancy is still anticipated in the fall of 2026.
Other projects nearing completion include:
Maxwell Park Place: The 24-unit expansion is expected to be completed this year, with six units supported by March of Dimes.
Ontario Aboriginal Housing Services: A 40-unit apartment building at 940 Confederation Street is progressing well and is expected to be completed by December 2025.
County staff note that addressing the affordable housing crisis requires not only local efforts but also significant capital dollars from the Federal and Provincial governments, and advocacy work to secure these investments is continuous.
