The City of Niagara Falls has proposed amendments to its Community Improvement Plan (CIP) to encourage new housing supply through targeted financial incentives. The proposed measures include support for accessory dwelling units (ADUs), non-profit and co-operative housing, purpose-built rental housing, and other forms of development that can help address local housing needs.

Housing is an economic and business issue. Employers need workers who can afford to live near their jobs, and housing availability affects workforce attraction, retention, and regional competitiveness. More rental and attainable housing supports younger workers, newcomers, families, and others who are essential to Niagara Falls’ labour force and economic growth. Conversely, a constrained housing supply can limit business expansion and make it harder for the city to attract investment and talent.

The City’s own Housing Needs and Supply Report from 2021 indicated that 47.4% of rental households in Niagara Falls were spending more than 30% of their income on housing, compared with 17.6% of owner households. This demonstrates a real affordability issue in Niagara Falls and underlines the need for practical tools to increase supply.

Accessory Dwelling Unit incentives have also shown strong demand in nearby municipalities. St. Catharines’ ADU program depleted its funding after being open for only 16 days, suggesting strong local demand for well-designed ADU incentives. ADUs can add new units to the housing supply while fitting into existing neighbourhoods.

Lower-cost rental units also remain difficult to find. CMHC reported a 2.7% vacancy rate for first-quartile units in St. Catharines-Niagara in late 2025, even as the overall vacancy rate had increased from its lowest point. Incentives aimed at purpose-built rental housing can help encourage more supply in a part of the market where need remains high.

Development charges and municipal costs are also a major concern for builders. CMHC has identified development charges as a significant component of the cost of new housing in some municipalities, noting that these costs may ultimately be passed on to homeowners and renters and can constrain affordability.

The GNCC supports the proposed Niagara Falls CIP amendment and encourages Council to adopt the proposed measures. ADU grants, fee waivers and capital grants for non-profit housing providers, purpose-built rental tax grants, and targeted development charge waivers are practical tools that can help encourage the construction of needed housing.

The GNCC believes these incentives will support affordability, strengthen workforce attraction and retention, and signal that Niagara Falls is willing to work with housing providers and developers as a partner in building the housing the community needs.

July 2026