Oct. 1 marks National Seniors Day in Canada, which arrives at a time when Toronto is careening toward a senior housing crisis that threatens older Canadians as their needs are most acute.
Prior to 2025, senior housing was a front-burner issue. However, recent geopolitical tensions have created new priorities. And yet, the challenge of addressing our senior housing shortage remains pressing.
Statistics Canada projects by 2046, Canada’s population aged 65 and older will reach 12.4 million, comprising about 25 per cent of the country’s total. In the Greater Toronto Area alone, Altus Group forecasts meeting demand for senior housing through 2041 will require an average of 1,200 new independent and assisted living units annually, along with 1,000 additional long-term care beds each year. These are significant shortfalls in stock.
There is a solution hiding in plain sight. Toronto is saturated with unsold condominiums. These structures could be repurposed into much-needed senior accommodation, provided we embrace creativity, demand political leadership and recalibrate an investment community that has turned away from this asset class leaving a financing vacuum in its wake. Addressing the issue in this manner solves two problems at once, while creating value for investors.
Reimagining existing housing stock – convert condominiums into purpose built senior accommodation:
Converting empty condominium towers into senior housing is a pragmatic solution.
These buildings are already connected to essential city services – water, electricity, sewage, and transit – all of which would cost millions and take years to replicate in new developments. In a context of limited budgets and mounting time pressures, ease of market entry and speed of implementation are critical advantages
Moreover, condominiums have excellent access to community amenities, health services, parks and public transit – key ingredients for helping seniors remain active, independent and socially connected.
This approach also paves the way for more creative models of living. From intergenerational housing to co-habitation options that include live-in caregivers or rotating staff, repurposed condominiums can better reflect the diverse preferences and evolving needs of older adults, supporting autonomy, fostering community and reducing the social isolation that often accompanies aging.
Ultimately, it’s a chance to reimagine how and where people age – shifting away from institutional settings toward integrated, community-based living.
We have the tools to fix senior housing – what’s missing is leadership:
Red tape remains a major obstacle. Political leaders must address the regulatory and financial barriers that continue to delay timely development.
Lengthy zoning approvals, convoluted permitting processes and rigid design requirements slow even the most promising conversion proposals. Toronto’s expanded Certified Plan Program shows how to streamline approvals without compromising safety. More forward-thinking policy is urgently needed.
Financing poses another significant challenge. Governments should explore funding tools such as loan guarantees or portfolio packaging to attract private investment. Calgary’s Downtown Development Incentive Program successfully draws private capital for office-to-residential conversions. Toronto could adopt a similar approach for repurposing condos into senior housing.
Governments also have powerful incentive levers at their disposal. Targeted tax breaks for projects that prioritize accessibility, energy efficiency and community integration would further accelerate the development of senior housing.
Public-Private Partnerships (P3s) offer another path forward. With clearer policies around risk-sharing and measurable outcomes, governments can attract private developers while maintaining accountability. Letting builders innovate, while holding them to exacting standards, ensures outcomes that meet health and safety goals, while freeing public resources to focus on government’s core strength: regulatory oversight.
When done right, P3s align public priorities with private innovation.
Mobilizing the investment community:
Attracting investment remains a stubborn problem that will hinder our ability to provide dignified care for our seniors.
Banks and pension funds often view senior housing as a niche or volatile sector. That perception must change. With transparent business cases, standardized delivery models and evidence of predictable, government-backed revenue streams, senior housing can be positioned as a stable, Environmental, Social, and Governance (ESG) aligned investment.
Senior housing conversions directly address the “S” in ESG goals – providing safe, accessible and dignified environments for a vulnerable population, while also advancing adaptive reuse for environmental benefits. For pension funds and institutional investors committed to responsible investing, supporting senior care is strategic.
To address our aging population, we must view senior housing conversions as a city-wide infrastructure program. With political will and market alignment, we can leverage existing tools to deliver scalable, senior-friendly housing that communities desperately need.
Melissa Di Marco is partner and global co-lead, energy and infrastructure with Accuracy Canada. Send Industry Perspectives Op-Ed column ideas and comments to [email protected].
