January 23, 2025
TORONTO– The Building Ontario Fund has entered into an agreement in principle with The Rekai Centres to finance Rekai Centre at Cherry Place, a new not-for-profit long-term care home for 348 residents in a high-needs downtown Toronto community. Consistent with the Building Ontario Fund’s requirement to invest alongside external capital, The Rekai Centres has also reached an agreement in principle to receive financing from a major Canadian bank. This project is a clear example of how the Building Ontario Fund is partnering with institutional capital to close a financing gap and move a vital infrastructure project from vision to reality.
“The Building Ontario Fund’s investment in Rekai Centre at Cherry Place marks an important step forward in our commitment to finance new infrastructure in Ontario and support the development of a resilient long-term care system,” said Peter Bethlenfalvy, Minister of Finance for Ontario. “When we launched the Building Ontario Fund, this is the kind of transformative initiative we had in mind — one that makes a meaningful difference in our communities.”
Rekai Centre at Cherry Place will be a 13-storey multi-use facility providing long-term care services for its residents and medical services for the community, including a dialysis clinic, designated floors for residents living with dementia, a Rainbow Wing, and an education centre offering hands-on training for new Personal Support Workers, Registered Nurses, and other healthcare workers. It is expected to be ready to welcome its first residents in December 2027.
“Rekai Centre at Cherry Place is a prime example of how the Building Ontario Fund is driving development of vital infrastructure in Ontario by working hand-in-hand with institutional capital and great partners like The Rekai Centres,” said Michael Fedchyshyn, CEO, Building Ontario Fund. “The concept of Cherry Place has been in development for a long time, but progress was stalled due to a combination of factors, including financing challenges. With the Building Ontario Fund’s investment, the project is able to move from vision to reality. We are thrilled that this innovative facility can now come to life, providing much-needed beds and services within a high-needs community, and that our first project is such an impactful one.”
“It gives me immense pleasure to announce that The Rekai Centre at Cherry Place project is open for construction. Our government is building Ontario’s long-term care capacity and we are building it where it is needed. Today marks an important milestone for the expansion of long-term care in the city of Toronto. When construction is complete at Cherry Place, 348 residents will have a modern, comfortable place to call home.”
– Paul Calandra, Acting Ontario Minister of Long-term Care
“The demand for long-term care beds, especially among the city’s most vulnerable populations, is critical. Today’s announcement has been a long time in the making, and with the Building Ontario Fund’s help, we are delighted to finally be able to expand our capacity and ensure more of our community’s seniors can receive the care and support they deserve. “
– Sue Graham-Nutter, Chief Executive Officer, The Rekai Centres
The Building Ontario Fund works with trusted institutional investors and Indigenous communities to make strategic investments that accelerate priority infrastructure development across the province. To address the province’s most immediate needs, the Building Ontario Fund focuses on projects within five priority sectors: affordable housing, long-term care, energy, transportation, and municipal infrastructure. An arms-length, board-governed Crown agency enabled by the Building Ontario Fund Act, 2024, the Building Ontario Fund will help build a stronger province for Ontario’s quickly growing population and lay a strong foundation for future generations.
The Rekai Centres is a not-for-profit charitable corporation that has provided medical and care services in Toronto since the 1950s. Today, The Rekai Centres owns and operates two long-term care homes providing care to 276 residents.
Building Ontario Fund
Lynsey Wynberg