The Building Ontario Fund has developed an investment framework that includes an investment selection process to ensure decision-making prioritizes public benefit and adequately manages risks. To qualify for financing, projects must meet the criteria outlined on this page. After an initial review to determine eligibility, projects will then continue through our investment process. All investment decisions will require approval from our Board of Directors.
Evaluate proposal against project criteria to ensure it aligns with the Fund’s mandate
Conduct preliminary due diligence and risk assessment
Project not selected for further consideration
Final close
Final project review and due diligence, final approvals, and financial close
Evaluate proposal against project criteria to ensure it aligns with the Fund’s mandate
Conduct preliminary due diligence and risk assessment
Develop investment structure
Project not selected for further consideration
Project meets standard requirements
Project needs tailoring
BOF makes an offer based on standard terms
Agreement not reached, proceed to Tailored selection process
Additional details on the project can be submitted for consideration
Agreement not reached
Final close
Final project review and due diligence*, final approvals, and financial close
The Building Ontario Fund provides investment support for the development of large-scale infrastructure, involving a BOF investment of at least $100 million, or $50 million for projects that advance community and economic wellbeing for Indigenous communities. Investment support may take various forms and is structured to address the individual financing challenges of the project.
Investments by the Building Ontario Fund must be catalytic to enable infrastructure projects that would otherwise not be financeable by institutional investors alone. The BOF applies a “But for” test to ensure that its investments are the difference-maker that allow a project to proceed and so that we are helping drive infrastructure growth without crowding out private capital.
The Building Ontario Fund may provide investment support for up to 50% of the project’s total financing needs. The remaining 50% must include external capital, prioritizing Canadian investors. BOF evaluates the ratio of public/private investment over the lifetime of the investment, meaning that ratios may be higher or lower at a given point in time depending on the needs of the project.
Projects must be revenue-generating from non-taxpayer derived sources and from which BOF investments can be repaid. The Building Ontario Fund is intended to be self-sustaining and considers the fiscal impact of its investments; we do not provide concessionary financing in the form of grants, forgivable loans, or loans below the provincial cost of funds. We do provide a diverse range of financing solutions to address specific gaps not available in the market from institutional capital. All BOF instruments are individually underwritten, and rates set according to the risk/return profile of the investment and considering the public benefit of the project.
