The City of Toronto, the Government of Canada and University Health Network are expanding their social medicine housing model to create approximately 200 new supportive homes across three sites for people experiencing homelessness and complex health needs, according to a City of Toronto news release issued October 1.

The first of the three new sites will provide roughly 80 deeply affordable and supportive homes near Toronto Western Hospital. A non-profit housing provider chosen through a City-led process carried out with UHN will operate it.

The federal government, through Build Canada Homes, is investing more than $25 million in the project. Subject to Toronto City Council approval, the City will contribute more than $19 million in funding and financial incentives, and the UHN Foundation will add $20 million.

createTO, the City's strategic real estate agency, will help identify locations for the two additional sites, both of which will be near Toronto Western Hospital. Details on those sites will be announced later.

Building on Dunn House and Spring House

The expansion builds on Dunn House, Canada's first social medicine supportive housing initiative, and Spring House, a 54-unit supportive housing development now underway. Both are in Parkdale.

Spring House, led by createTO, will create 54 studio homes prioritized for seniors and older adults experiencing chronic homelessness who frequently use UHN emergency services. It is funded by the federal government through Build Canada Homes, the Province of Ontario, the City and UHN. Construction is expected to begin in late 2026.

Under the model, UHN will work with the City's shelter and street outreach teams to identify people who are unhoused and frequently access emergency departments within the UHN network. Residents of the new sites will have onsite health and social services and will be connected to primary care near Toronto Western Hospital.

The Dunn House model is working. It's helping people build stable lives, access vital resources, and stay off the street and out of the emergency room. The City of Toronto is proud to partner with the federal government and University Health Network to advance Dunn House Phase 3, so more people can benefit from social medicine supportive housing. This is a very Canadian solution: one that is compassionate, coordinated and comprehensive.

Mayor Olivia Chow said in the City's news release that the expansion will extend the benefits of social medicine supportive housing to more people.

At UHN's Gattuso Centre for Social Medicine, we have demonstrated what is possible when housing, health care and social supports come together around the needs of patients. What began as Canada's first hospital-led supportive housing initiative has evolved into a proven model of care, made possible through the commitment of our government and community partners and the generosity of our Foundation. This investment will extend that model to 200 more people with complex health and social needs and help scale a made-in-Canada approach that can strengthen health systems and communities across the country.

Dr. Kevin Smith, president and CEO of University Health Network, said the initiative has grown into a proven model of care.

Early results cited by the City

Early results from Dunn House demonstrated housing stability for residents who were formerly homeless, the City said. Across the City's supportive housing portfolio, fewer than five per cent of tenants returned to shelter within their first year, including at Dunn House.

Data from Dunn House showed about $2 million in health-care cost savings. The City said the findings indicate supportive housing is a more cost-effective way to end homelessness.

Dunn House proved something simple: housing is health care. When people moved in from the street and the shelter system, emergency department visits fell by more than half and hospital bed days dropped by nearly 80 per cent. That's what happens when you treat the conditions that make people sick, not just the symptoms. This investment takes the Social Medicine Housing Model that can save lives and scales it to more than 200 new homes — the largest housing and health care initiative in the country.

Dr. Andrew Boozary, founding executive director of the Gattuso Centre for Social Medicine at UHN, said emergency department visits among residents fell by more than half and hospital bed days dropped by nearly 80 per cent after they moved in.

The City said the approach is designed to support people at greatest risk of poor health outcomes, including people experiencing homelessness, older adults and those with complex health and social needs, and is expected to reduce pressure on Toronto's shelter system and health-care services.