Introducing Arbo, the planned mixed-use, transit-oriented community with connected parks and a protected natural heritage woodlot at its core. The neighbourhood is located at the major intersection of Keele Street and Sheppard Avenue West in Toronto, between Downsview Park to the south and Downsview Park TTC/GO Station to the north and with easy access to Allen Road and Highway 401.
The Arbo neighbourhood is approximately 25 hectares (62 acres) and is one of five planned neighbourhoods surrounding Downsview Park. A mature woodlot is at the heart of the neighbourhood, providing a quiet spot for people to enjoy nature in the city. The site was once part of the former Canadian Forces Base Toronto.
Following two years of consultation, Canada Lands received municipal approval to provide for up to 4,000 units overall. A minimum of twenty percent of the housing units will be affordable, and the mixed-use neighbourhood will include commercial retail and services space, a seniors’ component, preservation and restoration of the woodlot, two new public parks, and other amenities.
The first phase of development includes three parcels that will provide 1,700 homes. The first two parcels have been earmarked to provide mix-income housing, one through the Canada Mortgage Housing Corporation’s Federal Lands Initiative and the other through Build Canada Homes. The third parcel will be subject to a marketing and sales process at a later date.
Launched in August 2024, in partnership with CMHC, Public Services and Procurement Canada (PSPC) and Housing, Infrastructure and Communities Canada (HICC); Canada Lands Company is pleased to continue enabling housing through the Federal Lands Initiative (FLI). With a goal to support the transfer of surplus federal land to eligible proponents to expedite the creation of new housing and affordable housing opportunities, the FLI will enable the leasing of land to eligible proponents at a nominal cost. As part of the FLI, the 1-hectare (2.4-acre) Arbo site will be redeveloped to provide a target of 280 housing units with a minimum of 30% dedicated to affordable units.
BUILD CANADA HOMES
In September 2025, the Government of Canada launched Build Canada Homes, a new federal agency that will build and finance affordable housing at scale, while catalyzing a more productive housing industry. Build Canada Homes will apply a “Direct Build” approach overseeing and leading the construction of mixed-market housing on a parcel of land at Arbo that will enable 540 units and at five other sites in Canada Lands Company’s portfolio.
The parcel was chosen in part due to its readiness for construction and alignment with the project’s existing vision and municipal approvals.
In October 2025, on behalf of Build Canada Homes – a Request for Qualifications was launched to engage potential builders for the development of approximately 540 residential units at Arbo Downsview. The parcel envisions buildings ranging in height from mid-rise to high-rise, incorporating a diverse range of housing options including seniors housing, market-rate units and affordable housing.